On March 25th, 2020, Hanoi Tax Department issued Official Letter No.14151/CT-TTHT. Whereby:
In case the company signed the vocational training contract and:
At the end of the training period, if the company signs a labor contract of more than 3 months with the employee, the company shall be responsible for deducting personal income tax in accordance with the progressive tax table before making payment for the employee, including the training period.
On the other hand, if the company does not sign labor contract with the employee at the end of the training term, the company must deduct personal income tax at the rate of 10% from the employee’s income which is from 2,000,000 VND in the training period .
