Decree 103/2024/ND-CP prescribing land use levy and land rental

 DECREE

Prescribing land use levy and land rental

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Pursuant to the Law on Organization of the Government dated June 19, 2015, Law Amending and Supplementing a Number of Articles of the Law on Organization of the Government and the Law on Organization of Local Administration dated November 22, 2019;

Pursuant to the Land Law dated January 18, 2024;

At the proposal of the Minister of Finance;

The Government hereby promulgates the Decree prescribing land use levy and land rental.

Chapter I
GENERAL PROVISIONS

Article 1. Scope of regulation

This Decree prescribes:

1. Land use levy (including calculation, collection, payment, exemption and reduction of land use levy; handling of compensation, support and resettlement expenses; acknowledging of land use levy arrears) as prescribed at Point a, Clause 1, Article 153 of the Land Law in the following cases:

a) The State allocates land with land use levy.

b) The State permits change of land use to the type of land subject to land allocation by the State with land use levy.

c) The State recognizes land use rights, adjusts land allocation decisions, adjusts detailed master plans, permits change of land use forms, permits multi-purpose land use in accordance with the law regulations, which gives rise to obligations for land use levy.

2. Land rental (including calculation, collection, payment, exemption and reduction of land rental; handling of compensation, support and resettlement expenses) as prescribed at Point b, Clause 1, Article 153 of the Land Law in the following cases:

a) The State leases land (including land with water surface).

b) The State permits the change of land use to the type of land subject to land lease by the State leases with land rental payment.

c) The State leases land for construction of underground facilities for commercial purposes that are not underground parts of facilities constructed on the ground; land for construction of facilities on the ground for the purpose of operation, utilization and use of underground facilities as prescribed in Article 216 of the Land Law.

d) The State recognizes land use rights, extends land use terms, adjusts land use terms, adjusts land lease decisions, adjusts detailed master plans, permits change of land use forms, permits multi-purpose land use in accordance with the law regulations in cases where land rental must be paid in accordance with regulations.

3. Additional payments (land use levy increases, land rental increases) in cases where the State allocates land, leases land, permits land use change, recognizes land use rights, acquires land use rights through transfer to implement investment projects but the land has not been put into use, or the progress of land use is delayed as prescribed in Clause 8, Article 81, and at Point dd, Clause 1, Article 153 of the Land Law.

Article 2. Subjects of application

1. State authorities that carry out the management, calculation and collection of land use levy and land rental.

2. Land users as prescribed in Article 4 of the Land Law to whom the State allocates land, leases land, permits land use change, extends land use terms, adjusts land use terms, adjusts land allocation decisions or lease land decisions, adjusts detailed master plans, permits the change of land use forms, and recognizes land use rights in cases where they must pay land use levy or land rental.

3. Other subjects involved in the calculation, collection, payment and management of land use levy and land rental.

Chapter II

LAND USE LEVY CALCULATION, COLLECTION AND PAYMENT

Section 1
LAND USE LEVY CALCULATION

Article 3. Grounds for calculation of land use levy

1. The land area used for land use levy calculation as prescribed in Article 4 of this Decree.

2. The land price used for land use levy calculation as prescribed in Article 5 of this Decree.

3. Land use levy exemption and reduction policies as prescribed in Articles 17, 18 and 19 of this Decree.

Article 4. Land area used for land use levy calculation

1. The area for which land use levy is calculated in cases of land allocation, land use change, adjustment of detailed master plans, and change of land use forms shall be the land area for which land use levy is collected as recorded in the decision on land allocation, permission of land use change, adjustment of land allocation, adjustment of a detailed master plan, or change of the land use form issued by the competent State authority.

2. The area for which land use levy is calculated in cases of land use right recognition shall be the recognized land area recorded on the slip of information transfer to determine land-related financial obligations (hereinafter referred to as the slip of information transfer) provided by the competent authority in charge of land administration to the tax office in accordance with the Government's Decree on basic land investigation; registration and grant of certificate of land use rights and ownership of land-attached property, and land information system (hereinafter referred to as the Decree on grant of certificates).

The quotas of allocation and recognition of residential land for households and individuals shall be determined in accordance with Articles 141, 195 and 196 of the Land Law, the Government's Decree detailing the implementation of a number of articles of the Land Law, and the Decree on grant of certificates.

3. The area for which land use levy is payable as prescribed in Clause 1 and Clause 2 of this Article shall be calculated in square meters (m²).

Article 5. Land price used for land use levy calculation

1. The land price used for calculation of land use levy shall be the land price in the land price table applicable in the cases prescribed at Points a, h and k, Clause 1, Article 159 of the Land Law.

2. The land price used for calculation of land use levy shall be the specific land price applicable in the cases prescribed at Point a and Point dd, Clause 1, Article 160 of the Land Law, determined in accordance with the Government's Decree prescribing land prices.

3. The land price used for calculation of land use levy shall be the auction-winning price applicable in case of auction of land use rights.

4. Land prices used for calculation of land use levy prescribed in Clauses 1, 2 and 3 of this Article shall be determined in Vietnamese dong/square meter (VND/m²).

Article 6. Calculation of land use levy upon land allocation by the State

1. Land use levy in case of land allocation by the State with land use levy shall be calculated as follows:

Where:

- The land area used for land use levy calculation shall be determined in accordance with Article 4 of this Decree.

- The land price used for land use levy calculation shall be determined in accordance with Article 5 of this Decree.

- The time for calculation of land use levy shall comply with Clause 3, Article 155 of the Land Law. In the case of land allocation for resettlement purposes, the time for determination of land price and calculation of land use levy shall be the time when the competent authority decides to approve the compensation, support and resettlement plan as prescribed in Clause 3, Article 111 of the Land Law.

2. In cases where the competent State authority decides to allocate land following the progress of the investment project or the progress of land recovery, compensation, support, and resettlement in accordance with Clause 4, Article 116 of the Land Law, the calculation of land use levy and the handling of compensation, support, and resettlement expenses shall be carried out in accordance with each land allocation decision.

3. For multi-story residential buildings attached to land which has been allocated by the State directly to different users, land use levy shall be distributed to each user. Land use levy shall be allocated to each land user as follows:

Where:

Usable floor area shall be determined in accordance with land regulations on construction and housing.

Total usable floor area includes the total usable floor area privately owned by owners of multi-story houses (apartment buildings) calculated based on the carpet area of the apartments and the commercial and service area for which land use levy must be paid (excluding the usable floor area jointly owned by the owners).

The allocation of land use levy as prescribed in this Clause does not apply to the sale of State-owned houses (such houses are now defined as public property by the law regulations on housing) to tenants.

4. Upon resale of individual social houses after a period of 5 years as prescribed at Point e, Clause 1, Article 89 of the Law on Housing and the Government's Decree detailing a number of articles on development and management of social houses of the Law on Housing, in addition to the amounts payable as prescribed by the law regulations, the seller must pay 50% of the land use levy calculated using the formula prescribed in Clause 1 of this Article; where:

a) The land area used for calculation of land use levy shall be the land area written in the certificate of land use rights and ownership of land-attached property (hereinafter referred to as the certificate) prescribed at Point e, Clause 1, Article 89 of the Law on Housing.

b) The land price used for calculation of land use levy shall be the land price in the land price table.

c) The time for calculation of land use levy shall comply with the Government's Decree detailing a number of articles on development and management of social houses of the Law on Housing.

5. In case of paying an amount equal to the value of the land fund where a technical infrastructure system has been built for construction of social houses in accordance with Clause 2, Article 83 of the Law on Housing and the Government's Decree detailing a number of articles on development and management of social houses of the Law on Housing, the amount equal to the value of the land fund where a technical infrastructure system has been built for construction of social houses, which is payable by the project owner, shall be equal to the land use levy calculated using the formula prescribed in Clause 1 of this Article, where:

a) The land area used for calculation of land use levy shall be the residential land area in the commercial housing investment project in which a technical infrastructure system has been built for construction of social houses for which the project owner is permitted by the competent authority to pay an equal amount.

b) The land price used for calculation of land use levy shall be the specific land price of the land where a technical infrastructure system has been built for construction of social houses.

c) The time for calculation of land use levy shall comply with the Government's Decree detailing a number of articles on development and management of social houses of the Law on Housing.

Article 7. Calculation of land use levy upon change of land use purposes to implement projects, applicable to economic institutions, people of Vietnamese origin residing abroad, and foreign-invested organizations

1. When a competent State authority permits the land use change to implement a commercial housing project that meets the conditions prescribed in Clause 3, Article 122 of the Land Law, or a project on investment in infrastructure of a cemetery to transfer land use rights associated with such infrastructure, and construction of a columbarium prescribed in Clause 2, Article 119 of the Land Law, and the land use levy must be paid in accordance with Clause 1 and Clause 2, Article 121, Article 156 of the Land Law, the land use levy shall be calculated as follows:

Where:

- Land use levy of the type of land after land use change shall be calculated as follows:

- Land use levy and land rental of land types within the scope of project implementation prior to land use change (hereinafter referred to as land levy prior to land use change) shall be calculated in accordance with Clause 2 and Clause 3 of this Article.

- In cases where the land use levy of the land type after land use change is less than or equal to the land levy prior to land use change, the land use levy upon land use change shall be zero (= 0).

2. Land levy prior to land use change shall be calculated as follows:

a) If the land prior to land use change was agricultural or non-agricultural land and not residential land, and the land user is an organization that is allocated land without land use levy or leased land with annual land rental payment by the State, the land levy prior to land use change shall be zero (= 0).

In cases where the land user has prepaid the land rental for several years under the 1993 Land Law or has advanced compensation and site clearance expenses, and is permitted by a competent State authority to deduct these expenses from the payable annual land rental by converting them into a corresponding number of years and months for which the financial obligations are deemed fulfilled, which has not been fully used (remaining after deduction) by the time of land use change, such unused years and months of prepaid (completed) land rental shall be converted into an amount based on the land rental rate applicable by the time the competent State authority issues a decision permitting the land use change to determine the land levy prior to land use change, which shall be deducted from the land use levy of the project.

b) If the land prior to land use change originates from agricultural land or non-agricultural land, which is not residential land, and has been allocated by the State with land use levy for a definite land use term or leased by the State with full one-off land rental payment for the entire lease period, and the land user has fulfilled the financial obligations for land use levy and land rental, the land levy prior to land use change shall be calculated as follows:

Where:

- Land price corresponding to the land allocation and lease period of the land prior to land use change shall be the specific land price for calculation of the full one-off land rental payment for the entire lease period.

- The remaining land use term shall be equal to (=) the land allocation or lease period prior to land use change minus (-) the period during which the land has been used prior to land use change.

In cases where the remaining land use term determined using the formula prescribed at this Point does not constitute a full year, it shall be counted in months. Any period of 15 days or more that does not constitute a full month shall be rounded up to 01 month, while no land levy prior to land use change shall be calculated for any period of less than 15 days.

In cases where the land prior to land use change is agricultural land, which originates from lawful transfer, of households and individuals to whom the State allocates land without land use levy, the land levy prior to land use change shall be calculated as follows:

c) If the land prior to land use change was non-agricultural land, which is not residential land, with the long-term, stable use term and was allocated by the State with land use levy prior to July 01, 2004 (for which the previous land user has fulfilled financial obligations for land use levy), the land levy prior to land use change shall be equal to (=) the land area multiplied (x) by the land price of the corresponding non-agricultural land type for the period of 70 years.

d) In case of implementing a commercial housing project where the land prior to land use change within the project’s scope involve various types of land, including residential land (but not separated into separate parts in the project after land use change), the value of such residential land area shall be determined and included in the land levy prior to land use change by the time the competent State authority issues a decision permitting the land use change.

dd) In cases where the project involves various forms of land use after land use change, the land levy prior to land use change as prescribed at Points a, b, c and d of this Clause shall be calculated as follows:

In cases where the project involves both the form of land allocation by the State with land use levy and the form of land allocation by the State without land use levy, the entire land levy prior to land use change shall be deducted from the land use levy of the project.

In cases where the project involves the form of land allocation by the State with land use levy, the form of land lease by the State, and the form of land allocation by the State without land use levy, or the project involves both the form of land allocation by the State with land use levy and the form of land lease by the State, the entire land levy prior to land use change shall be deducted from the land use levy and land rental of the project on the principle that the land levy is allocated to the land area portions for which land use levy and land rental are payable, proportionate to the ratio of each area portion to the total area for which land use levy and land rental must be paid.

3. The land price used for calculation of land levy prior to land use change in the cases prescribed in Clause 2 of this Article shall be the land price prescribed in Clause 2, Article 5 of this Decree calculated by the time the competent State authority issues a decision permitting the land use change.

4. In cases where an economic institution, a person of Vietnamese origin residing abroad, or a foreign-invested organization has agreed to acquire land use rights through transfer to implement a project in accordance with Article 127 of the Land Law and the land use purposes must be changed, the land use levy shall be calculated in accordance with Clauses 1, 2 and 3 of this Article.

Article 8. Calculation of land use levy upon land use change for households and individuals

1. When a competent State authority issues a decision permitting a household or individual to change the land use purpose of his/her/its land to residential land, the land use levy shall be calculated as follows:

Where:

- Land use levy of the type of land after land use change shall be calculated as follows:

- Land use levy and land rental of land types prior to land use change (hereinafter referred to as land levy prior to land use change) shall be calculated in accordance with Clause 2 and Clause 3 of this Article.

- In cases where the land use levy of the land type after land use change is less than or equal to the land levy prior to land use change, the land use levy upon land use change shall be zero (= 0).

2. Land levy prior to land use change shall be calculated as follows:

a) For land prior to land use change, which shall be agricultural land of a household or individual to whom the State has allocated land without land use levy or agricultural land with legal transfer origin from another household or individual to whom the State has allocated land without land use levy, the land price prior to land use change shall be equal to (=) the land area multiplied (x) by the land price of the corresponding agricultural land type in the land price table.

b) If the land prior to land use change was agricultural land leased by the State with one-off land rental payment for the entire lease period, the land rental prior to land use change shall be calculated as follows:

Where:

- The land price corresponding to the land lease period of the land prior to land use change shall be the land price in the land price table for calculation of the full one-off land rental payment for the entire lease period.

- The remaining land use term shall be equal to (=) the land allocation or lease period prior to land use change minus (-) the period during which the land has been used prior to land use change.

In cases where the remaining land use term determined using the formula prescribed at this Point does not constitute a full year, it shall be counted in months. Any period of 15 days or more that does not constitute a full month shall be rounded up to 01 month, while no land use levy shall be calculated for any period of less than 15 days.

c) If the land prior to land use change was agricultural land leased by the State with annual land rental payment, the land rental prior to land use change shall be zero (= 0).

