This continues to be one of the notable contents in the Draft Decree on the extension of the tax and land rent payment deadlines, which is currently under public consultation and is expected to take effect from the date of signing in Vietnam.
Article table of contents
Extension of Land Rent Payment for the First Installment of 2020 for Enterprises in Vietnam (Illustrative Image)
According to this Draft Decree, the deadline for the payment of land rent for the first installment of 2020 for enterprises, organizations, individuals who are directly leased land by the State under a decision, contract by a competent state agency in the form of annual land rent payment and use the land for business production purposes in the following economic sectors will be extended:
- Agricultural, forestry, and fishery production;
- Food production and processing; Textile; Garment production; Footwear production; Production of rubber products; Production of electronic products, computers; Production and assembly of automobiles (excluding production and assembly of automobiles with up to 09 seats);
- Railway transportation; Road transportation; Waterway transportation; Air transportation; Warehousing and related transportation support activities;
- Lodging services, food services;
- Activities of travel agencies, tour business, and support services related to advertising and organizing tours.
The extension period is 05 months from the deadline for the land rent payment as stipulated by law. The latest extended deadline for land rent payment is October 31, 2020.
In cases where enterprises, organizations, individuals, groups of individuals, or business households engage in multiple economic sectors, including any of the sectors mentioned above:
- Enterprises and organizations will have the entire amount of value-added tax (VAT) payable extended;
- Individuals, groups of individuals, or business households will have the entire VAT and personal income tax payable extended as guided in this Draft.
The extended land rent is determined according to each decision, contract with the purpose of land use for the production and business of the sectors mentioned above.
See further procedures for extension of land rent HERE.
Nguyen Trinh
- Key word:
- land rent
- enterprise
- Vietnam
