OFFICIAL LETTER NO. 1608/CTHYE – TTHT ABOUT PIT POLICY FOR FOREIGNER
Official letter No. 1608/CTHYE-TTHT about PIT policy for foreigner:
Pursuant to Article 59 of the Law on Tax Administration No. 38/2019/QH14 stipulating the handling of late tax payment.
Based on the above provisions, in case the foreign worker is a non-resident individual, he comes to Regina Miracle International Hung Yen Co., Ltd. to work under a contract with a foreign contractor and generates a taxable income due to the employer. Foreign contractors pay directly:
- Individuals are eligible to directly declare tax with tax authorities and can choose to declare tax quarterly. The tax file is the PIT declaration form No. 02/KK-TNCN issued together with Circular No. 80/2021/TT-BTC. Incomes from salaries and wages of non-residents are not subject to tax finalization.
- Individuals pay tax according to the time limit specified in Clause 1, Article 55 of the Law on Tax Administration No. 38/2019/QH14, pay late tax payment (if any) according to the provisions of Article 59 of the Law on Tax Administration No. 38/2019 /QH14.
- The company is responsible for notifying the foreign contractor of the obligation to pay personal income tax of the foreign worker about the responsibility to provide information about the foreign worker, including: list, nationality, Passport number, working time, job undertaken, income for the Company for the Company to provide to the tax authorities no later than 07 days from the date the foreign individual starts working in Vietnam.
- In case a foreign individual has returned home and authorized the Company to fulfill its tax obligations, the Company is responsible for declaring tax on behalf of the individual according to regulations.
