Business households are not allowed to deduct any expenses when calculating personal income tax

Legal Consulting Office of Lao Dong Newspaper answers:

Clause 2, Article 6 of Decree 68/2026/ND-CP Regulating tax policies and tax management for business households and individual businesses (effective from March 5, 2026), stipulates expenditures that are not deductible when determining taxable income:

a) Expenses not related to production and business activities;

b) Expenses without sufficient invoices and documents as prescribed by law;

c) Salary, wages and salary-related expenses of business individuals, groups of business individuals, members of business households excluding compulsory insurance contributions; salary, wages and salary-related expenses that have been included in expenses but are not actually paid or have no payment documents;

d) The depreciation of fixed assets exceeding the prescribed level or depreciation for fixed assets not used for production and business activities;

e) Expenses for administrative violations, contract violations, compensation due to the fault of business individuals;

e) Residential land and works serving daily life on land, cars and assets registered for ownership or use in the name of individuals, except for cars and assets registered for ownership or use for transportation and tourism business purposes;

g) Expenses for personal and family needs. Business individuals are responsible for separately monitoring expenses for business operations and expenses for personal and family needs.

Thus, from March 5, 2026, the above-mentioned expenses of business households are not deductible when calculating personal income tax.