On 26 December 2013, Government officially released Decree
218/2013/ND-CP (“Decree 218”) providing guidelines for implementation of
the amended CIT Law.

Decree 218 shall take effect from 15 February 2014 and apply for tax period from 2014 onwards.

We wish to provide a summary of some salient points of Decree 218 below for your information:

Determination of taxable income

  • Income
    from transfer of real estate, transfer of investment project, the right
    to participate in projects of investments, the right to explore,
    extract, and process minerals must be separately recorded.
  • Losses
    from transfer of investment projects (except for mineral exploration and
    mineral extraction projects), transfer of rights to participate in
    investment projects (except for mineral resources exploitation and
    mineral extraction projects), transfer of immovable property are allowed
    as an offset against profits from normal business activities.

Click links to download full document in English and Vietnamese version.