Pursuant to the Law on Personal Income Tax 2007, income subject to personal income tax includes the following types of income:
1. Income from business
Pursuant to Clause 1, Article 3 of the Law on Personal Income Tax 2007 amended by Article 17 of the Law on Value Added Tax 2024, Income from business subject to personal income tax includes:
- Income from production and trading of goods and services;
- Income from independent practice activities of individuals with a license or practice certificate as prescribed by law.
The income from business specified in this clause does not include the income of households and individuals producing and trading with revenue below the level specified in Clause 25, Article 5 of the Law on Value Added Tax 2024.
2. Income from salaries and wages
Pursuant to Clause 2, Article 3 of the Law on Personal Income Tax 2007 amended by Clause 1, Article 1 of the Law on Personal Income Tax 2012 amended, the Income from salary and wages subject to personal income tax includes:
- Salary, wages and items of salary and wages nature;
- Allowances and subsidies, except for the following items: allowances and subsidies according to the provisions of law on preferential treatment for meritorious people; national defense and security allowances; toxic and dangerous allowances for sectors, occupations or jobs at workplaces with toxic and dangerous factors; attraction allowances, regional allowances according to the provisions of law; emergency allowances, occupational accident and disease allowances, one-time allowances when giving birth or adopting children, allowances due to reduced working capacity, one-time pension allowances, monthly death allowances and other allowances according to the provisions of law on social insurance; severance allowances, unemployment allowances according to the provisions of the Labor Code; allowances with the nature of social protection and other allowances not related to salary and public money as prescribed by the Government.
3. Income from capital investment
Pursuant to Clause 3, Article 3 of the Law on Personal Income Tax 2007, Income from investment capital subject to personal income tax includes:
- Loan interest;
- Stock income;
- Income from capital investment in other forms, except for income from interest on government bonds.
4. Income from capital transfers
Pursuant to Clause 4, Article 3 of the Law on Personal Income Tax 2007, Income from transfers of capital subject to personal income tax includes:
- Income from capital transfer in economic institutions;
- Income from securities transfers;
- Income from capital transfers in other forms.
5. Income from real estate transfers
Pursuant to Clause 5, Article 3 of the Law on Personal Income Tax 2007 amended by Clause 1, Article 1 of the Law on Personal Income Tax 2012 amended, the Income from real estate transfers subject to personal income tax includes:
- Income from transfer of land use rights and assets attached to land;
- Income from transferring ownership or use of housing;
- Income from transfer of land lease rights, water surface lease rights;
- Other income received from real estate transfers in any form.
6. Income from winning
Pursuant to Clause 6, Article 3 of the Law on Personal Income Tax 2007 amended by Clause 2, Article 2 of the Law amending the 2014 Tax Laws, Income from winning bonuses subject to personal income tax includes:
- Winning a lottery;
- Winning prizes in promotional forms;
- Winning prizes in the form of betting;
- Winning prizes in games, competitions with prizes and other forms of winning prizes.
7. copyright income
Pursuant to Clause 7, Article 3 of the Law on Personal Income Tax 2007, Income from transfers of capital subject to personal income tax includes:
- Income from transferring and transferring the right to use subjects of intellectual property rights;
- Income from technology transfer.
8. Income from trade franchises
Stipulated in Clause 8, Article 3 of the Law on Personal Income Tax 2007
9. Income from inheritance is securities, capital in economic organizations, business establishments, real estate and other assets that must be registered for ownership or use
Stipulated in Clause 9, Article 3 of the Law on Personal Income Tax 2007
10. Income from receiving gifts is securities, capital in economic organizations, business establishments, real estate and other assets that must be registered for ownership or use
stipulated in Clause 10, Article 3 of the Law on Personal Income Tax 2007.
