Vietnam’s Ministry of Finance has proposed adding income from digital asset transfers into the scope of personal income tax, with a rate of 0.1% per transaction value, similar to securities.
Crypto trading in Vietnam may face 0.1% tax, similar to stocks
In the draft of the Personal Income Tax Law recently submitted, the Vietnam’s Ministry of Finance emphasized the need to add a new category called “other income” to cover emerging sources in the digital economy. Notably, this list includes income from transferring digital assets, such as Bitcoin, Ethereum, and other tokenized assets.
Objectives of the proposal
The Ministry of Finance outlined several reasons for expanding taxable income:
- Political – policy direction: Party Resolution No. 07-NQ and National Assembly Resolution No. 23/2021 both call for expanding the tax base and tapping revenue potential.
- Economic – social: The rise of the digital economy and new forms of assets make the current framework outdated.
- International practice: Most countries already have categories for “occasional/other income” to ensure coverage and avoid missing taxable flows.
Why this matters
- This marks the first time digital assets are formally included in the PIT framework, after being legalized under the Digital Technology Industry Law, passed by the National Assembly in June.
- If adopted, individuals trading Bitcoin or Ethereum on licensed exchanges in Vietnam will be required to pay tax for every transaction, thereby fulfilling tax obligations to the state.
- The proposal shows Vietnam is accelerating efforts to complete its legal framework for digital assets, paving the way for legitimate crypto trading in the near future. Bringing crypto into the tax system also signals growing recognition of these assets as legitimate, potentially attracting new capital inflows.
Proposed tax mechanism
According to the draft:
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PIT under “other income” applies only when a single transaction exceeds 20 million VND. The portion above this threshold will be taxed at 5%.
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If individuals transfer digital assets outside transparent exchanges (e.g., OTC trades, direct transfers, or in the absence of licensed platforms), such activity will likely fall under this group, meaning 5% tax on the portion above 20 million VND.
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For digital asset transactions on transparent, licensed exchanges conducted regularly, the Ministry proposes a rate of 0.1% of the transaction value each time, mirroring stock market taxation. In this case, sellers pay tax per trade, regardless of profit or loss.
In practice, a trader in Vietnam would face two scenarios:
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On a licensed, transparent exchange, 0,1% tax on each transaction.
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Outside such exchanges, 5% tax on income exceeding 20 million VND per occurrence.
Context and related developments
- Globally, major economies such as France, the U.S., the U.K., Japan, and South Korea are considering or have already implemented crypto taxation. Against this backdrop, Vietnam’s proposal is deemed essential to complete its legal system, align with international norms, and establish a framework for managing digital assets.
- The Ministry of Finance is also finalizing a pilot resolution for licensing five domestic digital asset exchanges, which would allow popular tokens like Bitcoin and Ethereum to be listed and traded legally in Vietnam.
- Implementing taxation alongside licensed exchange pilots is seen as a strategic step to bring crypto under transparent and fair regulation, while expanding the national tax base.
Coin68 Team
