{"id":1036,"date":"2025-12-11T13:08:57","date_gmt":"2025-12-11T04:08:57","guid":{"rendered":"https:\/\/est.haro-inc.com\/?p=1036"},"modified":"2025-12-13T11:03:38","modified_gmt":"2025-12-13T02:03:38","slug":"vietnam-pit-law-amendment-2026","status":"publish","type":"post","link":"https:\/\/est.haro-inc.com\/en\/tax-pit-en\/vietnam-pit-law-amendment-2026\/","title":{"rendered":"Vietnam National Assembly Passes Amendment to the Personal Income Tax Law \u2014 Effective July 1, 2026"},"content":{"rendered":"\n<div style=\"height:50px\" aria-hidden=\"true\" class=\"wp-block-spacer\"><\/div>\n\n\n\n<p>On December 10, 2025, the National Assembly of Vietnam <span class=\"swl-marker mark_orange\"><strong>approved the amended Personal Income Tax Law<\/strong><\/span>.<br>\nThis article provides a clear summary of key points of the new tax system that will take effect on July 1, 2026, specifical companies operating in Vietnam.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Overview of Vietnam\u2019s Amended Personal Income Tax Law: Effective July 1, 2026<\/h2>\n\n\n\n<p>The amended Personal Income Tax Law introduces significant changes, including <span class=\"swl-marker mark_orange\"><strong>revised tax brackets, statutory family deductions, new rules for household businesses, expansion of non-taxable income, and taxation on gold bar transactions<\/strong><\/span>. These changes will impact a wide range of taxpayers, including employees, business households, small business owners, and investors.<\/p>\n\n\n\n<div class=\"wp-block-group has-border -border02 is-style-bg_grid\"><div class=\"wp-block-group__inner-container\">\n<ul class=\"wp-block-list\">\n<li>Date approved by the National Assembly: December 10, 2025<\/li>\n<li>Effective date: <strong><span class=\"swl-inline-color has-swl-deep-01-color\">July 1, 2026<\/span><\/strong><\/li>\n<li>Scope: Employees, household businesses, small business owners, investors, agricultural and aquaculture workers, etc.<\/li>\n<\/ul>\n<\/div><\/div>\n\n\n\n<h2 class=\"wp-block-heading\">New Progressive Tax Rates (Simplified from 7 Brackets to 5)<\/h2>\n\n\n\n<p>The amended law simplifies progressive tax rates for personal income into <strong>five brackets<\/strong>.<br>\nIn particular, the tax burden for middle-income earners is expected to decrease due to reductions in the second and third brackets.<\/p>\n\n\n\n<figure class=\"wp-block-table\"><table class=\"has-fixed-layout\"><thead><tr><th>Taxable Income (per month)<\/th><th>New Tax Rate<\/th><\/tr><\/thead><tbody><tr><td>Up to 10 million VND<\/td><td>5%<\/td><\/tr><tr><td>10 million \u2013 under 30 million VND<\/td><td>10%<\/td><\/tr><tr><td>30 million \u2013 under 60 million VND<\/td><td>20%<\/td><\/tr><tr><td>60 million \u2013 under 100 million VND<\/td><td>30%<\/td><\/tr><tr><td>Over 100 million VND<\/td><td>35%<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n<p>Compared to the previous system, the tax brackets are now more streamlined, requiring <span class=\"swl-marker mark_orange\"><strong>updates to payroll calculation logic<\/strong><\/span>.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"index_id2\">Statutory Family Deductions and Future Adjustments<\/h2>\n\n\n\n<p>Under the amended law, family deductions\u2014previously stipulated by National Assembly resolution\u2014are now formally <span class=\"swl-marker mark_orange\"><strong>codified in law<\/strong><\/span>.<\/p>\n\n\n\n<div class=\"wp-block-group is-style-big_icon_good\"><div class=\"wp-block-group__inner-container\">\n<ul class=\"wp-block-list\">\n<li>Taxpayer deduction: <strong>15.5 million VND per month<\/strong><\/li>\n<li>Dependent deduction: <strong>6.2 million VND per month per dependent<\/strong><\/li>\n<\/ul>\n<\/div><\/div>\n\n\n\n<p>The amended law also includes a mechanism allowing future adjustments to deduction amounts based on living costs and income levels, meaning <span class=\"swl-marker mark_orange\"><strong>deductions may continue to be revised periodically<\/strong><\/span>.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">New Tax Rules for Household and Small Business Owners<\/h2>\n\n\n\n<p>For household businesses and individual business owners, the amended law introduces <span class=\"swl-marker mark_orange\"><strong>expanded non-taxable thresholds and a simplified tax calculation method<\/strong><\/span>.