LLC Vietnam Royal Audit Consulting Introducing to readers the Official Dispatch of Binh Duong Tax Department providing guidance on personal income tax policy on visa card costs for workers.

Situation description: Are the costs of making visa cards and work permits for foreign workers paid by the employer included in the employee’s taxable income?

According to Official Dispatch No. 10785/CTBDU-TTHT Regarding personal income tax for Visa card fees of Binh Duong Tax Department, April 19, 2024 as follows:

+ In cases where the costs of making visa cards and work permits for foreign workers are paid by the employer so that the foreign worker is eligible to work at Vietnamese organizations is the responsibility of the employer then these costs not included in personal income taxable income from salaries and wages of foreign workers.

+ In case the costs of making visa cards and work permits for foreign workers are borne by the employer payments on behalf of employees and benefits enjoyed by employees then these accounts included in income subject to personal income tax from salaries and wages of foreign workers.

So: The tax authority has issued general principles on the costs of making visa cards and work permits for foreign workers for businesses to apply in practice.

Wish you success.

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