What is the personal income tax declaration form for income payers in Vietnam for October 2024?

What is the personal income tax declaration form for income payers in Vietnam for October 2024?

According to Appendix 2 issued together with Circular 80/2021/TT-BTC, the specific provisions are as follows:

- The personal income tax declaration form for income from salaries and remunerations is form 05/KK-TNCN issued together with Circular 80/2021/TT-BTC.

- This declaration form is for organizations and individuals who incur payments of income from salaries and remunerations to individuals in the month or quarter, irrespective of whether there is tax withholding or not.

- The monthly tax declaration period applies to organizations and individuals with a total revenue from sales of goods and services in the preceding year exceeding 50 billion VND, or in the case where the organization or individual chooses to declare tax monthly.

- The quarterly tax declaration period applies to organizations and individuals with a total revenue from sales of goods and services in the preceding year of 50 billion VND or less, including those organizations and individuals not incurring revenue in this field.

Form 05/KK-TNCN....Download

How to determine the personal income tax period in Vietnam?

According to Article 7 of the Personal Income Tax Law 2007 amended by Clause 3 Article 1 of the Personal Income Tax Amendment Law 2012, the tax period is prescribed as follows:

- The tax period for resident individuals is prescribed as follows:

+ Annual tax period applies to income from business; income from salaries and remunerations;

+ Tax period per each occurrence of income applies to income from capital investment; income from capital transfer, except for income from securities transfer; income from real estate transfer; income from prizes; income from copyright; income from franchise; income from inheritance; income from gifts;

+ Tax period per each transfer or annually for income from securities transfer.

- The tax period for non-resident individuals is calculated per each occurrence of income and applies to all taxable income.

What is the personal income tax declaration form for income payers in Vietnam for October 2024? (Image from the Internet)

What income is exempt from personal income tax in Vietnam?

According to Article 4 of the Personal Income Tax Law 2007, supplemented by Clause 3 Article 2 of the Amendment Law on Tax Laws 2014 and amended by Clause 2 Article 1 of the Personal Income Tax Amendment Law 2012, income exempt from personal income tax is defined as follows:

- Income from real estate transfer between husband and wife; biological parents and children; adoptive parents and adopted children; father-in-law, mother-in-law and daughter-in-law; father-in-law, mother-in-law and son-in-law; grandparents and grandchildren; siblings.

- Income from the transfer of residential houses, land use rights, and assets attached to home land of an individual in the case of that individual having only one residential house, home land.

- Income from the value of land use rights of an individual allocated land by the State.

- Income from inheritance, gifts of real estate between husband and wife; biological parents and children; adoptive parents and adopted children; father-in-law, mother-in-law and daughter-in-law; father-in-law, mother-in-law and son-in-law; grandparents and grandchildren; siblings.

- Income of households and individuals directly involved in agricultural, forestry, salt production, aquaculture, and fishing activities not yet processed into other products or only through simple processing.

- Income from the conversion of agricultural land of households and individuals allocated for production by the State.

- Income from interest on deposits at credit institutions, interest from life insurance contracts.

- Income from remittances.

- Part of the salary for night work, overtime paid higher than that for day work, regular working hours as prescribed by law.

- Retirement salary paid by the Social Insurance Fund; retirement salary paid by voluntary pension funds monthly.

- Income from scholarships, including:

+ Scholarships received from the state budget;

+ Scholarships received from domestic and foreign organizations under the program to support education incentives by that organization.

- Income from compensation of life insurance contracts, non-life insurance, compensation for occupational accidents, compensation from the state, and other compensation amounts under the law.

- Income received from charitable funds established or recognized by competent state authorities, operating for charitable, humanitarian purposes, not for profit.

- Income received from foreign aid for charitable, humanitarian purposes in the form of governmental and non-governmental approved by the competent state authorities.

- Income from salaries and remunerations of Vietnamese crew members working for foreign shipping companies or Vietnamese shipping companies engaged in international transportation.

- Income of individuals who are ship owners, individuals with the right to use the ship and individuals working on the ship from activities providing goods, services directly serving offshore fishing activities.