How Vietnam decides your tax: two doors, no remittance lever
Door 1: time in Vietnam
Enough time in Vietnam, counted in the calendar year or in any rolling 12 months from arrival, makes you a tax resident. The rolling window is the trap — splitting a stay across two calendar years doesn't reset the clock.
Door 2: a permanent base
A home rented under a fixed-term lease, or a registered permanent residence, makes you resident even with fewer than 183 days (art. 2(2)(b)), so signing an apartment lease has tax consequences.
Once resident, Vietnam taxes your worldwide income — unlike Thailand's remittance basis, it does not matter where the money is paid or whether it ever touches a Vietnamese bank. "I get paid offshore so it's not taxable here" is a costly misconception in Vietnam.
Vietnam's new 5-bracket rates (2026)
| Taxable income (VND/month) | Rate |
|---|---|
| Up to 10M | 5% |
| 10M – 30M | 10% |
| 30M – 60M | 20% |
| 60M – 100M | 30% |
| Over 100M | 35% |
These are the bands of the Biểu thuế luỹ tiến từng phần published with PIT Law 109/2025/QH15, applying from the 2026 tax year. They apply to income after the family deductions of ₫15.5M a month for the taxpayer and ₫6.2M per dependant (Resolution 110/2025/UBTVQH15). Non-residents instead pay a flat 20% on Vietnam-sourced income with no deductions.
Separately for the self-employed, the annual revenue below which a household or individual business owes no VAT or PIT is ₫1 billion/year from 1 January 2026 under Decree 141/2026/NĐ-CP of 29 April 2026, which replaced the ₫500M figure — a distinct regime from the employment brackets modelled above.
Living cost reality check
The tax math is only half the picture — purchasing power is the other half. Typical comfortable monthly budgets (single person, 2026 ballpark):
- Da Nang: $900–1,400 — beachside apartment, eating out daily, coworking
- Ho Chi Minh City: $1,300–2,200 — central serviced apartment, gym, mixed lifestyle
- Hanoi: $1,100–1,800 — between the two; cooler winters, lower rent than HCMC
Vietnam undercuts even Thailand on living costs — and the new 2026 deductions mean a single nomad pays nothing until roughly $7,200/year of income, and an effective rate of only ~10% at $60k. The tax is real, but it's modest; what bites is not knowing you owed it.
Frequently asked questions
Q. My employer and clients are all abroad and I'm paid offshore. Still taxed?
A. If you're a resident — yes, in full. Vietnam taxes residents on worldwide income regardless of where it's paid or kept. This is the opposite of Thailand's remittance basis and the point to check first here.
Q. I stayed 100 days but signed a one-year lease. Resident?
A. Under art. 2(2)(b), a home rented under a fixed-term lease is a regular residence that makes you resident regardless of days. The Government details the rule by decree (art. 2(4)), so confirm how it treats your lease with the tax authority.
Q. I already pay tax in my home country. Double taxed?
A. Vietnam has ~80 DTAs that generally credit foreign tax paid against Vietnamese liability. Note for Americans: there is no comprehensive US–Vietnam income tax treaty, so US citizens rely on the FEIE and foreign tax credits on the US side.
Q. When and how do I file?
A. The tax year is the calendar year; annual finalization is due around 31 March–early May of the following year depending on filing channel. You register with the tax authority (GDT) for a tax code first. Quarterly provisional filings can apply to self-declared income.
Q. What changed in 2026?
A. Law 109/2025/QH15 publishes five monthly bands, with the top 35% rate starting above ₫100M/month. The family deductions were also raised, to ₫15.5M a month for the taxpayer and ₫6.2M per dependant, by Resolution 110/2025/UBTVQH15 from 1 January 2026. Separately, the tax-free revenue threshold for household and individual businesses is ₫1 billion per year from 1 January 2026, set by Decree 141/2026/NĐ-CP of 29 April 2026 in place of the ₫500M figure. The salary and business-income provisions apply from 1 January 2026, with the law in full force from 1 July 2026, and the implementing Circular is still pending — so the detailed method may change.
Vietnam tax checklist (save your progress)
Tick each item as you prepare it. Progress is saved in this browser — nothing is uploaded. This is a preparation aid, not tax advice.
Sources and official references: Ministry of Finance of Vietnam; Government news portal (xaydungchinhsach.chinhphu.vn) — the progressive personal income tax table, which prints the bracket rates used here; PIT Law 109/2025/QH15 (vbpl.vn), arts. 2(2) residency and 10(1) family deductions; Nghệ An provincial government portal — Resolution 110/2025/UBTVQH15 on family deductions (₫15.5M per month for the taxpayer, ₫6.2M per dependant, from the 2026 tax period); PIT Law No. 109/2025/QH15 (passed 10 December 2025) and Resolution 110/2025/UBTVQH15 on deductions. The law takes full effect on 1 July 2026, but the salary and business-income provisions — the simplified 5-bracket progressive schedule (top rate 35% above VND 100 million/month) and the higher personal deductions (VND 15.5 million/month for the taxpayer, VND 6.2 million/month per dependent) — apply from the 2026 tax year (1 January 2026). The VAT/PIT exemption threshold for household and individual businesses is VND 1 billion of annual revenue from 1 January 2026: Government news portal (baochinhphu.vn) — Decree 141/2026/NĐ-CP of 29 April 2026, which replaced the VND 500 million figure in Decree 68/2026/NĐ-CP. Because the implementing Circular has not yet been issued, the detailed calculation method may still change. This calculator provides a simplified estimate only and is not tax advice — actual liability depends on income classification, insurance deductions, DTA relief and documentation. Consult a Vietnamese tax professional before relying on any figure.