3. If the land prior to land use change was non-agricultural land and not residential land, the land rental prior to land use change shall be calculated as follows:

a) If the land prior to land use change is non-agricultural land whose land use rights are recognized by the State for households and individuals with a long-term, stable use term in accordance with the law regulations on land, the land levy prior to land use change shall be equal to the full one-off land rental paid for the entire lease period applicable to land for non-agricultural production and business in the land price table for the period of 70 years by the time the competent State authority issues a decision permitting the land use change.

b) If the land prior to land use change was leased with annual land rental payment, the land rental prior to land use change shall be zero (= 0).

In cases where the land user has prepaid the land rental for several years under the 1993 Land Law or has advanced compensation and site clearance expenses, and is permitted by a State authority to deduct these expenses from the payable annual land rental by converting them into a corresponding number of years and months for which the financial obligations are deemed fulfilled, which has not been fully used (remaining after deduction) by the time of land use change, such unused years and months of prepaid (completed) land rental shall be converted into an amount based on the land rental rate applicable by the time of land use change to determine the land levy prior to land use change, which shall be deducted from the land use levy.

c) If the land prior to land use change was non-agricultural land allocated by the State with land use levy within a definite term or leased by the State with one-off land rental payment for the entire lease period, the land rental prior to land use change shall be calculated as follows:

Where:

- The land price corresponding to the land allocation or land lease period of the land prior to land use change shall be the land price in the land price table for calculation of the full one-off land rental payment for the entire lease period.

- The remaining land use term shall be equal to (=) the land allocation or lease period prior to land use change minus (-) the period during which the land has been used prior to land use change.

In cases where the remaining land use term determined using the formula prescribed at this Point does not constitute a full year, it shall be counted in months. Any period of 15 days or more that does not constitute a full month shall be rounded up to 01 month, while no land use levy shall be calculated for any period of less than 15 days.

4. The land price used for calculation of land levy prior to land use change in the cases prescribed in Clause 2 and Clause 3 of this Article shall be the land price prescribed in Clause 1, Article 5 of this Decree calculated by the time the competent State authority issues a decision permitting the land use change.

Article 9. Calculation of land use levy upon grant of certificates for households and individuals using land with documents on land use rights as prescribed in Clauses 4, 5, 6 and 7, Article 137 of the Land Law

1. For households and individuals that are eligible for certificates in accordance with Clause 4, Article 137 of the Land Law but have not yet paid the land use levy, the land use levy shall be calculated as follows:

a) In cases where the competent State authority has issued a notice of land use levy payment but the land user has not paid such amount, he/she/it must now pay the land use levy as written in the notice. At the same time, he/she/it must pay a penalty for late payment of land use levy as prescribed by the law regulations on tax administration applicable from time to time.

b) In cases where the competent State authority has not yet issued a notice of land use levy payment as prescribed by the regulations, the land use levy payable and additional payments shall be calculated on the principles prescribed in Clause 2, Article 257 of the Land Law and Clause 2, Article 50 of this Decree, where the time for calculation of land use levy shall be determined based on the date written on the document on land use rights as prescribed in Clause 4, Article 137 of the Land Law. In cases where the date written on the document on land use rights is prior to January 01, 2005, the land use levy shall be calculated based on the 2005 land price in the land price table.

In cases where the land use levy and additional payable amount prescribed in this Point exceed the land use levy calculated in accordance with the land policy and at the land price applicable by the time of submission of a complete and valid dossier of application for a certificate in accordance with the law regulations, it shall be calculated in accordance with the land policy and at the land price applicable by the time of submission of such complete and valid dossier.

2. Households and individuals that are eligible for certificates in accordance with Clause 5, Article 137 of the Land Law must fulfill their obligations for taxes, fees, and charges (if any) in accordance with the law regulations on taxes, fees, and charges. Particularly, in cases where the person whose name is written on the document on land use rights as prescribed in Clause 4, Article 137 of the Land Law has not paid land use levy, in addition to the obligations on taxes, fees and charges, the household or individual requesting the grant of a certificate must additionally pay land use levy calculated in accordance with Clause 1 of this Article.

3. If households and individuals are eligible for certificates as prescribed in Clause 6, Article 137 of the Land Law but the judgments or rulings of the courts, the decisions or arbitral awards of the Vietnam Commercial Arbitration, the judgment enforcement decisions of the judgment enforcement agencies, the decisions on resolution of land disputes, complaints and denunciations of competent State authorities specify land use levies, such documents shall apply.

In cases where the above documents do not contain any information about land use levy, depending on the origin, the documents themselves, and the time when the land was used, the obligations for land use levy, taxes, fees, and charges (if any) shall be calculated in accordance with Clause 6, Article 137 of the Land Law and the respective regulations in Clauses 1, 2 and 4, Article 9, Articles 10, 11, 12 and 13 of this Decree.

4. For households and individuals who may be granted certificates in accordance with Clause 7, Article 137 of the Land Law, the land use levy shall be calculated as follows:

a) In cases where a household or individual is granted a certificate in accordance with Clauses 1, 2 and 3, Article 137 of the Land Law without having to pay land use levy, when being granted a certificate, he/she/it must fulfill his/her/its obligations for taxes, fees and charges (if any) in accordance with the law regulations on taxes, fees and charges and relevant law regulations.

b) In cases where a household or individual is granted a certificate in accordance with Clause 4 and Clause 5, Article 137 of the Land Law but the transferor has not paid the land use levy, in addition to fulfilling the obligations for taxes, fees and charges (if any) as prescribed by the law regulations on taxes, fees and charges and relevant law regulations, the household or individual requesting the grant of a certificate must also pay the land use levy calculated in accordance with Clause 1 and Clause 2 of this Article.

Article 10. Calculation of land use levy upon grant of certificates for households and individuals using land without documents on land use rights, not violating the law regulations on land, and not falling under the cases where the land was allocated ultra vires as prescribed in Clauses 1, 2 and 3, Article 138 of the Land Law

1. For households and individuals using land prior to December 18, 1980 and being now granted certificates in accordance with Point a and Point d, Clause 1, Article 138 of the Land Law, the land use levy shall be calculated as follows:

a) For the land area exceeding the land recognition quota as prescribed at Point a, Clause 1, Article 138 of the Land Law:

b) For the land area currently being agricultural land, in cases where the land user requests to be recognized and granted a certificate for non-agricultural land purposes in accordance with Point d, Clause 1, Article 138 of the Land Law:

2. For households and individuals using land from December 18, 1980 to prior to October 15, 1993 and now being granted certificates in accordance with Clause 2, Article 138 of the Land Law, the land use levy shall be calculated as follows:

a) For the land area exceeding the land recognition quota, for which a certificate is now granted in accordance with Point a, Clause 2, Article 138 of the Land Law:

b) For the land area currently being agricultural land, in cases where the land user requests to be recognized and granted a certificate for non-agricultural land purposes in accordance with Point d, Clause 2, Article 138 of the Land Law:

3. For households and individuals using land from October 15, 1993 to prior to July 01, 2004 and now being granted certificates for residential land purposes in accordance with Clause 3, Article 138 of the Land Law, the land use levy shall be calculated as follows:

a) For the recognized land area within the residential land allocation quota as prescribed in Clause 2, Article 195, Clause 2, Article 196 of the Land Law, for which certificates are now granted for residential land purposes as prescribed at Point b, Clause 3, Article 138 of the Land Law:

b) For the recognized land area exceeding the residential land allocation quota as prescribed in Clause 2, Article 195, Clause 2, Article 196 of the Land Law, for which certificates are now granted for residential land purposes as prescribed at Point a, Clause 3, Article 138 of the Land Law:

c) For land plots once used for non-agricultural production, business, commercial and service purposes, which are now recognized and for which certificates are granted as land for non-agricultural production establishments or land for commercial and service purposes in accordance with Point c, Clause 3, Article 138 of the Land Law:

d) For the land area currently being agricultural land, in cases where the land user requests to be recognized and granted a certificate for non-agricultural purposes in accordance with Point d, Clause 3, Article 138 of the Land Law:

4. For households and individuals using land from July 01, 2004 to prior to July 01, 2014 and now being granted certificates for residential land purposes in accordance with Clause 3, Article 138 of the Land Law, the land use levy shall be calculated as follows:

a) For the recognized land area within the residential land allocation quota as prescribed in Clause 2, Article 195, Clause 2, Article 196 of the Land Law, for which certificates are now granted for residential land purposes as prescribed at Point b, Clause 3, Article 138 of the Land Law:

b) For the recognized land area exceeding the residential land allocation quota as prescribed in Clause 2, Article 195, Clause 2, Article 196 of the Land Law, for which certificates are now granted for residential land purposes as prescribed at Point a, Clause 3, Article 138 of the Land Law:

c) For land plots once used for non-agricultural production, business, commercial and service purposes, which are now recognized and for which certificates are granted as land for non-agricultural production establishments or land for commercial and service purposes in accordance with Point c, Clause 3, Article 138 of the Land Law:

d) For the land area currently being agricultural land, in cases where the land user requests to be recognized and granted a certificate for non-agricultural land purposes in accordance with Point d, Clause 3, Article 138 of the Land Law:

5. The land price used for calculation of land use levy in the cases prescribed in Clauses 1, 2, 3 and 4 of this Article shall be the land price prescribed in Clause 1, Article 5 of this Decree applicable by the time the land user submits a complete and valid dossier as prescribed.

Article 11. Calculation of land use levy upon grant of certificates for households and individuals using land in violation of the law regulations on land prior to July 01, 2014 as prescribed in Clauses 1, 2 and 3, Article 139 of the Land Law

1. For households and individuals using land prior to December 18, 1980 and now being granted certificates for residential land purposes by competent State authorities in accordance with Clause 1, Point c, Clause 2, Point a, Clause 3, Article 139 of the Land Law, the land use levy shall be calculated as follows:

a) For the land area for which a certificate is granted within the land recognition quota as prescribed in Clause 5, Article 141 of the Land Law:

b) For the land area for which a certificate is granted exceeding the land recognition quotas as prescribed in Clause 5, Article 141 of the Land Law:

c) For the land area for which a certificate is now granted for non-agricultural land purposes (if any) in accordance with the Decree on grant of certificates:

2. For households and individuals using land from December 18, 1980 to prior to October 15, 1993, and now being granted certificates for residential land purposes by competent State authorities in accordance with Clause 1, Point c, Clause 2, Point a, Clause 3, Article 139 of the Land Law, the land use levy shall be calculated as follows:

a) For the land area for which a certificate is granted within the land recognition quota as prescribed in Clause 5, Article 141 of the Land Law:

b) For the land area for which a certificate is granted exceeding the land recognition quotas as prescribed in Clause 5, Article 141 of the Land Law:

c) For the land area for which a certificate is now granted for non-agricultural land purposes (if any) in accordance with the Decree on grant of certificates:

3. For households and individuals using land from October 15, 1993 to prior to July 01, 2004, and now being granted certificates for residential land purposes by competent State authorities in accordance with Clause 1, Point c, Clause 2, Point a, Clause 3, Article 139 of the Land Law, the land use levy shall be calculated as follows:

a) For the land area for which a certificate is granted within the residential land allocation quota as prescribed in Clause 2, Article 195 and Clause 2, Article 196 of the Land Law:

b) For the land area exceeding the residential land allocation quota as prescribed in Clause 2, Article 195 and Clause 2, Article 196 of the Land Law:

c) For the land area for which a certificate is now granted for non-agricultural land purposes (if any) in accordance with the Decree on grant of certificates:

4. For households and individuals using land from July 01, 2004 to prior to July 01, 2014, and now being granted certificates for residential land purposes by competent State authorities in accordance with Clause 1, Point c, Clause 2, Point a, Clause 3, Article 139 of the Land Law, the land use levy shall be calculated as follows:

a) For the land area for which a certificate as residential land is granted (within the residential land allocation quota or exceeding the residential land allocation quota as prescribed in Clause 2, Article 195 and Clause 2, Article 196 of the Land Law):

b) For the land area for which a certificate is now granted for non-agricultural land purposes (if any) in accordance with the Decree on grant of certificates:

5. The land price used for calculation of land use levy in the cases prescribed in Clauses 1, 2, 3 and 4 of this Article shall be the land price prescribed in Clause 1, Article 5 of this Decree applicable by the time the land user submits a complete and valid dossier as prescribed.

Article 12. Calculation of land use levy upon grant of certificates in cases of currently using land allocated ultra vires as prescribed in Article 140 of the Land Law

1. For households and individuals who are granted certificates by competent State authorities as prescribed in Clause 1, Article 140 of the Land Law, the land use levy shall be calculated as follows:

a) In cases where a certificate is granted for the land area allocated within the residential land recognition quota as prescribed in Clause 5, Article 141 of the Land Law, Clause 2, Article 138 of the Land Law shall prevail.

b) In cases where a certificate is granted for the land area allocated in excess of the residential land recognition quota as prescribed in Clause 5, Article 141 of the Land Law and the land area currently being agricultural land shall be recognized for non-agricultural land purposes, the land use levy shall be calculated in accordance with Clause 2, Article 10 of this Decree. In cases where there is a document proving that an amount has been paid to use the land in accordance with Clause 5 of this Article, the land use levy shall not be paid.

2. For households and individuals who are granted certificates by competent State authorities as prescribed in Clause 2, Article 140 of the Land Law, the land use levy shall be calculated as follows:

a) In cases where there is no document proving that an amount has been paid to use the land, the land use levy shall be calculated in accordance with Clause 3, Article 138 of the Land Law and Clause 3, Article 10 of this Decree.

b) In cases where there is a document proving that an amount has been fully paid to use the land in accordance with Clause 5 of this Article, the land use levy shall not be paid.

c) In cases where there is a document proving that an amount has been paid to use the land but the amount paid is lower than the rate prescribed by the law regulations on the date of payment, the amount paid shall be converted into a percentage of the land area for which the land use levy has been paid in accordance with the land policy and at the land price applicable by the time of payment. The land use levy for the remaining land area shall be calculated in accordance with Point a of this Clause in accordance with the land policy and at the land price applicable by the time of submission of a complete and valid dossier.

3. For households and individuals who are granted certificates by competent State authorities as prescribed at Point a, Clause 3, Article 140 of the Land Law, the land use levy shall be calculated as follows:

a) In cases where there is no document proving that an amount has been paid to use the land, the land use levy for the area for which a certificate as residential land is granted:

b) In cases where there is a document proving that an amount has been fully paid to use the land in accordance with Clause 5 of this Article, the land use levy shall not be paid.

c) In cases where there is a document proving that an amount has been paid to use the land but the amount paid is lower than the rate prescribed by the law regulations on the date of payment, the amount paid shall be converted into a percentage of the land area for which the land use levy has been paid in accordance with the land policy and at the land price applicable by the time of payment. The land use levy for the remaining land area shall be calculated in accordance with Point a of this Clause in accordance with the land policy and at the land price applicable by the time of submission of a complete and valid dossier.

