🇻🇳 Tax Overview — Vietnam

Limited Liability Company (LLC)

The standard corporate income tax (CIT) rate is 20% on worldwide income for Vietnamese-resident companies. Qualifying high-tech enterprises, manufacturing companies in encouraged sectors, and companies in special economic zones may receive a preferential rate of 10% for 15 years. Tax holidays include 2–4 year CIT exemption from the first profitable year, followed by a 50% reduction for 4–9 additional years, depending on the sector and location. VAT is 10% standard (temporarily reduced to 8% on most goods and services — verify current rates). Withholding tax on dividends to foreign shareholders is 5% — significantly lower than most regional peers. Royalty payments to non-residents attract 10% withholding tax. Vietnam applies transfer pricing rules with country-by-country reporting requirements for large multinationals.