Vietnam Tax Calculator (2026) — Add or Reverse Tax
Vietnam charges a 10% VAT, a 20% corporate tax rate, and a 35% top personal income tax rate.
How to use this calculator:
- Purchase mode — add VAT to a pre-tax price, or reverse a tax-included total to find the pre-tax price and exact tax paid.
- Profit / salary modes — enter an amount to see the corporate tax owed or a ceiling estimate of personal tax at the top marginal rate.
Understanding Vietnam's Tax System
Vietnam levies VAT at a standard rate of 10%. Its statutory corporate income tax rate is 20%, below the 23.37% global average. The top personal income tax rate is 35%.
Temporary 8% rate applies to many goods through 2026.
Region
Asia
VAT rate
10%
vs. world average corporate rate
3.4 points below the 23.37% global average
Why Reverse Tax Calculation Matters
Receipts and invoices usually show only the tax-included total — not the pre-tax price. Reversing the calculation matters for bookkeeping, expense claims, and cross-border price comparisons. Because dividing by (1 + rate) isn't the same as simply subtracting the rate, doing this by hand is a common source of errors — select "Reverse" in the purchase-mode calculator above to handle it exactly.
History & Context
Vietnam passed a new Corporate Income Tax Law effective October 1, 2025, overhauling incentive structures for priority sectors including semiconductor manufacturing, AI data centers, renewable energy, and automobile assembly — preferential rates as low as 10%, 15%, or 17% (versus the standard 20%) plus tax holidays for qualifying investments.
Vietnam has also extended a temporary 2% VAT rate cut for many sectors through 2026, targeting retail, automotive, and manufacturing specifically — part of a broader strategy to keep Vietnam competitive as a manufacturing alternative amid global supply-chain diversification away from China.
Business Use Case
A semiconductor manufacturer setting up operations in Vietnam after October 2025 can access preferential CIT rates and multi-year tax holidays specifically because Vietnam's new corporate tax law prioritizes high-tech manufacturing — a significant incentive difference compared to setting up in a non-prioritized sector.
Real-World Examples
VAT on a purchase
A ₫1,000.00 purchase in Vietnam at 10%:
- Tax: ₫1,000.00 × 10% = ₫100.00
- Total: ₫1,100.00
Corporate tax on profit
₫1,000.00 in company profit in Vietnam at 20%:
- Tax: ₫1,000.00 × 20% = ₫200.00
- After-tax profit: ₫800.00
Frequently Asked Questions — Vietnam Taxes
What is the VAT rate in Vietnam?▾
What is the corporate tax rate in Vietnam?▾
What is the top personal income tax rate in Vietnam?▾
How is tax calculated on a purchase in Vietnam?▾
How do I reverse Vietnam's VAT to find the price before tax?▾
References & Sources
Rates last verified for 2026. Tax rates change through national budgets — always confirm current figures with a qualified local tax advisor before making business or relocation decisions. This tool is for estimation and educational purposes only and is not tax, legal, or accounting advice.
Jordan Hayes
Verified AuthorLead Content Editor & Personal Finance Specialist
Jordan Hayes is a personal finance content strategist with 9+ years building educational finance and health resources. He has written and fact-checked over 200 personal finance guides covering mortgage amortization, retirement planning, tax strategy, and budgeting. His work applies IRS publications, Federal Reserve data, and peer-reviewed research to make complex calculations accessible.