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India vs Vietnam Tax Comparison
Side-by-side comparison of tax rates and systems
Tax Rate Comparison
Rate Comparison
Top Income Tax
India42.7%
Vietnam35%Lower
Corporate Tax
India25.2%
Vietnam20%Lower
Capital Gains
India20%
Vietnam20%
VAT / Sales Tax
India18%
Vietnam10%Lower
| Category | India | Vietnam |
|---|---|---|
| Tax System | Progressive | Progressive |
| Top Income Tax | 42.7% | 35% |
| Corporate Tax | 25.2% | 20% |
| Capital Gains | 20% | 20% |
| VAT / Sales Tax | 18% | 10% |
| Crypto Tax | Yes | No |
| Wealth Tax | No | No |
| Tax Treaties | 95 | 81 |
| Currency | INR | VND |
The bottom line: India 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. India runs a progressive tax system, while Vietnam uses a progressive one. On crypto, Vietnam is the more favourable — it does not tax cryptocurrency gains. India has the wider tax-treaty network (95 agreements), which can reduce withholding tax on cross-border income.
- Income tax: Vietnam is lower (42.7% vs 35%)
- Corporate tax: Vietnam is lower (25.2% vs 20%)
- Capital gains tax: identical in both (20%)
- VAT / sales tax: Vietnam is lower (18% vs 10%)