How to use the Freelancer & Business Tax Calculator

This tool helps freelancers and small business owners in Vietnam estimate their tax obligations.

1. Choose Calculation Mode

• Personal (Withholding 10%): Use this for one-time service contracts, freelance gigs, or commissions where the payer deducts 10% PIT before paying you.
• Business Household (HKD): Use this if you are registered as a business household (Hộ kinh doanh cá thể) paying "flat tax" based on revenue.

2. Enter Information

• Total Amount: The gross amount written in your contract or your total revenue.
• Business Sector (For HKD mode): Select the industry that matches your business license, as tax rates vary:
  • Distribution: 1.5% total (1% VAT, 0.5% PIT).
  • Services/Consulting: 7% total (5% VAT, 2% PIT).
  • Construction/Production: 4.5% total (3% VAT, 1.5% PIT).

3. Important Notes

• Withholding 10%: Only applies to contracts of 2,000,000 VND or more.
• 100M Threshold: For Business Households, you are only liable for VAT and PIT if your total annual revenue exceeds 100 million VND.
• Form 08: If your total annual income is estimated to be below the taxable threshold (approx 132M/year with no dependents), you can submit a commitment form to avoid the 10% withholding.