Does trực tiếp bóng đá k+ Ministry of Finance of Vietnam propose to increase trực tiếp bóng đá k+ business trip expenses? Do employee's travel expenses include personal income tax?
Ministry of Finance of Vietnam:Shallbusiness trip expenses increase?
Recently, on December 16, 2024, trực tiếp bóng đá k+ Ministry of Finance of Vietnam issued Official Dispatch 13783/BTC-HCSN in 2024Downloadseeking feedback on trực tiếp bóng đá k+ draft Circular amending and supplementing a number of provisions ofThông tư 40/2017/TT-BTC.
In trực tiếp bóng đá k+ Draft Circular amendment, trực tiếp bóng đá k+ Ministry of Finance of Vietnam proposes an increase in trực tiếp bóng đá k+ business trip expenses, including trực tiếp bóng đá k+ cost of renting accommodation at trực tiếp bóng đá k+ destination to be reimbursed either as a lump sum or based on actual invoices; and other expenses such as meals. Specifically, as follows:
(1)Accommodation rental at trực tiếp bóng đá k+ destination reimbursed as a lump sum:
- Ministerial level leaders, Deputy Ministers, and equivalent leadership positions, lump-sum rate: 1,200,000 VND/day/person (current rate 1,000,000 VND/day/person), regardless of trực tiếp bóng đá k+ destination;
- For other officials and public employees and employees:
+ Traveling to districts, cities under central authority and first-class urban cities in provinces, lump-sum rate: 550,000 VND/day/person (current rate 450,000 VND/day/person).
+ Traveling to districts, district-level towns under central authority, district-level towns, remaining cities in provinces, lump-sum rate: 400,000 VND/day/person (current rate 350,000 VND/day/person).
+ Traveling to other regions, lump-sum rate: 350,000 VND/day/person (current rate 300,000 VND/day/person).
(2)Accommodation rental at trực tiếp bóng đá k+ destination reimbursed based on actual invoices:
- For Ministerial level leaders and equivalent positions: Reimbursement of room rates: 3,000,000 VND/day/room (current rate 2,500,000 VND/day/room) on a standard of one person per room, regardless of trực tiếp bóng đá k+ destination;
- Traveling to districts, cities under central authority, and first-class urban cities in provinces:
+ For Deputy Ministers and equivalent leadership positions: Reimbursement of room rates: 1,500,000 VND/day/room (current rate 1,200,000 VND/day/room) on a standard of one person per room.
+ For others: Reimbursement of room rates: 1,200,000 VND/day/room (current rate 1,000,000 VND/day/room) on a standard of two people per room.
- Traveling to other regions:
+ For Deputy Ministers and equivalent leadership positions: Reimbursement of room rates: 1,300,000 VND/day/room (current rate 1,100,000 VND/day/room) on a standard of one person per room.
+ For others: Reimbursement of room rates: 900,000 VND/day/room (current rate 700,000 VND/day/room) on a standard of two people per room.
(3)Meal expenses, other expenditures:
- Meal and other expenses for individuals on business trips paid by trực tiếp bóng đá k+ agency or unit sending trực tiếp bóng đá k+ personnel, calculated from trực tiếp bóng đá k+ departure to trực tiếp bóng đá k+ end of trực tiếp bóng đá k+ trip returning to trực tiếp bóng đá k+ agency or unit. Meal and other expenses rate: 250,000 VND/day (current rate 200,000 VND/day).
- Officials, public employees, and laborers on trực tiếp bóng đá k+ mainland sent on assignments at sea or islands will receive meal and other expenses at 300,000 VND/person/day spent at sea or on islands (applies to working days at sea or on islands, as well as travel days to and from sea or islands) (current rate 250,000 VND/day).
DownloadOfficial Dispatch 13783/BTC-HCSN in 2024 and trực tiếp bóng đá k+ Draft Circular amendment.
Does trực tiếp bóng đá k+ Ministry of Finance of Vietnam propose to increase trực tiếp bóng đá k+ business trip expenses? Do employee's travel expenses include personal income tax? (Image from trực tiếp bóng đá k+ Internet)
Do employees' business travel expenses include personal income tax in Vietnam?
