Vietnam

Vietnam uses a progressive personal income tax (PIT) system with seven brackets, ranging from 5% on monthly taxable income up to VND 5,000,000 to 35% on income above VND 80,000,000. A personal deduction of VND 11,000,000 per month and VND 4,400,000 per dependent applies. Social insurance contributions for employees include social insurance (8%), health insurance (1.5%), and unemployment insurance (1%), totaling 10.5% of salary. Employer contributions total 21.5% (17.5% social, 3% health, 1% unemployment). Contributions are capped at 20 times the base salary. Tax deductions are limited: social insurance contributions, charitable donations, and dependent deductions. Foreign workers are subject to the same PIT rates. Non-residents are taxed at a flat 20% on Vietnam-sourced employment income. Capital gains on securities are taxed at 0.1% of transaction value. VAT is 10% (reduced to 8% temporarily). The corporate tax rate is 20%. Tax incentives are available in encouraged sectors and special economic zones.