According to Point a, Clause 1, Article 111 of the 2020 Law on Enterprises:
"The charter capital is divided into equal parts called shares."
As stipulated in Article 127 of the 2020 Law on Enterprises:
Heirs (by will or by law) become shareholders once their information is recorded in the company’s shareholder register.
The company must update this information within 24 hours.
Procedure for inheriting company shares:
Step 1: Carry out inheritance declaration or execute an agreement on the division of the estate.
Step 2: Notify the company so that the information is recorded in the shareholder register.
Applicable only when there is one heir or multiple heirs who agree not to divide the estate.
Required documents: will, death certificate, proof of relationship, capital contribution certificate, shareholder register, etc.
Steps: Prepare documents → Notarization → Public posting for 15 days → Receive the inheritance declaration.
Only after the heir's ownership is legally established (inheritance procedures completed and information updated in the shareholder register).
Under Circular 111/2013/TT-BTC: Inherited shares are subject to PIT.
Tax payable = Taxable income × 10%
Taxable income: The portion of share value exceeding VND 10 million per instance.
Time of taxation: When registering ownership of the inherited shares.
Ensures estate protection in the absence of an heir or estate administrator.
A.D.V.N LAW OFFICE
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- Phone: 0903.693.301 – 0909.393.329
- Email: vanphongluatsuadvn@gmail.com; advnlaw@gmail.com
