At the policy dialogue conference between the Ministry of Finance and taxpayers on tax and customs policies and administrative procedures in 2025, the Tax Department stated that:

by KMC Consulting Company Limited

Under the amended Personal Income Tax Law 2025, the five-tier tax rate structure, which takes effect from 1 July 2026, will be applied from 1 January 2026. Pursuant to Personal Income Tax Law No. 109/2025/QH15, the progressive tax schedule on a partial basis applicable from 2026 is as follows:

Reference formula for tax calculation:

PIT =ROUND(IF(TNTT<10000000,TNTT*0.05,IF(TNTT<30000000,500000+(TNTT-10000000)*0.1,IF(TNTT<60000000,2500000+(TNTT-30000000)*0.2,IF(TNTT<100000000,8500000+(TNTT-60000000)*0.3,20500000+(TNTT-100000000)*0.35)))),0)

In case of converting taxable income from net to gross:

Gross= ROUND(IF(NET<=9500000,NET/0.95,IF(NET<=27500000,(NET-500000)/0.9,IF(NET<=51500000,(NET-3500000)/0.8,IF(NET<=79500000,(NET-9500000)/0.7,(NET-14500000)/0.65)))),0)

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