Latest cases of exemption from non-agricultural land use tax in Vietnam

Latest cases of exemption from non-agricultural land use tax in Vietnam (Internet image) 

Regarding this issue, LawNet would like to answer as follows:

1. Latest cases of exemption from non-agricultural land use tax in Vietnam

Cases of exemption from non-agricultural land use tax in Vietnam according to Article 9 of the Law on Non-agricultural Land Use Tax 2010 are as follows:

- Land of investment projects in domains eligible for special investment promotion; investment projects in areas with extreme socio-economic difficulties; investment projects in domains eligible for investment promotion in areas with socio-economic difficulties; and land of enterprises with over 50% of their employees being war invalids and diseased soldiers.

- Land of establishments carrying out socialized educational, vocational training, healthcare, cultural, sports or environmental activities.

- Land for the construction of houses of gratitude, houses of great solidarity, establishments nurturing lonely aged people, people with disabilities or orphans, and social-disease treatment establishments.

- Residential land within the set quota in areas with extreme socioeconomic difficulties.

- Residential land within the set quota , of revolutionary activists before August 19, 1945; war invalids of 1/4 or 2/4 grade and people enjoying policies like these war invalids; diseased soldiers of 1/3 grade; people’s armed forces heroes; heroic Vietnamese mothers; natural parents of, or people nurturing, martyrs when they were minors; spouses of martyrs;  martyrs’ children eligible for monthly allowances; agent orange victims who are revolutionary activists; and agent orange victims with difficult family circumstances.

- Poor households’ land within the set quota under the Government’s regulations.

- Households and individuals whose residential land is actually recovered in a year under the approved planning or plan will be exempt from tax on the recovered land and the land in the new place of residence in that year.

- Land with garden houses certified by a competent state agency as historical-cultural relics.

- Taxpayers who face difficulties due to force majeure circumstances if the value of damage related to land and houses on land accounts for over 50% of the taxable price.

2. Regulations on registration, declaration, calculation and payment of non-agricultural land use tax in Vietnam

Regulations on registration, declaration, calculation and payment of non-agricultural land use tax in Vietnam according to Article 8 of the Law on Non-agricultural Land Use Tax 2010 are as follows:

- Taxpayers shall register, declare, calculate and pay tax under the law on tax administration.

- Taxpayers shall register, declare, calculate and pay tax at tax offices of rural districts, urban districts, towns or provincial cities in which they have land use rights.

Taxpayers in deep-lying or remote areas difficult to access may register, declare, calculate and pay tax at commune-level People’s Committees. Tax offices shall create conditions for taxpayers to fulfill their obligations.

- When a taxpayer has the right to use many residential land plots, the taxable area is the total area of taxable residential-land plots within a province or centrally run city. Tax registration, declaration, calculation and payment are specified as follows:

+ Taxpayers shall register, declare, calculate and pay tax at tax offices of rural districts, urban districts, towns or provincial cities in which they have land use rights;

+ Taxpayers may choose the residential land quota applicable in a rural  district, urban district, town or provincial city in which they have land use rights. A taxpayer who has one or more than one residential land plot in excess of the set quota may choose one place in which he/she has a residential land plot in excess of the set quota for determining the land plots’ area in excess of the set quota .

The applicable taxable price is the land price applied in each rural district, urban district, town or provincial city in which the land plot exists. Taxpayers shall make general declarations according to a set form for determining the total area of residential land plots for which they have use rights and the paid tax amount, and send them to the tax office of the locality they have chosen for determining the residential land quota in order to pay the difference between the tax amount payable under the Law on Non-agricultural Land Use Tax 2010 and the paid tax amount.

>> CLICK HERE TO READ THIS ARTICLE IN VIETNAMESE