The strong development of international exchanges has made civil relations with foreign elements increasingly common in Vietnam. Among them, inheritance is a particularly complex field, as it not only relates to property rights and personal rights but is also simultaneously governed by multiple legal systems. Therefore, a comprehensive study of the inheritance estate of foreigners in Vietnam is not only of theoretical significance but also of practical value, helping to ensure the legitimate rights and interests of the parties
This article will focus on analyzing the legal framework governing inheritance with foreign elements in Vietnam, clarifying the principles of applicable law, the process of determining the estate and heirs, as well as common practical difficulties. At the same time, the article also provides important notes for both testators and heirs, in order to ensure that the inheritance process takes place transparently, in accordance with the law, and protects the legitimate rights of the parties involved.
1. General Legal Framework on Inheritance in Vietnam
1.1. Principles, Scope, and Subjects of Regulation
Inheritance is the transfer of property of a deceased person to living persons, and such property is called the inheritance estate. The subjects of inheritance relations include the person leaving the estate (deceased or declared dead by the Court) and the heirs (individuals, legal entities, organizations).
Two main types of inheritance include:
Testamentary inheritance: the estate is transferred according to the lawful will expressed in a will.
Statutory inheritance: the estate is divided among heirs according to the order of succession, conditions, and procedures prescribed by law when there is no valid will.
Other important principles of inheritance include: equality of inheritance rights between domestic and foreign individuals, respect for the will of the deceased, the right to refuse inheritance, and the limitation of inheritance rights by the deceased’s property obligations.
1.2. Determining the Time and Place of Opening Inheritance
The time of opening inheritance is the time the person leaving the estate dies (or the date the Court declares the person dead).
The place of opening inheritance: the last residence of the deceased; if not identifiable, then the place where all or most of the estate is located.
Determining the correct time and place is particularly important, especially when disputes, complaints, or determination of court jurisdiction in cases with foreign elements arise.
1.3. Heirs: Definition, Conditions, and Orders of Succession
Heirs are individuals alive at the time of opening inheritance or born after but conceived before the deceased’s death; or legal entities/organizations still existing at the time of opening inheritance.
The orders of succession are established as follows:
First order: spouse, biological/adoptive parents, biological/adopted children of the deceased.
Second order: paternal/maternal grandparents, siblings, grandchildren whose grandparents are the deceased.
Third order: great-grandparents, uncles, aunts, nephews/nieces (children of uncles/aunts), great-grandchildren whose great-grandparents are the deceased.
If there is no valid will, or heirs under the will no longer exist, are ineligible, or refuse inheritance, the estate is divided according to statutory succession in the above order.
1.4. System of Legal Documents
Civil Code 2015: regulates inheritance; for foreign elements, movables follow the law of the deceased’s nationality, immovables follow the law of the place where the property is located; the form of wills follows the law of the place of making or the testator’s nationality.
Land Law 2024: regulates inheritance and transfer of land use rights; foreigners cannot own residential land but may receive its value through transfer.
Housing Law 2023 (amended 2024): allows foreigners to own houses in commercial projects (apartments, detached houses) but not land.
Notarization Law 2024: regulates competence and procedures for notarizing inheritance declaration and division with foreign elements.
Personal Income Tax Law 2007 (amended 2014): regulates tax obligations for heirs of large-value estates, applicable to both resident and non-resident individuals.
Decree 70/2014/ND-CP and Circular 20/2022/TT-NHNN: regulate foreign exchange management, transfer of inheritance abroad.
Decree 111/2011/ND-CP (amended by Decree 196/2025/ND-CP): regulates certification and consular legalization of foreign documents used in inheritance procedures.
Resolution 01/2025/NQ-HDTP: guides the settlement of inheritance disputes with foreign elements.
2. Inheritance with Foreign Elements
2.1. Concept of Inheritance with Foreign Elements
Inheritance with foreign elements includes cases where:
The deceased is a foreigner or an overseas Vietnamese.
The heir is a foreigner or an overseas Vietnamese.
The estate is located outside Vietnam.
The event giving rise to, changing, or terminating inheritance occurs abroad.
Thus, cases where a foreigner dies in Vietnam leaving property in or outside Vietnam, or where a foreigner is an heir to property in Vietnam, are considered inheritance with foreign elements.
2.2. Rules for Choosing Applicable Law
a. General principles
Inheritance is determined by the law of the country of which the deceased was a national immediately before death.
