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Destinations · Vietnam

Vietnam

Cheapest cost base in Asia and 5% on dividends, but no visa built for you.

Tax regime

Worldwide tax

Australia treaty

AU tax treaty

Flight from Sydney

~9 hours

Timezone

3h behind AEST

How Vietnam taxes youindicative

Vietnam taxes residents (183+ days, or a permanent/leased home) on worldwide income. Employment and business income runs through progressive rates up to 35%; investment income gets flat final rates instead, 5% on dividends and interest, 0.1% of gross proceeds on securities sales, 20% on gains from private capital transfers, and 2% of proceeds on real estate. The Australia treaty provides a tie-breaker and credits. Enforcement against foreigners' offshore income has historically been light, but the law is worldwide and CRS data-sharing is closing the gap.

Salary
Progressive 5, 35% on worldwide employment income; the 35% band starts around A$58k/year equivalent, high earners hit the top rate fast.
Capital gains
Securities: 0.1% of gross sale proceeds (final), cheap if you win, painful if you sell at a loss. Private company stakes: 20% on the gain. Property: 2% of proceeds.
Dividends & interest
Flat 5% on dividends and bank interest, one of the lowest investment-income rates anywhere.
Crypto
Crypto sits in a legal grey zone: not recognised as an asset or payment means, with a regulatory framework legislated to take effect from 2026 (pilot exchanges, expected transaction taxes). Today, taxation of personal crypto gains is untested in practice.
Social security
Compulsory social insurance applies to employees on Vietnamese labour contracts (foreigners included, ~10.5% employee side, capped); remote workers for foreign employers are outside it.

Australia has a tax treaty with Vietnam

A treaty gives you two things that matter. First, a tie-breaker: if both countries claim you as a resident, the treaty cascade (permanent home → vital interests → habitual abode → nationality) decides who wins. You can’t simply be fully taxed twice on the same income. Second, reduced withholding on Australian-source income you keep: unfranked dividends at 15% and interest at 10% instead of the default non-treaty rates.

Walk your own facts through the cascade with the Treaty Tie-Breaker tool.

Visa pathways

Every pathway carries a tax-residency consequence, the row most visa guides leave out. A visa gets you in; it doesn’t decide who taxes you.

Work permit + TRC

workindicative

Employer-sponsored work permit (degree + 3 years relevant experience, or expert status) leading to a temporary residence card of up to 2 years.

  • Skilled occupation required
  • Employer sponsor required
  • Family can come

Timeline: ~3 months from application to arrival

Tax residency: Meeting its conditions makes you tax resident there, usually what you want, because a genuine new tax home is your strongest fact against Australia.

The only stable long-stay route for employees. Paperwork is heavy (legalised degrees, police checks) and rules tightened in 2023.

Investor visa (DT1, DT4)

businessindicative

Residence tied to capital invested in a Vietnamese company: DT4 under VND 3bn (~A$180k) gives visas only; DT3 (VND 3, 50bn) gives a TRC up to 3 years.

  • Investment $180,000+
  • Family can come

Timeline: ~4 months from application to arrival

Tax residency: Meeting its conditions makes you tax resident there, usually what you want, because a genuine new tax home is your strongest fact against Australia.

Real company, real licensing, real accounting. Popular with founders and F&B owners; small investments get short visas.

E-visa runs (90 days)

nomadindicative

Multiple-entry 90-day e-visas, repeated, the de facto nomad "pathway" since Vietnam has no nomad visa.

  • No family inclusion

Timeline: ~0 months from application to arrival

Tax residency: Doesn’t change tax residency either way on its own, your facts on the ground (home, family, time) decide.

Working remotely on a tourist-class e-visa breaches its conditions, and perpetual 90-day cycles leave you without a settled home anywhere, the exact pattern that keeps the ATO's resides test satisfied. There is no legal laptop-visa route here yet.

Spouse/family TRC (TT)

familyindicative

Temporary residence up to 3 years for spouses/children of Vietnamese citizens or TRC holders.

  • Family can come

Timeline: ~2 months from application to arrival

Tax residency: Meeting its conditions makes you tax resident there, usually what you want, because a genuine new tax home is your strongest fact against Australia.

Solid for mixed-nationality families; does not itself grant work rights (a work permit is still needed).

What Ho Chi Minh City costsindicative

Typical expat defaults in AUD, the same figures the Break-Even Calculator pre-fills for Vietnam. Treat them as comparison-grade, not budget-grade.

Rent, family home in Ho Chi Minh City (per month)est. $2,200indicative
Rent, 1, 2br couple/single (per month)est. $1,200indicative
International school (per child, per year)est. $20,000indicative
Private health, family (per year)est. $4,500indicative
Private health, single (per year)est. $1,500indicative
One-off relocation (movers, flights, deposits)est. $12,000indicative
Return flight home (per person)est. $1,200indicative
Day-to-day cost index vs Sydney (ex-rent)40%indicative

Honest downsides

  • No digital nomad visa and no retirement visa: unless you have a job, a company or a Vietnamese spouse, there is no compliant way to live here long-term.
  • The 35% top band arrives at a low threshold, a good Australian salary earned as a Vietnamese resident is taxed harder than in Australia.
  • Banking and moving money is bureaucratic: the dong is not freely convertible and repatriating funds requires documentation.
  • Healthcare below international-clinic level is poor; anything serious means Bangkok or Singapore.
  • Air quality in Hanoi ranks among the world's worst several months a year.

What most people miss about Vietnam

  • Resident from day one if you lease a home: Vietnam treats having a leased residence (183+ days lease term) as residency even below the day count, your "part-year scouting trip" may already be a full tax year.
  • Worldwide progressive rates apply to Australian salary or business income you keep earning, at Vietnamese thresholds, 35% starts around A$58k, above Australia's effective take at that income.
  • The 0.1%-of-proceeds securities tax applies even when you sell at a loss. It is a turnover tax, not a gains tax, and there is no credit against Australian CGT for a tax on proceeds.
  • Non-residents pay a flat 20% on Vietnam-source employment income, mis-time your arrival and the first months are taxed worse than either resident schedule.

Run your numbers for Vietnam

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