Tax policy on the labour’s welfare

On 03 October 2016, Ho Chi Minh Tax Department issued Official Letter No.9497/CT-TTHT. Accordingly, health insurance for the employees which is purchased by the enterprises and not compulsory and not accumulated value are not subject to be PIT taxable income. In case of purchasing health insurance for other members of the employee’s family, the pạyment is subject to PIT taxable income.

The expenses for health insurance, member card and excercise packages offered directly to the employee are eligible to be deducted ones for coporation tax income if the enterprises have legal invoices and the total payment of these welfares not over 01 average salary paid in year.