Labor Regulations Updates in March 2026 – First Bulletin

Official letter 1296/CT-NVT on guidance for Personal Income Tax (PIT) finalization for income from salaries and wages

On 4 March 2026, the Tax Department issued Official Letter No. 1296/CT-NVT (2026) providing guidance on Personal Income Tax (PIT) finalization for income derived from salaries and wages.

Talentnet would like to summarize several key points relevant to the HR and payroll area as follows:

1. Cases required to conduct PIT finalization

Organizations and individuals paying income from salaries and wages are responsible for filing PIT finalization declarations regardless of whether tax withholding arises or not, and may conduct PIT finalization on behalf of authorized individuals.
For individuals earning income from salaries and wages:
- Individuals who receive salary/wage income from two or more sources and do not meet the conditions for authorization must directly perform PIT finalization with the tax authorities if additional tax is payable or if there is an overpayment.
- Individuals who are present in Vietnam for fewer than 183 days in the first calendar year, but whose total presence reaches 183 days or more within 12 consecutive months from the first date of arrival, will have their first tax finalization year determined as the 12 consecutive months from the date of arrival in Vietnam.
- Foreign employees who terminate their labor contracts and leave Vietnam must complete PIT finalization before departure. If the finalization has not been completed, they may authorize the income-paying organization or another individual to finalize on their behalf, and the authorized party will be responsible for any additional tax payable or tax refund.
- Resident individuals receiving salary or wage income from overseas sources, international organizations, embassies, or consulates, where tax has not been withheld during the year, must directly conduct PIT finalization with the tax authorities.
- Resident individuals whose salary/wage income is eligible for tax reduction due to natural disasters, fires, accidents, or serious illnesses are not allowed to authorize PIT finalization and must finalize directly with the tax authorities.

2. Deadline for submission of PIT finalization dossiers

The deadline for income-paying organizations to submit the tax finalization dossier is the last day of the third month following the end of the calendar year. If this deadline falls on a public holiday or non-working day, it will be extended to the next working day of the following month.
The deadline for individuals who directly conduct tax finalization with the tax authorities to submit the dossier is the last day of the fourth month following the end of the calendar year. If this deadline falls on a public holiday or non-working day, it will be extended to the next working day of the following month.

3. PIT finalization declaration form

Form No. 05/QTT-TNCN, issued together with Circular No. 80/2021/TT-BTC.

4. Submission method

Dossiers must be submitted electronically via tax software systems, including: HTKK (Tax Declaration Support Software) – version 5.5.8, iTaxViewer – version 2.6.3
Public Service Portal of the Tax Department – Ministry of Finance (National Tax e-Service System)

5. Notes on PIT declaration and finalization for income-paying organizations

Issue PIT withholding certificates and send electronic certificate data to the tax authorities in accordance with Decree No. 70/2025/ND-CP.
Fully and timely remit PIT withheld to the state budget to avoid affecting employees’ rights and to prevent penalties and late payment interest.
Ensure accurate and consistent declaration of withheld tax:
- Indicator [31] on Form 05/QTT-TNCN must match Indicator [29] on Form 05/KK-TNCN declarations filed during the year.
- Ensure consistency and accuracy between the organization’s data and the tax authority’s system.
When withholding, declaring, and paying tax on behalf of individuals, income-paying organizations must provide complete, timely, and accurate information in accordance with tax authority guidance.
Correctly declare employees’ tax identification numbers (TIN) and personal identification numbers to ensure accurate tax records and facilitate tax finalization and refunds (if any).
Register dependents within the prescribed timeline and determine the correct timing for family circumstance deductions. If the obligation to support a dependent arises before the employee begins working at the organization but meets the eligibility conditions, the deduction may be applied from the time the support obligation arises.

For other detailed contents and guidance, please kindly refer to Official Letter No. 1296/CT-NVT attached.

Decision no. 216/QĐ-BTC on the promulgation of amended, supplemented, and abolished administrative procedures in the field of tax administration under the management authority of the Ministry of Finance

On 03 February 2026, the Ministry of Finance issued Decision No. 216/QĐ-BTC on the promulgation of amended, supplemented, and abolished administrative procedures in the field of tax administration under its management authority.

Talentnet would like to summarize several key highlights related to the human resources and payroll area as follows:

Abolished administrative procedure in the field of tax administration under the management authority of the Ministry of Finance: Registration of dependents for family circumstance-based deduction applicable to individuals’ earning income from salaries and wages (Administrative Procedure Code – 2.002229).
Amended and supplemented administrative procedure under the management authority of the Ministry of Finance: Initial tax registration for individual taxpayers and dependents (Administrative Procedure Code – 1.008498).

