INDIVIDUAL TAXATION

Residents pay tax on their worldwide income. Married couples are assessed separately and there is no provision for joint taxation.

INCOME TAX

Income earned by residents is taxed at progressive rates, from 5% to 35%.

Residents are entitled to the following annual allowances:

• Single personal allowance - VND48,000,000 (US$2,864)
• Additional allowance for each dependent – VND19,000,000 (US$1,134)

CAPITAL GAINS TAX

Capital gains tax is levied at a flat rate of 25%. Taxable capital gains are computed by deducting the acquisition costs and incidental expenses from the gross sales proceeds.

If the acquisition costs cannot be determined or are not evidenced by supporting documents, the taxable gains will be the gross sales proceeds and will be taxed at a special rate of 2%.

PROPERTY TAX

There are no property taxes in Vietnam.