4. In cases where a household or individual is granted a certificate in accordance with Clause 4, Article 140 of the Land Law, the land use levy payable shall be calculated at 100% of the land use levy for the residential land area for which a certificate is granted on the date of submission of a complete and valid dossier based on the residential land price prescribed in Clause 1, Article 5 of this Decree. In cases where a household or individuals has any document proving that an amount has been paid to use the land in accordance with the regulations, the amount paid shall be deducted from the payable land use levy, but the amount of deduction shall not exceed the payable land use levy.

5. Documents proving payment of amounts to authorities and organizations to use the land upon calculation of land use levy as prescribed in Clauses 1, 2, 3 and 4 of this Article include:

a) Receipts, payment slips, and invoices for land use payments or compensation payments as prescribed in Decision No. 186/HDBT dated May 31, 1990 of the Council of Ministers regarding compensation for damage to agricultural land and land with forests upon change of land use to other use purposes.

b) Receipts, payment slips, and invoices as prescribed in Circular No. 60/TC-TCT dated July 16, 1993 of the Ministry of Finance guiding the management of revenues from the sale of State-owned houses and the grant of land use rights of land for construction of houses and facilities.

c) Receipts, payment slips, and invoices proving that an amount has been paid to use the land from the commune-level People's Committee or from the authority or organization that allocated land ultra vires.

d) In cases where the documents prescribed at Points a, b and c of this Clause were lost or misplaced but the commune-level People's Committee or the authority or organization that allocated the land ultra vires still has the documents (records) stored and recorded that the land user has paid an amount to use the land, the land user shall request the commune-level People's Committee to confirm or make a certified copy of the original. The confirmation or certified copy prescribed at this Point shall be recognized as a document proving the payment to the authority or organization as the same as prescribed at Points a, b and c of this Clause.

6. The land price used for calculation of land use levy in the cases prescribed in Clauses 1, 2, 3 and 4 of this Article shall be the land price prescribed in Clause 1, Article 5 of this Decree applicable by the time the land user submits a complete and valid dossier as prescribed.

Article 13. Calculation of land use levy upon adjustment of land allocation decisions as prescribed at Point c, Clause 3, Article 155 of the Land Law, and exchange of certificates as prescribed in Clause 6, Article 135 of the Land Law

1. In cases where a competent State authority adjusts the land allocation decision in accordance with Point c, Clause 3, Article 155 of the Land Law, which results in an increase in the area for which land use levy is payable, and the case is not prescribed in Clause 2 of this Article, the land use levy for the increased land area shall be calculated by multiplying (x) the increased land area by the land price applicable by the time the competent State authority adjusts the land allocation decision. In cases where it results in a decrease in the area for which land use levy is payable (other than the case of land recovery by the State), which reduces the amount of land use levy paid, such amount shall be included in the project’s investment capital.

2. In cases where a competent State authority adjusts the land allocation decision in accordance with Point c, Clause 3, Article 155 of the Land Law due to the adjustment of the detailed master plan, the land use levy shall be calculated in accordance with the calculation method prescribed in Article 14 of this Decree by the time the competent State authority decides to adjust the land allocation decision.

3. In cases where a household or individual exchanges his/her/its certificate, resulting in an increase in land area between the actual measurement data and the data recorded on the granted certificate, but the boundaries of the land plot currently in use remain unchanged from the boundaries by the time the former certificate was granted in accordance with the Decree on grant of certificates, the land user must fulfill the financial obligations for the land use levy on the increased residential land area that exceeds the residential land quota as prescribed by the law regulations applicable by the time the former certificate was granted.

Article 14. Calculation of land use levy in cases where there are decisions on adjustment of detailed master plans as prescribed at Point d, Clause 3, Article 155 and Point dd, Clause 1, Article 160 of the Land Law

1. In cases where the land user requests and the competent State authority decides to adjust the detailed master plan of the project in accordance with the law regulations, which changes the land use structure or location of each type of land or land use coefficient, the land use levy shall be calculated as follows:

1.1. In cases where the project prior to adjustment of the detailed master plan was not subject to land allocation by the State through auction of land use rights:

a) In cases where, before the decision on adjustment of the detailed master plan of the project is made, the land user has fulfilled the obligation for land use levy in accordance with regulations:

a1) When a competent State authority issues a decision to adjust the overall detailed master plan of the project, the land user must pay the land use levy amount equal to the difference between the land use levy calculated for the entire project under the detailed master plan after adjustment and that under the detailed master plan prior to adjustment in accordance with the law regulations applicable at the same time the competent State authority decides to adjust the overall detailed master plan of the project (if any).

a2) When a competent State authority issues a decision to partially adjust the detailed master plan of the project (adjust a part of the project), the land user must pay the land use levy amount equal to the difference between the land use levy calculated for the partially adjusted area under the detailed master plan after adjustment and that under the detailed master plan prior to adjustment in accordance with the law regulations applicable at the same time the competent State authority decides to partially adjust the detailed master plan of the project (if any).

In cases where the land use levy cannot be calculated or allocated for the adjusted land area, the land use levy shall be calculated for the entire project as prescribed in Item a1 of this Point.

b) In cases where, before the decision on adjustment the detailed master plan of the project is made, the land user has not fulfilled the obligation for land use levy as prescribed by the regulations (only applicable to projects allocated land prior to the effective date of the 2024 Land Law, of which the detailed master plans are now adjusted), the land user must:

b1) In cases where a notice of land use levy calculated under the detailed master plan prior to adjustment has been sent, the land user must fully pay the land use levy determined under the detailed master plan prior to the adjustment plus a penalty for late payment of land use levy (if any) as prescribed by the law regulations on tax administration.

In cases where no decision on land price is made, the land user must calculate and pay the land use levy in accordance with Clause 2, Article 257 of the Land Law and an additional amount as prescribed in Clause 2, Article 50 of this Decree.

b2) Pay an additional land use levy amount equal to the difference between the payable land use levy under the master plan after adjustment and that under the master plan prior to adjustment determined at the same time when the competent State authority decides on the adjustment of the master plan in accordance with Item a of this Point (if applicable).

1.2. In cases where the project prior to the adjustment of the detailed master plan is subject to land allocation by the State through auction of land use rights and the land user has fulfilled the obligation for land use levy, the land use levy upon adjustment of the detailed master plan shall be calculated as follows:

a) When a competent State authority issues a decision to adjust the overall detailed master plan of the project:

b) When a competent State authority issues a decision to partially adjust the detailed master plan of the project (a part of the project’s land area), the land use levy shall be calculated as follows:

In cases where the land use levy cannot be calculated or allocated for the partially adjusted land area, the land use levy shall be calculated for the entire project as prescribed at Point a of this Clause.

2. In cases where, due to management requirements, the competent State authority decides to adjust the detailed master plan of the project in accordance with the law regulations, which changes the land use structure or location of each type of land or land use coefficient of the project, resulting in an increase or decrease in the land use levy, the case shall be resolved as follows:

a) If the detailed master plan is adjusted and the land use levy calculated under the detailed master plan after adjustment is greater than the land use levy under the detailed master plan prior to adjustment applicable at the same time the competent State authority issues a decision to adjust the master plan, the land user must additionally pay the difference between the land use levy calculated under the detailed master plan before adjustment and that under the detailed master plan prior to adjustment. The land use levy under the master plan prior to adjustment and that under the master plan after adjustment shall be calculated in accordance with Article 6 of this Decree.

b) If the master plan is adjusted and the land use levy calculated under the detailed master plan after adjustment is lower than the land use levy under the detailed master plan prior to adjustment applicable at the same time the competent State authority issues a decision to adjust the master plan, the land user shall be refunded the land use levy. The amount of land use levy to be reimbursed shall be equal to the difference between the land use levy calculated under the detailed master plan before adjustment and that under the detailed master plan prior to adjustment at the same time the competent State authority decides to adjust the master plan. The land use levy under the master plan prior to adjustment and that under the master plan after adjustment shall be calculated in accordance with Article 6 of this Decree.

The reimbursement of the land use levy to the land user as prescribed at this Point shall comply with the law regulations on State Budget and the law regulations on tax administration.

3. In cases where, after the detailed master plan is adjusted, the project involves various forms of land use (land allocation with land use levy, land allocation without land use levy, land lease), the land use levy and land rental of the entire project (or of the partially adjusted area) shall be equal to the difference between the total land use levy and land rental under the master plan after adjustment and those under the master plan prior to adjustment applicable at the same time the competent State authority decides to adjust the master plan.

4. In cases where an economic institution, a person of Vietnamese origin residing abroad, or an foreign-invested organization has agreed to acquire land use rights through transfer to implement a project in accordance with Article 127 of the Land Law and the detailed master plan of the project must be adjusted, the land use levy shall be calculated in accordance with Clauses 1, 2 and 3 of this Article.

5. In cases where the land tract or land plot used for implementation of the commercial housing project is residential land acquired from a household or individual through lawful transfer as prescribed at Point b, Clause 1, Article 127 of the Land Law, the land use levy for such land tract or land plot prior to the adjustment of the master plan shall be determined as the same as in the case of compensation and support for residential land of households and individuals in accordance with the Decree on compensation, support and resettlement upon land discovery by the State and the Decree on land prices.

Article 15. Calculation of additional payments upon extension of the project duration in accordance with Clause 8, Article 81 and Point dd, Clause 1, Article 153 of the Land Law

1. In cases where the project owner has the land use term of the project extended in accordance with Clause 8, Article 81 of the Land Law, in addition to the land use levy payable, he/she/it must also pay an additional amount to the State, which shall be calculated as follows:

In cases where the extension period does not constitute a full month, any period of 15 days or more shall be counted as 01 month and no additional amount shall be calculated for any period of less than 15 days.

2. The regulations on deduction of compensation, support and resettlement expenses and the regulations on exemption and reduction of land use levy shall not apply to the amount prescribed in Clause 1 of this Article.

Article 16. Settlement of compensation, support and resettlement expenses as prescribed in Article 94 of the Land Law, determination of the remainder of costs of investment in land as prescribed in Article 107 of the Land Law

1. In cases where the Land Development Fund advances capital to units and organizations performing the tasks of compensation, support, and resettlement to create land funds for land allocation with land use levy or the State Budget has covered such compensation, support, and resettlement, the compensation, support, and resettlement expenses shall be settled as follows:

In cases where the State allocates land with land use levy and the land use levy shall not be exempted, the land user must pay the land use levy to the State Budget in accordance with the law regulations. The compensation, support and resettlement expenses shall be reimbursed to the Land Development Fund in accordance with the law regulations on land development funds and the law regulations on the State Budget.

In cases where the State allocates land with land use levy but the land use levy is exempted, the land user must reimburse the State Budget for the compensation, support and resettlement expenses and have such amount included in the costs of investment in the project in accordance with Clause 2, Article 94 of the Land Law. The compensation, support and resettlement expenses shall be reimbursed to the Land Development Fund in accordance with the law regulations on land development funds and the law regulations on the State Budget.

2. The deduction of compensation, support and resettlement expenses in cases where the State allocates land with land use levy and the project implementer voluntarily advances compensation, support and resettlement expenses to the unit or organization performing the compensation, support and resettlement tasks as prescribed in Clause 2, Article 94 of the Land Law shall be carried out as follows:

a) The land user shall coordinate with the unit or organization performing the compensation, support, and resettlement tasks to prepare and submit a dossier requesting the deduction of compensation, support, and resettlement expenses, along with the dossier determining the financial obligations for land use levy, to the land registration office, the competent authority in charge of land administration, or the inter-agency single-window section. Such a dossier shall comprise:

a1) A written request of the project implementer for deduction of the compensation, support and resettlement expenses: 01 original;

a2) The compensation, support, and resettlement plan approved by a competent State authority: 01 copy;

a3) Documents proving the transfer of such expenses from the project implementer to the unit or organization performing the compensation, support and resettlement tasks: 01 copy;

a4) A statement of compensation, support and resettlement payments made by the unit or organization performing the compensation, support and resettlement tasks; including the amount paid, payment voucher number, date and month of payment, and payment beneficiary: 01 original.

b) The land registration office or the competent authority in charge of land administration or the inter-agency single-window section shall transfer the documents prescribed at Point a of this Clause to the district-level People's Committee.

c) Based on the documents and records prescribed at Point b of this Clause, within 30 days, the district-level People's Committee shall review and issue a document confirming the amount of compensation, support and resettlement expenses deducted from the land use levy to the tax office for the recipient to deduct such advanced amount from the land use levy.

d) The unit or organization performing the compensation, support and resettlement tasks shall be responsible for the accuracy of the data and information prescribed at Point a of this Clause, unless otherwise the documents and papers in the dossier have been previously approved, decided or processed by other competent authorities, organizations or persons. The district-level People's Committee shall be responsible for the accuracy of the data on the compensation, support and resettlement expenses deducted from the land use levy which serves as a ground for the tax office to deduct the advanced amount from the land use levy in accordance with Point c of this Clause, unless otherwise the documents and papers in the dossier have been previously approved, decided or processed by other competent authorities, organizations or persons.

3. In cases where the State allocates land with land use levy or leases land, if the project implementer voluntarily advances compensation, support and resettlement expenses under the compensation, support and resettlement plan approved by the competent State authority as prescribed in Clause 2, Article 94 of the Land Law, and the investment project involves various land use forms (land allocation without land use levy, land allocation with land use levy, land lease), the compensation, support and resettlement expenses under the plan approved by the competent State authority shall be deducted in commensurate with the area of each type. The compensation, support and resettlement expenses for the land area used for public purposes, which is allocated without land use levy, shall be allocated to the land area portions for which land use levy and land rental are payable, proportionate to the ratio of each area portion to the total area for which land use levy and land rental must be paid, in order to deduct them in accordance with the regulations.

The compensation, support and resettlement expenses as prescribed in this Clause shall not be allocated into the land rental for the area of land for construction of underground facilities (other than the underground parts of the facilities constructed on the ground) or to the underground parts of the facilities constructed on the ground where the area of land for construction of underground facilities exceeds the ground area.

The remainder of the compensation, support and resettlement expenses, which was not deducted from the land use levy or land rental (if any), may be included in the costs of investment in the project.

4. In cases where the land prior to land recovery was allocated by the State with land use levy, the advanced compensation, support and resettlement expenses have been included in the project's investment capital and the land user has been compensated for the land, the remainder of the costs of investment in such land as prescribed at Point d, Clause 2, Article 107 of the Land Law, Clause 6, Article 17 of Decree No. 88/2024/ND-CP shall be zero (= 0).

Section 2

LAND USE LEVY EXEMPTION OR REDUCTION

Article 17. Principles for land use levy exemption and reduction for beneficiaries eligible for land use levy exemption and reduction

1. Households and individuals who are eligible for land use levy exemption or reduction as prescribed in Article 18 and Article 19 of this Decree shall only be exempted or reduced once in the case of being allocated land by the State for construction of houses or being permitted to change the land use purposes of their land from other purposes to residential land or having their land recognized for residential land purposes in accordance with the law regulations on land.