Inheritance of immovables is determined by the law of the country where the immovable is located.
The form of a will is determined by the law of the place where the will was made, or recognized if consistent with the law of one of the following: the place of residence/nationality of the testator at the time of making/death, or the place where the immovable is located.
If Vietnam and the foreign country are parties to a bilateral treaty on civil mutual legal assistance, inheritance rights, transfer procedures, and recognition of foreign judgments shall follow that treaty.
If a treaty differs from Vietnamese law, the treaty prevails.
b. Specific practical cases
If a foreigner dies in Vietnam leaving immovables in Vietnam → inheritance follows Vietnamese law.
If a foreigner dies in Vietnam leaving movables (bank deposits, shares, vehicles, etc.) in Vietnam → inheritance follows the law of the deceased’s nationality.
Dual nationality → apply the most effective nationality at the time of death.
Stateless persons → apply the law of their residence.
If Vietnam and the relevant country have a treaty, inheritance follows the treaty.
c. Real estate inheritance rights of foreigners
Foreigners cannot own land but may own houses under statutory conditions. If inheriting land use rights, they must transfer to receive the value.
Overseas Vietnamese or persons of Vietnamese origin who enter Vietnam may inherit land use rights or receive the value in money.
3. Process of Verifying Estate and Identifying Heirs
3.1. Steps to Verify Estate
a. Identifying the estate
It is necessary to inventory and identify all property belonging to the estate: immovables (houses, land, assets related to land), movables (money, gold, vehicles, shares, equity), and intangible assets (intellectual property rights, receivables, etc.).
Verification documents include:
Certificates of land use rights, house ownership
Savings books, vehicle registrations, shares, certificates of contributed capital, etc.
Bank account balance confirmations, share certificates, investment licenses, etc.
Confirmations of property rights (for example: the right to benefit from life insurance, if any)
b. Identifying the estate manager
If designated in the will, the designated person will manage the estate.
If not, the heirs have the right to agree to designate an estate manager or request the Court to appoint one.
The estate manager is responsible for preserving and safeguarding the estate, making an inventory of the estate, notifying the heirs, and taking necessary measures to protect the heirs’ rights and interests.
3.2. Identifying Heirs
a. Inheritance by Will
The person clearly designated in the will must be alive at the time of the opening of the inheritance, or conceived before and born alive after the death of the deceased.
The will must be lawful in terms of content, form, and the testator’s legal capacity.
Foreigners are fully entitled to be designated as heirs in Vietnam, provided they are not subject to legal prohibitions or restrictions, and they meet the conditions regarding rights, obligations, and ownership limits under Vietnamese law.
b. Inheritance by law
The orders of succession are determined as set out in Section 1.3. Persons in subsequent orders are only entitled to inherit if there are no heirs in the preceding order.
In cases where the heir is a foreigner, kinship must be clearly established, and documents proving family or blood relations must be consularly legalized.
c. Compulsory heirs (Heirs regardless of will content)
Minor children, parents, spouse, and adult children who are incapable of working are still entitled to a portion of the estate equal to two-thirds of a statutory share, even if they are not designated in the will or are given a smaller share.
d. Persons disqualified from inheritance
Those convicted of crimes against the life, health, or other serious offenses against the deceased, or those who seriously violated their duty of support, as provided in Article 621 of the Civil Code 2015, are excluded from inheritance rights, whether they are foreigners or Vietnamese citizens.
4. Dossier and Legal Procedures for Estate Verification
4.1. Inheritance Declaration Dossier
The dossier for inheritance declaration includes:
Written request for inheritance declaration
Valid will (if any)
Death certificate or court judgment declaring the person dead
Documents proving ownership of the estate (land use right certificate, vehicle registration, shares, etc.)
Documents proving the relationship between the heir and the deceased (birth certificate, marriage certificate, household registration, etc.)
Identity documents of the person requesting inheritance declaration (Citizen ID/ID card/Passport)
Power of attorney (if any heir is absent)
Consular legalization and notarized translation of documents made abroad
Documents issued outside the territory of Vietnam must be legalized by the competent authority of the host country and notarized-translated into Vietnamese to be legally used in Vietnam. This is a common practical difficulty because the consular legalization procedure requires certification by both foreign and Vietnamese authorities, which prolongs the processing time of the dossier.
