On July 8th, 2019, Hanoi Tax Department issued Official Letter No.53587/CT-TTHT. Whereby:
The payment of travel and accommodation expenses paid for foreign individuals (non-resident individuals) to provide technical support to the company’s customers in Vietnam (their salary, wage or allowances during working in Vietnam are not granted) shall be included in the income subjected to Personal Income Tax of foreign individuals in Vietnam as prescribed.
Personal income tax in this case is determined by the income that the individual receives multiplying with the tax rate of 20% as stipulated in Circular 111/2013 / TT-BTC.
The rent, electricity and other services (if any) for the house shall be paid by the employer using the taxable income according to the actual amount paid but not exceeding 15% of the total taxable income incurred (excluding rent) regardless of where the income is paid.
