What is the template for the 2025 Tet holiday notification and 13th-month salary calculation in Vietnam? Is the salary for work during the 2025 Tet holiday subject to personal income tax in Vietnam?

What is the template for the 2025 Tet holiday notification and 13th-month salary calculation in Vietnam?

Currently, there is no specific regulation guiding the template for the 2025 Tet holiday notification and 13th-month salary calculation, and typically, this template is self-prepared by the notifying entity. Your company or business can refer to the sample notification below:

Download sample the 2025 Tet holiday notification and 13th-month salary calculation here

What is the template for the 2025 Tet holiday notification and 13th-month salary calculation in Vietnam? Is the salary for work during the 2025 Tet holiday subject to personal income tax in Vietnam? (Image from the Internet)

Is the salary for work during the 2025 Tet holiday subject to personal income tax in Vietnam?

Based on Article 98 Labor Code 2019 which prescribes overtime wages as follows:

Overtime Pay, Night Work

1. Employees working overtime are paid according to the unit price or the actual salary based on the current work as follows:

a) On weekdays, at least 150%;

b) On weekly days off, at least 200%;

c) On holidays, Tet, paid leave days, at least 300% not including the holiday, Tet, paid leave day's salary for daily wage earners.

2. Employees working at night are paid extra at least 30% of the salary calculated based on the unit price or actual salary of a normal working day.

3. Employees working overtime at night, in addition to the wages prescribed in clauses 1 and 2 of this Article, are paid extra at least 20% of the salary calculated based on the unit price or actual day work salary of a normal working day or weekly rest day or holiday, Tet.

4. The Government of Vietnam specifies the details of this Article.

Thus, when employees work during the 2025 Tet holiday, they receive at least three times the salary for a normal working day, excluding the Tet holiday salary for daily wage earners.

If working at night, employees are paid an additional amount, at least 20% of the salary calculated based on the unit price or actual salary of a normal working day.

According to point i clause 1 Article 3 Circular 111/2013/TT-BTC which stipulates types of income exempted from tax as follows:

Types of Income Exempted from Tax

1. Pursuant to Article 4 of the Personal Income Tax Law, Article 4 of Decree No. 65/2013/ND-CP, types of income exempted from tax include:

Types of Income Exempted from Tax

...

i) Income from overtime, night work paid higher than normal daytime wages according to the Labor Code. Specifically:

i.1) The portion of wages, salary paid higher due to night work, overtime is exempted based on the actual salary for night work, overtime minus (-) the normal daily wage, salary.

- In the case of overtime on weekdays, if an individual is paid 60,000 VND/hour, the taxable income exempted is:

60,000 VND/hour – 40,000 VND/hour = 20,000 VND/hour

- In the case of overtime on days off or holidays, if an individual is paid 80,000 VND/hour, the taxable income exempted is:

80,000 VND/hour – 40,000 VND/hour = 40,000 VND/hour

i.2) Organizations, individuals paying income must list out the time of night work, overtime, and the additional wage paid for such work to the employees. This listing is kept at the income-paying unit and presented upon the tax authority's request.

...

Therefore, employees working during the 2025 Tet holiday are exempted from tax on the higher portion of their salary paid for night work and overtime. The daily wage portion remains subject to Personal Income Tax (PIT).

What types of income are exempt from personal income tax in Vietnam?

According to Article 4 Personal Income Tax Law 2007 (supplemented by clause 3 Article 2 Law on Amendments to Tax Laws 2014 and clause 2 Article 1 Amended Personal Income Tax Law 2012) stipulating types of personal income exempted from personal income tax as follows:

- Income from real estate transfers between spouses, biological parents and children, adoptive parents and adopted children, parents-in-law and daughters-in-law, parents-in-law and sons-in-law, paternal/grandparents and grandchildren, siblings.

- Income from the transfer of residential houses, homestead land use rights and properties attached to homestead land of individuals in the case where they only have one house, homestead land.

- Income from land use right value granted by the State to individuals.

- Income from inheritance, gifts being real estate between spouses, biological parents and children, adoptive parents and adopted children, parents-in-law and daughters-in-law, parents-in-law and sons-in-law, paternal/grandparents and grandchildren, siblings.

- Income of households and individuals directly engaged in agriculture, forestry, salt production, aquaculture, catching aquatic products not yet processed into other products or only through simple processing.

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

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

- Income from remittances.

- The portion of salary for night work, overtime paid higher than the normal daytime wage, working during prescribed hours.

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

- Income from scholarships, including:

+ Scholarships received from the state budget;

+ Scholarships received from domestic and foreign organizations under the scholarship support program of that organization.

- Income from compensation for life and non-life insurance contracts, compensation for occupational accidents, State compensation and other compensations as prescribed by the law.

- Income received from a charity fund permitted to be established or recognized by the State authority, operating for non-profit charitable, humanitarian purposes.

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

- Income from salary and wages of Vietnamese seamen working for foreign shipping companies or Vietnamese companies conducting international shipping.

- Income of individuals being ship owners, individuals having the right to use ships, and individuals working on ships from supplying goods and services directly serving offshore catching and fishing activities.