2. In cases where multiple members of one household are eligible for land use levy reduction, the reduction level of each member shall be added up into the aggregated reduction level of the entire household, but the maximum reduction level must not exceed the payable land use levy.

3. In cases where the land user is eligible for both exemption and reduction of land use levy in accordance with regulations, he/she/it shall be exempted from land use levy. In cases where the land user is eligible for land use levy reduction but the reduction rates vary, he/she/it shall enjoy the highest reduction rate.

4. The land use levy when the State allocates land, permits land use change, or recognizes land use rights shall only be exempted or reduced directly for the eligible beneficiaries.

The land use levy shall be reduced based on the payable land use levy is calculated in accordance with Articles 6, 7, 8, 9, 10, 11, and 12 of this Decree. Land users submit documents proving that they are eligible for land use levy reduction in accordance with the law regulations.

5. No land use levy exemption and reduction shall be applied in case of auction of land use rights for allocation with land use levy.

The land use levy in case of land allocation for resettlement shall be exempted or reduced in accordance with the Decree on compensation, support and resettlement upon land recovery by the State.

6. In cases where a competent State authority discovers that a land user has received a land use levy exemption or reduction while being ineligible for such exemption or reduction (if any) in accordance with the regulations, or has used the land for a purpose not prescribed in the land allocation decision but is not subject to land recovery in accordance with the law regulations on land, or if the land user requests the discontinuation of incentives because they are no longer eligible for the land rental exemption or reduction, the land user shall repay to the State Budget the land use levy previously exempted or reduced. The recovery of the exempted or reduced land use levy amount is prescribed as follows:

a) The amount, by which the land use levy has been exempted or reduced, to be recovered shall be calculated at the land price in the land price table by the time the State issues the land allocation decision plus (+) an amount equal to the penalty for late payment of land use levy as prescribed by the law regulations on tax administration applicable from time to time.

b) The period during which the late payment penalty, as prescribed at Point a of this Clause, is payable begins from the time the land use levy is exempted or reduced until the competent State authority decides to recover the amount by which the land use levy has been previously exempted or reduced.

c) The tax offices shall recover the land use levy amounts previously exempted or reduced.

7. In cases where the land user has to reimburse the land use levy previously exempted or reduced in accordance with Clause 6 of this Article, the compensation, support and resettlement expenses that have been advanced (if any) shall be deducted (in cases where the land use levy has been exempted already) or continued to be deducted (in cases where the land use levy shall be reduced) from the land use levy that must be reimbursed in accordance with Clause 2, Article 94 of the Land Law and Clause 2 and Clause 3, Article 16 of this Decree. In cases where the compensation, support and resettlement expenses have been included in the costs of investment in the project, they cannot be deducted from land use levy.

8. For the determination of land use levy exemption or reduction for households and individuals, the extremely socio-economically disadvantaged areas (regions) and the socio-economically disadvantaged areas (regions) prescribed in Article 18 and Article 19 of this Decree shall be villages, communes, and districts as defined by regulations or decisions of the Government, the Prime Minister, or authorities and persons assigned, decentralized, or authorized by the Government or the Prime Minister.

Poor individuals shall be identified under the Prime Minister’s decision while ethnic minority households or individuals shall be identified in accordance with the regulations or under the Government’s or the Prime Minister’s decision.

9. The exemption from land use levy to implement projects on investment in construction of social houses, and houses for the people’s armed forces, projects on investment in renovation and reconstruction of condominiums shall comply with law regulations on housing.

The exemption and reduction of land use levy to implement housing and land policies for people with meritorious service to the revolutions shall comply with the law regulations on people with meritorious service.

10. In cases where a domestic organization has been exempted or reduced from land use levy in accordance with the law regulations and now transfers or contributes land use rights as capital or transfers the investment project associated with the transfer of land use rights, the case shall be resolved as follows:

a) The domestic organization that has the land use levy exempted or reduced in accordance with the law regulations and now transfers or contributes land use rights as capital in accordance with the law regulations (including the case where the project owner resells social houses after 10 years of leasing them out in accordance with Clause 9, Article 88 of the Law on Housing and the Decree detailing a number of articles on development and management of social houses of the Law on Housing), such organization must pay to the State an amount equal to the land use levy that have been exempted or reduced on the date of land allocation or permission of land use change in accordance with Point b, Clause 3, Article 33 of the Land Law and must pay an additional amount for the period from the date of land use levy exemption or reduction to the date of transfer or contribution of land use rights as capital at a rate equal to the penalty for late payment of land use levy as prescribed by the law regulations on tax administration applicable from time to time.

The amount by which the land use levy was exempted or reduced but now payable to the State shall be calculated in accordance with Article 6 and Article 7 of this Decree following the policies and at the land prices applicable by the time of land allocation and land use change.

b) In case of transferring the project on investment in infrastructure of a cemetery for transferring land use rights associated with infrastructure or the project on construction of a columbarium associated with the transfer of land use rights, the following shall be implemented:

b1) In cases where the exempted or reduced land use levy is not included in the transfer price and the transferee continues implementing the project, he/she/it shall continue to be entitled to land use levy exemption or reduction in accordance with the law regulations on investment for the remaining duration of the project.

b2) In cases where the transferee does not continue implementing the project, he/she/it shall pay land use levy in accordance with regulations for the project after the transfer. In cases where the transferor has performed part of the financial obligation related to land use levy, the transferee may inherit the part of the financial obligation paid by the transferor.

Article 18. Land use levy exemption

Land use levy shall be exempted in the following cases:

1. Land use levy shall be exempted when competent State authorities allocate land, permit land use change, recognize land use rights (issue certificates) within the residential land quotas for land users in the following cases:

a) Implementation of housing and land policies for war invalids or wounded soldiers who are unable to work, and for families of martyrs who no longer have a primary breadwinner;

b) Poor people, or households or individuals of ethnic minorities living in extremely socio-economically disadvantaged areas, border areas, and islands.

c) Residential land of people who have to relocate upon land discovery by the State due to life-threatening risks.

d) Allocation of land to households and individuals that are required to relocate upon the recovery of land to which their houses are attached if they are ineligible for compensation for residential land and have no other living place within the commune-level administrative unit where the land to be recovered is located.

dd) Land area within projects on investment in infrastructure of cemeteries for transferring land use rights associated with infrastructure or construction of columbaria arranged by the project owner for the purpose of burial of social policy beneficiaries in accordance with the law regulations on construction, management, and use of cemeteries and cremation facilities.

2. Land use levy shall be exempted for the land area within the residential land allocation quota upon first-time grant of certificates for land changed from non-residential land to residential land as a result of separation of households for ethnic minority households or poor households in extremely socio-economically disadvantaged areas, in ethnic minority-inhabited and mountainous areas on the list of extremely socio-economically disadvantaged areas as prescribed by the Government or the Prime Minister.

3. Land use levy exemption for residential land within the residential land allocation quota (including land allocation, land use change and grant of certificates for current land users) is applicable to households and people with meritorious service to the revolutions, who are eligible for land use levy exemption in accordance with regulations on people with meritorious service.

Land use levy shall be exempted to implement projects on investment in construction of social houses, and houses for the people’s armed forces, projects on investment in renovation and reconstruction of condominiums in accordance with law regulations on housing.

4. The exemption of land use levy in other cases prescribed in Clause 2, Article 157 of the Land Law shall be proposed by ministries, branches, and provincial-level People's Committees, after obtaining approval from the National Assembly Standing Committee, to the Ministry of Finance for the ministry to summarize and report the cases to the Government.

5. In cases where land use levy shall be exempted without having to carry out procedures to request for land use levy exemption and without having to carry out procedures to determine land prices and calculate exempted land use levy in accordance with Clause 3, Article 157 of the Land Law, when carrying out land allocation procedures, the competent authority in charge of land administration shall be responsible for compiling statistics and summarizing cases of land use levy exemption.

During the implementation process, if the competent authority or person discovers that a person who has been exempted from land use levy fails to meet the conditions for land use levy exemption (if any), the competent authority or person shall send a report to the competent authority in charge of land administration to coordinate with relevant authorities to inspect, review and determine the satisfaction of the conditions for land use levy exemption.

If the person who has been exempted from land use levy fails to meet the conditions for land use levy exemption, the competent authority in charge of land administration shall report to the People's Committee of the same level to decide to revoke the land use levy exemption and transfer the information to the tax office for such tax office to coordinate with it in calculating, collecting and paying the payable (not exempted) land use levy in accordance with the land policy and at the land price applicable by the time the competent State authority issues the land allocation decision as well as an amount equal to the penalty for late payment of land use levy as prescribed by the law regulations on tax administration.

Article 19. Land use levy reduction

1. The land levy shall be reduced by 50% when competent State authorities allocate land, permit land use change, or recognize land use rights for poor people, or households or individuals of ethnic minorities in the areas other than those prescribed at Point b, Clause 1, Article 18 of this Decree.

2. The land levy shall be reduced by 50% for residential land of beneficiaries prescribed at Point a and Point b, Clause 3, Article 124 of the Land Law who are currently working in border communes, islands or island districts without commune-level administrative divisions in extremely socio-economically disadvantaged areas.

3. The land levy shall be reduced by 30% for residential land of beneficiaries prescribed at Point a and Point b, Clause 3, Article 124 of the Land Law who are currently working in border communes, islands or island districts without commune-level administrative divisions in socio-economically disadvantaged areas.

4. The land levy shall be reduced for residential land within the residential land allocation quota (including land allocation, land use change and grant of certificates for current land users) of people with meritorious service to the revolutions, who are eligible for land use levy reduction in accordance with regulations on people with meritorious service.

5. The land levy shall be reduced in accordance with Law on Investment and relevant law regulations in cases where the land is used to implement projects on investment in infrastructure of cemeteries for transferring land use rights associated with infrastructure or projects on construction of columbaria as prescribed at Point a, Clause 1, Article 157 of the Land Law:

a) By 50%, applicable to investment projects in extremely socio-economically disadvantaged areas.

b) By 30%, applicable to investment projects in socio-economically disadvantaged areas.

c) By 20%, applicable to projects in the areas other than those prescribed at Point a and Point b of this Clause.

The lists of socio-economically disadvantaged areas and extremely socio-economically disadvantaged areas prescribed in this Clause shall comply with the law regulations on investment.

6. Based on the land-related records and documents transferred by the State regulatory authority in charge of land administration in accordance with the law regulations, the tax office shall calculate the land use levy payable and the amount of reduction. The land use levy shall be reduced at the same time when the payable land use levy is calculated in accordance with Article 20 of this Decree.

7. The reduction of land use levy in other cases prescribed in Clause 2, Article 157 of the Land Law shall be proposed by ministries, branches, and provincial-level People's Committees, after obtaining approval from the National Assembly Standing Committee, to the Ministry of Finance the ministry to summarize and report the cases to the Government.

8. Competence to calculate and decide on land use levy to be reduced:

a) The Heads of the provincial-level Tax Departments shall determine and issue decisions on land use levy reduction for economic institutions, people of Vietnamese origin residing abroad, and foreign-invested organizations.

b) The Heads of the district-level Tax Departments and the Regional Tax Departments shall determine and issue decisions on land use levy reduction for households and individuals.

Section 3

CALCULATION OF PAYABLE LAND USE LEVY

Article 20. Calculation of payable land use levy

1. In cases where the land user shall not be entitled to land use levy exemption or reduction, and shall be not eligible for being reimbursed for the compensation, support and resettlement expenses, the land use levy payable shall be that calculated in accordance with Articles 6, 7, 8, 9, 10, 11, 12, 13, 14 and 15 of this Decree.

2. In cases where the land user shall be entitled to land use levy reduction, or shall be eligible for being reimbursed for the compensation, support, and resettlement expenses, the land use levy payable shall be calculated as follows:

Section 4

LAND USE LEVY COLLECTION AND PAYMENT

Article 21. Sequence of determination, collection and payment of land use levy

1. For economic institutions, foreign-invested organizations, and people of Vietnamese origin residing abroad:

a) Based on the land allocation decision, the decision on land use change, the decision on adjustment of the detailed master plan, the decision on change of the land use form, the wish for recognition of land use rights and the dossier submitted by the land user to the competent authority in accordance with the Decree on grant of certificates, the land registration office or the competent authority in charge of land administration or the inter-agency single-window section shall transfer the slip of information transfer to the tax office for the recipient to calculate the land use levy as prescribed by the law regulations.

In the case prescribed in Clause 5, Article 6 of this Decree, in addition to the above documents, the project owner must submit additional documents as prescribed in the Government's Decree detailing a number of articles on development and management of social houses of the Law on Housing.

b) The tax office shall base on the records transferred by the land registration office or the competent authority in charge of land administration or the inter-agency single-window section, including:

b1) The slip of information transfer (information about land user, land area, land location, land use purpose, land use origin and specific land price in cases where the specific land price must be determined).

b2) The decision on land allocation, the decision on permission of land use change, the decision on approval of the specific land price used for calculation of land use levy of the project, or the land price table.

b3) The written confirmation by the district-level People's Committee of the compensation, support and resettlement expenses deducted from the land use levy (in cases where the project implementer advances the compensation, support and resettlement expenses). In this case, the dossier shall comply with Clause 2, Article 16 of this Decree.

b4) The written request of the land user for reduction of the land use levy and documents proving eligibility for land use levy reduction made using the form prescribed by the law regulations on tax administration (if eligible for land use levy reduction).

Within 07 working days from the date of receiving the complete dossier as prescribed in this Clause, the tax office shall calculate the land use levy payable and issue a notice of land use levy payment as prescribed by the regulations (the notice of land use levy payment shall be made using Form No. 01a or Form No. 01b in Appendix I to this Decree).

Notice of land use levy payment shall be sent simultaneously to the State Treasury at the same level for monitoring and accounting in accordance with regulations.

c) In cases where there are insufficient grounds for calculation of land use levy and other payable amounts, within 05 working days after receiving a dossier, the tax office shall send a written notice to the land registration office or the authority in charge of land administration or the inter-agency single-window section, and another written notice to the district-level People’s Committee (if the deduction of compensation, support and resettlement expenses is requested) for the recipient to supplement the dossier. After the dossier is complete and valid, the tax office shall calculate the land use levy and issue a notice of payment thereof within 05 working days from the date of receiving such complete and valid dossier. At the same time, the tax office shall make a dossier for monitoring land use levy collection and payment using Form No. 04 provided in Appendix I to this Decree.

Books recording the delivery of notices of paying land-related financial obligations shall be made using Form No. 04 provided in Appendix II to this Decree.

d) Land users shall pay to the State Budget the land use levy amounts as written in the notices of the tax offices in accordance with the law regulations on tax administration.

dd) In the case of land allocation with land use levy, after collecting the land use levy, the authority in charge of State revenue shall transfer information on collection and payment to the tax office in accordance with the law regulations on tax administration so that the tax office can transfer it to the competent authority in charge of land administration to serve as a ground for reporting to the competent State authority to allocate land to the land user in accordance with regulations. The land shall be only allocated when the land user has fully paid the land use levy as prescribed by the regulations.

