Results of a thermodynamic study of Sn doping and fabrication of a Sn-doped GaN freestanding layer with high structural quality by halide vapor phase epitaxy (HVPE) are described in this paper. Thermodynamic analysis revealed that SnCl2 and/or SnCl act as Sn precursors through the reaction between Sn metal and HCl gas. The equilibrium partial pressures of SnCl2 and SnCl increase with the input HCl partial pressure. To generate Sn precursors effectively, it is desirable that the reaction between Sn metal and HCl gas occurs in the inert gas ambient. On the basis of results of the thermodynamic study, the Sn-doped GaN freestanding layer with a Sn concentration of 5.7 × 1019 cm−3 is fabricated by removing the GaN seed substrate after HVPE growth. The Sn-doped GaN freestanding layer has high crystal quality, and the lattice constants along the c- and a-axes of the Sn-doped GaN freestanding layer are larger than those of the GaN seed substrate because of the high electron density and the size effect of Sn atoms.