- Temporarily reduce 50% of business license tax for: Seafood fishing households, communal people's credit funds, cooperatives specializing in agricultural production services, shops, stalls, stores of cooperatives and private enterprises operating in mountainous areas.
7.4. Registration fee
7.4.1. Concept
Register is a term that refers to the procedure of recording a summary of a deed or an agreement about property in a book.
Registration fee is a collection regulated by the State before an organization or individual is recognized by a competent State agency for ownership and legal right to use property of that organization or individual .
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The person paying the registration fee is confirmed by the State to have the right to own and use assets according to the law such as houses, ships, etc.
7.4.2. Taxpayers
Domestic and foreign individuals with assets subject to registration fees must pay registration fees (except for certain subjects) before registering ownership and usage rights with competent State agencies.
7.4.3. Taxable entities
Assets subject to registration of ownership and use rights with State agencies according to law such as:
- House, land
- Means of transport:
7.4.4. Method of calculating registration fee
The amount of registration fee collected is based on two factors: the value of the property subject to registration fee and the registration fee percentage.
Amount of registration fee payable
In there:
Fee calculation price
=
registration
Percentage
×
registration fee
- The price for calculating registration fee is the value of the property subject to registration fee according to the domestic market price at the time of calculating the registration fee.
- The registration fee collection rate is prescribed as follows:
+ Real estate is 1%
+ Ships and boats are 1%, except for offshore fishing boats which are 0.5%
+ Cars, motorbikes, hunting guns, sporting guns are 2%
Cars with 7 seats or less (except passenger transport business cars with valid documents) and motorbikes of organizations and individuals in cities under the Central Government.
The central, provincial cities and towns where the provincial People's Committee is headquartered pay the initial registration fee of 5%.
For cars with 7 seats or less, if transferred later, the registration fee rate is 2% for cars and 1% for motorbikes.
For motorbikes paying registration fee from the second time onwards, except for the above case, the registration fee rate is 1% (except for the above case).
According to Decree No. 80/2008/ND-CP issued by the Prime Minister on July 29, passenger cars with less than 10 seats (including the driver's seat) must pay a registration fee of 10-15%. The specific fee will be decided by the Provincial People's Council in accordance with the actual conditions of the locality.
According to Decree No. 80/2008/ND-CP dated July 29, 2008 on amending and supplementing a number of articles on registration fees (registration fees) recently signed and issued by the Prime Minister, housing and residential land of poor households; housing and residential land of ethnic minorities in communes, wards and towns in disadvantaged areas are exempt from registration fees.
Inland waterway vehicles (including fishing boats) without engines with a total tonnage of up to 15 tons or vehicles with engines with a total main engine capacity of up to 15 horsepower or vehicles with a passenger capacity of up to 12 people are also exempted from registration fees.
For motorbikes whose owners have paid registration fees according to the above regulations, and then transferred them to organizations or individuals in areas where a lower registration fee rate is applied, the registration fee shall be paid at a rate of 1%.
In case the owner of the above property has declared and paid the registration fee for the motorbike at a rate lower than 5%, then transferred it to an organization or individual in the prescribed area (the motorbike has paid the initial registration fee of 5%), then the registration fee must be paid at a rate of 5%.
Motorcycles paying registration fee from the second time onwards will be subject to a rate of 1%, except for the two cases mentioned above.
The Decree also stipulates that the registration fee for assets such as houses, land; ships, boats; cars, motorbikes... is a maximum of 500 million VND/asset, except for passenger cars with less than 10 seats (including the driver). In particular, the fee for production and business factories is calculated for factories within the same premises of the production and business establishment.
7.4.5. Declaration, payment and exemption of registration fees
a. Declaration
Organizations and individuals with assets subject to registration fees are responsible for:
- Each time you receive (buy, receive, inherit...) property, you must declare the registration fee to the tax authority according to the declaration form and be responsible for the accuracy of the declaration.
The prescribed deadline for declaring registration fees is no later than 30 days from the date of making legal property transfer documents between the two parties or the date of receiving confirmation from the competent State agency of the legal property records.
- Fully provide and be responsible before the law for documents and certificates of legal origin of assets and bases for calculating registration fees.
b. Pay registration fee
- Pay full registration fee as notified by the Tax Authority. Registration fee is paid in Vietnamese Dong.
c. Exemption from registration fee
The regulations on exemption from registration fees in Article 9 of Decree No. 45/2011/ND-CP are guided as follows:
- Housing and residential land of poor households; housing and residential land of ethnic minorities in communes, wards and towns in disadvantaged areas; housing and residential land of households and individuals in communes under the Socio-economic Development Program for communes with special difficulties, mountainous areas, remote areas; housing and residential land of households and individuals of ethnic minorities in the Central Highlands. Of which:
+ A poor household is a household that, at the time of declaration and payment of registration fee, has a certificate of being a poor household issued by a competent authority or is confirmed by the People's Committee of the commune, ward or town (commune level) where it resides as a poor household according to the regulations on poverty standards of the Prime Minister and documents guiding its implementation.
