What are procedures for exemption and reduction of land levy in Vietnam according to Decision 2780/QD-BTC? What documents are included in the Dossiers for exemption and reduction of land levy in Vietnam?
What are procedures for exemption and reduction of land levy in Vietnam according to Decision 2780/QD-BTC?
Based on sub-section 1, Part II of the administrative procedure regulations issued with Decision 2780/QD-BTC in 2023, the procedures for exemption and reduction of land levy are as follows:
Step 1: The taxpayer submits the application for exemption or reduction of land levy if it arises after the tax authority has issued a payment notice.
Step 2: The tax authority receives the application:
- In case the application is submitted directly at the tax authority, the tax official will receive and stamp the receipt on the application, record the time of receipt, note the number of documents in the application, and log it in the tax authority’s correspondence book.
- In case the application is sent by mail, the tax official will stamp the date of receipt on the application and log it in the tax authority’s correspondence book.
For cases including the application for "exemption of land levy within the homestead land allocation limit for poor households, ethnic minority households in areas with particularly difficult socio-economic conditions, border areas, islands according to the list of communes issued by competent state agencies; application for reduction of land levy within the homestead land allocation limit for poor households, ethnic minority households not in areas with particularly difficult socio-economic conditions, border areas, islands; application for "exemption of land levy within the homestead land allocation limit when issuing the first land use right certificate for land converted from non-homestead land to homestead land due to separation of households for ethnic minority households, poor households in especially difficult communes within ethnic minority and mountainous regions." The tax authority is responsible for extracting information from the National Population Database to determine the permanent residence of the ethnic minority household, poor household in the local area eligible for land levy exemption or reduction; the permanent residence of the ethnic minority household, poor household in especially difficult communes within ethnic minority and mountainous regions.
If it is not possible to extract citizen information from the National Population Database, the tax authority shall request the provision of documents and records to determine the permanent residence of the ethnic minority household, poor household in the local area eligible for land levy exemption or reduction according to regulations; the permanent residence of the ethnic minority household, poor household in especially difficult communes within ethnic minority and mountainous regions.
Step 3: The tax authority considers the file and returns the results as prescribed.
What are procedures for exemption and reduction of land levy in Vietnam according to Decision 2780/QD-BTC? What documents are included in the Dossiers for exemption and reduction of land levy in Vietnam? (Image from the Internet)
What documents are included in the Dossiers for exemption and reduction of land levy in Vietnam?
Based on sub-section 1, Part II of the Administrative Procedures issued together with Decision 2780/QD-BTC in 2023, the Dossiers for exemption and reduction of land levy include:
Components and quantity of the file:
+ File components include:
++ File components for land within the allocation limit of homestead land when using land to implement housing policies, homestead land for those who have contributed to the revolution, include:
+++ A proposal document according to Form 01/MGTH in Appendix I issued together with Circular No. 80/2021/TT-BTC dated September 29, 2021, of the Ministry of Finance guiding the implementation of certain articles of the Tax Management Law and Decree No. 126/2020/ND-CP dated October 19, 2020, of the Government of Vietnam detailing some articles of the Tax Management Law;
+++ Relevant documents proving eligibility for land levy exemption or reduction according to the regulations on revolutionary contributors;
+++ Decision or documents as regulated by law on land levy exemption or reduction issued by the provincial People's Committee or agencies authorized or decentralized by the provincial People's Committee.
++ File components for land levy exemption within the allocation limit of homestead land for poor households, ethnic minority households in areas with particularly difficult socio-economic conditions, border areas, islands as listed by competent authorities; file for land levy reduction within the allocation limit of homestead land for poor households, ethnic minority households not in particularly difficult socio-economic conditions, border areas, islands, include:
+++ A proposal document according to Form 01/MGTH in Appendix I issued together with Circular No. 80/2021/TT-BTC dated September 29, 2021, of the Ministry of Finance guiding the implementation of certain articles of the Tax Management Law and Decree No. 126/2020/ND-CP dated October 19, 2020, of the Government of Vietnam detailing some articles of the Tax Management Law;
+++ For ethnic minority households: The tax authority is responsible for extracting information from the National Population Database as regulated in Article 84 of Circular No. 80/2021/TT-BTC dated September 29, 2021, of the Ministry of Finance (amended and supplemented by Circular No. 43/2023/TT-BTC dated June 27, 2023, of the Ministry of Finance), to determine the permanent residence of the ethnic minority household in local areas eligible for homestead land levy exemption or reduction. If information cannot be obtained from the National Population Database, the tax authority will request a copy of the Residency Information Confirmation or Notification of Personal Identification Number and Citizen Information from the National Population Database.
