In addition to the proposal for preferential loans, HoREA also proposed to consider reducing the current personal income tax rate for landlords. Because the personal income tax rate of 7%/revenue for landlords is currently quite high, not really reasonable. Therefore, it is necessary to add more tax incentives to encourage businesses to invest in developing social housing for rent. The proposed personal income tax rate is 5%/revenue.
Mr. Le Hoang Chau, Chairman of HoREA, said that the Ho Chi Minh City Labor Federation has conducted a sociological survey and investigation, the results show that about 60% of migrant workers only need to rent a room at a rental price of about 1.5 million VND/month and can only afford the rental cost of about 20% of their monthly income.
The city has about 60,470 individuals and households that have invested in building boarding houses with many rooms for rent or rooms for rent with a total of about 560,219 rooms. This number of boarding houses has contributed to solving the need for renting rooms for more than 1.4 million workers, laborers, immigrants and also intellectuals and experts renting boarding houses. Therefore, according to HoREA, it is necessary to supplement the state policy to support boarding house owners in building, renovating and upgrading houses.
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