<\/p>\n\n\n\n<div class=\"wp-block-group is-style-big_icon_point\"><div class=\"wp-block-group__inner-container\">\n<ul class=\"wp-block-list\">\n<li>The non-taxable income threshold is increased from <strong>200 million VND \u2192 500 million VND<\/strong> annually.<\/li>\n<li>For annual revenue <strong>over 500 million VND and up to 3 billion VND<\/strong>, taxable income may now be calculated using the \u201cRevenue \u2212 Expenses\u201d method with a <strong>15% tax rate<\/strong>.<\/li>\n<li>Taxpayers may choose between this new method and the traditional percentage-of-revenue method.<\/li>\n<\/ul>\n<\/div><\/div>\n\n\n\n<p>For Foreign companies, this means re-evaluating contracts and withholding tax treatment for freelance contractors and individual business partners in Vietnam. <br>\n<span class=\"swl-marker mark_orange\"><strong>Annual revenue levels and tax classifications must be checked carefully when updating agreements and tax procedures.<\/strong><\/span><\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Expansion of Non-Taxable Income: Agriculture &amp; Science\/Technology<\/h2>\n\n\n\n<p>The amended law expands the categories of <span class=\"swl-marker mark_orange\"><strong>non-taxable income<\/strong><\/span> as follows:<\/p>\n\n\n\n<div class=\"wp-block-group is-style-big_icon_point\"><div class=\"wp-block-group__inner-container\">\n<ul class=\"wp-block-list\">\n<li>Income from households directly engaged in growing crops, raising livestock, aquaculture, or planting production forests<\/li>\n<li>Dividends of members of agricultural cooperatives or cooperative unions<\/li>\n<li>Income of farmers engaged in large-scale crop production, artificial forest planting, or aquaculture<\/li>\n<li>Salaries earned from performing scientific and technological innovation tasks<\/li>\n<li>Copyright income from the commercialization of scientific and technological innovation results<\/li>\n<\/ul>\n<\/div><\/div>\n\n\n\n<p>Companies engaged in R&amp;D, agriculture, or related sectors must correctly determine <span class=\"swl-marker mark_orange\"><strong>which employees or partners fall under non-taxable categories<\/strong><\/span>.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Taxation of Gold Bar Transfer Income<\/h2>\n\n\n\n<p>The amended law adds <strong>income from gold bar transfers<\/strong> to taxable income categories. <br>\nThe government is expected to set minimum value thresholds, ensuring that transactions intended purely for savings are excluded from taxation.<\/p>\n\n\n\n<p>This aims to improve transparency in gold trading, prevent speculation, and promote more stable capital flows in the economy. Investors and individuals conducting financial transactions in Vietnam may be impacted.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Four Key Actions for Foreign Companies and Vietnam Offices<\/h2>\n\n\n\n<div class=\"wp-block-group is-style-big_icon_good\"><div class=\"wp-block-group__inner-container\">\n<ul class=\"wp-block-list\">\n<li><strong>Review payroll calculation logic<\/strong><br>\nUpdate payroll spreadsheets and systems to reflect new tax brackets and deductions.<\/li>\n<li><strong>Revise internal regulations and payroll rules<\/strong><br>\nEnsure alignment of taxable allowances, non-taxable items, and dependent declaration procedures.<\/li>\n<li><strong>Review contracts with contractors and freelancers<\/strong><br>\nApply the correct tax treatment based on revenue levels and business classifications.<\/li>\n<li><strong>Explain the changes to employees and expatriates<\/strong><br>\nProvide clear communication on net salary impact and major tax changes.<\/li>\n<\/ul>\n<\/div><\/div>\n\n\n\n<h2 class=\"wp-block-heading\">EST Automatically Complies with Vietnam\u2019s New Tax System<\/h2>\n\n\n\n<p>HARO\u2019s <span class=\"swl-marker mark_orange\"><strong>EST \u2013 HR &amp; Payroll System for Vietnam<\/strong><\/span> will be updated according to the amended Personal Income Tax Law.