Profit Repatriation from Vietnam (2026) for Foreign Investors

For most foreign investors, the ability to move lawful earnings out of Vietnam is one of the first questions asked before committing capital. Vietnam does allow foreign investors to repatriate profits, and Article 11 of the Law on Investment 2025 guarantees that right. The right is conditional, however: the enterprise must first meet its financial obligations to the Vietnamese State, the profit must be transferred through the correct bank account, and the tax authority must be notified in advance.

This guide explains, for foreign-invested enterprises and their in-house counsel, what can be remitted, when it can be remitted, which conditions apply, how the direct investment capital account works under Circular No. 38/2026/TT-NHNN, and the practical steps and documents involved in 2026.

Legal basis

The main rules on profit repatriation by foreign investors are found in the following instruments:

• Law on Investment 2025, in particular Article 11, which guarantees the transfer abroad of capital and income after the investor has fulfilled its financial obligations to the State;
• Circular No. 186/2010/TT-BTC of the Ministry of Finance, which guides the remittance of profits abroad by foreign investors, including the timing of remittance and the duty to notify the tax authority;
• Circular No. 38/2026/TT-NHNN of the State Bank of Vietnam on foreign exchange management for foreign investment in Vietnam, effective from 18 August 2026 and replacing Circular No. 06/2019/TT-NHNN, which governs the direct investment capital account;
• Law on Corporate Income Tax No. 67/2025/QH15, which determines the tax that must be paid before profit can be distributed;
• Applicable double taxation agreements between Vietnam and the investor's home country.

What a foreign investor may transfer abroad

Under Article 11 of the Law on Investment 2025, once all financial obligations to the Vietnamese State have been fulfilled, a foreign investor may transfer the following abroad:

• investment capital and amounts received from the liquidation of the investment;
• income from investment and business activities, which includes the after-tax profit distributed to the investor;
• money and other assets lawfully owned by the investor.

In practice, "profit repatriation" refers to the second category: the share of after-tax profit that the Vietnamese company distributes to its foreign member or shareholder, which is then remitted to the investor's account overseas.

Conditions for remitting profit

Before any profit leaves Vietnam, the following conditions should be checked:

• The profit must be lawful and derived from the investment activities in Vietnam.
• All financial obligations to the State must be fulfilled, including corporate income tax for the relevant fiscal year. The annual financial statements must have been prepared and filed.
• No accumulated losses. Profit may not be remitted if the enterprise's financial statements still show accumulated losses, even where the company made a profit in the current year.
• The transfer must go through the direct investment capital account in accordance with foreign exchange rules.
• The tax authority must be notified in writing at least 7 working days before the transfer, as required by Circular No. 186/2010/TT-BTC.

When profit can be remitted

Circular No. 186/2010/TT-BTC provides two points in time at which a foreign investor may remit profit:

• Annually, after the end of the fiscal year, once the enterprise has filed its financial statements and fulfilled its tax obligations for that year;
• Upon termination of the direct investment activity in Vietnam, when the investor may remit the remaining profit together with other amounts arising from the liquidation of the investment.

The amount remitted is based on the after-tax profit shown in the financial statements and on the profit distribution decision of the company's competent body (the members' council, the owner or the general meeting of shareholders, depending on the company type).

Corporate income tax comes first

Because profit can only be remitted after tax obligations are met, the corporate income tax position determines how much can be sent abroad. Under the Law on Corporate Income Tax No. 67/2025/QH15:

Case	Corporate income tax rate
Standard rate	20%
Enterprises with annual revenue not exceeding 3 billion VND	15%
Enterprises with annual revenue above 3 billion VND and up to 50 billion VND	17%
Projects eligible for investment incentives	10% for 15 years or 17% for 10 years, together with tax exemptions and reductions, depending on the project

Not every foreign-invested enterprise qualifies for incentives. Under Article 14 of the Law on Investment 2025, incentives apply to projects in incentivised sectors, in incentivised locations, or to large-capital or labour-intensive projects. See our overview of investment incentives in Vietnam.

Is there a separate tax on remitting profit?

Remitting profit that has already borne corporate income tax is generally not subject to an additional profit remittance tax. The related tax obligations should still be reviewed in each case, and a double taxation agreement between Vietnam and the investor's home country may be relevant to how the income is treated.

The direct investment capital account

A direct investment capital account is a payment account in foreign currency or in Vietnamese dong, opened at a licensed bank by a foreign direct investment enterprise and the foreign investor, to carry out transactions related to foreign direct investment in Vietnam. Under Circular No. 38/2026/TT-NHNN, an enterprise in which foreign investors hold more than 50% of the charter capital must open an investment capital account at a licensed bank. An enterprise established before it holds an Investment Registration Certificate may open this account immediately after its establishment.

The following transactions must pass through the direct investment capital account:

• capital contributions (transferring capital into Vietnam to carry out the project);
• transfers of profit and other lawful income abroad;
• transfers of money for investment preparation activities;
• receipts and payments related to foreign loans, transfers of capital and transfers of projects, as regulated.

