What are procedures and documentation for tax exemption in case of transfer, inheritance, gifting of real estate in Vietnam?

1. What are procedures and documentation for tax exemption in case of transfer, inheritance, gifting of real estate in Vietnam?

Pursuant to Clause 1, Article 53 of Circular 80/2021/TT-BTC stipulating procedures and documentation for tax exemption in case of transfer, inheritance, gifting of real estate as follows:

1. In case of transfer, inheritance, gifting of real estate (including off-the-plan housing, off-the-plan construction works, construction works and housing that have been transferred and put into operation by project owners but have not been granted certificates of LUR and ownership of property on land according to housing laws and real estate business laws) between spouses, biological parents and children, adoptive parents and adopted children, parents-in-law and children-in-law, grandparents and grandchildren, siblings. The tax exemption application shall include: the application form No. 03/BDS-TNCN in Appendix II hereof and documents proving eligibility for tax exemption on a case-by-case basis. To be specific:

a) Regarding transfer, inheritance, gifting of real estate between two spouses, one of the following documents is required: copy of the family register, copy of the marriage certificate, court decision on divorce, remarriage (in case of division of a house due to divorce, consolidation of ownership due to remarriage).

b) Regarding transfer, inheritance, gifting of real estate between a biological parent and biological child, one of the following documents is required: copy of the family register (if they share the same family register) or copy of the birth certificate. In case of an illegitimate child, it is required to have copies of the decision on parental recognition issued by a competent authority.

c) Regarding transfer, inheritance, gifting of real estate between an adoptive parent and an adopted child, one of the following documents is required: copy of the family register (if they share the same family register) or copy of the decision on recognition of adoption issued by a competent authority.

d) Regarding transfer, inheritance, gifting of real estate between a paternal grandparent and a grandchild, the following documents are required: copy of the birth certificate of the grandchild, copy of the birth certificate of the grandchild's biological father; or copy of the family register showing the relationship between the grandparent and the grandchild; or other documents showing the relationship between the grandparent and the grandchild certified by competent authorities.

dd) Regarding transfer, inheritance, gifting of real estate between a maternal grandparent and a grandchild, the following documents are required: copy of the birth certificate of the grandchild, copy of the birth certificate of the grandchild's biological mother; or copy of the family register showing the relationship between the grandparent and the grandchild; or other documents showing the relationship between the grandparent and the grandchild certified by competent authorities.

e) Regarding transfer, inheritance, gifting of real estate between two siblings, the following documents are required: copy of the family register or copy of the birth certificates of the transferor and the transferee showing that they are children of the same parents, the same father or the same mother, or other documents proving their consanguinity certified by competent authorities.

g) Regarding transfer, inheritance, gifting of real estate between two a parent-in-law and a child-in-law, the following documents are required: copy of the family register showing their relationship; or copy of the birth certificate and marriage certificate of the child-in-law.

h) In case the transfer, inheritance, gifting of real estate is eligible for tax exemption mentioned in Clause 1 of this Article but the transferor or the transferee does not have a birth certificate of family register, it is mandatory to have confirmation of a competent authority of the relationship between the transferor and the transferee as the basis for determination of income eligible for tax exemption.

2. What are procedures and documentation for tax exemption in case of relocation of agricultural land granted by the State for production among households and individuals in Vietnam?

Pursuant to Clause 3 of Article 53 of Circular 80/2021/TT-BTC, procedures and documentation for tax exemption in case of relocation of agricultural land granted by the State for production among households and individuals are as follows:

3. In case of relocation of agricultural land granted by the State for production among households and individuals, the application shall include: Written agreement or contract on relocation between the parties which is certified by a competent authority.

Copies of the documents in case of real estate transfer and relocation of agriculture land mentioned in Clause 1, Clause 2 and Clause 3 must be notarized or authenticated by competent authorities.

Best Regards!