{"id":4828,"date":"2026-03-05T09:33:49","date_gmt":"2026-03-05T02:33:49","guid":{"rendered":"https:\/\/thue.man.net.vn\/?p=4828"},"modified":"2026-03-05T21:28:39","modified_gmt":"2026-03-05T14:28:39","slug":"cong-van-1296","status":"publish","type":"post","link":"https:\/\/thue.man.net.vn\/en\/cong-van-1296\/","title":{"rendered":"Official Document 1296\/CT-NVT: Personal Income Tax Settlement from Salaries and Wages"},"content":{"rendered":"

Official Document 1296\/CT-NVT<\/span><\/a> Issued by the Tax Department on March 4, 2026, this document is a key guideline aimed at unifying the declaration and settlement of personal income tax (PIT) for the 2025 tax year and subsequent tax periods from 2026 onwards. This document specifies the regulations at <\/span>Personal Income Tax Law No. 109\/2025\/QH15<\/span><\/a> and <\/span>Resolution 110\/2025\/UBTVQH15<\/span><\/a> Regarding adjustments to the personal allowance as well as the new progressive tax rate schedule.<\/span><\/p>\n

Understanding the content of Circular 1296\/CT-NVT helps businesses and individuals avoid legal errors, optimize tax payments, and expedite the automatic tax refund process. For accounting and auditing professionals, this is a crucial legal basis for providing accurate tax reporting advice and services. Let's analyze the new points in detail in the article below, brought to you by MAN \u2013 Master Accountant Network.<\/span><\/p>\n

Determining income from salaries and wages according to Official Letter 1296\/CT-NVT<\/b>\u00a0<\/span><\/h2>\n
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Determining income from salaries and wages according to Official Letter 1296_CT-NVT<\/figcaption><\/figure>\n

Official document 1296\/CT-NVT is based on the Personal Income Tax Law 2025 to determine taxable income. This helps taxpayers accurately classify their annual income to fulfill their tax obligations correctly.<\/span><\/p>\n

Income subject to personal income tax<\/b><\/h3>\n

According to the guidelines, income from salaries and wages includes: salaries, wages, and equivalent payments. In addition, fees, monetary or non-monetary benefits, and allowances (excluding preferential treatment for meritorious individuals, hazardous work allowances, and social insurance benefits) are also subject to tax.<\/span><\/p>\n

Time of determining taxable income<\/b><\/h3>\n

Official document 1296\/CT-NVT clarifies the time of determining taxable income for resident individuals. This is the time when the organization pays the income or the time when the taxpayer actually receives the income. Accurately determining this time helps avoid errors when allocating income to different tax periods.<\/span><\/p>\n

New points regarding personal deductions according to Official Letter 1296\/CT-NVT<\/b><\/h2>\n
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New points regarding personal deductions according to Official Letter 1296_CT-NVT<\/figcaption><\/figure>\n

The change in personal deductions is the core issue addressed in Official Letter 1296\/CT-NVT. The document clearly distinguishes between the 2025 tax year (applying the old regulations) and the 2026 tax year (applying the new regulations) to ensure taxpayers comply accurately.<\/span><\/p>\n

Personal deductions applicable to the 2025 tax year.<\/b><\/h3>\n

In the 2025 tax year, Official Letter 1296\/CT-NVT confirms the continued application of Resolution No. 954\/2020\/UBTVQH14. This deduction is based on the previous economic context. Specifically, the deduction for the taxpayer themselves is 11 million VND\/month (132 million VND\/year) and for each dependent is 4.4 million VND\/month.<\/span><\/p>\n

Adjustment of personal allowance deductions starting in 2026.<\/b><\/h3>\n

Entering 2026, Official Document 1296\/CT-NVT emphasizes the implementation of Resolution No. 110\/2025\/UBTVQH15. This is an effort by the Government to support people facing the pressure of rising living costs. The new deduction for the individual is VND 15.5 million\/month (VND 186 million\/year) and for each dependent is VND 6.2 million\/month.<\/span><\/p>\n

The application of the new deductions as guided by Circular 1296\/CT-NVT will help millions of workers increase their real income. At the same time, this policy helps reduce the administrative burden on tax authorities by raising the tax threshold, in line with current fluctuations in average income.<\/span><\/p>\n

Changes to the progressive tariff schedule as per Official Letter 1296\/CT-NVT<\/b><\/h2>\n

Besides the tax reduction, Circular 1296\/CT-NVT also clarifies the change in the tax bracket structure. From 2026, the tax schedule will be streamlined from 7 brackets to 5 brackets to simplify the calculation and management process.<\/span><\/p>\n