Points to keep in mind:

• A foreign direct investment enterprise may open only one direct investment capital account in one foreign currency at one licensed bank, although it may open additional accounts in Vietnamese dong and other foreign currencies as regulated.
• Charter capital must be contributed through the direct investment capital account and on the registered schedule. Under the Enterprise Law 2020, charter capital must be fully contributed within 90 days from the issue of the Enterprise Registration Certificate. See our guide to charter capital in Vietnam.
• Capital contributed in cash or through another account may be disallowed and cause difficulties when the investor later wants to remit profit. Using the wrong channel may also lead to penalties.

If the company borrows from its foreign parent, the loan must also follow foreign exchange rules. Medium and long-term foreign loans must be registered with the State Bank under Circular No. 12/2022/TT-NHNN; see our foreign loan registration service.

Step-by-step procedure

Step	What happens
1. Check the conditions	Confirm that the profit is lawful, the financial statements have been prepared and filed, corporate income tax for the fiscal year has been paid and there are no accumulated losses.
2. Decide on profit distribution	The competent body of the company adopts a decision on the distribution of after-tax profit to the foreign investor.
3. Notify the tax authority	Send a written notice of the profit remittance to the tax authority directly managing the enterprise at least 7 working days before the transfer, under Circular No. 186/2010/TT-BTC.
4. Prepare the bank file	Assemble the supporting documents that the bank holding the direct investment capital account will review.
5. Execute the transfer	Remit the profit from the direct investment capital account to the investor's account abroad.
6. Keep records	Retain all documents for tax finalisation and any later inspection or audit.

Documents banks usually request

In practice, before processing the transfer the bank will usually ask the enterprise to present:

• the audited financial statements for the relevant fiscal year;
• the corporate income tax finalisation return;
• the decision on profit distribution;
• the written notice of profit remittance sent to the tax authority.

Reviewing this set of documents in advance helps avoid delays at the bank. Where the foreign investor's corporate documents were issued abroad, check early whether the bank or the authority requires consular legalisation and a certified Vietnamese translation, so that the file is not held up at the last stage.

Common mistakes that delay or block remittance

• Remitting before the corporate income tax for the year has been finalised and paid.
• Overlooking accumulated losses from earlier years, which block remittance even in a profitable year.
• Missing the 7 working day notice to the tax authority.
• Transferring money outside the direct investment capital account, or contributing capital through the wrong channel at the outset.
• Contributing charter capital late, which leads to a mismatch between registered and actual capital.

Related ongoing obligations

Profit remittance is easier when the enterprise keeps its routine compliance up to date. The main recurring obligations of a foreign-invested enterprise include:

• Quarterly investment reports, filed before the 10th day of the first month of the following quarter on the National Investment Information System;
• Annual investment reports, filed before 31 March of the following year, which add information on profit, employee income, research and development spending, environmental protection and technology origin;
• Tax and financial statements: declaring and finalising corporate income tax, value added tax and personal income tax of employees, and preparing the annual financial statements.

LTV Law can prepare these reports through our investment monitoring report service. For the earlier stages of an investment, see our step-by-step guide to the procedure to establish a foreign-invested company.

Frequently asked questions

When can a foreign investor remit profit from Vietnam?

Annually after the end of the fiscal year, once the company has filed its financial statements and fulfilled its tax obligations, or when the investor ends its direct investment activity in Vietnam. Profit cannot be remitted while the company still has accumulated losses.

Must the tax authority be notified before remitting?

Yes. A written notice must be sent to the tax authority directly managing the enterprise at least 7 working days before the profit is remitted, as required by Circular No. 186/2010/TT-BTC.

Is there a tax on sending profit abroad?

Profit that has already borne corporate income tax is generally not subject to an additional profit remittance tax. The related tax obligations should still be reviewed, and any double taxation agreement between Vietnam and the investor's home country should be considered.

Can I remit profit if my company had losses in earlier years?

No. If the financial statements still show accumulated losses, profit cannot be remitted, even if the company was profitable in the current year.

Which account must be used for the transfer?

The direct investment capital account opened at a licensed bank. Under Circular No. 38/2026/TT-NHNN, an enterprise in which foreign investors hold more than 50% of the charter capital must open this account, and capital contributions, capital transfers and profit transfers go through it.

What documents will the bank ask for?

Banks usually ask for the audited financial statements, the corporate income tax finalisation return and the profit distribution decision, together with the notice sent to the tax authority, before they process the transfer.

How LTV Law helps

LTV Law advises foreign investors on the conditions and the remittable amount, reviews financial statements and tax obligations before remittance, drafts the notice to the tax authority, supports the transfer through the direct investment capital account and advises on end-of-term remittance when a project closes. See our profit remittance service and our wider foreign investment services.

To discuss your remittance plan, contact our team.

This article is for general information only and does not constitute legal advice.