In 2025, he earned: - Income from CodeZap, an overseas coding platform, for software projects: VND2,800 million net after 5% commission to a Vietnamese agency.. Accounting profits for th
Trang 1F6 ACCA Practice Exam
Prepared for Exam Preparation
Date: 1 October 2025
Trang 21 Part 1: Questions
1.1 Question 1
This scenario relates to two requirements
Mr Tuan, a 42-year-old Vietnamese citizen with three dependants, works as a freelance software developer In 2025, he earned:
- Income from CodeZap, an overseas coding platform, for software projects: VND2,800 million (net after 5% commission to a Vietnamese agency)
- Consulting fees from a local tech firm, TechVN, for system upgrades: VND1,200 million (net after 10% provisional PIT deduction)
Mr Tuan incurred VND700 million in documented expenses (software licenses, cloud services) for his work
He was granted a stock option by TechVN to purchase 8,000 shares at VND15,000 per share (market value at grant: nil) By 31 December 2025, the share price was VND20,000, but he did not exercise the option
Per Vietnamese tax guidance, income from overseas digital platforms exceeding VND100 million annually is subject to 2% PIT and 5% VAT, treated as business income
(a) Explain:
- The PIT treatment of Mr Tuan’s expenses for his software development work
- The party responsible for filing and paying PIT on his CodeZap income
(b) Calculate Mr Tuan’s taxable income, PIT liability, and remaining tax payable
(rounded to one decimal place) for 2025
1.2 Question 2
This scenario relates to two requirements
NXT Co, a Vietnamese manufacturing company, purchased a machine on 1 June
2024 for VND6,600 million (including 10% VAT), depreciated over five years (monthly, none in disposal month) In September 2025, the machine required repairs of VND900 million (net of VAT) Insurance covered 85% of the repair cost (exclud-ing VAT), with 15% due to operator error NXT Co did not recover the operator’s share On 1 November 2025, the machine was sold for VND3,500 million (net of VAT) NXT Co donated 25% of the proceeds to a qualified school and used the rest for an internal training program Accounting profits for the fiscal year ended 30 September 2025 were VND18,000 million
(a) Explain the CIT treatment for donations and internal training programs, and
list the FIVE types of deductible donations/sponsorships per Circular 78/2014 (as amended)
(b) Calculate the deductible and non-deductible expenses (rounded to two
deci-mals) for CIT purposes for NXT Co in the fiscal year ended 30 September 2025
Trang 3Note: List all expense items in two columns (deductible and non-deductible
against accounting profits) in your workings
1.3 Question 3
This scenario relates to two requirements
CloudPeak Inc, a US-based company with no Vietnam presence, provides a video streaming service with subscription fees It complies with Circular 80/2021 and Circular 13/2023/TT-BTC In 2025, it recorded:
Information Amount
(USD)
Payments from
- USD200,000
(Vietnam billing)
- USD80,000
(non-Vietnam
billing, Vietnam IP)
Payments outside
Vietnam (Vietnam
IP)
110,000
CloudPeak Inc plans to register and pay tax directly, with its activities treated as services
(a) Explain the tax filing and payment requirements for overseas companies
with no Vietnam permanent establishment providing digital services under Cir-cular 80/2021 and CirCir-cular 13/2023/TT-BTC, addressing:
- Acceptable methods for foreign contractor tax (FCT) filing and payment
- Tax registration and filing procedures for direct payment, and timing
- Audit obligations
- Vietnamese tax authority’s responsibilities for Double Tax Treaty relief
(b) Calculate the FCT (rounded to the nearest whole number) CloudPeak Inc must
declare and pay in 2025
1.4 Question 4
This scenario relates to two requirements
