Is the Tet bonus subject to personal income tax?

VTV.vn - Tet bonuses paid by businesses are taxable income subject to personal income tax, except for certain state awards and emulation titles which are exempt.

Many businesses now maintain the practice of paying a 13th-month salary, and even other Lunar New Year bonuses, as a way to motivate and care for their employees after a year of hard work. This bonus may be recorded as a 13th or 14th-month salary, or combined into a single Lunar New Year bonus, in addition to the regular 12 months' salary.

According to point e, clause 2, Article 2 of Circular 111/2013/TT-BTC of the Ministry of Finance , bonuses, whether in cash or in kind, in any form, are considered income from salaries and wages and are subject to personal income tax. Therefore, Tet bonuses paid by businesses are taxable income and are added to income when settling taxes as prescribed.

Only certain specific bonuses are tax-exempt, including: Bonuses associated with honorary titles awarded by the State; Ho Chi Minh Prize, State Prize; Certificates of Merit, and Commendations under the Law on Emulation and Commendation.

Tet bonuses paid by businesses are not subject to this exemption.

Several localities have now announced their Tet bonus plans for 2026 for employees, with bonuses reaching up to 350 million VND per person in Khanh Hoa .

Accordingly, the Department of Internal Affairs of Khanh Hoa province stated that it has submitted a report on the labor and wage situation in 2025 and the Tet bonus plan for 2026 to 764 enterprises with more than 62,000 employees in the area.

Regarding Tet bonuses for the Lunar New Year of the Horse in 2026, more than 520 businesses have planned to reward their employees with an average amount of over 9.4 million VND per person. Notably, foreign-invested enterprises have an average bonus of over 7.5 million VND per person; the highest is 350 million VND per person; and the lowest is 500,000 VND per person.

Source: https://vtv.vn/thuong-tet-co-phai-dong-thue-thu-nhap-ca-nhan-100251223172452671.htm