According to Official Dispatch 11171/CT-TTHT of the Ho Chi Minh City Tax Department (October 3, 2019), regulations on personal income tax finalization for foreigners coming to Vietnam at the end of the year are as follows:

– Taxpayers: If an individual first arrives in Vietnam from August 1, 2018 and stays less than 183 days in that year, the first tax settlement period will be 12 consecutive months from the date of arrival in Vietnam (ie from August 1, 2018). August 2018 to July 31, 2019). Individuals make their own final settlement according to form 02/QTT-TNCN and submit documents within 90 days after the end of the tax period.
– Business:

• 2018: Declare paid income on form 05/QTT-TNCN without checking the authorization box.
• 2019: Continue to declare income on form 05/QTT-TNCN for 2019 payments, also do not check the authorization box.

Mastering personal income tax regulations for foreigners (expats) is necessary, especially in FDI enterprises or consulting companies. Salaries for tax calculation and tax settlement experts for expats can range from 1,000 USD at the Consultant level to more than 2,000 USD at the Manager level.

Click here to see details of Official Dispatch 11171/CT-TTHT