According to the Law on Personal Income Tax 2007, dependents are the ones that taxpayers are responsible for nurturing, including:
- Children underage; children with disabilities, unable to work;
- Individuals who do not have income or have income not exceeding the prescribed level, including minors studying at university, college, high school for vocational training or vocational training; spouses who are unable to work; Fathers and mothers who are past working age or unable to work; other people who are un dependent and must be directly supported by taxpayers.
To determine dependents for consideration of family deductions, Circular 111/2013/TT-BTC guides as follows:
(1) The dependent person is the child of the taxpayer
Accordingly, dependents who are children of taxpayers include biological children, legally adopted children, children outside the animal's price, stepchildren of the wife, stepchildren of the husband, specifically:
- Children under 18 years old (calculated by month).
- Children aged 18 and over with disabilities and unable to work.
- Children studying in Vietnam or abroad at university, college, high school, vocational training, including children aged 18 and over studying in high school (including those who are waiting for university exam results from June to September of grade 12) have no income or have an average monthly income of the year from all sources of income not exceeding 1 million VND.
(2) Other dependents of taxpayers
- The taxpayer's wife or husband meets the conditions in Point d, Clause 1, Article 9 of Circular 111/2013/TT-BTC.
- Biological father, biological mother; father-in-law, mother-in-law (or father-in-law, mother-in-law); biological father, stepfather; legal adoptive father, adoptive mother of taxpayer who meets the conditions in Point d, Clause 1, Article 9 of Circular 111/2013/TT-BTC.
- Other individuals who are not dependent but are being directly supported by taxpayers and meeting the conditions in Point d, Clause 1, Article 9 of Circular 111/2013/TT-BTC include:
+ biological brothers, biological sisters, biological brothers of taxpayers.
+ Grandfather, grandmother; paternal grandfather, maternal grandmother; aunt, aunt, uncle, aunt, uncle of the taxpayer.
+ The biological children of taxpayers include: children of biological brothers, biological sisters, biological brothers.
+ Other person who must directly raise children according to the provisions of law.
(3) Conditions for being considered a dependent
Individuals considered dependents must meet the following conditions:
- For people of working age, the following conditions must be met at the same time:
+ Disabled, unable to work.
In particular, people with disabilities and unable to work are those who are subject to the law on people with disabilities and people with diseases that do not make them unable to work (such as AIDS, cancer, chronic kidney failure, etc.).
+ No income or average monthly income in the year from all sources of income not exceeding 1 million VND.
- For people of no working age, they must have no income or have an average monthly income during the year from all sources of income not exceeding 1 million VND.
