Chương II Văn bản hợp nhất 01/VBHN-VPQH năm 2023 hợp nhất Luật Thuế thu nhập doanh nghiệp do Văn phòng Quốc hội ban hành: Căn cứ và phương pháp tính thuế

Chapter II

TAX BASES AND TAX CALCULATION METHODS

Article 6. Tax bases

Tax bases include assessable income and tax rate.

Article 7. Determination of assessable income

1. Assessable income in a tax period is the taxable income minus tax-exempt incomes and losses carried forward from previous years.

2. Taxable income is revenue minus deductible expenses for production and business activities plus other incomes, including income received outside Vietnam.

3. Incomes from transfers of real estate, project of investment, the right to participate in projects of investments, the right to explore, extract, and process minerals must be separated. The loss on transfers of projects of investment (except for mineral exploration and mineral extraction projects), incomes from transfers of the right to participate in projects of investment (except for transfer of the right to participate in mineral exploration and mineral extraction projects), losses on transfer of real estate (if any) shall be offset against the profit in the tax period.

The Government shall elaborate this Article.

Article 8. Revenue

Revenue is the total sales, processing remuneration, service provision charges, subsidies and surcharges enjoyed by enterprises. Revenue is expressed as Vietnam dong (Vietnam); foreign currency revenue, if any, must be converted into VND at the average exchange rate on the inter-bank foreign currency market announced by the State Bank of Vietnam at the time foreign-currency revenue is generated.

The Government shall elaborate this Article.

Article 9. Deductible and non-deductible expenses upon determination of taxable incomes

1. Except for the expenditures mentioned in Clause 2 of this Article, all expenditures are deductible when calculating taxable income if they meet the conditions below:

a) Actual expenditures on business operation of the enterprise; expenditures on vocational education; expenditures on the enterprise's national defense and security duties as prescribed by law;

b) Expenditures that have adequate invoices and documents according to law. The invoice for any purchase of goods or services of at least 20 million VND must be enclosed with proof of cashless payment, except for the cases in which proof of cashless payment is not required by law.

2. Non-deductible expenses upon determination of taxable incomes include:

a) Expense not fully satisfying the conditions specified in Clause 1 of this Article, except the uncompensated value of losses caused by natural disasters, epidemics or other force majeure circumstances;

b/ Fine for administrative violations;

c/ Expense already covered by other funding sources;

d/ Business administration expense allocated by foreign enterprises to their Vietnam-based permanent establishments in excess of the level calculated according to the allocation method prescribed by Vietnamese law;

e/ Expense in excess of the law-prescribed norm for the deduction and setting up of provisions;

e) The expenditure on interest on loans that are not given by credit institutions or economic organizations and exceed 150% of basic interest rates announced by the State bank of Vietnam when the loan is taken.

g) Improper depreciation of fixed assets;

h) Improper prepaid expenses;

i) Wages and remunerations of owners of sole proprietorships; wages of founders that do not participate in business management; wages, remunerations, and amounts payables to the employees that are not actually paid or do not have invoices according to law;

k) The expenditures on loan interests corresponding to the charter capital deficit;

l) Deducted input VAT, VAT paid using the credit-invoice method, corporate income tax;

m) (annulled)

n) Donations, except for donations for education, health, scientific research, disaster recovery, houses of unity, houses of gratitude, houses for beneficiaries of social policies according to law, donations for extremely disadvantaged areas according to state programs;

o) Voluntary payments to retirement funds or social security funds, payments for voluntary retirement insurance for employees that exceed the limits imposed by law;

p) Expenditures on business operations: banking, insurance, lottery, securities, and some other special businesses specified by the Minister of Finance.  

3. Expenditures in foreign currency, unless to serve the calculation of taxable incomes that must be converted into VND, according to the average exchange rates on the interbank foreign currency market that are announced by the State bank of Vietnam when the expenditures occur.

The Government shall elaborate this Article.

Article 10. Tax rate

1. The corporate income tax rate is 22%, except for the cases in Clause 2 and Clause 3 of this Article and beneficiaries of tax incentives prescribed in Article 13 of this Article.

From January 1^st 2016, the tax rate of 20% shall apply to the cases to which the tax rate of 22% in this Clause applies.

2. Any enterprise whose total revenue in the year does not exceed 20 billion VND shall be eligible for applying the tax rate of 20%.

The revenue used as the basis for identifying enterprises eligible for the tax rate of 20% in this Clause is the revenue of the previous year.

3. The corporate income tax rate applicable to petroleum operations ranges from 25% to 50%  depending on each petroleum contract; the corporate income tax rate applicable to the exploration and extraction of other rare and precious resources in Vietnam ranges from 32% to 50 depending on each project and each business establishment.

The Government shall elaborate this Article.

Article 11. Tax calculation method

1. Corporate income tax payable in a tax period equals (=)  assessable income multiplied by (x) tax rate; in case an enterprise has paid income tax outside Vietnam, the paid tax may be deducted but the deduction must not exceed the corporate income tax payable under the provisions of this Law.

2. The tax calculation method applicable to enterprises prescribed in Points c and d, Clause 2, Article 2 of this Law shall comply with regulations of the Government of Vietnam.

Article 12. Places for tax payment

Enterprises shall pay tax at tax authorities of local areas where they are headquartered. In case an enterprise has a dependent accounting unit operating in a province or centrally run city other than the place of its headquarters, tax payable shall be calculated according to the ratio of the unit's expenses to the headquarters' expenses. Revenues from collected tax shall be managed and used in accordance with the Law on State Budget.

The Government shall elaborate this Article.