Types of Company Registration in Vietnam

1. Vietnam Limited Liability Company (Wholly Foreign-Owned LLC)

   A minimum of 1 shareholder is required, with no nationality restrictions. Eligible shareholders include individuals (aged 18 or above) or corporate entities.

   A local bank account must be opened for the Vietnam-registered company.

   The injection of share capital as well as trade receipts and payments are subject to the approval of the Foreign Investment Certificate (FIC). A minimum investment of US$100,000 is required for FIC approval, and the capital must be fully injected within 3 months of company registration completion.
2. The Vietnam Branch

   Foreign companies may establish a branch in Vietnam, provided that the parent foreign company has been in operation for at least five years.
3. The Vietnam Representative Office

   Foreign companies may set up a representative office in Vietnam, on the condition that the parent foreign company has been in operation for more than one year.

Major Tax Types in Vietnam

1. Corporate Income Tax (CIT): 20% to 50%.
2. Value Added Tax (VAT): 0%, 5% or 10% (standard rate: 10%).
3. Personal Income Tax (PIT): Levied based on the taxpayer’s residency status:
   • Resident taxpayers are taxed on their global income.
   • Non-resident taxpayers are taxed only on income derived from Vietnam.
4. Foreign Contractor Tax (FCT): 5% to 35%.