Determining exchange rate applied to calculate Foreign Contractor Tax
On June 28th 2018, General Department of Tax issued the Official dispatch No 2586/TCT-CS. Accordingly, in case Foreign Contractor has no bank account opened at any Vietnam Commercial Bank but incurs turnover by foreign currency. If this income is paid through Vietnam side’s account, which is opened at a Commercial Bank located in Vietnam, it shall be required to convert into Vietnam Dong by selling price to determine taxable value according to law.
