Vietnamese PIT Rates and Residency
Vietnamese Personal Income Tax (PIT — Thuế Thu nhập cá nhân) rates for residents (2026): 5% (up to VND 60,000,000), 10% (VND 60–120M), 15% (VND 120–216M), 20% (VND 216–384M), 25% (VND 384–624M), 30% (VND 624–960M), 35% (above VND 960,000,000 — approximately USD 38,000). Note: these monthly brackets — annual equivalent at 35%: VND 11.52B/year. The brackets are denominated monthly in Vietnamese tax law; multiply by 12 for annual. Non-resident PIT: flat 20% on Vietnamese-source income (employment income, business income, investment income). Tax residency: Vietnamese tax residency applies if you: (1) reside in Vietnam for 183+ days in a calendar year or within a 12-month period from the first date of arrival; or (2) have a permanent registered residence (thường trú) in Vietnam even if present fewer than 183 days. Loss of Vietnamese residency: ceasing Vietnamese residency registration and departing ends Vietnamese tax residency. Final PIT filing year: the full calendar year of departure, filed by March 31 of the following year (or 45 days after departure for those leaving mid-year under certain conditions). Tax code: maintain your Vietnamese PIT tax code (mã số thuế) if you retain Vietnamese income-generating assets.
BHXH Social Insurance: One-Time Withdrawal for Departing Foreigners
BHXH (Bảo hiểm xã hội — Social Insurance) is Vietnam's mandatory social insurance system. Employee contributions: 8% of gross salary (pension and survivor's fund — hưu trí và tử tuất); employer: 17.5% total BHXH. BHYT (Health Insurance — Bảo hiểm y tế): employee 1.5%, employer 3%. BHTN (Unemployment insurance — Bảo hiểm thất nghiệp): employee 1%, employer 1%. BHXH one-time lump sum withdrawal (hưởng BHXH một lần): available for Vietnamese citizens and foreign workers who: (1) Are permanently leaving Vietnam; or (2) Have reached pension age but have fewer than 20 years contributions; or (3) Other qualifying conditions. For foreign nationals permanently departing Vietnam: Law 58/2014 on Social Insurance (amended 2018 and 2023) provides that foreign workers enrolled in Vietnamese BHXH can claim a one-time withdrawal upon permanent departure. Amount: the withdrawal covers the employee's own contribution share (8% × salary × contribution months). The employer's contribution portion is not returned (it funds the pension pool). Tax on BHXH withdrawal: subject to 10% PIT withholding at source. Application: submit to the Vietnam Social Security (VSS) branch (Bảo hiểm xã hội) in the province/city where you last worked. Required documents: passport; work permit (giấy phép lao động); BHXH participation book (sổ BHXH); Vietnamese bank account for payment; resignation letter or employment termination document. Processing: 10–15 working days.
Vietnamese Real Estate: Non-Resident Property and 2% Withholding
Foreign real estate ownership in Vietnam: foreigners can own apartments and houses in Vietnam for a 50-year renewable term (Law on Housing 2014, amended 2023). Land use rights cannot be directly owned by foreigners — they hold a use right for the defined term. On departure: you retain Vietnamese real estate ownership as a non-resident. The 50-year ownership term continues irrespective of your residency status. Renewal: the term can be renewed once at expiry. Capital gains / transfer tax on Vietnamese real estate: Vietnam does not apply a traditional CGT regime to real estate. Instead: a 2% withholding (thuế thu nhập cá nhân từ chuyển nhượng bất động sản) applies on the full transaction value (selling price). This 2% is a final tax — not calculated on the gain. The buyer or the land registration authority collects the 2% at the time of transfer. Example: sell an apartment for VND 5B → 2% = VND 100M tax withheld at transfer, regardless of whether you made a gain or loss. Rental income as non-resident: 5% PIT + 1% VAT on gross rental income (for residential property leased by individuals) — withheld if the tenant is a Vietnamese company; otherwise self-declared by the landlord. BHYT health insurance as a landlord: ongoing BHYT contributions are not required for non-resident property owners — only for those with Vietnamese residency registration and employment in Vietnam.
VND Transfers and Vietnamese Foreign Exchange Regulations
Vietnamese dong (VND) and foreign exchange (FX) regulations: Vietnam maintains a managed exchange rate and periodic FX controls. Foreign individuals working in Vietnam can freely remit foreign currency salaries and legally obtained VND to foreign accounts. Conditions for legal VND remittance abroad: (1) The VND must have been legally earned or converted from legally earned foreign currency income in Vietnam. (2) The remitting bank (Vietcombank, VietinBank, BIDV, Techcombank, etc.) requires documentation: employment contract, PIT withholding certificate, source of funds statement. (3) Large transfers (above $50,000 equivalent): additional documentation may be required. Property sale proceeds: if you sell Vietnamese real estate as a non-resident and receive VND proceeds: Vietnamese banks can convert VND to foreign currency and remit abroad with proper documentation (sale contract, tax clearance, proof of title). Processing at Vietnamese banks for large property transfers can take 5–10 working days. Wise from Vietnam: Wise supports VND to foreign currency at competitive rates — useful for smaller transfers. For property-scale transfers (tens of thousands of USD equivalent): coordinate with your Vietnamese bank's international transfer desk. Cash limits: individuals entering/leaving Vietnam with more than USD 5,000 equivalent cash must declare at customs.
Final PIT Filing and Tax Code Procedures
Vietnamese tax year: calendar year. Final PIT return: for the year of departure, file the annual PIT finalisation (quyết toán thuế TNCN) — Form 02/QTT-TNCN. For employees whose employer withholds PIT: the employer handles the PIT finalisation (quyết toán) annually. If you depart mid-year: you can either (1) leave the finalisation to the employer in January of the following year; or (2) file your own PIT finalisation at the local Tax Department (Chi cục Thuế) before departing — required if you need an early refund. Refund: if PIT was overwitheld: the refund is credited to your Vietnamese bank account or offset against other tax liabilities. Refund processing: 15–45 days. Tax code (mã số thuế): your Vietnamese tax code can be deactivated by notifying the tax authority (Cục Thuế) of your departure. Required: Form 24/ĐK-TCT (change or deletion of tax registration). Deregistration is not mandatory if you retain Vietnamese income — keep the tax code active if you have ongoing rental income, dividends, or business interests. BHYT deregistration: cancel your BHYT participation with VSS (Vietnam Social Security) upon departure — prevents further premium charges. Work permit: your employer must cancel the work permit with the Department of Labour, Invalids and Social Affairs (DOLISA) within 5 working days of employment termination. Overstay risks: Vietnam charges fines for overstaying visas — ensure your visa status is resolved before departure.