Vietnam: Cases of reduction of non-agricultural land use tax

Specifically, according to Article 10 of the Law on Non-Agricultural Land Use Tax 2010 of Vietnam and Article 11 of Circular No. 153/2011/TT-BTC, cases of reduction of non-agricultural land use tax include:

- To reduce payable tax amounts by 50% in the following cases:

One, land of investment projects in the sectors eligible for investment promotion; investment projects in geographical areas with socio-­economic difficulties; land of enterprises with between 20% and 50% of their employees being war invalids or diseased soldiers.

Lists of sectors eligible for investment promotion (investment incentives); sectors eligible for special investment promotion (special investment incentives); areas with socio-economic difficulties: and areas with extreme socio-economic difficulties comply with the investment law.

Employees being war invalids or diseased soldiers must be regularly employed in the year as specified in the Ministry of Labor, War Invalids and Social Affairs' Circular No. 40/2009/TT-BLDTBXH of December 3,2009, and its amending documents.

Two, within-quota residential land in geographical areas with socio-economic difficulties.

Three, within-quota residential land of war invalids of 3/4 or 4/4 grade; persons enjoying policies like war invalids of 3/4 or 4/4 grade; martyrs' children enjoying monthly allowances.

- Taxpayers facing difficulties due to force majeure circumstances, provided the value of damage related to their land and houses on land accounts for between 20% and 50% of the taxable price.

In this case, certification of commune-level People's Committees of the localities where exists such land is required.

View more details at: The Law on Non-Agricultural Land Use Tax 2010 of Vietnam and Circular No. 153/2011/TT-BTC take effect from January 01, 2012.

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