Question: I am currently the Director and legal representative of Company A (a single-member limited liability company wholly owned by Corporate Entity C in Norway). At present, Company B is carrying out dissolution procedures in Vietnam. During this transitional period, my salary is being paid directly by the parent company until the dissolution of Company B is completed.
Please advise whether my personal income, as described above, falls within the scope of application of the Global Minimum Tax. What conditions should our enterprise pay attention to with respect to this tax?
Answer:
With respect to the nature and scope of application of the Global Minimum Tax pursuant to Resolution No. 107/2023/QH15 and Decree No. 236/2025/ND-CP, our advisory opinion is as follows:
1.Taxable subjects
The Global Minimum Tax is a supplementary corporate income tax. Pursuant to Article 2 of Resolution No. 107/2023/QH15, the applicable subjects are constituent entities (legal entities) of multinational enterprise groups whose consolidated revenue in the ultimate parent company’s consolidated financial statements reaches the prescribed threshold.
This tax is imposed directly on corporate income in order to ensure that the effective tax rate reaches a minimum of 15%. It is not a tax imposed on the income of individuals working for such enterprises.
Conclusion: The individual’s salary income (Ms. A) is subject to personal income tax regulations and does not fall within the scope of the Global Minimum Tax.
2.Conditions for determining the enterprise’s tax obligations: Although the Vietnamese subsidiary (Company B) is in the process of dissolution, the Group is still required to review the following conditions in order to determine whether any additional tax obligation arises for the legal entity prior to completion of the dissolution procedures:
Group revenue threshold: Review whether the consolidated revenue of the ultimate parent company reaches at least EUR 750 million in at least two (02) out of the four (04) fiscal years immediately preceding the relevant fiscal year.
Effective Tax Rate (ETR) in Vietnam:
If the total actual corporate income tax paid by the group in Vietnam (after application of tax incentives, if any) is lower than the minimum floor of 15% of net income, the enterprise shall be required to pay the Qualified Domestic Minimum Top-up Tax (QDMTT).
De minimis exclusion: The top-up tax in Vietnam shall be determined as zero (0) if, in the relevant fiscal year, the group simultaneously satisfies:
Average revenue in Vietnam of less than EUR 10 million; and
Average income in Vietnam of less than EUR 1 million (or a loss).
Note: The review of consolidated financial statements and determination of the above revenue and profit thresholds are the responsibility of the ultimate parent company (Corporate Entity C). The enterprise must complete all tax declaration and payment obligations (if any) before the tax authority approves the completion of dissolution procedures and the closure of the tax code.
Reference consultation: Tax advisory legal services
