Sharing with Lao Dong reporter, Mr. Le Hoang Chau - Chairman of Ho Chi Minh City Real Estate Association (HoREA) - said that at the meeting on the afternoon of July 31 on the draft Law on Personal Income Tax (replacement) chaired by Deputy Prime Minister Ho Duc Phoc, Deputy Minister of Finance Cao Anh Tuan presented a new orientation on building a draft Law on Personal Income Tax (replacement).
Notably, after receiving comments, this orientation has not proposed applying a tax rate of 20%/taxable income when transferring real estate; nor has it proposed applying personal income tax (PIT) for the period of holding real estate when transferring real estate as in the draft Law (previously), but it is necessary to continue researching and having a roadmap of about 5 years when eligible to consider the proposal.
At the same time, continue to research to increase the personal family deduction level to over 20 million VND/person and dependents to over 7 million VND/person.
Mr. Chau said that HoREA will continue to adhere to and make appropriate comments to complete the draft laws.
"The Association proposes to only collect an additional land use fee of 0.5% (instead of currently collecting 5.4%) because Point d, Clause 2, Article 257 of the 2024 Land Law is in effect and stipulates that it must be collected and on the basis of the draft Law amending and supplementing a number of articles of the Land Law, it is proposing to remove this fee. At the same time, the association proposes to collect only 20% (the Ministry of Finance proposes to collect 30%) of the land price list for residential land areas within the residential land limit and only collect 30% (the Ministry of Finance proposes to collect 50%) of the land price list for residential land areas exceeding the residential land limit when households and individuals apply for a "red book"...
"If these proposals are approved by the National Assembly, the association will continue to propose adding "transitional regulations" regulating the refund of "excess" land use fees collected by households and individuals; and the deduction of "additional land use fees" collected by enterprises" into the financial obligations to the State of enterprises" - Mr. Chau said.
The amended Land Law takes into account most of the recommendations
Mr. Le Hoang Chau added that a series of recommendations from the association were accepted at important meetings organized by the Ministry of Justice and the Government.
The Chairman of HoREA informed that at the discussion on the morning of July 31 on the draft Law amending and supplementing a number of articles of the Land Law chaired by Minister of Justice Nguyen Hai Ninh, with the participation of Deputy Minister of Justice Nguyen Thanh Tu, Deputy Minister of Agriculture and Environment Le Minh Ngan and many ministries, branches, experts, and large enterprises, the draft Land Law was assessed as having accepted almost all contributions from HoREA, the business community and experts in the past time.
Mr. Chau said: "If this draft law is passed by the National Assembly at the 10th session at the end of 2025, it will create conditions for land to truly become a resource for socio-economic development".