4.2. Settlement Procedures
a. Submission of the dossier at a notarial practice organization
The notarization of the inheritance declaration document/agreement on division of inheritance must be carried out at the notary office where the immovable property is located (if the estate includes immovables), or at the last residence of the deceased.
b. Public announcement and processing of the dossier
After receiving the dossier, the notary office will publicly post the contents of the inheritance declaration dossier at the People’s Committee of the commune/ward where the deceased last resided or where the immovable property is located, for 15 days as prescribed. At the same time, the notice must clearly state the right to lodge complaints or denunciations regarding the declared contents. After 15 days, if there are no disputes or complaints, the notary will sign and certify the inheritance declaration document or the agreement on division of inheritance.
c. Registration of ownership transfer of inherited immovable property
The heir shall bring the complete dossier, together with the land use right/house ownership certificate, to the Land Registration Office under the Department of Natural Resources and Environment to register the transfer of ownership on the land use right certificate, house ownership certificate, or other property ownership certificates, similar to the procedures for transfer or donation.
The dossier includes:
Inheritance declaration/agreement on division of inheritance (notarized)
Ownership documents of the deceased
Identity documents and receipts of financial obligations (taxes, fees)
If the heir is a foreigner, after registration, depending on eligibility, they may be issued a house ownership certificate (if conditions are met) or may only receive the value of the transferred land use rights.
5. Distinction Between Resident and Non-Resident Foreign Heirs
5.1. Legal Provisions on Residency and Non-Residency
a. Resident individuals A resident individual in Vietnam is a person who is present in Vietnam for 183 days or more in a year/tax year, or who has a permanent residence (as recorded on a permanent/temporary residence card); or who rents a house in Vietnam for a term of 183 days or more.
b. Non-resident individuals A non-resident is a person who does not meet any of the above criteria, i.e., present in Vietnam for less than 183 days/year and without a permanent residence.
Determining residency status is important not only for tax obligations but also directly affects property ownership rights, methods of estate division, as well as the choice of applicable law and handling of inherited property.
5.2. Legal Consequences
Residents in Vietnam may directly carry out procedures for inheritance declaration and division, or authorize another person (at a notary office, People’s Committee, etc.).
Non-residents wishing to inherit in Vietnam must have consular legalization of documents proving their status (birth certificate, relationship confirmation, death certificate, etc.) and may authorize a person in Vietnam to handle inheritance declaration, division, and property registration.
In practice, non-residents face far greater difficulties in inheritance procedures due to requirements of legalization, translation of documents, proving lawful rights, and transferring inheritance abroad. In addition, non-residents may only receive the value of the estate that is not prohibited from ownership (e.g., land, houses subject to statutory conditions).
6. Procedures for Registering Real Estate Inheritance
6.1. Legal Provisions
Heirs who are foreign individuals or overseas Vietnamese, after having a lawful inheritance declaration or division document, must carry out procedures to register the transfer of land use rights/house ownership at the Land Registration Office where the real estate is located.
The dossier includes:
Inheritance declaration or agreement on division of inheritance (duly notarized/publicly posted);
Certificate of land use rights, house ownership/other property;
ID card/passport of the heir together with documents proving kinship;
Tax declaration, fee declaration, and registration fee declaration (except in cases exempted by law).
6.2. Specifics for Foreigners and Overseas Vietnamese
If eligible to own houses in Vietnam: they will be issued a certificate with their name on the title.
If not eligible for ownership: they may only receive the value of the land use rights through transfer or donation, and cannot have their name on the ownership certificate for the real estate.
Heirs may authorize representatives to carry out procedures; powers of attorney signed abroad must be consularly legalized to be valid in Vietnam.
7. Financial Obligations upon Receiving Inheritance
Heirs are subject to 10% personal income tax (if the value of the inheritance exceeds 10 million VND per occurrence), applicable to both resident and non-resident individuals.
Cases of inheritance of real estate between spouses, parents and children, grandparents and grandchildren, or siblings are exempt from personal income tax.
Non-resident individuals are still required to pay tax on income arising in Vietnam.
Registration fees and land registration change fees are stipulated by local People’s Committees, with the common rate being 0.5% of the value of the transferred real estate, unless exempted under the law.
8. Common Difficulties
Failure to legalize or properly translate documents: Foreign documents such as death certificates, kinship certificates, wills, etc. that are not legalized or properly notarized-translated will not be recognized, leading to rejection of the dossier or prolonged settlement time.
