New Crypto Tax Regulations in Vietnam: Do You Have to Pay Personal Income Tax When Withdrawing?

The cryptocurrency market in Vietnam is entering the “formalization” phase. As the legal framework gradually improves, taxes will become a key factor determining investors’ actual profits, no longer just a story of price increases or decreases. A question I have received most recently is: “When withdrawing money from a crypto exchange to a bank account, will I be taxed again?” This concern arose after Vietnam passed the Digital Technology Industry Law in June 2025, effective from 01/01/2026. Especially, many investors transitioning from the stock market to crypto are beginning to compare: Will crypto be taxed like stocks? Only taxed during transactions, or will withdrawals also be taxed? 👉 This article will help you understand the core issue clearly and avoid unnecessary worries. Market Context: Vietnam Crypto Market Officially Steps into the Spotlight On June 14, 2025, the Vietnamese National Assembly officially approved the Digital Technology Industry Law, marking the first time digital assets are incorporated into the legal system. According to the new law, digital assets are classified as: Encrypted assets (Crypto Assets)Virtual assets (Virtual Assets) This is a significant milestone, ending years of a “gray” area. Remember, in 2017, the State Bank of Vietnam banned Bitcoin and other cryptocurrencies from being used as a means of payment, with violations potentially subject to administrative or criminal penalties. However, as of now: Vietnam has over 17 million crypto holders, roughly 17% of the populationThe market size is estimated at nearly $100 billion Clearly, crypto has become an indispensable part of the digital economy. Legalization accompanied by taxation is an inevitable step. Crypto Tax Policy: Vietnam Following the Stock Market Model According to current proposals from the Ministry of Finance, crypto is likely to be taxed following the stock market model. 🔹 Transaction Tax 0.1% Each crypto transaction could be taxed at 0.1% of the transaction value, similar to securities transfer tax. This tax rate may seem small, but according to Chainalysis estimates: If applied comprehensively, Vietnam could collect over $8 billion annually from the crypto market. 🔹 Personal and Corporate Income Tax Individuals: crypto profits may be classified as capital income, subject to personal income tax (TNCN)Companies: profits from crypto may be subject to 20% corporate income tax 🔹 Withholding Mechanism It is very likely that: Exchanges will deduct taxes at the point of transactionInvestors won’t need to declare when withdrawing money This is a key point to help reduce the risk of “double taxation.” Withdrawing Money to Banks: Will It Be Taxed Again? 👉 Short answer: Almost certainly NOT. Why Is the Likelihood of Tax When Withdrawing Money Very Low? First – Vietnam’s tax principle Taxes are collected where income is generated, not where money is transferred. Similar to securities: Buy and sell → generate profit → pay taxWithdraw money to bank → not taxed again Second – The nature of withdrawal behavior Withdrawing money is merely an asset position transfer, not creating new income. Profits are already determined at the point of trade execution. Third – To avoid cash flow congestion If additional taxes are imposed at withdrawal: Investors will hesitate to withdraw fundsThey may get stuck within the crypto ecosystemThis contradicts the goal of returning cash flow to the traditional banking system Therefore, double taxation is very unlikely. The Most Worrying Thing: Not the Tax Rate, but the Tax Collection Method The biggest issue isn’t the 0.1% rate, but how it’s enforced. Crypto differs from stocks in that: Transactions are decentralizedIt’s difficult to determine the exact cost basisThere are staking, airdrops, farming, cross-chain bridges, swaps… In the early stages, regulators might choose a simple but “rough” approach: Tax all transactions, regardless of profit or lossThis could be highly disadvantageous for high-frequency traders. Personal Opinion: “Light Tax – Strict Management” Is the Long-Term Trend I believe Vietnam is following a model of: Low tax rate – Tight regulation – Market transparency This is a reasonable path if the goal is: Not to stifle innovationBut still control risks and generate revenue Compared to Thailand, Malaysia, or Indonesia, Vietnam is not lagging behind. If managed well, Vietnam could become the crypto – fintech hub of Southeast Asia. Advice for Individual Investors From now until 2026, you should do three things: Save transaction historyDate and timeTransaction valuePurpose (trade, swap, staking…)Limit transactions without clear logsUntransparent OTC transactionsIntermediary wallets hard to tracePrepare a “compliance cost” mindsetTax will be part of your profitSimilar to transaction fees or slippage Conclusion Crypto in Vietnam is no longer a gray area. As the rules become clearer, opportunities will favor those who: Understand the lawsManage risksAnd think ahead Taxation is unavoidable, but reasonable taxation will help the market mature rather than collapse. The question now is no longer: “Will I be taxed?” But: “Are you ready to play by the legal rules?” If you find this article helpful, continue following for updates on policies – trends – and precise entry points in the crypto market. Learning is always the most profitable investment.