Vietnam’s National Assembly approved a new Personal Income Tax Law, reducing tax brackets to five, raising deductions, and expanding taxable income categories, effective 1 July 2026.
Vietnam’s National Assembly approved an amended Personal Income Tax Law on 10 December 2025, introducing changes to the country’s tax structure.
The legislation reduces the number of tax brackets from seven to five.
The new monthly taxable income rates are as follows:
| Monthly Taxable Income (VND) | Tax Rate (%) |
| Up to 10 million | 5 |
| Over 10 million – 30 million | 10 |
| Over 30 million – 60 million | 20 |
| Over 60 million – 100 million | 30 |
| Over 100 million | 35 |
The top marginal rate will now apply to income above VND 100 million (approximately 3,975 USD), up from the previous threshold of VND 80 million.
The law also raises the basic monthly deduction from VND 11 million to VND 15.5 million, while the dependent deduction increases from VND 4.4 million to VND 6.2 million per dependent. Taxable income categories are expanded to include income from cryptocurrency and digital assets, e-commerce and gig platforms, and intellectual property transfers.
New incentives are introduced for high-tech workers in AI, blockchain, and data science, startup entrepreneurs, and workers in underdeveloped regions. Certain proposed measures, such as a 20% capital gains tax on real estate and securities, were not included in the final law; the existing rates, including 2% on real estate and equity transfers and 0.1% on listed securities transfers, largely remain, with a new 0.1% rate applied to gold bullion transfers.
The law will take effect on 1 July 2026, with some measures, including new tax brackets, expected to begin on 1 January 2026.
