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pants
Joined: 17 Feb 2005 Posts: 7
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Posted: Wed May 11, 2005 4:09 am Post subject: Are these scary tax law rumours true? |
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Recently I heard that a girl left Vietnam and the school she had been working at taxed her final pay massively. I was told there is a law that if you work for less than 180 days since January, and then leave, then these huge tax penalties apply. I want to leave at the end of the month but i'm worried that my final pay, which i desperately need, will be subject to this tax.
Does anyone have any definite information about this? Thanks... |
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Mr Wind-up Bird
Joined: 22 Sep 2004 Posts: 196
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Posted: Wed May 11, 2005 8:08 am Post subject: |
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The law is that for the first 6 months you work in Vietnam, you're taxed at 25% instead of the usual 10%, the difference being reimbursed to you should you stay longer. Those schools that follow the law should tax your firat 6 monthly pay packets at 25%, then reimburse you the 15% difference at the end of the 7th month. I only know of 2 schools, SEAMEO and Apollo, that do this. The idea behind the law is to stop foreigners coming in, making a packet in 6 months & then clearing off having contributed little to the local economy.
I've never heard of anyone having their final pay packet docked though, which sounds a bit naughty. If in doubt, check with the school ASAP! |
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pants
Joined: 17 Feb 2005 Posts: 7
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Posted: Wed May 11, 2005 12:19 pm Post subject: |
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Thanks Mr Wind-Up Bird. I actually work for a 'good school' and so far that's what has happened. (25% in the first six months and now 10%) But I seem to be surrounded by hysteria. I think she must have worked for a dodgy school, can't recall the name of the place today.
Hope you're not spending too much time in dry wells, if you know what I mean...( if you don't get the reference feel free to think I'm crazy). |
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Blade
Joined: 17 Mar 2005 Posts: 44
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Posted: Thu May 12, 2005 2:09 am Post subject: |
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Mr Wind-up Bird wrote: |
The law is that for the first 6 months you work in Vietnam, you're taxed at 25% instead of the usual 10%, the difference being reimbursed to you should you stay longer. Those schools that follow the law should tax your firat 6 monthly pay packets at 25%, then reimburse you the 15% difference at the end of the 7th month. I only know of 2 schools, SEAMEO and Apollo, that do this. The idea behind the law is to stop foreigners coming in, making a packet in 6 months & then clearing off having contributed little to the local economy. |
Also they may want to dissuade travelers/backpakers from coming and going.
I do think English teachers in Vietnam contribute to the economy. They pay rent, eat, shop, and put their money back in the community. Over-charging foreigners and theft occur constantly also. |
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Micro67

Joined: 29 May 2003 Posts: 297 Location: HCMC, Vietnam
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Posted: Thu May 12, 2005 3:22 am Post subject: Just a note |
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To make sure your move to Việtnam goes smoothly you should request your criminal record and have it notorized before leaving home.
My understanding is that this requirement for a work permit is starting to be enforced and not having it could cause another unneccessary headache. |
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H5N1

Joined: 15 Feb 2005 Posts: 80
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Posted: Fri May 13, 2005 5:04 am Post subject: Re: Just a note |
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Micro67 wrote: |
My understanding is that this requirement for a work permit is starting to be enforced and not having it could cause another unneccessary headache. |
I agree with this statement.
I have talked with some new arrivals here who cannot get work because they don't have criminal background checks.
Also I am told that if you have the original degree from your university you still need to prove that it isn't a fake. |
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