False declaration of real estate transfer price still occurs

VCN- Currently, the declaration of the price of real estate transfer by taxpayers that is inconsistent with the actual transaction has led to revenue loss. The Tax authority will strictly verify and handle fraudulent acts.
Many solutions on tax-loss prevention of real estate tax transactions Many solutions on tax-loss prevention of real estate tax transactions
Strengthen anti-loss of tax revenue from real estate transfer activities Strengthen anti-loss of tax revenue from real estate transfer activities
Impressive billion USD businesses Impressive billion USD businesses
False declaration of real estate transfer price still occurs
Tax authorities will strengthen coordination with relevant agencies in tax administration for business activities and real estate transfer. Photo: Internet.

Strictly managing declaration of real estate transfer

The tax administration for real estate transfer by Hanoi Tax Department has achieved positive results, contributing to completing the revenue estimate of the city. The rate of applications that have declared prices for real estate transfer is higher than the price prescribed by the Hanoi People's Committee. This rate in 2021 was higher than in 2020. The declared tax amount in 2021 increased compared to 2020 in both absolute numbers and percentage.

This shows that the awareness of taxpayers in compliance with the tax law when implementing real estate transfer has changed in a positive manner.

However, there is still the situation that the taxpayer has declared the real estate transfer prices on sales contracts, transfer contracts or on tax declarations that are not consistent with the law, causing revenue loss.

According to the regulations of the Law on Tax Administration, the undervalue declaration of the real estate transfer price compared with the actual transaction price for reducing the payable tax amount is an act of tax evasion.

In order to ensure fairness for taxpayers and prevent revenue loss, the tax authority has actively researched and advised competent agencies to amend and supplement legal tax documents related to the calculation for personal income tax, registration fee and corporate income tax.

In addition, the Hanoi Tax Department continues to strengthen notification of legal policies, especially regulations on tax evasion and handling of violations, and tax policies related to real estate transfer for taxpayers to understand via forms such as providing an "Open Letter" at the Land Registration Office and the One-stop-shop; updating articles on the website of the tax authority or via mass media and social media platforms (Facebook, Zalo), radio and portals of districts and towns.

The Tax authority cooperates with the Department of Justice to direct notarization organizations in the area to instruct taxpayers to declare the actual price in real estate transfer transactions.

On the other hand, the tax authority will strengthen coordination with relevant agencies in tax administration for real estate transfer and business activities, and report to the city People's Committee to develop a land price list close to the price on the market.

Strictly handling fraud

Annually, the tax sector plans inspections and examinations to detect acts of tax evasion and tax fraud related to real estate business activities, implements tax assessment, tax arrears and penalties for tax violations.

The tax authority imposes administrative sanctions on tax violations that do not show serious signs for criminal prosecution as prescribed in the Law on Tax Administration.

For cases showing criminal signs, the tax authority will coordinate with competent agencies in investigating as per the regulations of Joint Circular 01/2017/TTLT-BCA-BQP-BTC-BNN&PTNT-VKSNDTC dated December 29, 2017 to strictly handle tax evasion.

Therefore, the city’s Tax Department recommends that the taxpayers must declare accurately and fully the actual price of real estate transfer on the transfer contract as well as on the fees and tax declaration form to protect their own interests.

When transferring real estate, if the taxpayer falsely declares the price on the transfer contract and has not yet implemented procedures for registration and granting of a new use right certificate, it must ask the notary agency to cancel the former notarized profile and make a new one.

If the taxpayer has declared the real estate transfer price lower than the actual price and cannot adjust the price stated on the notarized transfer contract, the Department requests the taxpayer to actively contact the tax office where the real estate is transferred to declare and adjust tax and fee obligations.

This is the most effective method to protect the interests of the taxpayer and prevent legal problems arising in using real estate such as complaints, lawsuits, denunciations, compensation, and other problems. If there have problems related to tax policies, enterprises and taxpayers should contact the tax office for guidance.

By Thuy Linh/Hoang Loan

Related News

5 strategies for reallocating houses and land

5 strategies for reallocating houses and land

VCN - The rearrangement and disposal of public-owned houses and land have been officially regulated in Decree No. 03/2025/ND-CP (Decree No. 03), which has just been issued by the Government. According to Decree No. 03, there are five forms of rearrangement and disposal of houses and land.
Request for price management and stabilization, avoiding unusual fluctuations during Tet 2025

Request for price management and stabilization, avoiding unusual fluctuations during Tet 2025

VCN - Minister of Finance Nguyen Van Thang has just signed and issued Directive No. 05/CT-BTC on strengthening the price management, operation and stabilization during the Lunar New Year 2025.
Ensuring efficiency and transparency in use and management of houses and land at State enterprises

Ensuring efficiency and transparency in use and management of houses and land at State enterprises

VCN - According to the Ministry of Finance, the issuance of Directive on strengthening management, improving the efficiency of use and handling of houses and land at State-owned enterprises to ensure the effective management, use and handling of houses and land for the right purposes, and to avoid loss and waste.
Proposal extending 50% green tax cut for fuel products in 2025

Proposal extending 50% green tax cut for fuel products in 2025

VCN - The Ministry of Finance has just proposed extending 50% green tax cut in 2025 for gasoline (except ethanol), oil, and grease; reducing about 70% on jet fuel and 40% on kerosene. According to calculations, the total state budget will decrease by about VND44,224 billion under this policy.