2. For households and individuals:

a) Based on the land allocation decision, the decision permitting the land use change, the decision on change of the land use form, the written request (document) for recognition of land use rights of households and individuals and other documents as prescribed in the Decree on grant of certificates, the land registration office or the competent authority in charge of land administration or the inter-agency single-window section shall transfer the slip of information transfer to the tax office for the recipient to calculate the land use levy as prescribed by the law regulations on grant of certificates.

b) Based on the slip of information transfer (information on the land user, land area, land location, land use purpose, land use origin) provided by the land registration office or the competent authority in charge of land administration or the inter-agency single-window section; based on the land price table, the land use levy reduction rate determined or approved by the competent authority (if any), within 05 working days from the date of receiving a complete and valid dossier, the tax office shall calculate the land use levy payable and the amount of land use levy reduction, and issue a notice of land use levy payment or a decision on land use levy reduction (if eligible for land use levy reduction) and send it to the household or individual or send it to the authority transferring the slip of information transfer as prescribed by the regulations. A decision on land use levy reduction shall be made using Form No. 02 provided in Appendix I to this Decree.

Notice of land use levy payment shall be sent simultaneously to the State Treasury at the same level for monitoring and accounting in accordance with regulations.

c) In cases where there are insufficient grounds for calculation of land use levy and other payable amounts, within 05 working days after receiving a dossier, the tax office shall send a written notice to the land registration office or the authority in charge of land administration or the inter-agency single-window section, and another written notice to the district-level People’s Committee (if the deduction of compensation, support and resettlement expenses is requested) for the recipient to supplement the dossier. After receiving the complete and valid dossier, the tax office shall issue a notice of land use levy payment or a decision on land use levy reduction (if the household/individual is eligible for such reduction) within 05 working days from the date of receiving such complete and valid dossier. At the same time, the tax office shall make a dossier for monitoring land use levy collection and payment using Form No. 04 provided in Appendix I to this Decree.

d) Land users shall pay to the State Budget the land use levy amounts as written in the notices of the tax offices in accordance with the law regulations on tax administration.

dd) After collecting the land use levy, the authority in charge of State revenue shall transfer information on collection and payment to the tax office in accordance with the law regulations on tax administration so that the tax office can transfer it to the competent authority in charge of land administration to serve as a ground for allocating land to the land user in accordance with regulations. The land shall be only allocated when the land user has fully paid the land use levy as prescribed by the regulations (in cases where the State allocates land with land use levy).

3. The land registration office or the competent authority in charge of land administration or the inter-agency single-window section shall be responsible for the accuracy of the data and information provided to the tax office. The tax offices shall be responsible for calculating and issuing notices of the payable land use levy.

4. The time limit for payment of land use levy in cases where the land use levy shall be calculated based on specific land prices or auction-winning prices at the auctions of land use rights:

a) In cases where the State allocates land through auction of land use rights, the time limit for payment of the auction-winning amount for the land use rights shall comply with the Government's Decree detailing the implementation of a number of articles of the Land Law.

In cases where the auction winner fails to fulfill the obligation to pay the auction-winning amount, leading to the cancellation of the decision recognizing the auction result, the regulations of the Government's Decree detailing the implementation of a number of articles of the Land Law, the law regulations on property auctions, and the law regulations on tax administration shall apply.

b) In cases where the land use levy shall be calculated based on specific land prices, other than the cases of land allocation by the State through auction as prescribed in Clause a of this Article, the time limit for payment of the land use levy shall comply with the law regulations on tax administration, but shall not exceed 180 days from the date of the decision approving the land price used for calculation of land use levy by the competent State authority.

After 180 days from the date of the decision approving the land price used for calculation of land use levy, if the land user fails to fully pay the land use levy, the land shall not be allocated in accordance with regulations (in cases where the State allocates land). If the land user fails to fully pay the land use levy to the State Budget within the time limits as written in the notice of the tax office, he/she/it must pay a penalty for late payment of land use levy at the rate prescribed by the law regulations on tax administration.

In cases where the land user fails to comply with tax assessment as prescribed by the regulations, the tax office shall transfer the dossier to the competent authority in charge of land administration for the latter to submit it to the competent authority for consideration and handling of this land allocation decision in accordance with the Government's Decree detailing the implementation of a number of articles of the Land Law.

5. The time limit for payment of land use levy in cases where the land use levy shall be calculated based on land prices in the land price table

a) In cases where land use levy shall be calculated based on land prices in the land price table, the time limit for payment of the land use levy shall comply with the law regulations on tax administration. Beyond the time limit for payment of the land use levy, land users must pay late payment penalties as prescribed by the law regulations on tax administration, unless otherwise the land use levy is acknowledged as arrears in accordance with Clause 2, Article 22 of this Decree.

6. In cases where the land use levy that was exempted or reduced but now must be reimbursed in accordance with Clause 6 and Clause 7, Article 17 of this Decree, the amount of land use levy to be reimbursed shall be calculated in accordance with the land policy and at the land price applicable by the time of land allocation, permission of land use change, and recognition of land use rights. The tax office shall recover the amount by which the land use levy was exempted or reduced after reporting to and receiving approval from the People's Committee of the same level.

Article 22. Acknowledgment of land use levy arrears

1. For those whose land use levies were acknowledged as arrears, the amount of land use levy in arrears and the period for which they are in arrears shall comply with the Decree on compensation, support, and resettlement upon land recovery by the State, and the Decree on grant of certificates.

2. Sequence and procedures for acknowledging land use levy arrears of a household or individual:

a) In case of acknowledging land use levy arrears for a person entitled to resettlement as prescribed in Clause 3, Article 111 of the Land Law, if such land user wishes to have his/her/its land use levy acknowledged as arrears, he/she/it shall submit a written request for acknowledgment of the land use levy as arrears and documents proving that he/she/it is eligible for acknowledgment of the land use levy as arrears, enclosed with the dossier of application for a certificate as prescribed in the law regulations (which shall comprise the decision on land allocation for resettlement and the compensation, support and resettlement plan approved by the competent State authority) to the land registration office or the competent authority in charge of land administration or the inter-agency single-window section.

b) In cases where the land use levy arrears are not prescribed at Point a of this Clause, the land user shall carry out the arrears acknowledgment procedures (if any) in accordance with the Decree on grant of certificates.

c) The land registration office or the competent authority in charge of land administration or the inter-agency single-window section shall review and check the dossier of the person with acknowledged arrears as prescribed at Point a and Point b of this Clause and prepare a slip of information transfer to the tax office and relevant authorities as prescribed by the regulations. Such slip of information transfer must include information about the person with acknowledged arrears and the land use term acknowledged as arrears as prescribed in Clause 1 of this Article; and at the same time provide a written appointment as prescribed by the regulations to the person with acknowledged arrears.

d) Based on the slip of information transfer provided by the land registration office or the competent State regulatory authority in charge of land administration or the inter-agency single-window section, the tax office shall calculate the land use levy and send a notice as prescribed by the regulations to the household or individual, the State regulatory authority in charge of land administration, and relevant authorities (in case of necessity) within no more than five (05) working days from the date the notice is issued. Such notice must contain:

d1) Total land use levy amount payable by households and individuals.

d2) Land use levy acknowledged as arrears.

d3) Land use levy not acknowledged as arrears (if any).

d4) Time limits for households or individuals to pay land use levy, including:

The time limit for payment of the land use levy not acknowledged as arrears (if any) shall be the same as prescribed by the law regulations on tax administration;

The time limit for payment of land use levies that are acknowledged as arrears, as prescribed in Clause 1 of this Article.

dd) Based on the notice of the tax office, the household or individual shall pay the land use levy not acknowledged as arrears (if any) to the State Budget in accordance with such notice and submit documents to the land registration office or the competent authority in charge of land administration or the inter-agency single-window section to be granted a certificate.

e) The authority in charge of State revenue as prescribed by the law regulations on tax shall collect the land use levy in accordance with the tax office’s notice and provide documents to the household or individual; at the same time, inform relevant authorities of the amount collected from the household or and individual in accordance with the regulations.

g) Based on the documents submitted by the household or individual, the land registration office or the competent authority in charge of land administration or the inter-agency single-window section shall provide the certificate to the household or individual in accordance with the regulations. Such certificate shall contain the information about the amount of land use levy in arrears and the period for which they are in arrears as prescribed in Clause 1 of this Article.

3. Sequence and procedures for payment and clearance of the land use levy arrears for a household or individual with acknowledged arrears:

a) Based on the period for which they are in arrears as prescribed in the Decree on compensation, support and resettlement upon land discovery by the State and the Decree on grant of certificates, the household or individual shall pay a full one-off amount of the land use levy arrears to the State Budget in accordance with the law regulations on tax administration.

The authority in charge of State revenue as prescribed by the law regulations on tax shall collect the land use levy arrears as Stated in the certificate or the tax office’s notice, and provide documents to the household or individual; at the same time, inform relevant authorities of the amount collected from the household or and individual in accordance with the regulations.

The tax office shall issue a notice confirming the fulfillment of financial obligations for land use levy using Form No. 03 provided in Appendix I to this Decree.

b) After fully paying land use levy arrears as prescribed at Point a of this Clause, the household or individual shall submit a dossier comprising the (original) certificate, the (original) land use levy payment documents, or the (original) notice confirming the fulfillment of financial obligations for land use levy to the land registration office, the competent authority in charge of land administration, or the inter-agency single-window section to have the land use levy arrears written on the certificate cleared. In cases where the documents were lost or misplaced, the household or individual shall come to the authority in charge of State revenue as prescribed in the law regulations on tax administration to have the amount of land use levy paid confirmed.

c) The land registration office or the competent authority in charge of land administration or the inter-agency single-window section shall be responsible for reviewing and comparing the documents submitted by the household or individual in order to clear the land use levy arrears written on the certificate and return the certificate to the household or individual within 01 working day from the date the household or individual submits the dossier as prescribed at Point b of this Clause.

Chapter III
CALCULATION, COLLECTION AND PAYMENT OF LAND RENTAL

Section 1
LAND RENTAL CALCULATION

Article 23. Grounds for calculation of land rental

1. The land area for which land rental is payable as prescribed in Article 24 of this Decree.

2. The land lease period and land use term extension as prescribed in Article 25 of this Decree.

3. The land rental rate as prescribed in Article 26 of this Decree.

4. The form of land lease by the State with annual rental payment or full one-off rental payment for the entire lease period.

5. Policies of the State on exemption and reduction of land rental.

Article 24. Land area for which land rental is payable

1. The area for which land rental is payable shall be the land area for which land rental shall be collected as recorded in the land lease decision, the decision on adjustment the land lease decision, the decision permitting land use change, the decision on extension of the land use term, the decision on adjustment of the land use term, the decision on adjustment of the detailed master plan, the decision permitting change of the land use form in cases where land rental is payable in accordance with the regulations (hereinafter referred to as decisions related to land lease). In cases where the area written in the land lease contract shall be larger than the area written in a decision related to land lease, the land area for which rental fee is payable shall be the area written in the land lease contract.

2. The area for which land rental is payable in case of recognition of land use rights shall be the recognized land area as written in the slip of information transfer determining land related financial obligations, which is provided by the competent authority in charge of land administration to the tax office, in accordance with the Decree on grant of certificates or in accordance with the signed land lease contract.

3. The area for which land rental is payable as prescribed in Clause 1 and Clause 2 of this Article shall be calculated in square meters (m²).

Article 25. Land lease period

1. The land lease period (unless otherwise prescribed in Clause 2 of this Article) shall be the term stated in the decision related to land lease of the competent State authority or the land lease certificate or contract. In cases where the land lease periods stated on the above documents are different, the competent authority in charge of land administration shall determine the term to serve as a ground for calculation of land rental.

2. In case of recognition of land use rights, the land lease period is the period written in the slip of information transfer provided by the competent authority in charge of land administration to the tax office, in accordance with the Decree on grant of certificates or in accordance with the signed land lease contract.

Article 26. Land rental rate

1. In case of land lease with annual rental payment not through auction:

Annual land rental rate = Percentage (%) used for land rental rate calculation multiplied (x) by land price used for land rental calculation. Where:

a) The percentage (%) used for calculation of land rental for one year is between 0.25% and 3%.

Depending on local realities, the provincial-level People's Committees shall specify the percentages (%) for calculation of land rental rates for each area and route corresponding to each land use purpose after consulting the People's Councils of the same level.

b) Land price used for calculation of land rental shall be the land price in the land price table (as prescribed at Point b and Point h, Clause 1, Article 159 of the Land Law); and determined in Vietnamese dong/square meter (VND/m²).

2. In case of land lease with full one-off rental payment for the entire lease period not through auction:

a) In case of calculating land rental when the State recognizes land use rights in the form of land lease with full one-off land rental payment for the entire lease period for households and individuals in accordance with Point h, Clause 1, Article 159 of the Land Law, the land rental rate in case of land lease with full one-off rental payment for the entire lease period shall be calculated as follows:

b) In cases where the land rental is payable as prescribed at Point b and Point dd, Clause 1, Article 160 of the Land Law, the land rental rate in case of land lease with full one-off rental payment for the entire lease period shall be the specific land rate determined in accordance with the Decree on land prices.

3. In case of auction of land use rights, the land rental rate shall be the auction-winning rate corresponding to the form of land lease by the State with annual land rental payment or land lease with full one-off land rental payment for the entire lease period.

Article 27. Land rental rate in case of land lease for construction of underground facilities

1. The land rental rate for the land used for construction of ground facilities for the purposes of operation and utilization of underground facilities as prescribed at Point b, Clause 5, Article 216 of the Land Law shall be calculated in accordance with Clause 1, Article 26 of this Decree.

2. The land rental rate applicable to land leased by the State for the construction of underground facilities (other than underground parts of facilities constructed on the ground) in accordance with Clause 1, Article 120 of the Land Law shall be calculated as follows:

a) In case of land lease with annual rental payment, the land rental rate must not exceed 30% of the land rental rate applicable to the ground land in case of land lease with annual rental payment for the same use purpose.

b) In case of land lease with full one-off rental payment for the entire lease period, the land rental rate must not exceed 30% of the land rental rate applicable to the ground land in case of land lease with full one-off land rental payment for the entire lease period for the same use purpose within the same land use term.

c) Depending on local realities, the provincial-level People's Committees shall specify the land rental rates prescribed at Point a and Point b of this Clause after consulting the People's Councils of the same level.

3. For land for the construction of underground facilities connected with underground parts of facilities constructed on the ground, with the area for the construction of underground facilities exceeding the ground land area allocated by the State with land use levy or leased to such land users, the land rental rate applicable to such excessive area shall be determined in accordance with Clause 2 of this Article.