SGN Co, a Vietnamese electronics manufacturer, had the following transactions
in October 2025:
1 Invoice for VND7,200 million for replacement components (damaged in a flood, costs covered by insurance; SGN Co purchased on insurer’s behalf)
2 Invoice for USD20,000 for licensing fees from a Japanese firm for technology use, with SGN Co bearing Vietnam withholding tax
Trang 44 Provided equipment worth VND5,500 million to an exhibition (no charge), with input VAT of VND350 million; sold at cost after one month, registered with tax authorities
All amounts exclude 10% VAT unless stated
SGN Co uses e-invoices with tax authority authentication codes
(a) For items (1) to (4), calculate creditable and non-creditable input VAT (in VND,
rounded to nearest million) and explain the treatment
(b) Explain the procedures for SGN Co and the tax authorities if an e-invoice
contains errors identified after submission to the tax authority
1.5 Question 5
This scenario relates to one requirement Assume today is 1 October 2025
BLT JSC, a Vietnamese trading company, reported an accounting profit of VND22,000 million for the year ended 30 September 2025 Noted transactions:
1 Invoice for VND5,500 million (VND1,500 million for installation) to ABC Co, completed by 30 September 2025 but not recognized BLT earns 20% margin on trading, 60% on installation
2 Projects with 50% upfront payment (VAT invoices issued), revenue/costs rec-ognized by cost completion:
Project Payment
(VND million, 50% + 10%
VAT)
% Com-plete
Recognized
Gamma 3,850 65% Revenue &
costs Theta 2,640 35% Costs only
3 Lambda project: Costs VND2,200 million (70% of total), recorded outside fi-nancial statements, no initial payment
4 Accrued VND2,800 million for customer discounts
5 Tools purchased in 2024 (VND1,200 million) and 2025 (VND2,640 million, in-cluding VAT), expensed in accounting but amortized for tax
6 Cash dividends (VND1,500 million, recorded) and share dividends (VND1,800 million, not recorded)
7 2024 bad debt provision (VND700 million, non-compliant), debtors bankrupt
in 2025
Notes:
- Amounts exclude 10% VAT unless stated
- Pre-2025 transactions correctly treated for tax
Trang 5Calculate BLT JSC’s CIT liability for the year ended 30 September 2025.
Note: Start with VND22,000 million profit, list items (1) to (7), show treatment,
use zero (0) for no adjustment
1.6 Question 6
This scenario relates to requirements (a)(i), (a)(ii), and (b) Assume today is 31 December 2025
Ms Emma, a 38-year-old British citizen, works for VNT Co in Vietnam as a mar-keting director from 1 May 2025 Her husband (40, Vietnamese) and son (10, student) live with her Her 2025 remuneration:
- Salary: USD300,000
- Fixed bonus: One month’s salary, paid 1 September, pro-rata
- Performance bonus: Up to three months’ salary, paid January 2026
- Accommodation: USD3,500/month, paid to landlord
- Return air fare to the UK: USD2,000 per person (incurred December 2025)
Her husband, Mr Nam, a data analyst, developed a data analytics tool and con-tributed it to DataPro Ltd (100%-owned), valued at VND9,000 million on 1 Jan-uary 2025 On 31 December 2025, he sold 12% of DataPro Ltd for VND18,000 million A third party invested VND40,000 million for a 20% stake DataPro Ltd paid Mr Nam a VND7,000 million dividend He was granted an option to sell re-maining shares at VND1,200 million per 1%
(a) Calculate for Ms Emma in 2025:
(i) Taxable and non-taxable income (USD)
(ii) PIT liability (VND million, rounded to one decimal)
Note: List all income items, show treatment, use zero (0) for non-taxable items.
(b) Describe PIT implications for Mr Nam on:
- Tool contribution to DataPro Ltd
- Sale of DataPro Ltd shares
- Third-party capital contribution to DataPro Ltd
- Cash dividend from DataPro Ltd
- Option to sell shares (put option)
Note: No tax calculations required.
