Starting July 2026, regulations regarding personal income tax (PIT) exemptions for the transfer of a sole residential property have been clarified under Decree No. 253/2026/ND-CP. Accordingly, individuals are only eligible for the tax exemption if they fully satisfy all prescribed conditions.
Table of Contents
Three Conditions for Tax Exemption
To be exempt from personal income tax when transferring a sole house or residential land-use right, the transferor must simultaneously meet the following conditions:
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Owning only one property at the time of transfer At the time of the transaction, the individual must hold the title to only one house or the land-use right of only one residential land plot nationwide.
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Having owned the property for at least 183 days The ownership period is calculated from the date the Certificate of Ownership or Land Use Right is issued to the date of transfer. In cases where the Certificate is exchanged or reissued, the ownership period is still counted continuously from the initial issuance date.
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Transferring the entire property The tax exemption only applies when the entire house or land plot is transferred. If only a portion of the area is transferred, that transferred portion is still subject to tax under the regulations.
Key Points to Note
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The tax exemption does not apply to future houses or construction works (properties to be formed in the future).
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If an individual owns a house with an issued Certificate but simultaneously owns an apartment still under development (a sales contract has been signed but no Certificate has been issued yet), transferring the certified house will not qualify as owning a sole property, and thus the individual is not eligible for the tax exemption.
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For jointly owned properties, including common property of husband and wife, the tax exemption is considered individually for each person. A co-owner is only exempt from tax on their share of ownership if they do not own any other house or residential land.
The new regulations provide clearer criteria for personal income tax exemptions when transferring a sole property. Citizens should carefully check their property ownership status and holding period before executing transactions to determine whether they qualify for the tax exemption.
References: Government Decree No. 253/2026/ND-CP; compiled article from VnExpress.