Personal income tax exemption for 14 income items

Stipulated in Article 4 - Decree 65/2013/ND-CP recently issued by the Government.

Article 4 of Decree No. 65/2013/ND-CP dated June 27, 2013 detailing a number of articles of the Law on Personal Income Tax clearly states 14 types of income exempt from personal income tax.

Income from salt making is exempt from personal income tax.

Accordingly, income from real estate transfer; income from housing transfer; income from the value of land use rights of individuals who are allocated land by the State without having to pay or have land use fees reduced according to the provisions of law; income from receiving inheritance or gifts of real estate (including housing and future construction works according to the provisions of law on real estate business) are not subject to personal income tax.

In addition, households and individuals directly involved in agricultural production, forestry, salt production, aquaculture, and fishing activities that have not been processed into other products or have only undergone normal preliminary processing. Income from conversion of agricultural land of households and individuals assigned by the State for production; Income from interest on deposits at banks and credit institutions, income from interest on life insurance contracts; Income from remittances; Salaries and wages for night work and overtime paid higher than those for daytime work and working within the prescribed hours of law; Pensions paid by the Social Insurance Fund in accordance with the provisions of the Law on Social Insurance, pensions received monthly from the voluntary pension fund. Individuals living and working in Vietnam who are exempt from tax on pensions paid by foreign countries are also exempt from personal income tax.

The Decree also stipulates income from scholarships; Compensation for life insurance, non-life insurance, health insurance, compensation for work accidents, state compensation and other compensations as prescribed by law; Income received from charity funds permitted to be established or recognized by competent state agencies, operating for charitable and humanitarian purposes, not for profit; Income received from foreign aid for charitable and humanitarian purposes in the form of Government and non-Government approved by competent state agencies./.

According to (vov.vn) - LT