blue-check How to withhold PIT on business trip allowances paid to foreign experts

Official letter No. 63381/CT-TTHT dated August 9th, 2019 of the Department of Taxation of Ha Noi city regarding guidelines on withholding of personal income tax (PIT)
Posted: 15/8/2019 9:37:25 AM | Latest updated: 21/8/2019 3:41:01 PM (GMT+7) | LuatVietnam: 4781 | Vietlaw: 420

In case a company pays business trip allowances to some experts that do not sign labor contracts, if they are domestic experts, 10% PIT shall be withheld (point i Clause 1 Article 25 of Circular No. 111/2013/TT-BTC).

In contrast, if they are foreign experts who do not reside in Vietnam, it is required to withhold 20% PIT (Clause 1 Article 18 of Circular No. 111/2013/TT-BTC).

Particularly, for foreigners that are experts performing ODA projects, they shall be exempt from PIT if they meet the regulations at Decision No. 119/2009/QD-TTgstatus2 .

Ms. Phuong Thao (
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PublishedVietlaw's Newsletter No. 420
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Read more:

nexto  Regarding PIT on airfares paid to foreign experts who are non-residents in Vietnam (2/3/2019) 

nexto  Regarding PIT exemption with regard to ODA experts (21/11/2018) 

Labour - Employment