<\/p>\n\n\n\n<div class=\"wp-block-group has-border -border02 is-style-bg_grid\"><div class=\"wp-block-group__inner-container\">\n<ul class=\"wp-block-list\">\n<li>Automatic calculation under the new 5-tier progressive tax structure<\/li>\n<li>Updated family deduction amounts (15.5M VND \/ 6.2M VND)<\/li>\n<li>Support for new tax methods for household and small business owners<\/li>\n<\/ul>\n<\/div><\/div>\n\n\n\n<p>Instead of revising Excel sheets and internal documents each time the law changes, companies can rely on EST to <strong>stay automatically aligned with Vietnam\u2019s latest tax regulations<\/strong>.<\/p>\n\n\n\n<p><span class=\"swl-marker mark_orange\"><strong>If you would like more information about the amended Personal Income Tax Law or EST\u2019s updated features, feel free to contact us.<\/strong><\/span><\/p>\n\n\n<div class=\"p-blogParts post_content\" data-partsID=\"983\">\n<div class=\"swell-block-fullWide pc-py-60 sp-py-40 has-bg-img alignfull lazyload\" style=\"background-color:rgba(247, 247, 247, 0.41)\" data-bg=\"http:\/\/est.haro-inc.com\/wp-content\/uploads\/2025\/11\/DSC_1122.jpg\"><div class=\"swell-block-fullWide__inner l-article\">\n<div class=\"wp-block-columns\">\n<div class=\"wp-block-column\">\n<figure class=\"wp-block-image size-full\"><img decoding=\"async\" width=\"600\" height=\"400\" src=\"http:\/\/est.haro-inc.com\/wp-content\/uploads\/2025\/11\/cta2.png\" alt=\"\" class=\"wp-image-504\" srcset=\"https:\/\/est.haro-inc.com\/wp-content\/uploads\/2025\/11\/cta2.png 600w, https:\/\/est.haro-inc.com\/wp-content\/uploads\/2025\/11\/cta2-300x200.png 300w\" sizes=\"(max-width: 600px) 100vw, 600px\" \/><\/figure>\n\n\n\n<div class=\"swell-block-button blue_ is-style-btn_normal\"><a href=\"https:\/\/est.haro-inc.com\/en\/download\/\" class=\"swell-block-button__link\"><span>Download Document<\/span><\/a><\/div>\n<\/div>\n\n\n\n<div class=\"wp-block-column\">\n<figure class=\"wp-block-image size-full\"><img decoding=\"async\" width=\"600\" height=\"400\" src=\"http:\/\/est.haro-inc.com\/wp-content\/uploads\/2025\/11\/cta1.png\" alt=\"\" class=\"wp-image-505\" srcset=\"https:\/\/est.haro-inc.com\/wp-content\/uploads\/2025\/11\/cta1.png 600w, https:\/\/est.haro-inc.com\/wp-content\/uploads\/2025\/11\/cta1-300x200.png 300w\" sizes=\"(max-width: 600px) 100vw, 600px\" \/><\/figure>\n\n\n\n<div class=\"swell-block-button green_ is-style-btn_normal\"><a href=\"https:\/\/est.haro-inc.com\/en\/contact\/\" class=\"swell-block-button__link\"><span>Contact<\/span><\/a><\/div>\n<\/div>\n<\/div>\n<\/div><\/div>\n<\/div>","protected":false},"excerpt":{"rendered":"<p>On December 10, 2025, the National Assembly of Vietnam approved the amended Personal Income Tax Law. This article provides a clear summary of key points of the new tax system that will take effect on July 1, 2026, specifical companies operating in Vietnam. Overview of Vietnam\u2019s Amended Personal Income Tax Law: Effective July 1, 2026 [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":1020,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"swell_btn_cv_data":"","_locale":"en_US","_original_post":"https:\/\/est.haro-inc.com\/?p=1017","_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[25],"tags":[],"class_list":["post-1036","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-tax-pit-en","en-US"],"aioseo_notices":[],"jetpack_featured_media_url":"https:\/\/est.haro-inc.com\/wp-content\/uploads\/2025\/12\/column4.jpg","jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/est.haro-inc.com\/wp-json\/wp\/v2\/posts\/1036","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/est.haro-inc.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/est.haro-inc.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/est.haro-inc.com\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/est.haro-inc.com\/wp-json\/wp\/v2\/comments?post=1036"}],"version-history":[{"count":4,"href":"https:\/\/est.haro-inc.com\/wp-json\/wp\/v2\/posts\/1036\/revisions"}],"predecessor-version":[{"id":1093,"href":"https:\/\/est.haro-inc.com\/wp-json\/wp\/v2\/posts\/1036\/revisions\/1093"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/est.haro-inc.com\/wp-json\/wp\/v2\/media\/1020"}],"wp:attachment":[{"href":"https:\/\/est.haro-inc.com\/wp-json\/wp\/v2\/media?parent=1036"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/est.haro-inc.com\/wp-json\/wp\/v2\/categories?post=1036"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/est.haro-inc.com\/wp-json\/wp\/v2\/tags?post=1036"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}