Conflicts of law between Vietnam and foreign countries: Regulations on orders of succession, conditions for becoming a lawful heir, or the validity of wills may differ. This causes difficulties for notaries and courts in verifying and applying the appropriate law.
Disputes among heirs inside and outside Vietnam: Differences in legal understanding, language barriers, cultural gaps, and geographical distance make negotiation and reconciliation complicated, prolonging the settlement process.
Restrictions on foreign ownership of real estate: Foreigners may only own houses in Vietnam under certain conditions, with time limits and ownership caps. Therefore, when inheriting real estate, many cases cannot be registered under their names and must be transferred or only receive monetary value.
Difficulty verifying assets across multiple countries: The deceased may have assets in both Vietnam and abroad. Verification, valuation, and legalization of ownership across different legal systems are often lengthy, costly, and prone to disputes.
Complex notarization procedures: Inheritance dossiers with foreign elements often require multiple steps such as consular legalization, notarized translation, and identity verification. Even minor errors may result in rejection of the dossier.
Difficulty in applying foreign law: The Vietnamese Civil Code allows the application of foreign law in certain cases. However, determining which law applies and to what extent often confuses the competent authorities.
Tax and financial obligations: Foreign heirs must still fulfill financial obligations in Vietnam (personal income tax, registration fees, notarization fees). Tax declaration and payment may be more complicated due to differences in regulations and administrative procedures.
Difficulties in authorization: Heirs abroad often need to authorize others in Vietnam to carry out procedures. Powers of attorney must be notarized, legalized, and translated, which can easily lead to errors or rejection.
Statute of limitations for lawsuits and inheritance claims: Heirs abroad may not be aware of the limitation periods (10 years for immovables, 3 years for movables). If the deadline is missed, rights may be lost, leading to complex disputes.
9. Practical Notes
9.1. Practical Notes for Testators
Draft a lawful will: The will must comply with the provisions of the Vietnamese Civil Code regarding form (written with notarization/certification or a valid handwritten will). If made abroad, it must be consularly legalized and notarized-translated into Vietnamese to be recognized in Vietnam.
Clearly identify assets in Vietnam: Foreigners should specifically list assets in Vietnam (real estate, bank accounts, shares, vehicles, etc.) to avoid disputes or omissions.
Pay attention to restrictions on real estate ownership: If leaving real estate to a foreign heir, the testator must consider Vietnamese law (e.g., foreigners cannot own land, and may only own houses under certain conditions). If the heir is not eligible, the will should specify how the property is to be handled (transfer, sale for distribution of value).
Appoint an executor: It is advisable to designate a trusted person in Vietnam to assist with legal procedures, reducing risks caused by geographical distance.
Update the will regularly: When there are changes in marital status, assets, or legal regulations, the will should be amended or re-established to ensure legality and practical relevance.
9.2. Practical Notes for Heirs
Prepare complete documentation: Heirs abroad must prepare documents proving kinship (birth certificates, marriage certificates, death certificates, etc.), legalized and notarized-translated before submission in Vietnam.
Understand the statute of limitations: The limitation period for requesting estate division is 10 years for immovables and 3 years for movables. Missing these deadlines may result in loss of inheritance rights.
Fulfill financial obligations: Heirs must pay personal income tax, registration fees, and other charges in accordance with Vietnamese law.
Consider authorization: If unable to be present in Vietnam, heirs may authorize another person. The power of attorney must be notarized, legalized, and properly translated.
Be mindful of real estate restrictions: If not eligible to own real estate in Vietnam, heirs may have to sell or transfer it to receive monetary value.
Seek legal assistance: Consulting lawyers or notaries in Vietnam helps minimize risks, avoid procedural errors, and protect legitimate rights.
Conclusion
Inheritance with foreign elements in Vietnam is a legal field requiring close coordination between the Civil Code, specialized laws, and international treaties. Foreigners may leave or receive inheritance in Vietnam, but must comply with certain restrictions, especially regarding real estate and financial obligations. In practice, difficulties often arise from document legalization, conflicts of law, and ownership restrictions. Therefore, both testators and heirs should carefully prepare dossiers, understand current legal provisions, and proactively consult legal experts. This ensures the inheritance process proceeds smoothly, transparently, and protects the legitimate rights and interests of all parties in the context of increasing international integration.
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