Shall homestead land within the land allocation limit be exempt from non-agricultural land use tax in Vietnam?

Shall homestead land within the land allocation limit be exempt from non-agricultural land use tax in Vietnam?

Based on Article 9 of the Law on Non-agricultural Land Use Tax 2010, the regulations are as follows:

Tax Exemption

1. Land for investment projects in fields particularly encouraged for investment; investment projects in areas with special socio-economic difficulties; investment projects in fields encouraged for investment in areas with socio-economic difficulties; land of enterprises employing over 50% of their workforce as war invalids and sick soldiers.

2. Land of establishments performing private investments in activities related to education, vocational training, health, culture, sports, and the environment.

3. Land for the construction of gratitude houses, solidarity houses, facilities for caring for lonely elderly, disabled people, or orphans; social disease treatment establishments.

4. homestead land within the land allocation limit in areas with special socio-economic difficulties.

5. homestead land within the land allocation limit owned by those who participated in the revolution before August 19,1945; war invalids of class 1/4, 2/4; those entitled to policies as war invalids of class 1/4, 2/4; sick soldiers of class 1/3; heroes of the People's Armed Forces; Vietnamese heroic mothers; biological parents, foster parents of martyrs when they were minors; spouses of martyrs; children of martyrs receiving monthly allowances; revolutionaries affected by Agent Orange; people affected by Agent Orange with difficult family circumstances.

6. homestead land within the land allocation limit owned by poor households as prescribed by the Government of Vietnam.

Therefore, homestead land within the land allocation limit is not automatically exempted from tax but must be considered for specific subjects such as: homestead land within the land allocation limit in areas with special socio-economic difficulties; homestead land within the land allocation limit owned by poor households as prescribed by the Government of Vietnam according to the above regulations.

Shall homestead land within the land allocation limit be exempt from non-agricultural land use tax in Vietnam? (Image from the Internet)

Sahll taxpayers facing difficulties due to force majeure circumstances get a 50% reduction in non-agricultural land use tax in Vietnam?

Based on Clause 4 Article 11 of the Law on Non-agricultural Land Use Tax 2010, the regulations are as follows:

Tax Reduction

A 50% reduction in the tax payable in the following cases:

1. Land for investment projects in preferential investment fields; investment projects in areas with socio-economic difficulties; land of enterprises employing 20% to 50% of their workforce as war invalids and sick soldiers.

The list of fields encouraged for investment (preferential investment), particularly encouraged for investment (special preferential investment), areas with socio-economic difficulties, and areas with special socio-economic difficulties are implemented in accordance with investment law regulations.

The labor force of war invalids and sick soldiers must be regular year-round laborers as prescribed in Circular No. 40/2009/TT-LDTBXH dated December 3, 2009, of the Ministry of Labor - Invalids and Social Affairs and the amendments and supplements thereto.

2. homestead land within the land allocation limit in areas with socio-economic difficulties.

3. homestead land within the land allocation limit of war invalids of class 3/4, 4/4; those entitled to policies as war invalids of class 3/4, 4/4; sick soldiers of class 2/3, 3/3; children of martyrs not receiving monthly allowances.

4. Taxpayers facing difficulties due to force majeure circumstances if the value of damage to the land and buildings on the land ranges from 20% to 50% of the taxable value.

In this case, taxpayers must have confirmation from the commune-level People's Committee where the damaged land is located.

Thus, taxpayers facing difficulties due to force majeure circumstances if the value of damage to the land and buildings on the land ranges from 20% to 50% of the taxable value.

How should taxpayers with the right to use multiple land parcels register, declare, calculate, and pay non-agricultural land use tax in Vietnam?

Based on Clause 3 Article 8 of the Law on Non-agricultural Land Use Tax 2010, the regulations are as follows:

Registration, declaration, calculation, and payment of taxes

1. Taxpayers register, declare, calculate, and pay taxes according to the law on tax administration.

2. Taxpayers register, declare, calculate, and pay taxes at the district, ward, district-level town, city under provincial authority where they have the right to use land.

In remote areas with difficult traveling conditions, taxpayers can register, declare, calculate, and pay taxes at the commune-level People's Committee. The tax authority facilitates taxpayers in fulfilling their obligations.

3. In cases where taxpayers have the right to use multiple residential land parcels, the taxable area is the total area of the residential land parcels within the province or city under central authority. The registration, declaration, calculation, and payment of taxes are stipulated as follows:

a) Taxpayers register, declare, calculate, and pay taxes at the district, ward, district-level town, city under provincial authority where they have the right to use land;

b) Taxpayers can choose the allowable homestead land limit at one district, ward, district-level town, city under provincial authority where they have the right to use land. In cases where there is one or more residential land parcel exceeding the limit, taxpayers can choose one place with a parcel exceeding the limit to determine the excess area of the parcels.

The taxable value is applied according to the land price of each district, ward, district-level town, city under provincial authority where the parcel is located.

Taxpayers prepare a comprehensive declaration form according to the prescribed form to determine the total area of the residential parcels they have the right to use and the tax amount already paid and submit it to the tax authority where the taxpayer has chosen to determine the allowable homestead land limit to pay the difference between the tax payable under this Law and the tax already paid.

In cases where taxpayers have the right to use multiple residential land parcels, the taxable area is the total area of the residential land parcels within the province or city under central authority. The registration, declaration, calculation, and payment of taxes are stipulated in Clause 3 above.