Question: The company has a meeting expense (paid in cash) for employees attending meetings organized by the company (this expense is stipulated in the company’s internal spending regulations). So, my question is: Can the company include this expense as a reasonable cost when calculating corporate income tax (CIT)? Do employees have to pay personal income tax (PIT) on this amount?Answer: Based on Article 2 of Circular No. 111/2013/TT-BTC dated August 15, 2013, of the Ministry of Finance, which guides personal income tax (PIT) and stipulates income subject to PIT. Based on Article 4 of Circular No. 96/2015/TT-BTC dated June 22, 2015, of the Ministry of Finance, which amends and supplements Article 6 of Circular No. 78/2014/TT-BTC dated June 18, 2014, of the Ministry of Finance, guiding corporate income tax (CIT).In the case where the company incurs meeting expenses in cash for its employees, if this expense meets the conditions specified in Article 4 of Circular No. 96/2015/TT-BTC, it can be considered a deductible cost when determining corporate income tax (CIT) and must be included in the personal income tax (PIT) calculation for the employees
Is Meeting Expense Considered a Reasonable Cost for Corporate Income Tax?
