Ms. Dang Thi Huyen Trang, Chairwoman of the Board of Directors of Savitax Tax Consulting Joint Stock Company, said that among the allowances and subsidies that are not subject to personal income tax, there are hardship allowances for employees, including cases of: sudden difficulties, work accidents, occupational diseases, childbirth or adoption, reduced working capacity, one-time retirement allowance, monthly death benefits, and other allowances.

Some other allowances and subsidies are also not subject to personal income tax, such as: severance pay, unemployment benefits; toxic and dangerous allowances; regional allowances...

Income exempt from personal income tax

According to Ms. Trang, there are currently 5 types of income exempt from personal income tax.

One is income related to wages and salaries, including: Income of households and individuals directly involved in agricultural production; wages for night work and overtime; pensions paid by the Social Insurance Fund; income from wages and salaries of crew members; income of individuals who are ship owners and individuals who have the right to use ships.

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There are 5 types of income exempt from personal income tax. Photo: Nam Khanh

Second is income related to land: Income from transferring houses and land use rights; income from the value of land use rights of individuals; income from converting agricultural land of households.

Third is income related to money: Income from interest on deposits at credit institutions; income from remittances.

Fourth is income related to relatives: Income from real estate transfer; income from receiving inheritance or gifts of real estate.

Five is income related to charity, such as income received from a charitable fund.

10 incomes subject to personal income tax

According to Ms. Trang, there are 10 types of income subject to personal income tax.

One, income from salaries and wages: Salaries, wages and amounts of salary and wage nature; allowances and subsidies.

Two, income from business: Production and trading of goods and services; independent professional activities of individuals.

Three, income from capital investment: Loan interest; stock dividends; other forms.

Four, income from capital transfer: Transfer of capital in economic organizations; transfer of securities; other forms.

Year, income from real estate transfer: Transfer of land use rights and assets attached to land; transfer of ownership or use rights of houses; transfer of land lease rights, water surface lease rights; other income received from real estate transfer.

Six, income from winnings: Winnings in betting; winnings in games and contests with prizes; other forms of winnings.

Seven, income from copyright: Intellectual property rights; technology transfer.

Eight, income from franchising.

Nine, income from receiving gifts includes: Securities; capital in economic organizations; business establishments; real estate; other assets.

Ten, income from inheritance includes: Securities; capital in economic organizations; business establishments; real estate; other assets.