What is the formula for calculating registration fees for houses and land in Vietnam?
Are houses and land subject to registration fees in Vietnam?
Under Article 3 Decree 10/2022/ND-CP on property subject to registration fees:
Property subject to registration fees
1. Houses, land.
2. Hunting guns; guns used for training or sports.
3. Ships in accordance with regulations of the law on inland waterway transport and the maritime law (hereinafter referred to as “ships”), including barges, canoes, tugs, pushers, submarines, and submersibles; except for floating docks, floating storage units, and mobile offshore drilling units.
4. Boats including yachts.
5. Aircraft.
6. Two-wheeled or three-wheeled motorcycles, mopeds, and equivalences subject to registration fees and fitted with license plates issued by competent state agencies (hereinafter referred to as “motorcycles”).
7. Motor vehicles, trailers or semi-trailers towed by motor vehicles, and equivalences subject to registration fees and fitted with license plates issued by competent state agencies.
8. Frame, chassis assembly, engine assembly, and engine block of the property prescribed in Clauses 3, 4, 5, 6, and 7 of this Article, when replaced, subject to registration with competent state agencies.
The Ministry of Finance shall stipulate this Article in detail.
Thus, houses and land are subject to registration fees.
What are the regulations on the administration of registration fees in Vietnam?
According to Article 12 of Decree 10/2022/ND-CP, the fee-collecting agencies shall submit 100% of the registration fee into the state budget as per the laws..
What is the formula for calculating registration fees for houses and land in Vietnam? (Image from the Internet)
What is the formula for calculating registration fees for houses and land in Vietnam?
According to the regulations in Article 6 of Decree 10/2022/ND-CP, the registration fees for houses and land are calculated by the following formula:
Registration fees for houses and land = Base prices for houses and land x Registration Fee Rate (%)
(1) Base prices for houses and land
The Base prices for houses and land is specified in Clause 1, Article 3 of Circular 13/2022/TT-BTC as follows:
* Base prices for land
- The value of land subject to registration fee shall be determined as follows:
|
The value of land subject to registration fee (dong) |
= |
Land area subject to registration fee (m2) |
x |
Price of one square meter of land (dong/m2) in the Land Price List issued by the People's Committee of the province or central-affiliated city |
Where:
+ The land area subject to registration fee is all the area of a land plot under the right to ownership, right of enjoyment of the organization, household or individual according to “Information sheet for determining land-related financial obligations”.
+ The price of one square meter of land in the Land Price List issued by the People's Committee of the province or central-affiliated city (hereinafter referred to as "the provincial People's Committee) shall be determined according to applicable land laws upon the declaration of registration fees.
- If land price specified in the land use right (LUR) transfer contract is higher than the price imposed by the provincial People's Committee, the base price for land shall be the price specified in the LUR transfer contract. If the land price specified in the LUR transfer contract is lower than the price imposed by the provincial People’s Committee, the base price for land shall be the price imposed by the provincial People’s Committee in accordance with effective land laws upon the declaration of registration fees.
- If a land user has been granted a LUR certificate without being required to pay registration fees, and then is permitted to have his/her current land repurposed by a competent authority and thus subject to registration fee, the base price shall be the land price for the new purpose in the Land Price List issued by the Provincial People's Committee in accordance with effective land laws upon the calculation of registration fees.
* Base prices for houses
- The value of a house subject to registration fee shall be determined as follows:
|
The value of the house subject to registration fee (dong) |
= |
House area subject to registration fee (m2) |
x |
Price of one square meter of the house (dong/m2) |
x |
Percentage (%) of the remaining quality of the house subject to registration fee |
Where:
+ The house area subject to registration fee is the entire area of the house’s floor (including the area of the attached ancillary works) under the legal ownership of the organization, household, or individual.
+ The price of one square meter of the house is the actual price of construction of one square meter of new floor at each house level or class which is imposed by the Provincial People's Committee according to applicable construction laws upon the declaration of registration fees.
The Department of Finance shall take charge and cooperate with the Department of Construction and relevant local authorities in, based on the regulations in Point b, Clause 1, Article 7 of Decree No. 10/2022/ND-CP, calculating the base price for the house, and submitting it to the Provincial People's Committee which will promulgate a List of Base prices applicable to local houses.
+The percentage (%) of remaining quality of the house subject to registration fee shall be issued by the Provincial People’s Committee in accordance with law.
- If the house price specified in the sale contract is higher than the price imposed by the Provincial People's Committee, the base price for the house shall the price specified in the sale contract. If the house price specified in the sale contract is lower than the price imposed by the Provincial People’s Committee, the base price for the house shall be the price imposed by the Provincial People’s Committee in accordance with applicable construction laws upon the declaration of registration fees.
- In case of an apartment building, the base price shall not include maintenance costs for the shared area of the apartment building. In case, the maintenance costs for the common area of the apartment building are not separated on the invoice or sale contract, the base price shall be the total contract value recorded on the sale invoice or the sale contract.
* For a base price applicable to the house or land price prescribed in a LUR transfer contract or in a real estate sale contract, the value of land and the value of the house shall not be separated.
If the total value of land and the house specified in the LUR transfer contract or the real estate sale contract is higher than the total value of land and the house calculated according to the prices imposed by the provincial People's Committee, the base price shall be the price specified in the contract.
If the total value of land and the house specified in the LUR transfer contract or the real estate sale contract is lower than the total value of land and the house calculated according to the prices imposed by the Provincial People’s Committee, the base price shall be the price imposed by the Provincial People’s Committee in accordance with land laws and construction laws upon the declaration of registration fees.
(2) Registration Fee Rate (%) for houses and land
According to Clause 1, Article 8 of Decree 10/2022/ND-CP, the registration fee rate for houses and land is 0.5%.
- What is the currency unit used in tax accounting in Vietnam?
- Which enterprise groups will the General Department of Taxation of Vietnam focus on inspecting and auditing in 2025?
- What are guidelines on online submission of unemployment benefits application in Vietnam in 2025? Are unemployment benefits subject to personal income tax?
- How long can the tax audit period on taxpayers’ premises in Vietnam be extended for complex matters?
- From January 1, 2025, which entities are exempted from ferry service fees from the state budget in Vietnam?
- How to determine VAT applicable to ships sold to foreign organizations in Vietnam?
- What is the maximum penalty for late submission of tax declaration dossiers in Vietnam?
- What is the duty-free allowance on gifts given for humanitarian in Vietnam?
- Are votive papers subject to excise tax up to 70% in Vietnam?
- Shall enterprises use invoices during suspension of operations in Vietnam?