+ Ethnic minority households and individuals exempted from registration fees are individuals and households in which the husband or wife is an ethnic minority.
+ Difficult areas are determined according to Decision No. 30/2007/QD-TTg dated March 5, 2007 of the Prime Minister promulgating the List of administrative units in difficult areas and amendments and supplements (if any).
In this case, when declaring registration fees, households and individuals must present to the Tax authority documents proving that they are ethnic minorities such as: Confirmation from the People's Committee of the ward or commune where they register their permanent residence or a copy of their permanent residence or other documents proving that the individual registering home ownership and land use rights is an ethnic minority.
- Inland waterway vehicles without engines, total tonnage up to 15 tons; Inland waterway vehicles with engines with total main engine capacity up to 15 horsepower (CV); Inland waterway vehicles with passenger capacity up to 12 people; The hull and corresponding engine assemblies are installed as replacements for these types of vehicles.
The above mentioned means are determined according to the provisions of the Law on Inland Waterway Traffic and its implementing guidelines (including the corresponding hull and machine assemblies installed as replacements on these types of means).
- Houses and land that are socialized by establishments for activities in the fields of education - training, vocational training, healthcare, culture, sports, and environment must register ownership and use rights with competent State agencies.
Facilities implementing socialization in the fields of education, vocational training, healthcare, culture, sports, and environment must meet regulations on scale criteria and standards as prescribed by the Prime Minister and implementing guidelines.
- Houses and land registered by non-public establishments for house ownership and land use rights for activities in the fields of education - training; health; culture; sports; science and technology; environment; society; population, family, child protection and care.
Non-public establishments operating in the fields of education - training; healthcare; culture; physical education and sports; science and technology; environment; society; population, family, child care and protection must meet regulations on scale criteria and standards as prescribed by the Prime Minister and implementing guidelines.
- Houses and land registered by science and technology enterprises for land use rights and house ownership for the purpose of scientific and technological research according to the provisions of law.
- Other cases decided by the Prime Minister.
REVIEW CONTENT
MULTIPLE CHOICE QUESTIONS
Please choose the correct answer.
Question 1. Which agency is responsible for assisting the Government in implementing unified State management of fees and charges?
A. Standing Committee of the National Assembly
B. Government
C. Ministry of Finance
D. Ministry of Industry and Trade
Question 2. Thang Loi Private Enterprise is allowed to bid for a car parking lot in the center of Hai Phong city. When accepting to park cars, Thang Loi Enterprise must publicly display the following contents at the parking lot:
A. Types of fees and charges that Thang Loi businesses collect for cars kept at the parking lot
B. Fees and charges
C. Name of toll collector
D. Only (A) and (B)
Question 3. Organizations and individuals are allowed to collect fees and charges.
A. State tax authority
B. Other State agencies, economic organizations, public service units, and people's armed forces units that provide services and perform work that is prescribed by law and is allowed to collect fees and charges.
C. Organizations and individuals providing services and performing work as prescribed by law
determined fees and charges
D. All of the above
Question 4. Subjects subject to resource tax include:
A. Natural resources and man-made resources
B. Underground natural resources
C. Natural resources within the mainland, islands, internal waters, territorial waters, exclusive economic zones and continental shelf of Vietnam
D. Minerals and crude oil, natural gas, coal gas
Question 5. Subjects paying resource tax
A. Enterprises and households that do business in exploitation of natural resources
B. Organizations and individuals exploiting resources
C. Organizations and individuals trading in resources
D. Individuals and households doing business exploiting natural resources
Question 6. Resource tax is
A. Compulsory tax on organizations and individuals engaged in natural resource exploitation activities
B. Non-mandatory tax on organizations and individuals engaged in natural resource exploitation activities
C. Mandatory tax on organizations engaged in natural resource exploitation
D. All of the above are correct.
LIST OF REFERENCES
[1]. Phan Thi Cuc – Phan Hien Minh – Nguyen Thi My Linh – Doan Van Dinh
– Vo Van Hop, Tax , Finance Publishing House, 2012.
[2]. Phan Thi Lien - Nguyen Van Hieu, Tax practice textbook , Finance Publishing House, 2012
[3]. Tax textbook , Finance Publishing House, 2012
[4]. Phan Duc Dung , Tax accounting and tax reporting textbook , Labor Publishing House -
Society, 2012
[5]. Academy of Finance , Tax questions and exercises , Finance Publishing House, 2014
[6]. Special Consumption Tax Law No. 27/2008/QH12 issued on November 14, 2008, effective from January 1, 2010.
[7]. Special Consumption Tax Law No. 70/2014/QH13 issued on November 26, 2014, effective from January 1, 2016.
[8]. Circular 26/2015/TT-BTC dated February 27, 2015 on VAT, tax management and invoices
[9]. Circular 78/2014/TT-BTC dated June 18, 2014 of the Ministry of Finance on corporate income tax
[10]. Law No. 71/2014/QH13 issued on November 26, 2014 guiding the amendment and supplementation of a number of articles of the tax law.