Below is a comparison table based on data from Official Letter 1296\/CT-NVT to help taxpayers visualize the differences between the two tax periods:<\/span><\/p>\n\n\n\n\n\n\n\n\n\n\n
Comparison table of progressive personal income tax rates for 2025 and 2026<\/b><\/caption>\n
Tax rates<\/b><\/td>\nTaxable income\/month (Period 2025)<\/b><\/td>\nTax rate<\/b><\/td>\nTaxable income\/month (Period 2026)<\/b><\/td>\nTax rate<\/b><\/td>\n<\/tr>\n
1<\/span><\/td>\nUp to 5 million VND<\/span><\/td>\n5%<\/span><\/td>\nUp to 10 million VND<\/span><\/td>\n5%<\/span><\/td>\n<\/tr>\n
2<\/span><\/td>\nOver 5 to 10 million VND<\/span><\/td>\n10%<\/span><\/td>\nBetween 10 and 30 million VND<\/span><\/td>\n10%<\/span><\/td>\n<\/tr>\n
3<\/span><\/td>\nBetween 10 and 18 million VND<\/span><\/td>\n15%<\/span><\/td>\nBetween 30 and 60 million VND<\/span><\/td>\n20%<\/span><\/td>\n<\/tr>\n
4<\/span><\/td>\nBetween 18 and 32 million VND<\/span><\/td>\n20%<\/span><\/td>\nOver 60 to 100 million VND<\/span><\/td>\n30%<\/span><\/td>\n<\/tr>\n
5<\/span><\/td>\nBetween 32 and 52 million VND<\/span><\/td>\n25%<\/span><\/td>\nOver 100 million VND<\/span><\/td>\n35%<\/span><\/td>\n<\/tr>\n
6<\/span><\/td>\nBetween 52 and 80 million VND<\/span><\/td>\n30%<\/span><\/td>\n–<\/span><\/td>\n–<\/span><\/td>\n<\/tr>\n
7<\/span><\/td>\nOver 80 million VND<\/span><\/td>\n35%<\/span><\/td>\n–<\/span><\/td>\n–<\/span><\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

Data from Official Letter 1296\/CT-NVT shows that the lowest tax bracket (5%) has had its income threshold doubled. This brings direct and practical benefits to the group of low- and middle-income workers in society.<\/span><\/p>\n

Individuals required to file personal income tax returns according to Official Letter 1296\/CT-NVT<\/b><\/h2>\n

Identifying the correct taxpaying entity is the first step in complying with tax laws. Circular 1296\/CT-NVT divides entities into two main groups: organizations paying income and individuals receiving income from salaries and wages.<\/span><\/p>\n

For organizations and individuals paying income<\/b><\/h3>\n

According to Official Letter 1296\/CT-NVT, organizations paying salaries must file tax returns regardless of whether deductions are made or not. This helps the tax authorities have complete data for verification. If the business is dissolved or reorganized, the tax return must be completed at the time of cessation of operations.<\/span><\/p>\n

For individuals who directly settle accounts.<\/b><\/h3>\n

Individuals residing in Vietnam who have income from multiple sources or have additional tax payments exceeding VND 50,000 are required to file their tax returns in person. Circular 1296\/CT-NVT also notes that foreigners whose contracts in Vietnam have ended must file their tax returns before departure to fulfill any outstanding tax obligations.<\/span><\/p>\n

Using the eTax Mobile application, as recommended in Official Letter 1296\/CT-NVT, helps individuals transparently check their income. The system will automatically notify those who need to submit tax returns, minimizing the risk of penalties for late payment or omission of tax obligations.<\/span><\/p>\n

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If the calculation process and documentation are causing you difficulties, <\/span><\/i>MAN<\/i><\/b> provide <\/span><\/i>Comprehensive personal income tax settlement service<\/span><\/i><\/a>, Professional. We help you optimize your tax payments, process tax refund applications quickly, and ensure absolute accuracy in accordance with Circular 1296\/CT-NVT.<\/span><\/i><\/p>\n<\/blockquote>\n

Cases exempt from tax finalization according to Official Letter 1296\/CT-NVT<\/b><\/h2>\n
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Cases exempt from tax finalization according to Official Letter 1296_CT-NVT<\/figcaption><\/figure>\n

To streamline administrative procedures, Official Letter 1296\/CT-NVT details the cases that do not require these procedures. <\/span>personal income tax settlement<\/span><\/a>. This helps citizens save time and allows tax authorities to focus their resources more effectively. Exempt cases include:<\/span><\/p>\n