+++ For poor households: The tax authority is responsible for extracting information from the National Population Database as regulated in Article 84 of Circular No. 80/2021/TT-BTC dated September 29, 2021, of the Ministry of Finance (amended and supplemented by Circular No. 43/2023/TT-BTC dated June 27, 2023, of the Ministry of Finance), to determine the permanent residence of poor households in local areas eligible for homestead land levy exemption or reduction. If information cannot be obtained from the National Population Database, the tax authority will request a copy of the Residency Information Confirmation or Notification of Personal Identification Number and Citizen Information from the National Population Database; Confirmation from the competent authority regarding the poor household as regulated by the Ministry of Labor - Invalids and Social Affairs.
++ File components for land levy exemption within the allocation limit of homestead land when issuing the initial land use certificate for land converted from non-homestead land to homestead land due to household separation for ethnic minority households and poor households in particularly difficult villages and mountainous regions, include:
+++ A proposal document according to Form 01/MGTH in Appendix I issued together with Circular No. 80/2021/TT-BTC dated September 29, 2021, of the Ministry of Finance guiding the implementation of certain articles of the Tax Management Law and Decree No. 126/2020/ND-CP dated October 19, 2020, of the Government of Vietnam detailing some articles of the Tax Management Law;
+++ Confirmation document from the competent state agency regarding the conversion from non-homestead land to homestead land due to household separation;
+++ The tax authority is responsible for extracting information from the National Population Database as regulated in Article 84 of Circular No. 80/2021/TT-BTC dated September 29, 2021, of the Ministry of Finance (amended and supplemented by Circular No. 43/2023/TT-BTC dated June 27, 2023, of the Ministry of Finance), to determine the permanent residence of ethnic minority households or poor households in particularly difficult villages and mountainous regions. If information cannot be obtained from the National Population Database, the tax authority will request a copy of the Residency Information Confirmation or Notification of Personal Identification Number and Citizen Information from the National Population Database. For poor households, confirmation from the competent authority regarding the poor household as regulated by the Ministry of Labor - Invalids and Social Affairs is required.
++ File components for land levy exemption for land allocated within the homestead land allocation limit to fishing village residents, river dwellers, or lagoon dwellers relocating to settlement areas according to approved plans or projects, include:
+++ A proposal document according to Form 01/MGTH in Appendix I issued together with Circular No. 80/2021/TT-BTC dated September 29, 2021, of the Ministry of Finance guiding the implementation of certain articles of the Tax Management Law and Decree No. 126/2020/ND-CP dated October 19, 2020, of the Government of Vietnam detailing some articles of the Tax Management Law;
+++ A copy of the land allocation decision from the competent state agency;
+++ A copy of the document from the competent state agency regarding project implementation.
++ File components for land levy exemption for the allocated land within the homestead land allocation limit for resettlement or allocation to households and individuals in floodplain residential clusters according to approved projects, include:
+++ A proposal document according to Form 01/MGTH in Appendix I issued together with Circular No. 80/2021/TT-BTC dated September 29, 2021, of the Ministry of Finance guiding the implementation of certain articles of the Tax Management Law and Decree No. 126/2020/ND-CP dated October 19, 2020, of the Government of Vietnam detailing some articles of the Tax Management Law;
+++ A copy of the land allocation decision for resettlement from the competent state agency;
+++ A copy of the document from the competent state agency regarding project implementation.
++ File components for land levy exemption or reduction for investment projects in socialization areas allocated land with land levy as regulated by law before the 2013 Land Law, include:
+++ A proposal document according to Form 01/MGTH in Appendix I issued together with Circular No. 80/2021/TT-BTC dated September 29, 2021, of the Ministry of Finance guiding the implementation of certain articles of the Tax Management Law and Decree No. 126/2020/ND-CP dated October 19, 2020, of the Government of Vietnam detailing some articles of the Tax Management Law;
+++ A copy of the Investment Certificate or Investment License or Investment Registration Certificate (except cases not required to issue such documents according to investment law);
+++ A copy of the investment policy decision from the competent authority according to investment law (except cases not required to issue an investment policy decision according to investment law) or a document approving the investment policy according to investment law or a document approving the project according to the regulations of the law;
+++ A copy of the land allocation decision from the competent state agency to implement the investment project.
++ File components for land levy exemption or reduction for encouraged investment projects, cemetery and burial ground infrastructure projects according to investment law, include:
+++ A proposal document according to Form 01/MGTH in Appendix I issued together with Circular No. 80/2021/TT-BTC dated September 29, 2021, of the Ministry of Finance guiding the implementation of certain articles of the Tax Management Law and Decree No. 126/2020/ND-CP dated October 19, 2020, of the Government of Vietnam detailing some articles of the Tax Management Law;
+++ A copy of the Investment Certificate or Investment License or Investment Registration Certificate (except cases not required to issue such documents according to investment law); or Scientific and Technology Enterprise Certificate, for scientific and technological enterprises;
+++ A copy of the investment policy decision (except cases not required to issue an Investment License or Investment Registration Certificate according to investment law);
+++ A copy of the land allocation decision from the competent state agency to implement the investment project.
