On May 10, 2024, the General Department of Taxation issued Official Letter No. 1982/TCT-DNNCN on the guidance of personal income tax policy for the annual vacation expenses for workers who are eligible for emulation and commendation to go on vacation of the Company.
Based on legal regulations, in principle, in case the vacation expense that the Company pays for the worker and the expense clearly states the name of the individual beneficiary, then this amount is counted into the taxable personal income of the worker; In case the common expense for the collective of workers does not clearly state the name of the individual beneficiary, then this income is not counted into the taxable personal income of the worker.
