Job Discussion Forums

blateson · Joined: 12 Mar 2006 Posts: 144

Gotten a copy of the official new tax law effective Jan 1st? I have and by my calculations, the average full time working teacher will see an average of 52% increase in the amount of monthly taxes they pay for wages earned versus the current average amount. Furthermore, now ALL tax ranges are hit, not just over 8,000,000. Argue all you want that "it's still more 'back home'" but then again, this isn't back home.

spycatcher reincarnated · Joined: 19 May 2005 Posts: 236

Looks to me as if you have missed the single personal allowance

http://www.pwc.com/Extweb/pwcpublications.nsf/docid/0164EDE2A56DCA06CA2572A300199C9A/$FILE/VN_22Nov07.pdf

This has been updated with this:

http://www.pwc.com/Extweb/pwcpublications.nsf/docid/0164EDE2A56DCA06CA2572A300199C9A/$FILE/vn_8sep08.pdf

but still nothing has been finalized. Overall I don't think it will make much difference for the average English teacher.

Joe Dolce · Joined: 13 Jun 2006 Posts: 30

These are all estimates, but it seems to me the first post is correct even taking into account the greatly reduced personal allowance. Now a teacher with a gross of $1500 pays about $120 tax, but this increases to $185 under the new system. A teacher with a gross of $1900 goes from paying about $200 now to $270 next year. If you earn more, the difference gets to about $100 and then flattens out.

These tax changes are due to WTO regulations which say you can't have different tax systems for locals and foreigners. This being the PEOPLE's republic of Viet Nam, the worst hit are as always the poorest.