Article 28. Land rental rate for land with water surface

1. For land area without water surface, the land rental rate in case of annual rental payment or full one-off rental payment for the entire lease period shall be calculated in accordance with Article 26 of this Decree.

2. For land area with water surface, the land rental rate in case of land lease with annual land rental payment or in case of land lease with full one-off land rental payment for the entire lease period must not be lower than 20% of the land rental rate in case of land lease with annual land rental payment or in case of land lease with full one-off land rental payment for the entire lease period for the type of land with the same use purpose and land use term in positions adjacent to the land area with water surface.

3. Depending on local realities, the provincial-level People's Committees shall specify the land rental rates prescribed in Clause 2 of this Article after consulting the People's Councils of the same level.

Article 29. Authorities in charge of determining land rental rates

1. In case of land lease not through auction of land use rights, based on the specific land price decided by the Chairperson of the competent People's Committee, the land price in the land rate table, the percentage (%) used for calculation of the land rental rate, the land rental rate in case of underground facilities, the land rental rate in case of land with water surface, the slip of information transfer provided by the competent authority in charge of land administration, the provincial-level Tax Department (for organizations, people of Vietnamese origin residing abroad, foreign-invested organizations), the district-level Tax Departments or the Regional Tax Departments (for the other cases) shall determine the land rental rate in case of annual land rental payment and the land rental rate in case of land lease with full one-off rental payment for the entire lease period.

Notices of land rental rates shall be made using Form No. 03 provided in Appendix II to this Decree.

2. In case of land lease through auction of land use rights, the responsibility for determining the starting price and the auction-winning price shall comply with the Decree detailing the implementation of a number of articles of the Land Law.

Article 30. Land rental calculation

1. In case of land lease with annual land rental payment, the amount of land rental for one year shall be calculated as follows:

2. In case of land lease with full one-off rental payment for the entire lease period:

a) Full one-off land rental to be paid for the entire lease period shall be calculated as follows:

b) Full one-off land rental to be paid for the entire lease period for land with water surface shall be calculated as follows:

Where: The land rental for land area without water surface and the land rental for land area with water surface shall be calculated in accordance with Point a of this Clause.

3. In cases where a public non-business unit chooses the form of land lease by the State with annual land rental payment in accordance with Clause 3, Article 30 of the Land Law, the land rental shall be calculated in accordance with this Decree.

In cases where a public non-business unit does not choose the form of land lease by the State with annual land rental payment but uses houses and structures attached to the land for business operations, leasing, cooperative joint ventures in accordance with the law regulations on management and use of public assets, it shall fulfill its financial obligations in accordance with the law regulations on management and use of public assets and shall not pay land rental in accordance with this Decree.

4. In cases where the project owner has the land use term of the project extended in accordance with Clause 8, Article 81 of the Land Law, in addition to the land rental payable, he/she/it must also pay an additional amount to the State, which shall be calculated as follows:

a) In cases where the project owner has the land use term of the project extended in accordance with Clause 8, Article 81 of the Land Law, in addition to the land rental payable, he/she/it must also pay an additional amount to the State, which shall be calculated as follows:

Where:

- The land price in the land rate table and the percentage (%) used for calculation of the land rental rate shall be determined based on the land use purpose as leased by the State.

- In cases where the extension period does not constitute a full month, any period of 15 days or more shall be counted as 01 month and no additional amount shall be calculated for any period of less than 15 days.

b) The regulations on deduction of compensation, support and resettlement expenses and the regulations on exemption and reduction of land rental shall not apply to the amount prescribed at Point a of this Clause.

5. In cases where a person leased land with annual land rental payment submits an application for voluntary return of the land as prescribed in Clause 2, Article 82 of the Land Law, such land user must pay the land rental until the date of the decision on land recovery by the competent State authority as prescribed in the Decree detailing the implementation of a number of articles of the Land Law. In cases where the land recovery period as prescribed in the Decree detailing the implementation of a number of articles of the Land Law has expired but the competent State authority has not yet issued a decision to recover the land, if the land user no longer uses the land, he/she/it shall not pay the land rental for such period.

6. In cases where the land user has used the land before the competent State authority issued a decision on land lease or prior to the signing of the land lease contract (in case of recognition of land lease use rights) but has not paid land rental for such period of land use, he/she/it must pay annual land rental for such period. The annual land rental shall be calculated at a percentage (%) used for calculation of the land rental rate and the land rate used for calculation of the land rental for each year of land use up to the time the State issues a land lease decision. The calculation, collection and payment of land rental from the time the State issues the land lease decision onwards shall comply with this Decree.

7. In cases where the competent State authority decides to lease land following the progress of the investment project or the progress of land recovery, compensation, support, and resettlement in accordance with Clause 4, Article 116 of the Land Law, the calculation of land rental and the handling of compensation, support, and resettlement expenses shall be carried out in accordance with each land lease decision.

8. In cases where an organization is using land leased by the State as prescribed in Article 120 of the Land Law and is granted a certificate as prescribed at Point a, Clause 2, Article 142 of the Land Law, the land rental shall be calculated in accordance with Clause 1 and Clause 2 of this Article.

9. In cases where a household or individual exchanges his/her/its certificate of land use rights, resulting in an increase in land area between the actual measurement data and the data recorded on the granted certificate, but the boundaries of the land plot currently in use remain unchanged from the boundaries by the time the former certificate was granted in accordance with the Decree on grant of certificates, the land user must pay land rental for the increased land area as prescribed by the law regulations applicable by the time the former certificate was granted.

Article 31. Settlement of compensation, support and resettlement expenses; determination of the remainder of costs of investment in land as prescribed in Article 107 of the Land Law

1. In cases where the Land Development Fund advances capital to units and organizations performing the tasks of compensation, support, and resettlement to create land funds for land lease or the State Budget has covered such compensation, support, and resettlement, the compensation, support, and resettlement expenses shall be settled as follows:

a) In cases where the land user is leased land by the State with full one-off land rental payment for the entire lease period and ineligible for land rental exemption, or the land user is eligible for land rental exemption but wishes to pay land rental during the lease period (refuses to enjoy the incentive) as prescribed in Clause 5, Article 38 of this Decree, such land user must pay the land rental to the State Budget in accordance with the law regulations. The compensation, support and resettlement expenses shall be reimbursed to the Land Development Fund in accordance with the law regulations on land development funds and the law regulations on the State Budget.

In cases where the land user is leased land by State with full one-off land rental payment for the entire lease period and ineligible for land rental exemption, such land user must advance the compensation, support and resettlement expenses into the State Budget, Such expenses shall be converted into the number of years and months for which the obligation for annual land rental payment is deemed fulfilled, on the date of the land lease decision. After the converted period for which the obligation for annual land rental payment is deemed fulfilled, the land lessee shall continue to pay land rental in accordance with regulations. The compensation, support and resettlement expenses shall be reimbursed to the Land Development Fund in accordance with the law regulations on land development funds and the law regulations on the State Budget.

b) In cases where the State leases land and the land rental is exempted, the land user must reimburse the State Budget for the compensation, support and resettlement expenses and have such amount included in the costs of investment in the project in accordance with Clause 2, Article 94 of the Land Law. The compensation, support and resettlement expenses shall be reimbursed to the Land Development Fund in accordance with the law regulations on land development funds and the law regulations on the State Budget.

2. In cases where the person who is leased land by the State is permitted to advance the compensation, support and resettlement expenses in accordance with Clause 2, Article 94 of the Land Law, the dossier of application for deduction of such compensation, support and resettlement expenses shall be made in accordance with Clause 2, Article 16 of this Decree. The handling of deductions for compensation, support and resettlement expenses shall comply with the principles prescribed in Clause 1 of this Article.

3. The compensation, support and resettlement expenses for investment projects involving various land use forms (land allocation with land use levy, land allocation without land use levy, land lease) shall be settled in accordance with Clause 3, Article 16 of this Decree.

4. In cases where the land user is leased land by the State with annual land rental payment and permitted to convert the advanced the compensation, support and resettlement expenses into a period for which the obligation for annual land rental is deemed fulfilled on the date of the land lease decision, during the period of time for which the competent authority confirmed that the financial obligation for annual land rental is deemed fulfilled, the land lessee shall be granted the same rights to the land as in the case of land lease by the State with annual land rental payment.

5. In cases where the land user is leased land by the State with annual land rental payment but has fulfilled financial obligations for a number of years due to the deduction of the advanced compensation, support, resettlement expenses or the land levy prior to land use change as prescribed in Clause 3, Article 34 of this Decree from the land rental payable in accordance with the law regulations, when transferring the project or transferring assets owned by the transferee attached to the leased land in accordance with the law regulations, the transferee shall inherit and continue to have the remaining compensation, support, resettlement expenses or land levy prior to land use change deducted corresponding to the period of time for which the conversion has been made but remains after deduction by the time of land use change from the land rental.

6. The determination of reimbursement and settlement of compensation, support and resettlement expenses in the cases prescribed in Clause 1, Clause 2 and Clause 3 of this Article shall be carried out at the same time when the land rental is calculated by the competent State authority in accordance with the regulations.

7. In cases where a land user has been exempted or reduced from land rental but fails to meet the conditions for land rental exemption or reduction and has the exempted or reduced land rental recovered in accordance with Clause 9, Article 38 of this Decree, the compensation, support and resettlement expenses shall be settled in accordance with Clauses 1, 2 and 3 of this Article. The amount of compensation, support and resettlement expenses that has been included in the costs of investment in the project as prescribed in Clause 2, Article 94 of the Land Law shall not be deducted from the land rental.

8. Depending on local realities, the provincial-level People's Committee shall submit to the People's Council of the same level for decision on permitting land users, which are allocated land by the State without land use levy or leased land in the hi-tech parks, to not reimburse the State Budget for the compensation and site clearance expenses that have been funded by the State from the State Budget (except for capital advanced from the Land Development Fund) in the following cases:

a) The land user leases land with annual land rental payment and is eligible for land rental exemption and reduction but refuses to enjoy land rental exemption and reduction incentives.

b) The land user uses land and land with water surface for construction of traffic facilities, technical infrastructure, greenery quarters or public parks under the general master plan and construction sub-zone master plan.

c) The management board of the hi-tech zone and its attached units use land for construction of working offices, non-business facilities and facilities for the purpose of management and operation of the zone’s infrastructure.

d) The land user is allocated land without collection of land use levy or is exempted from land rental for the entire lease period and was handed over the land by the management board of the hi-tech zone prior to July 01, 2014.

9. In cases where the person whose land is recovered shall be compensated for the remainder of the costs of investment in land as prescribed at Point d, Clause 2, Article 107 of the Land Law and Clause 6, Article 17 of Decree No. 88/2024/ND-CP, the remainder of the costs of investment in the land shall be determined as follows:

a) For the compensation, support and resettlement expenses that have been advanced under the compensation, support and resettlement plan approved by a competent State authority but have not been fully deducted from the land rental payable (hereinafter referred to as the remaining expenses after deduction), they shall be determined as follows:

a1) In cases where the land prior to land recovery was leased by the State with full one-off rental payment for the entire lease period, the advanced compensation, support and resettlement expenses have been included in the project's investment capital and the land user has been compensated for the land, the remaining expenses after deduction shall be zero (= 0).

a2) In cases where the land prior to land recovery was leased by the State with annual rental payment and the compensation, support and resettlement expenses are being deducted by the method of converting such expenses into the number of years and months for which the obligations for land rental have been fulfilled, the remaining expenses after deduction shall be determined as follows:

Where, the land rental rate for annual land rental payment shall be determined in accordance with Clause 1, Article 26 of this Decree.

a3) In cases where the land prior to land recovery was leased by the State with annual rental payment and the compensation, support and resettlement expenses are being deducted by the method of gradually deducting from the payable land use levy as prescribed by the regulations, the remaining expenses after deduction shall be determined as follows:

b) For the annual land rental amount that has been prepaid for many years but has not been used during the period for which the land rental has been prepaid, the remainder of the costs of investment in the land shall be determined as follows:

Where:

- The and rental for one year shall be determined in accordance with Clause 1, Article 30 of this Decree following the land policy and at the land price applicable by the time the State decides to approve the compensation, support and resettlement plan.

- The remaining period for which the land rental has been prepaid shall be equal to (=) the period for which the land rental has been prepaid minus (-) the period during which the leased land has been used by the time the State decides to approve the compensation, support and resettlement plan.

Article 32. Stabilization of annual land rental payment

1. The annual land rental (including annual land rental in case of auction of land use rights) shall be applied stably in accordance with Clause 2, Article 153 of the Land Law.

2. Land rental for the next cycle shall be calculated in accordance with Clause 1, Article 26 and Clause 1, Article 30 of this Decree. In cases where the land rental of the next cycle does not increase compared to that of the previous cycle, the land rental shall not be adjusted. In cases where it increases compared to that of the previous cycle, the adjustment rate of the annual land rental as prescribed in Clause 2, Article 153 of the Land Law shall be equal to (=) the aggregate annual consumer price index (CPI) of the whole country in the 5-year period immediately preceding the date of adjustment.

In cases where the consumer price index (CPI) increases by 10% or more for 05 consecutive years, the Ministry of Finance shall coordinate with relevant ministries and sectoral authorities to report to the Government to regulate the adjustment rate of the annual land rental of the next cycle accordingly.

3. In cases where the compensation, support, and resettlement expenses or the amount paid to acquire land use rights through transfer are deducted from the land rental by converting them into the number of years and months for which the obligation for land rental is deemed fulfilled in accordance with the regulations, the land rental adjustment procedures as prescribed in Clause 2 of this Article may not be carried out during the period for which the obligation for land rental is determined as fulfilled. After the period of time for which the obligation for land rental is deemed fulfilled as mentioned above, the land rental shall be adjusted in accordance with Clause 2 of this Article for the next period.

Article 33. Calculation of land rental in case of change of land lease forms in accordance with Clause 1 and Clause 2, Article 30 of the Land Law

1. Change from land lease with annual rental payment to land lease with full one-off rental payment for the entire lease period:

a) In cases where the State issues a decision permitting a land user to change from annual land rental payment to full one-off land rental payment for the entire lease period, such land user must pay full one-off land rental for the remaining lease period in accordance with Clause 2, Article 30 of this Decree. The land rental rate in case of land lease with full one-off land rental payment for the remaining land lease period shall be determined in accordance with Clause 2, Article 26 of this Decree; where the land price used for calculation of the land rental rate shall be the land price by the time the State issues a decision permitting the change to land lease with full one-off land rental payment.

b) In cases where the land user is being permitted to deduct the compensation, support, resettlement expenses or the amount paid to acquire land use rights through transfer are deducted from the land rental by converting them into the number of years and months for which the obligation for land rental is deemed fulfilled in accordance with the regulations, the remainder (the remaining amount after deduction) shall be deducted from the full one-off land rental to be paid for the entire lease period.

