Circular No. 1069 TC/TCT on directing the collection of land transfer tax (LTT)

    Unit: Equivalent USD: - Ministries, ministerial-level agencies, government agencies

     - People's Committees of provinces and centrally governed cities

Pursuant to Clause 1, Article 50, Decree No. 164/2003/NĐ-CP dated December 22, 2003 of the Government detailing the implementation of the Law on Corporate Income Tax which took effect from January 1, 2004, stipulates: "Abolish the provisions on land use rights transfer tax for business establishments under Decree No. 19/2000/NĐ-CP dated June 8, 2000 of the Government detailing the implementation of the Law on Land Use Rights Tax and the Law Amending and Supplementing Certain Provisions of the Law on Land Use Rights Tax."

To ensure comprehensive management of state budget revenues, the Ministry of Finance requests the People's Committees of provinces and centrally-administered cities to direct relevant agencies and local Tax Departments to organize the collection of land use rights tax as follows:

1. For business establishments (production, trade, services) that have exercised land use rights before January 1, 2004, they shall pay land use rights tax according to the provisions of the Law on Land Use Rights Tax; if they exercise land use rights from January 1, 2004 onwards, they shall pay tax according to the provisions of the Law on Corporate Income Tax.

2. For households and individuals exercising land use rights (regardless of whether the transfer occurred before or after January 1, 2004), they shall continue to pay land use rights tax according to the provisions of the Law on Land Use Rights Tax, the Law Amending and Supplementing Certain Provisions of the Law on Land Use Rights Tax, and current guiding documents implementing the Law on Land Use Rights Tax.

In the course of implementation, if there are any difficulties, please promptly report to the Ministry of Finance for coordination in resolving them.  /.