2 Part 2: Answers with Detailed Explanations
Note: Answers are based on 2025 Vietnamese tax regulations (Circulars, PwC,
KPMG, EY) Calculations are rounded as required Exchange rate: 24,000 VND/USD Updates may be needed post-5 September 2025
Trang 62.1 Question 1
2.1.1 (a)
• PIT treatment of expenses: Mr Tuan’s VND700 million expenses for
soft-ware development are non-deductible for PIT CodeZap income (VND2,800 million) is taxed at a flat 2% on gross as business income (Circular 80/2021) TechVN fees (VND1,200 million net) are taxed at progressive rates as busi-ness income, but no expense deductions are allowed (Circular 111/2013/TT-BTC)
• Party responsible for PIT on CodeZap income: Mr Tuan is responsible
for filing and paying the 2% PIT The Vietnamese agency (5% commission) does not withhold PIT, as CodeZap is not registered for withholding under digital economy tax rules effective 1 July 2025 Mr Tuan must self-declare via the e-tax portal
2.1.2 (b)
Taxable income:
- CodeZap: VND2,800 million (2% flat)
- TechVN: VND1,333.33 million (VND1,200 million net after 10% withholding of VND133.33 million), progressive rates
- Stock option: VND0 (not exercised)
TechVN (progressive):
- Income: VND1,333.33 million
- Allowances: Personal VND132 million, dependants VND158.4 million (VND4.4 million/month × 12 × 3)
- Net taxable: 1,333.33 - 132 - 158.4 = VND1,042.93 million
PIT liability:
- CodeZap: 2,800 × 2% = VND56 million
- TechVN:
• 0–60: 3
• 60–120: 6
• 120–216: 14.4
• 216–384: 33.6
• 384–624: 60
• 624–960: 100.8
• 960–1,042.93: 82.93 × 35% = 29.03
• Total: VND246.83 million
Trang 7- Total PIT: 56 + 246.83 = VND302.83 million.
- Remaining tax payable: 302.83 - 133.33 = VND169.5 million (rounded).
Explanation: CodeZap income is taxed at 2% on gross, with no deductions TechVN
fees use progressive rates after allowances, with no expense deductions The stock option is non-taxable until exercised Provisional tax is credited
2.2 Question 2
2.2.1 (a)
CIT treatment for donations and training programs: Donations to qualified
recipients (e.g., schools) are deductible with documentation (Circular 96/2015/TT-BTC) Internal training programs are non-deductible unless channeled through approved entities Non-qualifying expenses increase taxable income
Five types of deductible donations/sponsorships (Circular 78/2014):
1 Education (e.g., schools, scholarships)
2 Healthcare (e.g., hospitals)
3 Disaster relief (e.g., flood victims)
4 Housing for the poor
5 Study encouragement/scientific research
2.2.2 (b)
Deductible and non-deductible expenses (VND million, fiscal year 1 October
2024–30 September 2025)
Depreciation: Accounting VND1,100 (11 months × 100), tax-deductible capped at VND1,600 million (11 months × 26.67 = 293.37, non-deductible 806.63) Repairs: VND900 million, 85% (765) deductible, 15% (135) non-deductible Waived com-pensation: VND135 million, non-deductible Disposal loss: VND1,100 million, non-deductible (tax recalculation) School donation: VND875 million (25% of 3,500), deductible Training program: VND2,625 million, non-deductible
Item AccountingDeductible
Non-Deduct.
Depreciation 1,100 293.37 806.63
Repairs 900 765.00 135.00
Waived comp 135 0.00 135.00
Disposal loss 1,100 0.00 1,100.00
School
Training 2,625 0.00 2,625.00
Trang 8Total deductible: 1,933.37
Total non-deductible: 4,701.63
Explanation: Depreciation is capped at VND1,600 million Repairs are mostly
deductible, but operator error portion is not Waived compensation is non-deductible Disposal loss is non-deductible School donation is deductible Training program
is non-deductible (internal)
2.3 Question 3
2.3.1 (a)
Under Circular 80/2021 and Circular 13/2023/TT-BTC, overseas companies with
no Vietnam permanent establishment providing digital services are subject to 10% FCT (5% VAT, 5% CIT)
• FCT methods: (1) Withholding by Vietnamese customer; (2) Direct
pay-ment; (3) Hybrid
• Direct payment procedures: Register via e-portal, file quarterly (due last
day of next month), pay in VND
• Audit obligations: Retain records for 10 years, provide data within 15
days
• Treaty relief: Tax authority verifies residency certificate, processes
re-funds within 40 days
2.3.2 (b)
Income: USD280,000 + USD110,000 = USD390,000.
FCT: 390,000 × 10% = USD39,000 (rounded).