The amount to be deducted as mentioned above shall be equal to (=) the land rental calculated at the annual land rental rate as prescribed by the time the State issues the decision permitting the change to full one-off land rental payment for the entire lease period multiplied (x) by the remaining period of time for which the obligation for annual land rental is deemed fulfilled (remaining after deduction).

2. Upon changing from land lease with full one-off land rental payment for the entire lease period to land lease with annual land rental payment, the land rental shall be calculated as follows:

a) In cases where the obligation for land rental has been fulfilled, the land user shall not pay annual land rental for the remaining land lease period.

b) In cases where the obligation for land rental has not been fulfilled, the land user must pay annual land rental from the date the State issues a decision permitting the change from land lease with full one-off land rental payment for the entire lease period to land lease with annual rental payment. For the period of time during which the land has been used, the case shall be resolved as follows:

b1) In cases where the land rental has not been paid, the land user must pay the land rental for the period during which the land has been used:

At the same time, the land user must pay a penalty for late land rental payment calculated on the amount of land rental payable as prescribed by the law regulations on tax administration from the time the competent State authority decides to lease the land to the time he/she/it is permitted to change from land lease with full one-off land rental payment for the entire lease period to land lease with annual payment.

b2) In cases where a part of the land rental has been paid but the amount paid is lower than the amount payable as prescribed in Item b1 of this Point (excluding the late payment penalty), the land user must pay the remaining amount and a late payment penalty calculated on the remaining amount in accordance with the law regulations on tax administration. In cases where the amount paid is greater than the amount payable as prescribed in Item b1 of this Point (excluding the late payment penalty), the difference shall be deducted from the annual land rental by converting it into the number of years and months for which the obligation for annual land rental is deemed fulfilled at the annual land rental rate determined based on price by the time the State issues a decision permitting the change from land lease with full one-off land rental payment for the entire lease period to land lease with annual rental payment.

Article 34. Calculation of land rental upon land use change

1. In cases where a competent State authority decides to permit the land use change in accordance with Clause 1, Article 121 of the Land Law, which falls under the case of land lease, the land rental shall be calculated as follows:

a) In case of land use change from agricultural or non-agricultural land allocated by the State without land use levy to non-agricultural land leased by the State, the annual land rental or full one-off land rental for the entire lease period for the land type after land use change shall be paid, which shall be calculated in accordance with Article 30 of this Decree.

b) In case of land use change but not changing the use form of leased land:

b1) In case of the land use form remains the same, which is land lease with full one-off land rental payment for the entire lease period, and the land user has fulfilled the obligation for land rental for the land prior to land use change, the land rental shall be calculated as follows:

b2) In case of the land use form remains the same, which is land lease with annual land rental payment, upon land use change, the land user must pay the annual land rental of the land type after land use change as prescribed in Clause 1, Article 30 of this Decree.

c) In case of land use change at the same time as changing the land lease form from land lease with full one-off land rental payment for the entire lease period with the obligation for land rental fulfilled to land lease with annual land rental payment, the annual land rental payable for the new purpose shall be calculated in accordance with the regulations by the time the competent State authority decides to permit the land use change in combination with change of land lease form.

The full one-off land rental paid for the remaining land lease period of the land type prior to the land use change shall be calculated in accordance with the policy and at the land price applicable by the time the competent State authority decides to permit the land use change and shall be converted into a period of time for which the financial obligation for annual land rental is deemed fulfilled at the land rental rate in case of land lease with annual land rental payment of the land type after the land use change by the time the competent State authority decides to permit the land use change.

2. In case of land use change as prescribed in Clause 1, Article 121 of the Land Law from land allocation by the State with land use levy for a definite term prior to July 01, 2014, for which the obligation for land use levy has been fulfilled, to the land type which falls under the case of land lease as prescribed in Article 120 of the Land Law, the land rental shall be calculated as follows:

a) In case of full one-off land rental payment for the entire lease period, the land rental shall be calculated as follows:

Where: The land use levy amount already paid shall be equal to the full one-off land rental paid for the remaining land use term of the land type prior to land use change, calculated in accordance with Clause 2, Article 30 of this Decree by the time the State issues a decision permitting the land use change.

b) In case of land lease with annual payment, the land rental upon land use change shall be calculated in accordance with Point a of this Clause; where the land rental shall be calculated based on the land use purpose of the land type after land use change as prescribed in Clause 1, Article 30 of this Decree. The land use levy amount already paid shall be deducted from the land rental upon land use change and shall be calculated in accordance with Point a of this Clause. This amount shall be converted into a period of time for which the obligation for annual land rental is deemed fulfilled by the time the competent State authority decides to permit the land use change.

3. In cases where an economic institution has lawfully acquired land use rights transferred from an organization or individual to implement an investment project in conformity with the land use master plan or plan as prescribed in Article 127 of the Land Law and therefore has to change the land use purpose of the land after the transfer and perform the financial obligation for land rental as prescribed in Clause 1 and Clause 2, Article 121 of the Land Law, the land rental shall be calculated as follows:

a) The land rental of the project shall be calculated for the land use purpose after land use change based on the grounds and the date on which the land rental becomes payable as prescribed in Article 155 of the Land Law and Article 30 of this Decree.

b) The amount that an economic institution has paid to acquire land use rights through the transfer prior to land use change (hereinafter referred to as land levy prior to land use change) shall be determined and settled as follows:

b1) In case of lawfully acquiring agricultural land use rights through transfer from a household or individual (other than being subject to land lease by the State leases land or being allocated land without land rental, if it is an organization), the land rental prior to land use change shall be equal to (=) the one-off land rental paid for the remaining land use term by the time the State issues a decision permitting the land use change in accordance with Clause 2, Article 30 of this Decree. This amount shall be deducted from the land rental if the land type after land use change falls under the case of land lease with full one-off land rental payment for the entire lease period or shall be converted into a period of time for which the land rental payment is deemed fulfilled if the land type after land use change falls under the case of land lease with annual land rental payment.

- In case of lawfully acquiring agricultural land use rights through transfer from a household or individual (other than being subject to land lease by the State leases land or having to lease land as required by the law regulations on land), the land price prior to land use change shall be equal to (=) the value of land use rights of the corresponding agricultural land type by the time the State issues a decision permitting the land use change.

b2) In cases where the land user lawfully acquire through transfer the non-agricultural land, which is not residential land, originated from land allocated by the State with land use levy or leased by the State with full one-off rental payment for the entire lease period, and the land user has fulfilled his/her/its obligations for land use levy and land rental, the land rental prior to land use change shall be equal to the full one-off land rental paid for the remaining land use term by the time the State issues a decision permitting the land use change as prescribed in Clause 2, Article 30 of this Decree. This amount shall be deducted from the land rental if the land type after land use change falls under the case of land lease with full one-off land rental payment for the entire lease period. In cases where the type of land after land use change falls under the case of land lease with annual rental payment, the land levy prior to land use change shall be converted into a period for which the obligation for annual land rental is deemed fulfilled by the time a competent State authority issues a decision permitting the land use change.

b3) In cases where an economic institution receives the transferred land use rights of non-agricultural land allocated by the State without land use levy or acquires transferred assets attached to land leased with annual land rental payment, and is subsequently leased land by a competent State authority upon land use change, the land rental prior to land use change shall be zero (= 0).

In cases where the land user has prepaid the land rental for several years under the Land Law or has advanced compensation and site clearance expenses, and is permitted by a State authority to deduct these expenses from the payable annual land rental by converting them into a corresponding number of years and months for which the financial obligations are deemed fulfilled, which has not been fully used (remaining after deduction) by the time of land use change, such unused years and months shall be converted into the land levy prior to land use change determined at the land rental rate for annual land rental payment on the date of land use change. This amount shall be deducted from the land rental if the land type after land use change falls under the case of land lease with full one-off land rental payment for the entire lease period or shall be converted into a period of time for which the land rental payment is deemed fulfilled if the land type after land use change falls under the case of land lease with annual land rental payment.

b4) In cases the land use rights (not of agricultural land) have been acquired through transfer for a long-term, stable use term, for which a certificate has been granted in accordance with the law regulations prior to July 01, 2014, and used for non-agricultural production and business purposes, the land levy prior to land use change shall be equal to the land rental of the project calculated for the land use purpose after land use change as prescribed at Point a of this Clause.

c) In case of lawfully acquiring through transfer the land use rights of land for non-agricultural production and business, which is land for commercial and service purposes; then land use change it to land for commercial and service purposes in accordance with Point g, Clause 1, Article 121 of the Land Law, the land levy prior to land use change shall be determined as follows:

c1) In the case of land lease with full one-off land rental payment for the entire lease period, the land rental prior to land use change shall be equal to the one-off land rental paid for the remaining land use term by the time the State issues a decision permitting the land use change in accordance with Clause 2, Article 30 of this Decree.

c2) In case of land lease with annual payment, the land rental prior to land use change shall be zero (= 0). In cases where the land user has prepaid the land rental for several years under the 1993 Land Law or has advanced compensation and site clearance expenses, and is permitted by a State authority to deduct these expenses from the payable annual land rental by converting them into a corresponding number of years and months for which the financial obligations are deemed fulfilled, which has not been fully used (remaining after deduction) by the time of land use change, the land levy prior to land use change shall be determined in accordance with Item b3, Point b of this Clause.

Land levy prior to land use change shall be deducted from the payable land rental if the form of full one-off land rental payment for the entire rental period is chosen. In cases where a person who is leased land by the State chooses the form of land lease with annual rental payment, the land levy prior to land use change shall be converted into a period for which the obligation to pay land rental is deemed fulfilled by the time a competent State authority permits the land use change.

d) Land levy prior to land use change for projects involving various land use forms after land use change shall be settled as follows:

d1) In cases where the project involves both the form of land lease by the State and the form of land allocation by the State without land use levy, the entire land levy prior to land use change as prescribed at Point b of this Clause shall be deducted from the land rental of the project.

d2) In cases where the project involves the forms of land allocation by the State with land use levy, land lease, and land allocation by the State without land use levy, the land levy prior to land use change as prescribed at Point b of this Clause shall be deducted from the land use levy and land rental payable of the project corresponding to each area of the land allocated with land use levy or leased. The amount paid to acquire, through transfer, the land use rights of the project’s land area allocated by the State without land use levy shall be deducted on the principle of allocating it to the land area with land use levy and the land area with land rental.

4. In cases where a household or individual has lawfully acquired land use rights of agricultural land to implement an investment project in conformity with the land use master plan or plan approved by a competent State authority and therefore has to change the land use purpose of the land after the transfer and perform the financial obligation for land rental, the land levy prior to land use change shall be settled in accordance with Item b1, Point b, Clause 3 of this Article.

Article 35. Calculation of land rental upon extension of land use term, adjustment of land use terms as prescribed in Clause 2, Article 156, adjustment of land lease decisions as prescribed at Point c, Clause 3, Article 155 of the Land Law

1. Calculation of land rental upon extension of land use term:

When a competent State authority decides to permit an extension of the land use term, and the land user is subject to land rental payment, the land rental shall be calculated in accordance with the land policy and at the land price applicable by the time the competent State authority issues the decision to extend the land lease period.

In case of land lease with annual rental payment, the land rental stabilization cycle shall commence from the time a competent State authority issues the decision allowing the extension of the land lease period. In cases where the land lease period expires before the competent State authority issues a decision permitting the extension of the land lease period, the land user must pay annual land rental without having the annual land rental stabilized in accordance with Article 32 of this Decree for such period.

2. Calculation of land rental upon adjustment of land use term:

a) In cases where the land user is leased land with annual land rental payment and permitted by the competent State authority to adjust the land use term of the project, the land rental shall be calculated in accordance with the land policy and at the land price applicable by the time of the competent State authority’s decision on adjustment the land use term.

In cases where, prior to the adjustment of the land use term of the project, the land user has advanced the compensation, support and resettlement expenses and is permitted by the competent State authority to deduct such expenses by converting into the number of years and months for which the obligation for annual land rental payment is deemed fulfilled, which has not been fully used, the land user shall continue to use the land for the period of time for which the obligation for annual land rental payment is deemed fulfilled remaining by the time the competent State authority permits the adjustment of the land use term of the project and shall not pay land rental. After the above period, the land user must pay annual land rental in accordance with Clause 1, Article 30 of this Decree.

b) In cases where the land is leased with full one-off land rental payment for the entire lease period and the competent State authority decides to permit adjustment of the land use term, the land rental shall be calculated as follows:

b1) In case of adjusting the land use term of the project but not changing the detailed master plan of the project, the land rental shall be equal to (=) the difference between the full one-off land rental paid for the entire lease period of the adjusted land use term under the decision of the competent State authority and the full one-off land rental paid for the remaining land use term of the land lease period prior to adjustment.

b2) In case of adjusting the land use term of the project while changing the detailed master plan of the project, the land rental shall be equal to (=) the difference between the full one-off land rental paid for the entire lease period of the adjusted land use term under the decision of the competent State authority and the full one-off land rental paid for the remaining land use term of the land lease period under the detailed master plan prior to adjustment.

b3) The adjusted land use term as prescribed in Item b1 and Item b2 of this Point includes the remaining land use term of the project and the increase of land use term permitted under the decision of the competent State authority.

b4) The full one-off land rental paid for the remaining land use term of the land lease period prior to the adjustment as prescribed in Item b1 and Item b2 of this Point shall be equal to (=) the full one-off land rental paid for the land lease period prior to the adjustment divided by (:) the land lease period prior to the adjustment multiplied (x) by the remaining land use term of the land lease period prior to the adjustment.

3. Calculation of land rental upon adjustment of land lease decisions in accordance with Point c, Clause 3, Article 155 of the Land Law:

a) In cases where a competent State authority adjusts the land lease decision in accordance with Point c, Clause 3, Article 155 of the Land Law, which results in an increase in the area for which land rental is payable, and the case is not prescribed at Point b of this Clause, the land rental for the increased land area shall be calculated in accordance with Article 30 of this Decree by the time the competent State authority adjusts the land lease decision. In cases where it results in a decrease in the area for which land rental is payable (other than the case of land recovery by the State), which reduces the amount of land rental paid, such amount shall be included in the project’s investment capital.

b) In cases where a competent State authority adjusts the land lease decision in accordance with Point c, Clause 3, Article 155 due to the adjustment of the detailed master plan, the land rental shall be calculated in accordance with the calculation method prescribed in Article 36 of this Decree by the time the competent State authority decides to adjust the land lease decision.

c) In cases where a competent State authority adjusts the land lease decision in accordance with Point c, Clause 3, Article 155 due to the adjustment of the land use term, the land rental shall be calculated in accordance with Clause 2 of this Article by the time the competent State authority decides to adjust the land lease decision.

