Social housing is subject to property tax exemption

	Some comments on tax exemption for construction materials to create fixed assets
	Eligible export processing and manufacturing facilities will be exempted from tax
	Social housing: retardation as "entangled"

Social housing is one of the 12 cases expected to be exempt from tax.

These cases are developed based on the inheritance of the current regulations on tax exemption and reduction on non-agricultural land use which are still in place; and to ensure consistency with the provisions of the housing law and the reality

12 cases of tax exemption

The draft Law provides for 12 cases of tax exemption, including: residential land and housing of investment projects in the field of special investment incentives; investment projects in areas with extremely difficult socio-economic conditions; investment projects in the field of investment incentives in areas with difficult socio-economic conditions; land of enterprises employing more than 50% of laborers as war invalids, diseased soldiers and disabilities;

Land of the establishment which implements the socialization in the field of education, vocational training, health, culture, sports and environment;

Residential land within the quota on allocation of new residential land and houses of revolutionary activists before 19thAugust 1945; war invalids of level 1/4, 2/4; Policy beneficiaries such as war invalids of level 1/4, 2/4; diseased soldiers of level 1/3; people's armed force Hero; Vietnamese heroic mother; birth fathers and mothers, who have contributed to a martyrs' care at an early age; husband and wife of a martyr; children of martyrs who are entitled to a monthly allowance; revolution activists who are infected with agent orange; and victims of agent orange, whose family circumstances are difficult;

Land for building charity houses, solidarity houses, establishments for nurturing lonely elderly people, disabilities, orphans and social medical treatment establishments;

Residential land within the quota on allocation of new residential land or houses in areas with extremely difficult socio-economic conditions; Residential land within the quota on allocation of new residential land and houses of poor households according to the Government's regulations; Land with garden houses certified by competent state agencies as historical or cultural relics; Social housing; public housing; Types of state-owned houses under the Housing Law; Taxpayers who encounter difficulties due to force majeure events if the damage value of taxable assets exceeds 50% of the taxable price; Airplanes, yachts and cars of state agencies, administrative and non-business agencies, people's armed forces units and diplomatic cars. (In cases of taxation on aircraft, yachts and cars valued at VND 1.5 billion or more); Taxpayers with annual tax payable of VND 50,000 or less.

Apart from the above 12 cases, other special cases as decided by the Prime Minister will be exempt from tax.

Many cases are subject to tax reduction of 50%

Together with the tax exemption, the draft Law also provides for a reduction of 50% of tax payable for following cases:

Land and housing of investment projects in the field of investment incentives; Investment projects in areas with difficult socio-economic conditions; Land of enterprises employing between 20% and 50% of laborers as war invalids, diseased soldiers and disabilities;

Residential land within the quota on allocation of new residential land or houses in areas with difficult socio-economic conditions;

Residential land within the limit of allocation of new residential land and houses of war invalids of level 3/4, 4/4; policy beneficiaries like invalids of level 3/4, 4/4; diseased soldiers of level 2/3, 3/3; martyrs’ children who are not entitled to monthly allowance;

Taxpayers who encounter difficulties due to force majeure events if the damage value of taxable assets is between 20% and 50% of the taxable price;

In order to ensure fairness, transparency and uniformity in the determination of cases subject to property tax exemption and reduction, the draft law specifies the principles of tax exemption and reduction such as taxpayers who are entitled to both tax exemption and reduction are exempt from property tax; Taxpayers who are entitled to two or more tax reductions as stipulated by this Law shall be entitled to tax exemption. Tax exemption and reduction shall apply directly to taxpayers and shall only be calculated on the tax payable according to regulations.

Obstacles in mechanisms and policies for social housing to be removed VCN- One of the prerequisites for the development of social housing and housing for low-income people is ...

If taxpayers are incapable of tax payment, they shall be entitled to late tax payment and shall not be fined for late tax payment. Taxpayers are obliged to fulfill their tax obligations before transferring their ownership and use rights of properties.