Vietnam-US double taxation avoidance agreement approved hinh anh 1Illustrative photo (Photo: VNA)

Hanoi (VNA) – The Government recently issued a resolution to ratify an agreement and a protocol on avoiding double taxation and preventing income tax evasion between Vietnam and the United States of America.

The Ministry of Foreign Affairs was asked to complete necessary procedures in accordance with law.

Meanwhile, the Ministry of Finance was directed to work with relevant ministries and agencies to carry out the agreement and protocol after they take effect.

On July 7, 2015, Deputy Minister of Finance Vu Thi Mai and US Deputy Secretary of State for Economic Growth, Energy and the Environment Catherine A. Novelli signed the agreement.

The agreement aims to avoid or eliminate double taxation of the same income in the two countries while creating a legal framework for Vietnam’s taxation department and foreign taxation agencies in international tax management.

By August 10, 2016, Vietnam had inked agreements on avoidance of double taxation and prevention of income tax evasion with 75 countries and territories worldwide. -VNA