POB (Payment on behalf) of the medical isolation costs by the company due to the Covid-19 for foreign workers must be included in taxable PIT income.

On March 25^th, 2021, Bac Ninh Tax Department issued Official Letter No. 452/CTBNI-TTHT, whereby:

According to Resolution No. 16/NQ-CP dated February 8^th, 2021 of the Government, foreigners who are in Vietnam or enter from abroad from February 8^th, 2021 are subject to the application of requested centralized quarantine according to the requirements of epidemic prevention and control, the costs shall be self-paid, including:

Transportation expenditures from the entry location in Vietnam to the quarantine facility;

SARS-CoV-2 testing costs at the current health service rates;

The costs of accommodation and living (including the cost of sterilization, security, and others) are according to the price set by the announcement of hotel, resort, transportation units.

Therefore, if the above expenses are paid by the Company on behalf of the foreign workers, these payments must be included in the taxable income of PIT from their salaries and wages.