📌 OFFICIAL DOCUMENT No.01/TCS14-QLDN1 ISSUED: SALARIES OF 5 MILLION VND OR MORE MUST BE PAID VIA BANK TRANSFER – WHAT SHOULD ACCOUNTANTS NOTE?

📌 OFFICIAL DOCUMENT No.01/TCS14-QLDN1 ISSUED: SALARIES OF 5 MILLION VND OR MORE MUST BE PAID VIA BANK TRANSFER – WHAT SHOULD ACCOUNTANTS NOTE?

On January 5, 2026, the District 14 Tax Sub-department of Ho Chi Minh City issued Official Document No.01/TCS14-QLDN1, officially clarifying that:Salary payments of 5 million VND or more must be supported by non-cash payment evidence in order to be included as deductible expenses for corporate income tax (CIT) purposes.

🔎 LEGAL BASIS

👉 Clause 1, Article 9 of Decree No.320/2025/NĐ-CP stipulates that:

“Expenses for the purchase of goods and services and other payments made on per-transaction basis with a value of 5 million VND or more must be supported by non-cash payment evidence.”

➡ Salary payments are classified as “other payment”.
Accordingly, cash salary payments of 5 million VND or more/transaction are not eligible to be treated as deductible expenses.

💡 CONCLUSION FROM OFFICIAL DOCUMENT No.01/TCS14-QLDN1

• ✔ Salary payments of 5 million VND or more/transaction
  ➡ MUST be made via non-cash payment methods
  .
  ➡ In order to be eligible as deductible expenses for corporate income tax (CIT) purposes.
• ❌ Cash salary payments of 5 million VND or more/transaction
  ➡ Are not ineligible for deduction.

💳 HOW MANY FORMS OF NON-CASH PAYMENT ARE ACCEPTABLE?

According to Decree No.181/2025/NĐ-CP, there are 11 valid forms.
In practice, accountants commonly apply the following methods:

• ✔ Bank transfer
• ✔ Authorized third-party payment (as stipulated in the contract)
• ✔ Offsetting of receivables and payables (with a reconciliation statement)
• ✔ Employees receive an advance – the company reimburses them via bank transfer.
• ✔ Making multiple purchases in one day, totaling 5 million VND or more → bank transfer is still required.

⚠️ Important note:
🚫 Cash deposits into the recipient’s bank account are not accepted as non-cash payment.
🚫 Splitting payments to “circumvent the rules” is not allowed if the total daily payment is VND 5 million or more.

🧾 REGARDING VALUE ADDED TAX (VAT) DEDUCTION

From July 1, 2025, in order to be eligible for input VAT deduction, enterprises must simultaneously meet the following conditions:

• ✔ Have a valid VAT invoice; and
• ✔ Have proof of non-cash payment (for bank transfers of ≥ 5 million VND).

👉 This regulation is uniformly applied under Decree No.181/2025/NĐ-CP.

📢 IN SUMMARY – WHAT ACCOUNTANTS & HR NEED TO REMEMBER

• ✔ Salary payments of 5 million VND or more/transaction → must be made via bank transfer.
• ✔ Cash payments → Risk of corporate income tax (CIT) expenses being disallowed.
• ✔ Enterprises should review wage policies – payment procedures – accounting document from the beginning of 2026

👉 This reflects the official position of the tax authorities,
There is no longer any “ambiguous” interpretation.

📌 Save and share this with HR and accounting departments to avoid mistakes from the very first payroll period of 2026.