++ File components for land levy exemption for social housing construction investment projects according to Clause 1, Article 53 of the Housing Law 2014, include:
+++ A proposal document according to Form 01/MGTH in Appendix I issued together with Circular No. 80/2021/TT-BTC dated September 29, 2021, of the Ministry of Finance guiding the implementation of certain articles of the Tax Management Law and Decree No. 126/2020/ND-CP dated October 19, 2020, of the Government of Vietnam detailing some articles of the Tax Management Law;
+++ A copy of the decision or document approving the investment policy, approving the investment project from the competent authority according to the regulations of the law;
+++ A copy of the land allocation decision from the competent state agency.
++ File components for land levy exemption for social housing investment projects according to Clause 2, Article 53 of the Housing Law 2014 (except exemption for renting to employees of the unit), include:
+++ A proposal document according to Form 01/MGTH in Appendix I issued together with Circular No. 80/2021/TT-BTC dated September 29, 2021, of the Ministry of Finance guiding the implementation of certain articles of the Tax Management Law and Decree No. 126/2020/ND-CP dated October 19, 2020, of the Government of Vietnam detailing some articles of the Tax Management Law;
+++ A copy of the decision or document approving the investment policy, approving the investment project from the competent authority according to the regulations of the law;
+++ A copy of the land allocation decision from the competent state agency;
+++ The company's or cooperative's commitment that the rental price does not exceed the rental price issued by the provincial People's Committee according to the regulations of housing law.
++ File components for land levy exemption for social housing investment projects according to Clause 2, Article 53 of the Housing Law 2014 for renting to employees of the unit, include:
+++ A proposal document according to Form 01/MGTH in Appendix I issued together with Circular No. 80/2021/TT-BTC dated September 29, 2021, of the Ministry of Finance guiding the implementation of certain articles of the Tax Management Law and Decree No. 126/2020/ND-CP dated October 19, 2020, of the Government of Vietnam detailing some articles of the Tax Management Law;
+++ A copy of the decision or document approving the investment policy, approving the investment project from the competent authority according to the regulations of the law;
+++ A copy of the land allocation decision from the competent state agency;
+++ A copy of the employee list from the company or cooperative with confirmation from the competent state authority according to housing law regulations;
+++ The company's or cooperative's commitment that the rental price does not exceed the rental price issued by the provincial People's Committee according to the regulations of housing law.
++ File components for land levy exemption for social housing investment projects according to Clause 3, Article 53 of the Housing Law 2014, include:
+++ A proposal document according to Form 01/MGTH in Appendix I issued together with Circular No. 80/2021/TT-BTC dated September 29, 2021, of the Ministry of Finance guiding the implementation of certain articles of the Tax Management Law and Decree No. 126/2020/ND-CP dated October 19, 2020, of the Government of Vietnam detailing some articles of the Tax Management Law;
+++ A copy of the decision or document approving the investment policy, approving the investment project from the competent authority according to the regulations of the law;
+++ A copy of the document from the land management agency certifying the legitimate homestead land area of the investor according to land law regulations to invest in social housing construction.
++ File components for land levy exemption in other cases according to the Prime Minister of the Government of Vietnam's Decision, include:
+++ A proposal document according to Form 01/MGTH in Appendix I issued together with Circular No. 80/2021/TT-BTC dated September 29, 2021, of the Ministry of Finance guiding the implementation of certain articles of the Tax Management Law and Decree No. 126/2020/ND-CP dated October 19, 2020, of the Government of Vietnam detailing some articles of the Tax Management Law;
+++ A copy of the Investment Certificate or Investment License or Investment Registration Certificate (except cases not required to issue such documents according to investment law); or Scientific and Technology Enterprise Certificate, for scientific and technological enterprises;
+++ A copy of the investment policy decision (except cases not required to issue an Investment License or Investment Registration Certificate according to investment law).
Thus, the documents in the Dossiers for exemption and reduction of land levy are regulated as above.
How long does it take to process the land levy exemption and reduction procedures in Vietnam?
According to sub-section 1, Part II of the Administrative Procedures issued together with Decision 2780/QD-BTC in 2023, the time for processing the land levy exemption and reduction procedures is as follows:
Within 30 days from the date of receiving a complete dossier. In cases where an on-site inspection is required to have sufficient grounds to resolve the tax exemption or reduction file, within 40 (forty) days from the date of receiving a complete dossier.
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