Circular No. 181/2009/TT-BTC stipulates a reduction of 50% in the VAT rate and exemption from corporate income tax for housing projects intended for lease or sale to students, workers, and low-income individuals. This circular applies from July 22, 2009 to December 31, 2009.
Scope of application
Enterprises investing in building housing for lease or sale to students, workers, and low-income individuals.
Key points
- Enterprises are entitled to a 50% reduction in the VAT rate from July 22, 2009 to December 31, 2009 for housing projects intended for lease or sale to students, workers, and low-income individuals.
- Enterprises are exempted from corporate income tax payable in 2009 on income derived from housing business activities as prescribed.
- Housing investment and business projects intended for lease or sale to students, workers, and low-income individuals must meet criteria regarding selling price, rental price, and eligible buyers.
- Enterprises must declare the amount of tax exempted according to the guidelines of the Ministry of Finance and commit to paying the full tax when the grace period ends.
- This Circular takes effect 45 days after signing.
🌐 Social impact of this document
- Positive impact: Reducing financial burden on enterprises, encouraging investment in social housing.
- Negative impact: May reduce state budget revenue in the short term.
- Enterprises benefit from tax incentives.
- Low-income individuals and workers benefit from additional housing options.
❓ Frequently asked questions
Which projects are eligible for reduced VAT?
Housing construction projects intended for lease or sale to students, workers, and low-income individuals from July 22, 2009 to December 31, 2009.
How much corporate income tax do enterprises get exempted from?
Enterprises are exempted from corporate income tax payable in 2009 on income derived from housing business activities as prescribed.
What conditions must be met for a project to qualify for reduced VAT?
Projects must meet criteria regarding selling price, rental price, and eligible buyers as prescribed in Decision No. 65/2009/QD-TTg, Decision No. 66/2009/QD-TTg, and Decision No. 67/2009/QD-TTg of the Prime Minister.
What must enterprises do to qualify for reduced tax?
Enterprises need to comply with accounting records, invoices, certificates, and registration for tax declarations.
When does this Circular take effect?
This Circular takes effect 45 days after signing.
Full text
CIRCULAR
Guidelines for implementing Decision No. 96/2009/QĐ-TTg dated July 22, 2009 of the Prime Minister amending and supplementing certain provisions of Decisions No. 65/2009/QĐ-TTg, No. 66/2009/QĐ-TTg, and No. 67/2009/QĐ-TTg
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Pursuant to the Law on Value Added Tax No. 13/2008/QH12 dated June 3, 2008;
Pursuant to the Law on Corporate Income Tax No. 14/2008/QH12 dated June 3, 2008 and guiding documents for implementation;
Pursuant to the Decree No. 118/2008/NĐ-CP dated November 27, 2008 of the Government stipulating the functions, tasks, powers, and organizational structure of the Ministry of Finance;
Pursuant to Decision No. 96/2009/QĐ-TTg dated July 22, 2009 of the Prime Minister amending and supplementing certain provisions of Decisions No. 65/2009/QĐ-TTg, No. 66/2009/QĐ-TTg, and No. 67/2009/QĐ-TTg of the Prime Minister;
The Ministry of Finance issues guidelines for implementing Decision No. 96/2009/QĐ-TTg as follows:
Clause 4 of Article 6Reducing the value added tax rate by 50%
1. Reduce the value added tax rate by 50% from July 22, 2009 (the date when Decision No. 96/2009/QĐ-TTg takes effect) until December 31, 2009 for the following cases:
a. Housing for rent to students and trainees of universities, colleges, vocational high schools, vocational colleges, and technical secondary schools (regardless of whether they study at public or non-public institutions);
b. Housing for rent to workers in industrial zones;
c. Housing for sale, rent, or lease-purchase to low-income individuals facing housing difficulties.
2. Housing subject to the reduced value added tax rate as stipulated in this Article must meet the criteria for housing; prices for sale, rental, and lease-purchase; and the objects and conditions for renting, lease-purchasing, and purchasing as specified in Decision No. 65/2009/QĐ-TTg dated April 24, 2009 of the Prime Minister on mechanisms and policies for developing housing for rent to students and trainees of universities, colleges, and vocational secondary schools and vocational training centers (Decision No. 65/2009/QĐ-TTg), Decision No. 66/2009/QĐ-TTg dated April 24, 2009 of the Prime Minister on mechanisms and policies for developing housing for rent to workers in industrial zones (Decision No. 66/2009/QĐ-TTg), and Decision No. 67/2009/QĐ-TTg dated April 24, 2009 of the Prime Minister on mechanisms and policies for developing housing for sale, rent, or lease-purchase to low-income individuals in urban areas (Decision No. 67/2009/QĐ-TTg).
3. Enterprises with housing eligible for a 50% reduction in the value added tax rate as stipulated in Clause 1 of this Article are enterprises that have implemented accounting systems, invoices, and documents and registered for tax declaration and payment.
12/2025/TT-BNNMT dated June 19, 2025 issued by the Minister of Agriculture and EnvironmentExemption from corporate income tax payable in 2009
1. Exempt the corporate income tax payable in 2009 for the following sources of income:
a. Income from investment and business activities related to housing for rent to students and trainees of universities, colleges, vocational high schools, vocational colleges, and technical secondary schools during their studies;
b. Income from investment and business activities related to housing for rent to workers in industrial zones;
c. Income from investment and business activities related to housing for sale, rent, or lease-purchase to low-income individuals facing housing difficulties.
The amount of corporate income tax exempted shall be determined based on the business accounting results of the enterprise if the enterprise separately accounts for the income from the exempted business activities. In cases where the enterprise cannot separately account for the corporate income tax payable from the exempted business activities, the amount of exempted corporate income tax shall be determined based on the ratio between the revenue from the exempted business activities and the total revenue from all business activities of the enterprise in 2009.
2. The entities eligible for exemption from corporate income tax payable in 2009 as stipulated in Clause 1 of this Article are the project investors for student housing, worker housing in industrial zones, and low-income housing projects as specified in Article 2 of Circular No. 10/2009/TT-BXD dated June 15, 2009 of the Ministry of Construction implementing management of projects for building student housing, worker housing in industrial zones, and low-income housing for leasing to students and trainees of universities, colleges, vocational high schools, vocational colleges, and technical secondary schools; for leasing to workers in industrial zones; and for selling, leasing, or lease-purchasing to low-income individuals facing housing difficulties in urban areas according to Decisions No. 65/2009/QĐ-TTg, No. 66/2009/QĐ-TTg, and No. 67/2009/QĐ-TTg of the Prime Minister.
The real estate investment and business projects of organizations eligible for exemption from corporate income tax as stipulated in this Article must meet the criteria for housing; prices for sale, rental, and lease-purchase; and the objects and conditions for renting, lease-purchasing, and purchasing as specified in Decisions No. 65/2009/QĐ-TTg, No. 66/2009/QĐ-TTg, and No. 67/2009/QĐ-TTg of the Prime Minister.
3. Declaration of exempted tax
Enterprises declare the exempted tax quarterly in accordance with the guidelines set out in Section I and Section III, Part B, Circular No. 60/2007/TT-BTC dated June 14, 2007 of the Ministry of Finance. At the same time, enterprises commit in the declaration form to pay the full corporate income tax within the extended payment period.
Article 3. Implementation Organization and Effectiveness
1. This Circular shall take effect 45 days from the date of signature.
2. During the implementation process, if there are any difficulties, organizations and individuals are requested to report to the Ministry of Finance for timely guidance and resolution./.
DEPUTY MINISTER
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