Decree No. 170/1999/ND-CP amends certain Articles of Decree No. 05/CP dated January 20, 1995 of the Government detailing the implementation of the Ordinance on Income Tax for High-Income Individuals.

DECREE

OF THE GOVERNMENT DECREE NO. 170/1999/NĐ-CP ON DECEMBER 6 1999 AMENDING SOME ARTICLES OF THE GOVERNMENT DECREE NO. 05/CP
JANUARY 20, 1995 ON DETAILED REGULATIONS IMPLEMENTING THE LEGISLATION ON INCOME TAX
FOR HIGH INCOME PERSONS
FOR HIGH INCOME PERSONS

THE GOVERNMENT

Pursuant to the Government Organization Law dated September 30, 1992;

Pursuant to Ordinance No. 14/1999/PL-UBTVQH10 dated June 30, 1999 of the Standing Committee of the National Assembly amending some articles of the Ordinance on income tax for high income persons;

At the proposal of the Minister of Finance,

DECREE:

Article 1. Amending some articles of Government Decree No. 05/CP dated January 20, 1995 on detailed regulations implementing the Ordinance on income tax for high income persons as follows:

Article 4, Point 10, Clause 1 is amended as follows:

''- Unemployment benefits and job loss compensation for subjects as prescribed by the Labor Code''.

2. Clause 2 and Clause 3 of Article 7 are amended as follows:

''2. Vietnamese citizens with income generated within the country and income generated abroad shall apply the Tax Table prescribed in Clause 3, Article 1 of the Ordinance on income tax for high income persons (amended) adopted by the Standing Committee of the National Assembly on February 6, 1997 and Clause 2, Article 1 of Ordinance No. 14/1999/PL-UBTVQH10 dated June 30, 1999 of the Standing Committee of the National Assembly amending some articles of the Ordinance on income tax for high income persons; taxable income shall be determined based on the total income generated within the country and abroad divided by twelve months to apply the corresponding Tax Table.

3. Foreigners residing in Vietnam for 183 days or more and Vietnamese citizens working or serving abroad shall apply the progressive marginal Tax Table prescribed in Clause 2, Article 1 of Ordinance No. 14/1999/PL-UBTVQH10 dated June 30, 1999 of the Standing Committee of the National Assembly amending some articles of the Ordinance on income tax for high income persons''.

3. Clause 2 of Article 12 is amended as follows:

''2. For foreigners:

- If residing in Vietnam from 30 days to 182 days, they shall declare and pay tax according to the Tax Table prescribed in Clause 3, Article 10 of the Ordinance on income tax for high income persons adopted by the Standing Committee of the National Assembly on May 19, 1994.

- If residing in Vietnam for 183 days or more, they shall declare and pay tax according to the progressive marginal Tax Table prescribed in Clause 2, Article 1 of Ordinance No. 14/1999/PL-UBTVQH10 dated June 30, 1999 of the Standing Committee of the National Assembly amending some articles of the Ordinance on income tax for high income persons.

- The period of residence of foreigners in Vietnam shall be calculated for twelve consecutive months for the first tax year, subsequent years shall be determined according to the Gregorian calendar, arrival and departure days shall be counted as one day each''.

Article 2. This Decree takes effect from July 1 1999.

Provisions in Government Decree No. 05/CP dated January 20, 1995 and other guiding documents contrary to this Decree are abolished.

Article 3. The Minister of Finance shall guide the implementation of this Decree.

Ministers, Heads of ministerial-level agencies, Heads of government-affiliated agencies, Chairpersons of provincial and centrally governed city People's Committees are responsible for implementing this Decree.