Vietnam Tax Calculator (2026) β 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 β 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 β 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 23.58% 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
3.6 points below the 23.58% global average
Why Reverse Tax Calculation Matters
Receipts and invoices usually show only the tax-included total, so separating revenue from tax collected β for bookkeeping or cross-border comparisons β means working backward from that total. Dividing by (1 + rate) isn't the same as subtracting the rate, which is why selecting "Reverse" in the purchase-mode calculator above handles 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 β 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 β 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 β a significant incentive difference compared to setting up in a non-prioritized sector.
Real-World Examples
VAT on a purchase
A β«1,000.00 purchase in Vietnam at 10%:
- Tax: β«1,000.00 Γ 10% = β«100.00
- Total: β«1,100.00
Corporate tax on profit
β«1,000.00 in company profit in Vietnam at 20%:
- Tax: β«1,000.00 Γ 20% = β«200.00
- After-tax profit: β«800.00
Extracting VAT from a receipt total (reverse)
A receipt shows a β«1,499.00 tax-included total in Vietnam at 10%:
- Pre-tax price: β«1,499.00 Γ· (1 + 10%) = β«1,362.73
- VAT: β«1,499.00 β β«1,362.73 = β«136.27
Frequently Asked Questions β Vietnam Taxes
What is the VAT rate in Vietnam?βΎ
What is the corporate tax rate in Vietnam?βΎ
What is the top personal income tax rate in Vietnam?βΎ
How is tax calculated on a purchase in Vietnam?βΎ
How do I reverse Vietnam's VAT to find the price before tax?βΎ
References & Sources
Methodology: headline VAT/GST and corporate rates are sourced from the OECD Corporate Income Tax Rates Database and Tax Foundation's global rate tables for 2026; figures reflect the national statutory rate and do not include sub-national, sector-specific, or temporary rate variations unless noted in the text above. Tax rates change through national budgets β always confirm current figures with a qualified local tax advisor before making business or relocation decisions.
Rates last verified for 2026. This tool is for estimation and educational purposes only and is not tax, legal, or accounting advice.
Jordan Hayes
Verified AuthorPersonal Finance Content Strategist
Jordan is a personal finance content strategist with 9+ years writing about mortgages, retirement, tax strategy, and budgeting. Every guide is cross-referenced with IRS publications, Federal Reserve data, and CFPB guidance to make complex calculations accessible. Editor at CalculatorApp.me.
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Tax-rate data, review & limitations
Jurisdiction: Vietnam. Effective date: January 1, 2026. Reviewed by CalculatorApp.me editorial staff on July 26, 2026; next scheduled review: October 26, 2026.
Rates are reference estimates, not tax advice. Local rules, exemptions, filing status, and effective dates can change the amount due.
Primary sources
- OECD Tax Database
- Tax Foundation corporate-tax and VAT datasets
- Applicable national revenue authority guidance