Buying and selling real estate: Expiry of “tax avoidance”

Specifically, many transactions real estate there are 2, 3 contracts with different buying and selling prices, for many purposes. Including low-priced contracts to reduce personal income tax and registration fees when buyers and sellers shake hands.

This situation has been common for a long time, even becoming a habit for many people when buying and selling real estate. The consequence is a loss of budget revenue and more importantly, the State does not have enough practical basis to analyze the orientation, cannot control the market to make timely decisions.

Newspaper Youth consult experts to raise the fact that the act of tax evasion will in principle be criminally handled, administratively fined, etc., depending on the extent, but in the past time, in order to prove the tax evasion behavior of related parties, The authorities have to check very carefully, but the low level of fine is not worth it. Therefore, few cases are administratively handled for tax evasion.

Clear legal gaps to avoid “tax evasion”

Many real estate transactions have up to 2, 3 contracts with different buying and selling prices, for many purposes. (Illustration image – Photo: Labor)

Recently, Minister of Finance Ho Duc Phuc signed a document requesting the Ministry of Public Security to direct local police to coordinate with tax departments to strictly handle transactions with signs of tax evasion. However, according to experts shared on the newspaper, Laborin the long run, it is more important to clear the legal gap to avoid “tax evasion”.

Pointing out that the biggest cause of tax loss is when the price cannot be managed in the transaction, it is said that because the state database on prices is not available or updated, it is difficult to determine where. is the field value. Therefore, it is necessary to consider and adjust the land price list of the State to be close to 90-95% of the market price, instead of only 30-40% of the current market price.

Fight against loss of property tax revenue more strictly

Having to control cash flow in real estate transactions is also a requirement set out by current legal documents that do not yet prescribe a cash flow control mechanism for real estate transfer transactions.

Therefore, an important solution emphasized by many experts is to force payments through banks. This solution not only helps to manage taxes, but also contributes to preventing corruption and money laundering. Transactions are transparent and also in line with the trend of restricting the use of cash in the economy, information on the paper Youth.

Fight against tax evasion on real estate transfer

The fact that the tax branches prevented the dossiers showing signs of low price declaration, or transferred the police agency to investigate, contributed to limiting the situation of false declarations and tax evasion. However, it should be noted that doing so will lead to risks for tax officials, because it may violate the deadline for returning documents, or face lawsuits in court.

The reason is that there is no clear legal regulation. Therefore, according to the sheet Saigon LiberationIn order for the tax law to be effectively and fairly implemented, it is necessary, however, to supplement and change relevant laws to solve the root cause of the problem of real estate transfer tax loss.

During the question-and-answer session of the National Assembly Standing Committee two weeks ago, Minister of Finance Ho Duc Phuc said that within the first 15 days of January this year, through examining 85,000 dossiers. and for re-declaration increased the tax to 222 billion dong. One of the numbers is not little at all.

* Invite readers to watch programs broadcast by Vietnam Television on TV Online and VTVGo!