Explanation: Vietnam-attributable income is taxed at 10% FCT on gross No
deductions or treaty relief assumed
2.4 Question 4
2.4.1 (a)
1 Components (VND7,200 million): Creditable: VND0 million; Non-creditable: VND720 million (10%) Explanation: Purchased for insurer, not SGN Co’s
business; non-creditable (Circular 219/2013)
2 Licensing (USD20,000): Creditable: VND0 million; Non-creditable: VND0 million Explanation: Foreign service, no VAT invoice, FCT applies.
3 Gym (VND4,200 million): Creditable: VND0 million; Non-creditable: VND420 million (10%) Explanation: Employee welfare, not business-related;
Trang 94 Exhibition (VND5,500 million): Creditable: VND350 million; Non-creditable: VND0 million Explanation: Business promotion, sold at cost, creditable.
2.4.2 (b)
For e-invoice errors after submission, SGN Co must issue a corrective e-invoice
or adjustment note in the e-tax system, notify the tax authority, and obtain a new authentication code within 2 days The original invoice is voided (Circular 78/2021)
2.5 Question 5
CIT liability (VND million, 20% rate)
Accounting profit: 22,000
Adjustments:
1 Sale/installation: Revenue VND5,500 million Trading: VND4,000 million,
20% margin, cost VND3,333.33 million, profit VND666.67 million Installation:
VND1,500 million, 60% margin, cost VND600 million, profit VND900 million Ad-justment: +1,566.67.
2 Projects:
- Gamma: Contract VND7,000 million, 65% complete (revenue VND4,550 million),
invoiced 50% (VND3,500 million), add VND1,050 million Adjustment: +1,050.
- Theta: Contract VND4,800 million, 35% complete (revenue VND1,680 million),
add VND1,680 million Adjustment: +1,680.
- Kappa: Contract VND5,600 million, 0% complete, invoiced 50% (VND2,800
mil-lion), add VND2,800 million Adjustment: +2,800.
- Total: +5,530
3 Lambda: Costs VND2,200 million, no revenue Adjustment: -2,200.
4 Discounts: VND2,800 million, non-deductible Adjustment: +2,800.
5 Tools: 2025 net VND2,400 million, amortize VND800 million, non-deductible VND1,600 million Adjustment: +1,600.
6 Dividends: Cash VND1,500 million, non-taxable Adjustment: -1,500 Shares:
0
7 Bad debts: VND700 million, deductible Adjustment: -700.
Taxable income: 22,000 + 1,566.67 + 5,530 - 2,200 + 2,800 + 1,600 - 1,500 - 700 = 29,096.67.
CIT liability: 29,096.67 × 20% = VND5,819.3 million (rounded).
Explanation: Adjustments follow Circular 96/2015/TT-BTC Revenue is
recog-nized on completion/invoicing Costs are deductible if incurred Provisions are non-deductible until realized Tool amortization limits expensing Dividends are
Trang 102.6 Question 6
2.6.1 (a)(i)
Income (USD):
- Salary: 300,000 (taxable)
- Fixed bonus: 20,000 (300,000 / 12 × 1 × 8/12, taxable)
- Performance bonus: 0 (taxable in 2026)
- Accommodation: 28,000 (3,500 × 8, taxable)
- Air fare: 6,000 (2,000 × 3, non-taxable)
Taxable: 348,000 Non-taxable: 6,000.
2.6.2 (a)(ii)
PIT liability: Resident (>183 days) Income: USD348,000 × 24,000 = VND8,352
million Allowances: Personal VND132 million, dependants VND105.6 million Net taxable: 8,114.4 million
PIT:
- 0–60: 3
- 60–120: 6
- 120–216: 14.4
- 216–384: 33.6
- 384–624: 60
- 624–960: 100.8
- 960–8,114.4: 2,525.04
Total: VND2,742.8 million (rounded).
Explanation: Progressive rates apply to salary, bonus, and accommodation Air
fare is exempt Performance bonus is deferred
2.6.3 (b)
PIT implications for Mr Nam:
• Tool contribution: No PIT (non-realized event).
• Share sale: 20% PIT on gain (VND18,000 million - VND1,080 million = VND16,920
million)
• Third-party contribution: No PIT (no personal income).
• Dividend: 5% PIT on VND7,000 million.
• Option: No PIT until exercised.