paying my rent vs company paying my rent

Posted by m@ (1433 days ago)

ok what difference does it make.

Say i get 3000 per month, but no housing and my rent is 1000 - does it make any difference to me in terms of tax/foriegner housing costs etc to pay the rent myself versus taking 2000 per month and getting 1000 worth of housing supplied by the company?

does my question make sense? ANy advice?

Please let me know anyone with experience here

Posted by M (1319 days ago)

so then if i make 3200 i pay 20 percent = 640 = take home 2660

if i make 3250 i pay 30 percent = 975 = take home 2275

Yup, that sounds like VN

Posted by ldldjr (1319 days ago)

It depends on which tax laws you are subject to and the details therein. Are you exempt from taxes in VN? What are the tax laws of your home country.

Posted by BJS (1319 days ago)

Hi,
These are the tax rates effective July 1st, hope it helps

Government Decree 147/2004/ND-CP

US$ Local Foreigners VN working o/seas
510-2500 10-30%
2500> 40%

510-1280 10% 10%
1280-3200 20% 20%
3200-5100 30% 30%
5100> 40% 40%

Posted by BJS (1319 days ago)

These were in Saturdays Viet News and for expats and Vietnamese working overseas it read as though the rate was a flat rate for each band

eg over US$5100 - 40% tax

Posted by BJS (1319 days ago)

These were in Saturdays Viet News and for expats and Vietnamese working overseas it read a sthough the rate wa flat for each band

eg over US$5100 - 40% tax

Posted by EH (1319 days ago)

Above info is correct. It is tax efficient for the company to have residential lease contract in their name. However the price you pay for accom will increase as the landlord will be liable for tax on the monies they receive from the company. Swings and roundabouts!!!!

Posted by vnexpat (1319 days ago)

If I were you, negotiate your salary based on net income - stipulate that all local taxes are the responsibility of your employer. Don't even ask about how much they need to pay (or pay off) the gov't.

That way you'll avoid all the red tape and let your employer take the risks of the tax situation of VN. If I were I would put your employer between you and every gov't requirement. Let them deal with the application for all the visa/resident permit as well.

They couldn't pay you enough to deal with it all on your own.

Posted by m@ (1319 days ago)

one problem...i run the company

Posted by m@ (1319 days ago)

so the housing allowance then reduces my taxable income (and potentially drops me to a lower income bracket and decreases the tax rate also)

that right?

Posted by m@ (1319 days ago)

ld- i pay tax here. been a long time out of australia, so still avoiding motherland tax