Procedure for PIT exemption declaration for individuals with income from real estate transfer in Vietnam

Procedure for PIT exemption declaration for individuals with income from real estate transfer in Vietnam 

According to the Decision, the procedure for PIT exemption declaration for individuals with income from real estate transfer, inheritance, and gifts (including houses and construction works to be generated in the future) shall be carried out as follows:

** Step 1. An individual transferring real estate eligible for tax exemption (including houses and construction works to be generated in the future) shall prepare an application and submit the tax exemption documentation enclosed with the tax declaration as per regulation to the inter-connected single-window department or the Tax Sub-Department where the real estate is located. If the related province has not implemented the inter-connected single-window regulation, submit the application in person to the office of land use right registration where the transferred real estate is located. 

If the individual transfers a house or construction work to be generated in the future, declare and pay PIT at the local Tax Sub-Department where the mentioned house or construction work is located.

** Step 2. The tax authority shall receive the application: 

- If the application is submitted in person at the tax authority or sent through postal services: the tax authority shall receive and process the application as per regulation. 

- If the application is submitted online to the tax authority, the receipt, inspection, acceptance, processing, and result return of the application shall be carried out through the electronic data handling system of the tax authority.  In case of real estate transfer, inheritance, and gifts (including houses and construction works to be generated in the future, houses and construction works handed over by project owners for use but have not been granted certificates of land use rights or ownership rights to houses and property on lands according to laws on housing and laws on real estate trading) between spouses, biological parents and biological children, foster parents and adopted children; between parents-in-law and daughters-in-law; between parents-in-law and sons-in-law; between grandparents and grandchildren; between siblings.

The tax authority shall utilize the information in the National Database on Population according to Article 84 of Circular No. 80/2021/TT-BTC (amended by Circular No. 43/2023/TT-BTC) to process the procedure for tax exemption for the concerned taxpayer.

If it is impossible to utilize the residential information in the National Database on Population, the taxpayer shall provide related documents to determine the subject of tax exemption by each case.

** Step 3. The tax authority shall consider processing the application and return the results as per regulation.  

See more details in Decision No. 2780/QD-BTC dated December 18, 2023. 

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