Households and individuals that lease real estate (including office apartments and resident) owned by them are not required to set up a business but must declare and pay taxes according to regulations under the law.

Ms. Nguyen Thi Minh Cham (in Hanoi) buys an apartment with the function of commercial service, office stay (officetel).

Through the receiving and responding to businesses’ recommendations, Mrs. Cham would like to ask, can she let foreign individuals leasing her apartment asbusiness headquarter and project implementation office? Does this violate Clause 11, Article 6 of Housing Law 2014?

Doesshe have to set up a real estate business in order to qualify for the above apartment to be used as an office? Is there any case where a person or a business leases the apartment as above for office purposes without having to carry out business registration procedures for real estate business (renting an apartment from an individual or an owner)?

Regarding this issue, The Ministry of Construction has the following opinions:

According to the provisions of Clause 2, Article 14 of the Law on Real Estate Business: "Overseas Vietnamese, foreign organizations and individuals are allowed to rent real estate to use; buy, rent, rent and purchase houses in accordance with the law on housing ".

According to the above provisions, foreign individuals are allowed to rent an office apartment combined with residence (officetel) to use according to the function of that apartment.

Clause 11, Article 6 of the Law on Housing stipulates that, "forbidding using the apartment for non-residential purposes" only adjusts to the apartment (house), not adjusts to the type of apartment and other works (not to be the house).

Pursuant to Clause 2, Article 10 of the Law on Real Estate Business and Clause 1, Clause 7, Article 5 of the Government's Decree No. 76/2015 / ND-CP dated September 10, 2015 detailing examination On a number of articles of the Law on Real Estate Business, households and individuals that lease real estate (including office apartments and resident) under their ownership are not required to establish a business, but must list thetax declaration and payment according to the provisions of law.