Legal basics in Vietnam

Note: This information is for general reference only, updated to 2024. Laws and administrative procedures may change. Always consult official sources or a licensed legal professional for specific cases.

Understanding basic legal rules in Vietnam will help you avoid fines, visa issues, or unnecessary complications during your stay.

Legal system overview

Vietnam follows a civil law system, heavily based on codified statutes rather than case law precedents.

The highest legal authority is the National Assembly, and laws are implemented by the Government and relevant ministries.

Key institutions include:

• National Assembly of Vietnam
• Government of Vietnam
• Ministry of Public Security
• Supreme People's Court of Vietnam

Entry, visa, and residence

Foreigners must enter Vietnam with:

• A valid passport
• A valid visa or visa exemption

Visa types include:

• Tourist visa
• Business visa
• Work visa
• Investor visa
• Temporary residence card (TRC)

Overstaying your visa can result in fines, deportation, or entry bans.

Temporary residence registration

Foreigners must be registered with local authorities.

• Hotels handle this automatically.
• If renting privately, your landlord must register your stay with local police.

Failure to register may result in administrative penalties.

Working legally

To work in Vietnam legally, most foreigners need:

• A valid work permit
• Employer sponsorship
• Proper visa status

Some exemptions apply (e.g., short-term assignments, investors, internal transfers).

Working without a work permit can lead to fines for both employee and employer.

Property rights

Foreigners:

• Can rent property freely
• Can purchase certain types of apartments (with restrictions)
• Cannot own land

Property ownership is governed by Vietnamese housing law and is subject to quota limits.

Driving and traffic laws

To drive legally in Vietnam:

• You need a Vietnamese driving license
• Some foreign licenses may be convertible

Traffic police enforcement is common in major cities.

Important points:

• Motorbike helmet is mandatory
• Drunk driving laws are strict (zero tolerance policy in recent years)
• Fines can be paid officially; avoid unofficial payments

Taxes

Foreign residents may be subject to:

• Personal income tax (PIT)
• Social insurance contributions (if working)
• Business taxes (if operating a company)

Tax residency status generally depends on the number of days spent in Vietnam (typically 183 days rule).

The tax authority is: General Department of Taxation of Vietnam

Contracts and dispute resolution

Contracts in Vietnam:

• Should be in writing
• Vietnamese language version usually prevails in disputes
• Notarization may be required for certain transactions

Disputes can be resolved via:

• Court system
• Arbitration
• Mediation

Vietnam recognizes arbitration awards under international conventions.

Criminal law considerations

Vietnam has strict laws regarding:

• Drug possession and trafficking
• Public disorder
• Online content violations
• Cybersecurity compliance

Penalties can be severe. It is important to respect local laws and cultural norms.

Online and cybersecurity regulations

Vietnam has specific laws regulating:

• Data storage
• Online content
• Social media activity
• Cross-border digital services

Companies operating online services may need to comply with cybersecurity and data localization requirements.

Practical legal advice for foreigners

• Always carry a copy of your passport
• Keep digital copies of visa and residence documents
• Sign bilingual contracts when possible
• Use licensed agents for work permits and TRC
• Do not overstay visas
• Clarify tax obligations if working remotely

Summary

Vietnam’s legal system is structured, centralized, and strictly enforced in key areas such as immigration, employment, traffic, and taxation.

Most legal issues foreigners face involve:

• Visa overstays
• Work permit problems
• Rental disputes
• Traffic fines

With proper documentation and compliance, living and working in Vietnam is legally straightforward.