Latest News

Personal income tax proposed for interest on some bank savings accounts

Personal income tax proposed for interest on some bank savings accounts

Instead of the current personal income tax exemption on interest from all individual bank savings accounts, the proposal would exempt tax only for low amounts of savings.
Banks set for aggressive bond issuance in 2025 to fuel growth

Banks set for aggressive bond issuance in 2025 to fuel growth

With a higher credit growth goal set by the SBV, banks are ramping up their efforts to secure funding through bond issuance.
Central bank cuts interest rate on bills for first time in 2025

Central bank cuts interest rate on bills for first time in 2025

According to data from the financial data provider Wichart, the SBV issued VNĐ19.6 trillion of bills in the past week. The interest rate on the bills decreased by 0.1 percentage point, from 4 per cent to 3.9 per cent on February 14.
Focusing on inspecting inventory of public assets at units with large and complex assets

Focusing on inspecting inventory of public assets at units with large and complex assets

VCN - According to Official Dispatch No. 1456/BTC-QLCS on inspecting the preparation and implementation of the General Inventory of Public Assets recently issued by the Ministry of Finance, the inspection of the inventory of public assets focuses on units with large asset scale and large number of inventory items, complex assets, and slow implementation progress.

More News

The government seeks approval for revised GDP, CPI targets

The government seeks approval for revised GDP, CPI targets

VCN - The Government submitted to the National Assembly for consideration and comments on adjusting the target for the growth rate of gross domestic product (GDP) to 8% or more; the average growth rate of the consumer price index (CPI) to about 4.5-5%.
Fiscal, monetary policies support demand stimulation, price stabilisation

Fiscal, monetary policies support demand stimulation, price stabilisation

These efforts, in conjunction with the implementation of monetary policies and other macroeconomic policies, aim to solve difficulties for businesses and the public, stabilise the macroeconomy, control inflation, ensure the balance of the economy, promote economic growth, and secure social welfare and people’s livelihoods.
Vietnam secures VND 157 billion from state enterprise divestment in 2024

Vietnam secures VND 157 billion from state enterprise divestment in 2024

VCN - The Ministry of Finance reported that in 2024, the divestment of state capital in 5 enterprises (F1) generated VND 157 billion from an initial value of VND 145 billion
Vietnam gears up for potential inflation impact in 2025

Vietnam gears up for potential inflation impact in 2025

VCN - For sound price management and inflation control, Deputy Prime Minister Ho Duc Phoc directed officials to vigilantly track both domestic and international market dynamics. The goal is to proactively develop flexible strategies and solutions, enabling a swift response to any emerging challenges.
VN’s credit conditions in 2025 expected to be stable

VN’s credit conditions in 2025 expected to be stable

The credit conditions for Việt Nam will stabilise in 2025, after improving substantially over the past year, the rating agency VIS is forcasts.
State revenue in first month of the year equal to 14% of the estimate

State revenue in first month of the year equal to 14% of the estimate

VCN - According to the Ministry of Finance, in January - the first month of 2025, the total state budget revenue is estimated at VND275.9 trillion, equal to 14% of the estimate; meanwhile, the total state budget expenditure is estimated at VND134.4 trillion.
Securities 2025 expects a breakthrough in scale and quality

Securities 2025 expects a breakthrough in scale and quality

VCN – The positive factors inherent in the macro economy and the Vietnamese stock market will continue to create the foundation for the market to maintain stability, good liquidity, and growth in both scale and quality in the new year of At Ty 2025, Chairwoman of the State Securities Commission Vu Thi Chan Phuong said.
Cash reserves in stock accounts at six-quarter low amid margin rise

Cash reserves in stock accounts at six-quarter low amid margin rise

These funds are readily available in investor accounts, but remained undeployed as of the year-end.
Five solutions for developing stock market in 2025

Five solutions for developing stock market in 2025

VCN - On February 5, 2025, at the Gong-beating ceremony to open the stock trading at the Ho Chi Minh City Stock Exchange (HOSE), Deputy Minister of Finance Nguyen Duc Chi introduced five solutions for comprehensive development of the stock market.
Read More

Your care

Latest Most read
Personal income tax proposed for interest on some bank savings accounts

Personal income tax proposed for interest on some bank savings accounts

Instead of the current personal income tax exemption on interest from all individual bank savings accounts, the proposal would exempt tax only for low amounts of savings.
Banks set for aggressive bond issuance in 2025 to fuel growth

Banks set for aggressive bond issuance in 2025 to fuel growth

With a higher credit growth goal set by the SBV, banks are ramping up their efforts to secure funding through bond issuance.
Central bank cuts interest rate on bills for first time in 2025

Central bank cuts interest rate on bills for first time in 2025

According to data from the financial data provider Wichart, the SBV issued VNĐ19.6 trillion of bills in the past week. The interest rate on the bills decreased by 0.1 percentage point, from 4 per cent to 3.9 per cent on February 14.
Focusing on inspecting inventory of public assets at units with large and complex assets

Focusing on inspecting inventory of public assets at units with large and complex assets

VCN - According to Official Dispatch No. 1456/BTC-QLCS on inspecting the preparation and implementation of the General Inventory of Public Assets recently issued by the Ministry of Finance, the inspection of the inventory of public assets focuses on units
The government seeks approval for revised GDP, CPI targets

The government seeks approval for revised GDP, CPI targets

The Government submitted to the National Assembly for consideration and comments on adjusting the target for the growth rate of gross domestic product (GDP) to 8% or more
Mobile Version