On August 05, 2020, the Tax Department of Bac Ninh province issued Official Letter No. 2394 / CT-TTHT guiding the PIT on the income from the support for interest loans. Detailed instructions are as follows:
Customers are individuals who buy the Company's apartment to use, the Company has a sales policy through the support for interest loans to customers borrowing money from commercial banks, credit institutions (in banks signed by the Company) to pay for the apartment; this amount is made through banks, credit institutions, not paid in cash or subtracted from the purchase price of the customer's apartment. These are the expenses of the business, not income subject to PIT of the customer buying an apartment. The company is not required to withhold PIT on the loan interest support expenses when making loan interest payments with commercial banks.