According to section d.4, point d, clause 2, Article 2 ofCircular 111/2013/TT-BTCwhich specifies taxable income for PIT as follows:
Taxable income
...
- Income from wages and salaries
...
d) Monetary or non-monetary benefits beyond wages and salaries paid by employers that trực tiếp bóng đá k+ taxpayer enjoys in any form:
...
d.4) trực tiếp bóng đá k+ portion of lump-sum payments for office supplies, travel expenses, telephone, uniforms, etc., that exceeds trực tiếp bóng đá k+ current state standards. trực tiếp bóng đá k+ lump-sum not counted as taxable income in certain cases includes:
d.4.1) For officials and those working in administrative agencies, Communist Party, unions, Associations: trực tiếp bóng đá k+ lump-sum applies according to guidance documents from trực tiếp bóng đá k+ Ministry of Finance of Vietnam.
d.4.2) For employees in business organizations, representative offices: trực tiếp bóng đá k+ lump-sum applies in accordance with taxable corporate income as determined by directives under trực tiếp bóng đá k+ Enterprise Income Tax law.
d.4.3) For employees in international organizations, representative offices of foreign entities: trực tiếp bóng đá k+ lump-sum follows trực tiếp bóng đá k+ international organization's or foreign entity's office regulations.
...
Simultaneously, based on section b point 2.5 clause 2 Article 6Circular 78/2014/TT-BTCamended by clause 2 Article 3 ofCircular 25/2018/TT-BTCstipulating deductible and non-deductible expenses in determining taxable corporate income as follows:
Deductible and Non-deductible Expenses in Determining Taxable Income
...
- Non-deductible expenses include:
...
2.5. Salary, wages, bonuses paid to employees under trực tiếp bóng đá k+ following conditions:
...
b) Salaries, bonuses not specifically recorded for eligibility and amounts in one of trực tiếp bóng đá k+ following: Employment contract; Collective labor agreement; Company's, Corporation's, Group's financial regulations; Bonus regulation issued by trực tiếp bóng đá k+ Board Chairman, General Director, Director according to Company's financial regulations.
...
Thus, for employees in business organizations, representative offices, trực tiếp bóng đá k+ employees' business travel expenses will not be subjected to personal income tax if trực tiếp bóng đá k+ business travel expense payments align with trực tiếp bóng đá k+ lump-sum rates specified in one of trực tiếp bóng đá k+ following documents: Employment contract; Collective labor agreement; Company's financial regulations, Corporation, Group's; Bonus regulations issued by trực tiếp bóng đá k+ Board Chairman, General Director, Director following trực tiếp bóng đá k+ Company's financial regulations.
Except when a company pays an employee more than trực tiếp bóng đá k+ lump sum rate, trực tiếp bóng đá k+ amount exceeding trực tiếp bóng đá k+ lump-sum must be counted as taxable personal income.
Additionally, for employees in international organizations, representative offices of foreign entities, trực tiếp bóng đá k+ lump-sum rate is determined following trực tiếp bóng đá k+ international organization's or foreign entity's office regulations.
When is trực tiếp bóng đá k+ time of determining personal income taxable from salaries andwages?
According to point b clause 2 Article 8Circular 111/2013/TT-BTC, which specifies trực tiếp bóng đá k+ timing of determining personal income taxable from salaries and wages as follows:
- trực tiếp bóng đá k+ timing for determining taxable income from wages and salaries is at trực tiếp bóng đá k+ time trực tiếp bóng đá k+ organization or individual pays income to trực tiếp bóng đá k+ taxpayer.
- Specifically, trực tiếp bóng đá k+ timing for determining taxable income for insurance premium payments accumulated per trực tiếp bóng đá k+ guidance at point d.2 clause 2 Article 2 ofCircular 111/2013/TT-BTCis trực tiếp bóng đá k+ time when trực tiếp bóng đá k+ insurer or voluntary pension management company pays trực tiếp bóng đá k+ insurance money.
