Luxembourg-Vietnam treaty: new information-exchange rule

Taxpayers and advisers with Luxembourg–Vietnam cross-border positions face a new information-exchange regime under their treaty. Article 1 of the Protocole, fait à Hanoi, le 4 mai 2023, deletes Article 27Public (ÉCHANGE DE RENSEIGNEMENTS) of the Convention between the Gouvernement du Grand-Duché de Luxembourg and the Gouvernement de la République socialiste du Viêt Nam tendant à éviter les doubles impositions et à prévenir la fraude fiscale en matière d'impôts sur le revenu et sur la fortune, signée à Hanoi, le 4 mars 1996, and replaces it with a full revised textPublic.

The competent authorities exchange information that is foreseeably relevant for applying the Convention or for administering domestic law on taxes of any kind levied for the Contracting States or their political subdivisions or local authorities, to the extent the taxation is not contrary to the Convention. Exchange is not restricted by Articles 1 and 2.

Information received stays secret as under the receiving State's domestic law and goes only to the persons and authorities handling assessment, collection, enforcement, prosecution, appeals or oversight of the covered taxes, including courts and administrative bodies, for those purposes only; they may reveal it in public court hearings or judgments. Use for other purposes needs both States' legislation to allow it and the supplying authority's authorisation.

Paragraph 3 never obliges a State to take measures derogating from either State's law or practice, to supply information unobtainable under either State's law or normal practice, or to disclose a trade, business, industrial or professional secret, a trade process, or information contrary to public policy.

The requested State must still use its powers to obtain requested information even with no domestic fiscal need, yielding to paragraph 3 only except where a limit would block exchange solely for lack of domestic interest. And paragraph 3 never permits refusal solely because a bank, financial institution, agent, fiduciary or ownership record holds the information.

Article 2 of the Protocole runs entry into force by written diplomatic notification once each State completes its ratification, approval or acceptance procedures, with effect on receipt of the last notification. The conditions were fulfilled on 10 February 2026, and the Protocole entered into force for both Contracting Parties on 14 April 2026Public. Its provisions apply to tax years beginning on or after 1 January of the calendar year following the entry yearPublic, so the new Article 27 governs tax years beginning on or after 1 January 2027Public. Luxembourg approved the Protocole through the loi du 17 décembre 2025, published in the Journal officiel du Grand-Duché de Luxembourg, Mémorial A, N° 584 du 18 décembre 2025, and it was concluded in duplicate at Hanoi on 4 May 2023 in Vietnamese, French and English. For practitioners, the point is operational: assume bank-held and ownership information on Luxembourg–Vietnam positions for 2027 and later years is exchangeable on a foreseeably relevant request, and align engagement letters, retention and disclosure advice on that basis.

Legal basis: the Protocole, fait à Hanoi, le 4 mai 2023, Article 1 and Article 2, approved by the loi du 17 décembre 2025 and entered into force on 14 April 2026Public.