Shall đá bóng trực tiếp personal income tax rate increase with salary reform in Vietnam under Resolution 27?

When shall incomes of incomeearners be taxable in Vietnam?

Pursuant to Article 2 ofCircular 111/2013/TT-BTC, it is stipulated as follows:

Taxable Income

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2. Income from wages and salaries

Income from wages and salaries is đá bóng trực tiếp income an employee receives from an employer, including:

a) Wages, salaries, and allowances in đá bóng trực tiếp form of money or non-monetary forms.

b) Allowances, subsidies, except for đá bóng trực tiếp following allowances and subsidies:

b.1) Monthly preferential allowances and lump-sum allowances as prescribed by law regarding preferential treatment for those with meritorious services.

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Additionally, pursuant to Article 1 ofResolution 954/2020/UBTVQH14, it is stipulated as follows:

Personal excemption

Adjust đá bóng trực tiếp personal excemption specified in Clause 1 Article 19 of đá bóng trực tiếp Personal Income Tax Law No. 04/2007/QH12, amended and supplemented by Law No. 26/2012/QH13, as follows:

1. đá bóng trực tiếp deduction level for taxpayers is 11 million VND/month (132 million VND/year);

2. đá bóng trực tiếp deduction level for each dependent is 4.4 million VND/month.

According toDecree 73/2024/ND-CPandNghị định 74/2024/NĐ-CP, đá bóng trực tiếp statutory pay rate and đá bóng trực tiếp region-based minimum wage are increased for officials and public employees and employees. đá bóng trực tiếp increase in wages will raise đá bóng trực tiếp income, which may directly impact đá bóng trực tiếp personal income tax obligations of officials, public employees, and employees.

Thus, for individuals without dependents, they are required to pay personal income tax when their total income from wages and salaries exceeds 11 million VND/month.

Shall đá bóng trực tiếp personal income tax rate increase with salary reform in Vietnam under Resolution 27?(Image from đá bóng trực tiếp Internet)

Shall đá bóng trực tiếp personal income tax rate increase with salary reformin Vietnam under Resolution 27?

Pursuant to Subsection 3.1, Section 3, Chapter 2 ofResolution 27-NQ/TW of 2018, it is stipulated as follows:

Reform Content

3.1. For officials, public employees, and armed forces (public sector)

a) Design a new salary structure including: Basic salary (accounting for approximately 70% of đá bóng trực tiếp total salary fund) and allowances (accounting for approximately 30% of đá bóng trực tiếp total salary fund). Add bonuses (đá bóng trực tiếp bonus fund is approximately 10% of đá bóng trực tiếp total annual salary fund, excluding allowances).

b) Develop and issue a new salary table system according to job positions, titles, and leadership positions to replace đá bóng trực tiếp current salary table system; transfer đá bóng trực tiếp old salary to đá bóng trực tiếp new salary, ensuring it is not lower than đá bóng trực tiếp current salary, including:

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When implementing đá bóng trực tiếp salary reform underResolution 27-NQ/TW of 2018, đá bóng trực tiếp income of officials, public employees, and armed forces may change and affect their personal income tax obligations.

When income increases due to đá bóng trực tiếp salary reform, đá bóng trực tiếp amount of personal income tax payable will also increase.

When is đá bóng trực tiếp deadline for submission of personal income tax in Vietnam?

According to Article 28 ofDecree 65/2013/ND-CP, monthly income will be temporarily calculated and tax will be deducted based on income.

Pursuant to Clause 1, Article 55 of đá bóng trực tiếpTax Administration Law 2019it is stipulated as follows:

Tax Payment Deadlines

1. In cases where đá bóng trực tiếp taxpayer calculates đá bóng trực tiếp tax, đá bóng trực tiếp tax payment deadline is đá bóng trực tiếp last day of đá bóng trực tiếp tax declaration submission deadline. In cases of supplementary tax declarations, đá bóng trực tiếp tax payment deadline is đá bóng trực tiếp tax declaration submission deadline of đá bóng trực tiếp tax period with errors or omissions.

For corporate income tax, đá bóng trực tiếp quarterly provisional tax payment deadline is đá bóng trực tiếp 30th day of đá bóng trực tiếp first month of đá bóng trực tiếp following quarter.

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Additionally, according to Clause 2, Article 44 of đá bóng trực tiếpTax Administration Law 2019which regulates đá bóng trực tiếp deadline for finalizing personal income tax declarations as follows:

Tax Declaration Submission Deadlines

1. đá bóng trực tiếp tax declaration submission deadlines for taxes declared monthly or quarterly are as follows:

a) No later than đá bóng trực tiếp 20th day of đá bóng trực tiếp subsequent month from đá bóng trực tiếp month in which đá bóng trực tiếp tax obligation arises, for monthly declarations and payments;

b) No later than đá bóng trực tiếp last day of đá bóng trực tiếp first month of đá bóng trực tiếp following quarter from đá bóng trực tiếp quarter in which đá bóng trực tiếp tax obligation arises, for quarterly declarations and payments.

2. đá bóng trực tiếp tax declaration submission deadlines for taxes calculated annually are as follows:

a) No later than đá bóng trực tiếp last day of đá bóng trực tiếp third month from đá bóng trực tiếp end of đá bóng trực tiếp calendar year or fiscal year for annual tax finalization dossiers; no later than đá bóng trực tiếp last day of đá bóng trực tiếp first month of đá bóng trực tiếp calendar year or fiscal year for annual tax declarations;

b) No later than đá bóng trực tiếp last day of đá bóng trực tiếp fourth month from đá bóng trực tiếp end of đá bóng trực tiếp calendar year for đá bóng trực tiếp personal income tax finalization dossiers of individuals directly finalizing tax;

c) No later than December 15 of đá bóng trực tiếp preceding year for đá bóng trực tiếp tax declaration dossiers of business households, individual business households filing under đá bóng trực tiếp presumptive tax method; in đá bóng trực tiếp case of newly established business households and individuals, it is no later than 10 days from đá bóng trực tiếp start of business operations.

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Therefore, đá bóng trực tiếp personal income tax payment deadlines are determined as follows:

(1) Tax payment deadlines for monthly or quarterly declarations are as follows:

- No later than đá bóng trực tiếp 20th day of đá bóng trực tiếp subsequent month from đá bóng trực tiếp month in which đá bóng trực tiếp tax obligation arises, for monthly declarations and payments;

- No later than đá bóng trực tiếp last day of đá bóng trực tiếp first month of đá bóng trực tiếp following quarter from đá bóng trực tiếp quarter in which đá bóng trực tiếp tax obligation arises, for quarterly declarations and payments.

(2) Tax payment deadlines for taxes calculated annually

- No later than đá bóng trực tiếp last day of đá bóng trực tiếp third month from đá bóng trực tiếp end of đá bóng trực tiếp calendar year or fiscal year for đá bóng trực tiếp annual tax finalization dossiers done by enterprises on behalf of employees.

- No later than đá bóng trực tiếp last day of đá bóng trực tiếp fourth month from đá bóng trực tiếp end of đá bóng trực tiếp calendar year for đá bóng trực tiếp personal income tax finalization dossiers of individuals directly finalizing tax.