Law on enterprise income tax in Vietnam No 14/2008/QH12 dated June 3, 2008 takes effect on January 01, 2009 is amended and supplemented by Law No 32/2013/QH13 dated June 19, 2013 on amending and supplementing some articles of the Law on enterprise income tax in Vietnam takes effect on January 01, 2014; and Law No 71/2014/QH13 dated November 26, 2014 on amending and supplementing a number of articles of the Laws on taxes; and be consolidated text authentication at Law on enterprise income tax in Vietnam No 14/VBHN-VPQH dated December 11, 2014.
Law on enterprise income tax in Vietnam No 14/VBHN-VPQH dated December 11, 2014 has some notable amending and supplementing, such as: Tax rate of enterprise income (reduce) is 22%; for cases subject to the tax rate of 22% specified in this clause, the tax rate of 20% shall apply as from January 01, 2016 (clause 1 of article 10); Enterprises have total annual turnover of no more than twenty billion VND shall apply the tax rate of 20%; Turnover used as a basis for determining the enterprise subject to the tax rate of 20% in this clause shall be the turnover of the preceding year (clause 2 of article 10);
DMS Law office in Vietnam advises the following ranges:
Determination of taxed income
Deductible and non-deductible expenses upon determination of taxable incomes
Tax calculation method
Places for tax payment
Tax rate incentives
Tax exemption and reduction duration incentives
Other cases eligible for tax reduction
Carrying forward of losses
Deduction for setting up of enterprises’ scientific and technological development funds
Conditions for application of tax incentives
Law on enterprise income taxe in Vietnam provides for enterprise income taxpayers, taxable incomes, tax-exempt incomes, tax bases, tax calculation methods, and tax incentives./.