What are cases of non-agricultural land use tax exemption in Vietnam?

What are cases of non-agricultural land use tax exemption in Vietnam?

There are 9 cases of non-agricultural land use tax exemption as stipulated in Article 9 of the Law on Non-Agricultural Land Use Tax 2010 as follows:

- Land of investment projects in areas specially encouraged for investment; investment projects in areas with extremely difficult socio-economic conditions; investment projects encouraged in areas with difficult socio-economic conditions; land of enterprises employing over 50% of their workforce as war veterans or invalids.

- Land of establishments conducting private investment in activities in the fields of education, vocational training, health, culture, sports, and environment.

- Land for the construction of gratitude houses, great unity houses, nursing homes for the elderly, orphanages, and social treatment facilities.

- Residential land within the limit in areas with extremely difficult socio-economic conditions.

- Residential land within the limit belonging to persons who participated in revolutionary activities before August 19, 1945; war veterans of categories 1/4, 2/4; persons entitled to the same benefits as war veterans of categories 1/4, 2/4; invalids of category 1/3; heroes of the people's armed forces; mothers of heroic Vietnamese mothers; biological parents, adoptive parents, people who raised martyrs when they were minors; spouses of martyrs; children of martyrs receiving monthly allowances; revolutionaries affected by Agent Orange; Agent Orange affected persons in difficult family circumstances.

- Residential land within the limit belonging to poor households as classified by the Government of Vietnam.

- Households or individuals whose residential land is reclaimed according to plans approved by competent state agencies are exempted from tax in the actual year of reclamation for the land in the reclaimed location and new residence.

- Land with garden houses recognized by the state as historical-cultural sites.

- Taxpayers facing difficulties due to force majeure events if the damage to land and houses on the land exceeds 50% of the taxable value.

What are cases of non-agricultural land use tax exemption in Vietnam? (Image from Internet)

Where do taxpayers register, declare, calculate, and pay taxes in Vietnam?

According to Article 8 of the Law on Non-Agricultural Land Use Tax 2010 as follows:

Registration, Declaration, Calculation, and Payment of Taxes

1. Taxpayers register, declare, calculate, and pay taxes under the provisions of the law on tax administration.

2. Taxpayers register, declare, calculate, and pay taxes at the tax offices of districts, urban districts, district-level towns, or provincial cities where they have land use rights.

In deep-lying, remote areas or areas with difficult access, taxpayers can register, declare, calculate, and pay taxes at the commune People's Committees. Tax authorities create conditions for taxpayers to fulfill their obligations.

3. If taxpayers have the right to use multiple parcels of residential land, the taxable area is the total area of taxable parcels within the province or centrally governed city. The following provisions apply to registration, declaration, calculation, and payment of taxes:

a) Taxpayers register, declare, calculate, and pay taxes at the tax offices of districts, urban districts, district-level towns, or provincial cities where they have land use rights;

b) Taxpayers may choose a limit of residential land in one district, urban district, district-level town, or provincial city where they have land use rights. If there are one or more parcels exceeding the limit, taxpayers may choose a location with parcels exceeding the limit to determine the excess area of the parcels.

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

Taxpayers prepare a consolidated declaration according to the prescribed form to determine the total area of residential land parcels with use rights and the taxes already paid, and submit it to the tax authority where the taxpayer has chosen to determine the residential land limit to pay the difference between the tax amount payable under this Law and the tax amount already paid.

Taxpayers register, declare, calculate, and pay taxes at the tax offices of districts, urban districts, district-level towns, or provincial cities where they have land use rights, including cases where taxpayers have the right to use multiple parcels of residential land.

In deep-lying, remote areas, or areas with difficult access, taxpayers can register, declare, calculate, and pay taxes at the commune People's Committees.

How to handle the case where taxpayers are eligible for both tax exemption and tax reduction for the same parcel in Vietnam?

According to Article 11 of the Law on Non-Agricultural Land Use Tax 2010 as follows:

Principles of Tax Exemption and Reduction

1. Taxpayers eligible for both tax exemption and reduction for the same parcel shall be exempt from tax; taxpayers eligible for two or more cases of tax reduction specified in Article 10 of this Law shall be exempt from tax.

2. Taxpayers with residential land use rights are eligible for tax exemption or reduction at one location chosen by the taxpayer, except in cases specified in Clause 9, Article 9, and Clause 4, Article 10 of this Law.

3. Taxpayers with multiple investment projects eligible for tax exemption or reduction shall apply the exemption or reduction to each investment project.

4. Tax exemption and reduction apply directly to taxpayers and are only calculated on the payable tax amount under the provisions of this Law.

Taxpayers are exempt from non-agricultural land use tax if they are eligible for both tax exemption and reduction for the same parcel.