🚨 OFFICIAL UPDATE – Effective from 01/01/2026: Personal Deductions Increase to VND 15.5 Million/Month
Starting from January 1, 2026, taxpayers will enjoy the new Personal Income Tax (PIT) deduction levels
under Resolution 110/2025/UBTVQH15, which officially replaces Resolution 954/2020/UBTVQH14.
💚 Good news: Higher deductions mean employees can keep more of their income.
🔍 1. What’s NEW?
🎯 The nature of the regulation remains unchanged.
Resolution 110 does not alter procedures or add new requirements — it simply updates the deduction figures
to match current living standards.
📊 2. Key Changes
| Item | Old – Resolution 954 (2020) | New – Resolution 110 (2025) |
|---|---|---|
| Personal deduction | VND 11 million/month (VND 132 million/year) | VND 15.5 million/month (VND 186 million/year) |
| Dependent deduction | VND 4.4 million/month | VND 6.2 million/month |
| Effective date | 01/07/2020 – applied for tax year 2020 | 01/01/2026 – applied for tax year 2026 |
| Repealed document | – | Resolution 954/2020 is officially nullified |
❌ 3. What Has Been REMOVED?
– The rule requiring recalculation of PIT for year 2020 (due to mid-year policy changes) no longer exists.
👉 Because Resolution 110 applies strictly from 2026 onward, no transitional adjustments are needed.
💡 What Does This Mean for Employees & Businesses?
- 💰 Higher salaries will not increase PIT thanks to higher deduction levels.
- 🏢 Companies must update payroll software and PIT calculation tools.
- 👨👩👧 Individuals with dependents should register early to optimize PIT for 2026.
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