What is Personal Income Tax (PIT)?

Personal Income Tax (PIT) is a direct tax imposed on individuals based on their taxable income. This tax applies to both Vietnamese citizens and foreign workers employed in Vietnam. As Vietnam continues to engage in international cooperation and attract foreign talent, understanding PIT regulations is crucial for compliance.

Who Needs to Pay PIT in Vietnam?

  • Residents: Individuals who reside in Vietnam and earn income from any source, both within and outside the country, are subject to PIT.
  • Non-residents: Individuals who do not reside in Vietnam but earn income from Vietnamese sources are also subject to PIT.

For foreign workers in Vietnam, the PIT obligation depends on where the income is generated:

  • Income Paid by Vietnamese Entities: Foreign workers must declare and pay PIT in Vietnam.
  • Income Paid from Abroad: Foreign workers whose income is paid by entities outside Vietnam may still have PIT obligations in Vietnam, depending on specific legal provisions and agreements.

To navigate these complexities and ensure compliance, KMC offers comprehensive support for foreign workers and companies handling PIT matters.

KMC’s PIT Support Services Include:

  • Consultation and Assistance with Initial Tax Registration: If a foreign worker does not yet have a personal tax identification number, KMC will guide them through the registration process, including preparing and submitting the required documents to the Vietnamese tax authorities.
  • Advice on Required Documents for Quarterly Tax Reporting: KMC provides detailed guidance on the necessary documentation and information required for preparing accurate quarterly PIT reports. This ensures that companies are well-prepared to meet reporting requirements.
  • Review and Verification of Documents: KMC reviews and verifies the documents provided by your company for accuracy and completeness, helping to ensure compliance with tax regulations and avoiding errors in the tax reports.
  • Preparation of Quarterly Tax Reports: Based on verified information, KMC prepares quarterly PIT reports. These reports are sent to your company for review and approval before submission to the tax authorities.
  • Guidance on Tax Filing and Payment: We offer instructions for properly filing tax reports and making necessary tax payments, ensuring compliance with all relevant tax regulations.
  • Guidance on Online Tax Declaration (Including Token and Account Setup) We guide you through the process of declaring taxes online, including setting up necessary tokens and accounts for secure and efficient transactions.

Why Choose KMC?

KMC provides expert assistance to ensure that your PIT obligations are managed accurately and efficiently. Our services are designed to help businesses and foreign workers comply with Vietnamese tax laws, optimize tax reporting, and avoid potential legal issues.

For reliable support with PIT reporting and compliance, contact KMC today. Let us help you navigate the complexities of PIT obligations and ensure that your tax matters are handled professionally.

Other Services

Accounting Advisory

KMC provide professional initial accounting and tax registration services, you shall not bother about issues related to tax and accounting after post license. Our team with high expertise and many years experiences will support and accompany you.

Tax Advisory

Our tax services rely on our local knowledge to ensure tax compliance, tax administration and dealing with tax authorities. We assist you by taking into account the latest regulations thus ensuring full tax compliance and optimization.

Business Advisory

KMC believes in an approach to our client, as we familiarize ourselves with all aspects of your business and the environment in which you operate, it enables us to propose you the most appropriate plan at a competitive service fee.

Mergers and Acquisitions (M&A) Advisory

Our global network in combination with our deep industry knowledge means that we can help companies identify other businesses that offer a good strategic fit and assist them with acquisitions, mergers and alliances that allow them to maintain and build their competitive advantage.

Transfer Pricing Advisory

Transfer pricing refers to the rules and methods for pricing transactions between related entities, typically within multinational companies. Currently, regulations on compliance of transfer pricing are very complexly and strictly.

Annual Consulting Services

KMC has the expertise with experienced resources, including lawyers, auditors, accountants who have many years of experiences working in the investment, accounting, taxation and labour consulting fields.

Other Services

Besides Accounting, Taxation, Business Services, etc. KMC also has efforts to provide other services to Clients related to business activities of the enterprises in Vietnam.