Accordingly, the initial tax registration for individual taxpayers and dependents shall be implemented from 14 February 2026 as follows:

Content	Initial tax registration for individual taxpayers		Initial tax registration for dependents for family circumstance-based deduction under personal income tax
Content	Registration through the income-paying organization	Direct registration with the tax authority	Registration through the income-paying organization	Direct registration with the tax authority
Tax Authority	Tax authority directly managing the income-paying organization	1. The local tax authority where the individual resides (permanent or temporary residence) 2. The provincial/municipal tax authority where the work arises in Vietnam, applicable to individuals whose income is paid from overseas	Tax authority directly managing the income-paying organization	1. The local tax authority where the individual resides (permanent or temporary residence) 2. The provincial/municipal tax authority where the work arises in Vietnam, applicable to individuals whose income is paid from overseas
Documents	1. Tax registration declaration Form No. 05-DK-TH-TCT prepared by the income-paying organization 2. Letter of authorization Form No. 41/UQ-DK-TCT 3. Copy of valid passport for foreign individuals or Vietnamese nationals residing overseas	1. Tax registration declaration Form No. 05-DK-TCT 2. Copy of valid passport for foreign individuals or Vietnamese nationals residing overseas	1. Consolidated tax registration declaration Form No. 20-DK-TH-TCT prepared by the income-paying organization 2. Appendix: Declaration of dependent support obligation Form No. 07/XN-NPT-TNCN 3. Supporting documents evidencing dependent status	1. Tax registration declaration Form No. 20-DK-TCT 2. Supporting documents evidencing dependent status
Method of submission	Submit electronically via the General Department of Taxation’s e-portal	Submit directly to the tax authority or electronically	Submit electronically via the General Department of Taxation’s e-portal	Submit directly to the tax authority or electronically
Authority handling the administrative procedure	1. Provincial/Municipal Tax Department 2. Local (District-level) Tax Sub-Department 3. Large Enterprises Tax Sub-Department 4. E-commerce Tax Sub-Department
Processing time	03 working days from the date of receipt of a complete dossier.

Official letter no. 38/TTg-QHĐP (2026) on the implementation of the resolution adopted at the 10th session of the 15th National Assembly

On 09 January 2026, the Prime Minister issued Official Letter No. 38/TTg-QHĐP (2026) regarding the implementation of the Resolution adopted at the 10th Session of the 15th National Assembly.

Accordingly, the Deputy Prime Minister assigned the Ministry of Home Affairs to take the lead in adjusting the statutory base salary in accordance with Conclusion No. 206-KL/TW dated 10 November 2025 of the Politburo. The adjustment is expected to be implemented in March 2026.

The current statutory base salary is VND 2,340,000 per month (as stipulated in Decree No. 73/2024/NĐ-CP). Talentnet will continue to update any related developments in upcoming newsletters.

Resolution No. 30/NQ-CP promulgating the government’s action program to implement politburo resolution No. 80-NQ/TW dated 07 January 2026 on the development of Vietnamese culture

On 24 February 2026, the Government issued Resolution No. 30/NQ-CP promulgating the Government’s Action Program to implement Politburo Resolution No. 80-NQ/TW dated 07 January 2026 on the development of Vietnamese culture. Accordingly, Clause 1, Article 112 of the Labor Code was amended and supplemented to provide that on “Vietnam Culture Day – November 24”, employees are entitled to a day off with full pay.

Official letter No. 407/CST-TN on the draft circular guiding the new personal income tax (PIT) law

On 26 February 2026, the Department of Tax Policy Management and Supervision issued Official Letter No. 407/CST-TN (2026) in response to citizens’ feedback and recommendations.

According to the Official Letter, the Ministry of Finance is currently drafting a Circular detailing a number of articles of the Personal Income Tax Law and providing guidance on the implementation of the Decree that elaborates on certain provisions of the Personal Income Tax Law. During this process, the Ministry of Finance will review and consider adjusting the income threshold used as the basis for determining dependents, to ensure better alignment with the socio-economic context and the actual living standards of the population.

Talentnet will continue to provide updates in subsequent newsletters once further detailed guidance is issued by the relevant authorities and agencies.

Sincerely,

Talentnet Corporation