Who are dependants in Vietnam? How much are the levels of personal exemptions in 2024?
Who are dependants in Vietnam?
Pursuant to the provisions of Point d, Clause 1, Article 9 of Circular 111/2013/TT-BTC, Dependants include:
Children, legitimate adopted children, illegitimate children, stepchildren. To be specific:
- Children under 18 years of age.
- Children from 18 years of age and over that are disabled and incapable of work.
- Children studying in Vietnam or overseas in universities, college, vocational schools, including children from 18 years of age and over in high schools (including the period awaiting university enrolment result from June to September in 12th grade) that have no income or have the average monthly income of ≤ 1.000.000 VND in the year from all sources
(2) The taxpayer's spouse that meets the conditions
(3) The taxpayer’s parents, parents-in-law, stepparents, legitimate adoptive parents that meet the conditions.
(4) Other dependants that the taxpayer has to provide for, who meet the conditions, including:
- The taxpayer’s brothers and sisters.
- The taxpayer’s grandparents, aunts, uncles.
- The taxpayer’s nieces and nephews.
- Other people to provide for as prescribed by law.
*Note:
- The taxpayer's spouse
- The taxpayer’s parents, parents-in-law, stepparents, legitimate adoptive parents
- Other dependants that the taxpayer has to provide for, including:
- The taxpayer’s brothers and sisters.
- The taxpayer’s grandparents, aunts, uncles.
- The taxpayer’s nieces and nephews.
- Other people to provide for as prescribed by law.
The above cases must meet the following conditions:
- For people of working age, the following conditions must be met simultaneously:
+ The person is disabled and incapable of work.
+ The person has no income or his average monthly income from all sources does not exceed 1,000,000 VND.
+ The people outside working age shall have no income or their average monthly income from all sources shall not exceed 1,000,000 VND.
Who are dependants in Vietnam? How much are the levels of personal exemptions in 2024?
How much are the levels of personal exemptions in Vietnam in 2024?
Personal exemption is the amount of money deducted from the taxable income before calculating tax on incomes from business, or wages earned by the resident taxpayer. Personal exemptionincludes:
+ Personal exemption for the taxpayer
+ Exemption for dependants
Pursuant to the provisions of Article 1 of Resolution 954/2020/UBTVQH14, regulations on exemptions for dependants in 2024 are as follows:
Exemptions
The exemptions specified in Clause 1 Article 19 of the Law on Personal Income Tax No. 04/2007/QH12, amended by Law No. 26/2012/QH13, are changed as follows:
1. Personal exemption: 11 million VND/month (132 million VND/year);
2. Dependent exemption: 4,4 million VND/dependent/month.
The exemptions for dependants in 2024 are as follows:
- Personal exemption: 11 million VND/month (132 million VND/year);
- Dependent exemption: 4,4 million VND/dependent/month.
Thus, people with income from wages of over 11 million VND/month (132 million VND/year) after deducting compulsory insurance premiums according to regulations, charitable and humanitarian contributions, and tax-exempt amounts according to regulations must pay personal income tax.
At the same time, the exemption for each dependent is 4.4 million VND/month.
If a person has a dependent, his/her total taxable income must be over 15.4 million VND/month to pay personal income tax.
What are documents proving dependents for children in Vietnam?
Pursuant to the provisions at Point g, Clause 1, Article 9 of Circular 111/2013/TT-BTC amended by Article 1 of Circular 79/2022/TT-BTC, documents proving dependents for children include :
For children under 18 years of age:
- Photocopies of the Certificates of birth and ID cards or Citizen ID cards (if any).
For children from 18 years of age and over that are disabled and incapable of work:
- Photocopies of the Certificates of birth and ID cards or Citizen ID cards (if any).
- Photocopies of Certificates of disability according to regulations of law on the disabled.
- For children studying in Vietnam or overseas in universities, college, vocational schools, including children from 18 years of age and over in high schools (including the period awaiting university enrolment result from June to September in 12th grade) that have no income or have the average monthly income of ≤ 1.000.000 VND in the year from all sources:
+ Photocopies of the Certificates of Birth.
+ Photocopies of the student’s cards or declarations certified by the schools, or other papers proving the study at universities, colleges, high schools or vocational schools.
- For adopted children, illegitimate children, stepchildren: apart from the aforesaid papers, other papers proving the relationship are required, such as photocopies of the decisions on certification of adoption and decisions on recognition of parent or child acknowledgement made by competent authorities.
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