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China vs Vietnam Tax Comparison
Side-by-side comparison of tax rates and systems
Tax Rate Comparison
Rate Comparison
Top Income Tax
China45%
Vietnam35%Lower
Corporate Tax
China25%
Vietnam20%Lower
Capital Gains
China20%
Vietnam20%
VAT / Sales Tax
China13%
Vietnam10%Lower
| Category | China | Vietnam |
|---|---|---|
| Tax System | Progressive | Progressive |
| Top Income Tax | 45% | 35% |
| Corporate Tax | 25% | 20% |
| Capital Gains | 20% | 20% |
| VAT / Sales Tax | 13% | 10% |
| Crypto Tax | Yes | No |
| Wealth Tax | No | No |
| Tax Treaties | 110 | 81 |
| Currency | CNY | VND |
The bottom line: China vs Vietnam
Vietnam has the lower headline rate on 3 of the four main taxes (income, corporate, capital gains and VAT), making it the lighter-taxed of the two on paper. China runs a progressive tax system, while Vietnam uses a progressive one. On crypto, Vietnam is the more favourable — it does not tax cryptocurrency gains. China has the wider tax-treaty network (110 agreements), which can reduce withholding tax on cross-border income.
- Income tax: Vietnam is lower (45% vs 35%)
- Corporate tax: Vietnam is lower (25% vs 20%)
- Capital gains tax: identical in both (20%)
- VAT / sales tax: Vietnam is lower (13% vs 10%)