Article 36. Calculation of land rental upon adjustment of the detailed master plan of the project in accordance with the law regulations without adjustment of the land lease decision prescribed at Point d, Clause 3, Article 155, Point a, Clause 2, Article 160 of the Land Law

1. In cases where the land user requests and the competent State authority decides to adjust the detailed master plan of the project in accordance with the law regulations, which changes the land use structure or location of each type of land or land use coefficient, the land rental shall be re-calculated as follows:

1.1. In cases where the project prior to adjustment of the detailed master plan was not subject to land allocation by the State through auction of land use rights:

a) In cases where the land is leased with full one-off rental payment for the entire lease period and, prior to the adjustment of the detailed master plan of the project, the land user has fulfilled the obligation for full one-off land rental payment for the entire lease period in accordance with regulations:

a1) When a competent State authority issues a decision to adjust the overall detailed master plan of the project, the land user must pay the land rental amount equal to the difference between the land rental calculated for the entire project under the detailed master plan after adjustment and that under the detailed master plan prior to adjustment in accordance with the law regulations applicable at the same time the competent State authority decides to adjust the overall detailed master plan of the project (if any).

a2) When a competent State authority issues a decision to partially adjust the detailed master plan of the project (adjust a part of the project), the land user must pay the land rental amount equal to the difference between the land rental calculated for the partially adjusted area under the detailed master plan after adjustment and that under the detailed master plan prior to adjustment in accordance with the law regulations applicable at the same time the competent State authority decides to partially adjust the detailed master plan of the project (if any).

In cases where the land rental cannot be calculated or allocated for the adjusted land area, the land rental shall be calculated for the entire project as prescribed in Item a1 of this Point.

b) In cases where, before the decision on adjustment the detailed master plan of the project is made, the land user has not fulfilled the obligation for land rental as prescribed by the regulations (only applicable to projects allocated land prior to the effective date of the 2024 Land Law, of which the detailed master plans are now adjusted), the land user must:

b1) In cases where a notice of land rental calculated under the detailed master plan prior to adjustment has been sent, the land user must fully pay the land rental determined under the detailed master plan prior to the adjustment plus a penalty for late payment of land rental (if any) as prescribed by the law regulations on tax administration.

In cases where no decision on land price is made, the land user must calculate and pay the land rental in accordance with Clause 2, Article 257 of the Land Law and an additional amount as prescribed in Clause 9, Article 51 of this Decree.

b2) Pay an additional land rental amount equal to the difference between the payable land rental in accordance with the master plan after adjustment and that in accordance with the master plan prior to adjustment determined at the same time when the competent State authority decides on the adjustment of the master plan in accordance with Item a of this Point (if applicable).

c) In cases where the land user is leased land with annual land rental payment, such land user must pay land rental in accordance with the land policy and at the land price applicable by the time of the competent State authority’s decision on adjustment of the detailed master plan.

1.2. In cases where the land user shall be leased land by the State through auction of land use rights in accordance with the law regulations and the land user has paid the land rental:

a) In case of land lease with full one-off land rental payment for the entire lease period, when a competent State authority issues a decision to adjust the overall detailed master plan of the project, the land rental shall be calculated as follows:

b) In case of land lease with full one-off land rental payment for the entire lease period, when a competent State authority issues a decision to partially adjust the detailed master plan of the project, the land rental shall be calculated as follows:

In cases where the land rental cannot be calculated or allocated for the partially adjusted land area, the land rental shall be calculated for the entire project as prescribed at Point a of this Clause.

c) In case of land lease with annual land rental payment, the annual land rental of the entire project shall be re-calculated under the detailed master plan after adjustment in accordance with the law regulations by the time the competent State authority decides to adjust the detailed master plan.

2. In cases where the land user has fulfilled the financial obligation for one-off land rental payment for the entire lease period, but due to management requirements, the State adjusts the detailed master plan or adjusts the general master plan or sub-zone master plan, thereby altering the detailed master plan or the land use structure or location of each type of land or the land use coefficient of the project, resulting in an increase or decrease in land rental, the case shall be resolved as follows:

a) If the detailed master plan is adjusted and the full one-off land rental paid for the entire lease period calculated under the detailed master plan after adjustment is greater than the land rental under the detailed master plan prior to adjustment applicable at the same time the competent State authority issues a decision to adjust the master plan, the land user must additionally pay the difference between the full one-off land rental paid for the entire lease period calculated under the detailed master plan before adjustment and that under the detailed master plan prior to adjustment. The full one-off land rental to be paid for the entire lease period under each detailed master plan shall be calculated in accordance with Clause 2, Article 30 of this Decree.

b) If the detailed master plan is adjusted and the full one-off land rental paid for the entire lease period calculated under the detailed master plan after adjustment is lower than the land rental under the detailed master plan prior to adjustment applicable at the same time the competent State authority issues a decision to adjust the master plan, the land user shall be refunded the land rental. The amount of land rental to be refunded shall be equal to the difference between the full one-off land rental to be paid for the entire lease period calculated under the detailed master plan before adjustment and that under the detailed master plan prior to adjustment at the same time the competent State authority decides to adjust the master plan. The full one-off land rental to be paid for the entire lease period under the master plan prior to adjustment and that under the master plan after adjustment shall be calculated in accordance with Clause 2, Article 30 of this Decree.

The land rental shall be reimbursed in accordance with this Clause directly or by offsetting against the organization's financial obligations to the State in accordance with the law regulations on State Budget and the law regulations on tax administration.

3. In cases where, after the detailed master plan is adjusted, the project involves various forms of land use (land allocation with land use levy, land allocation without land use levy, land lease), the land use levy and land rental of the entire project (or of the partially adjusted area) shall be equal to the difference between the total land use levy and land rental under the master plan after adjustment and those under the master plan prior to adjustment applicable at the same time the competent State authority decides to adjust the master plan.

4. In cases where an economic institution, a person of Vietnamese origin residing abroad, or an foreign-invested organization has agreed to acquire land use rights through transfer to implement a project in accordance with Article 127 of the Land Law and the detailed master plan of the project must be adjusted, the land rental shall be calculated in accordance with Clauses 1, 2 and 3 of this Article.

5. In cases where the land tract or land plot used for implementation of the project is acquired from a household or individual through lawful transfer, the land rental for such land tract or land plot prior to the adjustment of the master plan shall be equal to the compensation for land to households and individuals in accordance with the Decree on compensation, support and resettlement upon land discovery by the State and the Decree on land prices.

Article 37. Calculation of land rental payable in case of land rental exemption or reduction

1. In case of land lease with annual rental payment:

a) In cases where land rental is exempted in accordance with Article 39 of this Decree, the annual land rental, payable at the start of the land rental payment period following the expiration of the land rental exemption period, shall be determined as follows:

b) In case of land lease with annual rental payment eligible for land rental reduction as prescribed in Clause 1, Article 40 of this Decree, the land rental payable of the year in which the land rental is reduced shall be calculated as follows:

Where: The full land rental of the year in which the land rental is reduced shall be the land rental amount calculated in accordance with Clause 1, Article 30 of this Decree.

c) In cases where the compensation, support and resettlement expenses are voluntarily advanced in accordance with Clause 2, Article 31 of this Decree:

c1) In cases where the land lessee is exempted from land rental for a number of years as prescribed in Clause 2, Article 39 of this Decree, after those years of entitlement to land rental exemption, he/she/it may continue to deduct the compensation, support and resettlement expenses by converting them into the number of years and months for which the obligation for land rental is deemed fulfilled, using the following formula:

Where:

n: Number of years or months for which land rental is exempted.

c2) In cases where the land user is eligible for land rental reduction, after applying the reduction amount as prescribed at Point b of this Clause, the land user may continue to deduct the compensation, support, and resettlement expenses already advanced, provided that such deduction is permitted by the competent State authority to be deducted from the payable land rental, up to the absolute amount for each year during the period of entitlement to the land rental reduction. Any remaining compensation, support, and resettlement expenses (after being deducted from the annual land rental payable during the period of entitlement to the reduction) shall be further deducted by converting them into the number of years and months for which the obligation for land rental is deemed fulfilled at the land rental rate applicable after the expiration of the period of entitlement to the exemption or reduction, using the following formula:

Where:

n is the number of years and months for which the financial obligations for land rental are deemed fulfilled.

2. In case of land lease with full one-off rental payment for the entire lease period.

a) For cases eligible for land rental exemption in accordance with Article 39 of this Decree

b) In case of land rental reduction as prescribed in Clause 2, Article 40 of this Decree, the land rental payable shall be calculated as follows:

c) In cases where the compensation, support and resettlement expenses are voluntarily advanced in accordance with Clause 2, Article 94 of the Land Law and Clause 2, Article 31 of this Decree, after deducting the amount by which the land rental is reduced in accordance with Point a and Point b of this Clause, the land user shall continue to deduct the advanced compensation, support and resettlement expenses and shall be permitted by the competent State authority to deduct them from the land rental payable.

Section 2

LAND RENTAL EXEMPTION OR REDUCTION

Article 38. Principles of land rental exemption or reduction

1. Persons who are leased land by the State must carry out procedures to be entitled to land rental reduction in accordance with regulations:

a) In cases where the person, who are eligible for land rental reduction and leased land by the State, fails to carry out the procedures in order to be entitled to land rental reduction, he/she/it must pay the land rental in accordance with the law regulations. In case of delay in carrying out the procedures to be entitled to land rental reduction, the land user shall only be entitled to land rental reduction for the remaining period of entitlement to land rental reduction, counted from the time of carrying out valid procedures to be entitled to land rental reduction as prescribed by the regulations; the land rental shall not be reduced during the period of delay in carrying out the procedures.

b) In cases where the period of entitlement to land rental reduction as prescribed in Article 40 of this Decree expires by the time the procedures for requesting land rental reduction are being carried out, the land user shall not be entitled to any land rental reduction.

2. In cases where the land user is eligible for both land rental exemption and reduction as prescribed in this Decree and other relevant legal documents, he/she/it shall be exempted from the land rental. In cases where the land user is eligible for land rental reduction but the reduction rates vary, as prescribed in this Decree and other relevant legal documents, he/she/it shall enjoy the highest reduction rate.

3. The land rental as prescribed in Article 39 and Article 40 of this Decree shall be exempted or reduced for each investment project and only be exempted or reduced directly for the eligible beneficiaries to whom the State leases land, and shall be calculated based on the land rental amount, unless otherwise subject to exemption and reduction as prescribed in Article 157 of the Land Law without making an investment project. Land users submit documents proving that they are eligible for land rental reduction in accordance with the law regulations.

4. In cases where land users are currently enjoying land rental exemption or reduction at levels higher than those provided in this Decree shall continue to enjoy such incentive levels for the remaining time. In case they enjoy incentive levels lower than those provided in this Decree, such projects shall enjoy the incentive levels provided in this Decree for the remaining incentive period from the effective date of this Decree. In cases where the period of entitlement to incentives has expired by the effective date of this Decree, the incentives prescribed in this Decree shall not be applied.

In cases where the date on which the land rental becomes payable is prior to the effective date of this Decree but, from the effective date of this Decree, the land lessee carries out procedures to be entitled to land rental reduction, the regulations on land rental reduction and other regulations as prescribed in this Decree shall apply.

5. In cases where a person who is leased land by the State with full one-off land rental payment for the entire lease period and is exempted from the land rental wishes, during the lease period, to pay such land rental (refuse to enjoy incentives), he/she/it shall pay a full one-off land rental for the remaining land lease period, which shall be calculated in accordance with Clause 2, Article 30 of this Decree as well as the land policy and land price applicable by the time he/she/it submits a written request for land rental payment and the request is then received by a competent authority. Then, the land user shall have land-related rights in the remaining land lease period as would be the case if the land rental is not exempted in accordance with Clause 1, Article 33 of the Land Law.

6. In cases where the transferor transfers the property attached to the land leased by the State with annual land rental payment to another during the period of entitlement to land rental exemption or reduction and the State continues such land lease with such transferee for the remaining lease period for the purposes determined on the date of transfer, the land rental shall be exempted or reduced as follows:

a) The transferor may not include the exempted and reduced land rental in the transfer price.

b) The transferee is entitled to the land rental exemption and reduction for the remaining period of entitlement to such exemption or reduction. In case of continuing to be entitled to the land rental reduction, the transferee may not carry out procedures for land rental reduction.

7. In cases where a beneficiary, which has been leased land by the State with full one-off land rental payment for the entire lease period, was exempted or reduced from land rental in accordance with the law regulations and now transfers or contributes land use rights as capital or transfers the investment project associated with the transfer of land use rights, the case shall be resolved as follows:

a) In cases where the beneficiary, which has been leased land by the State with full one-off land rental payment for the entire lease period, was exempted or reduced from land rental in accordance with the law regulations and now lawfully transfers or contributes land use rights as capital, such beneficiary must pay the State an amount equal to the amount by which the land rental was exempted or reduced on the date of land lease or permission of land use change as prescribed at Point b, Clause 3, Article 33 of the Land Law and an additional amount for the period from the date on which the land rental was exempted or reduced to the date on which the land use rights are transferred or contributed as capital, which shall be equal to the penalty for late payment of land use levy in accordance with the law regulations on tax administration applicable from time to time.

The amount by which the land use levy was exempted or reduced but now payable to the State shall be calculated in accordance with Clause 2, Article 30 and Article 34 of this Decree following the policy and at the land price applicable by the time of land lease or land use change.

b) In cases where a beneficiary, which has been leased land by the State with full one-off land rental payment for the entire lease period, was exempted or reduced from land rental in accordance with the law regulations and now lawfully transfers the investment project associated with the transfer of land use rights:

b1) In cases where the exempted or reduced land rental is not included in the transfer price and the transferee continues implementing the project, he/she/it shall continue to be entitled to land rental exemption or reduction in accordance with the law regulations on investment for the remaining duration of the project. In case of continuing to be entitled to the land rental reduction, the transferee may not carry out procedures for land rental reduction.

b2) In cases where the transferee does not continue to implement the project and is permitted by a competent State authority to use the land for other purposes in accordance with regulations, the land rental must be paid in accordance with regulations applicable to the project after the transfer. In cases where the transferor has performed part of the obligation for land rental, the transferee may inherit the part of the financial obligation paid by the transferor.

8. In cases where an economic institution leased land by the State with annual land rental payment is transformed or equitized in accordance with the law regulations during the period of entitlement to land rental exemption or reduction, the new economic institution formed after such transformation or equitization may continue to be entitled to the land rental exemption or reduction for the remaining period of entitlement to such exemption or reduction if it continues to use the land for the purposes for which the land rental has been exempted or reduced in accordance with the law regulations before the transformation or equitization.

9. In cases where a competent State authority discovers that a land user has received a land rental exemption or reduction while being ineligible for such exemption or reduction in accordance with the regulations, or has used the land for a purpose not prescribed in the land lease decision or land lease contract but is not subject to land recovery in accordance with the law regulations on land, or if the land user requests the discontinuation of incentives because they are no longer eligible for the land rental exemption or reduction, the land user shall repay to the State Budget the land rental previously exempted or reduced. The recovery of the exempted or reduced land rental amount is prescribed as follows:

a) The amount by which the land use levy was exempted or reduced, which is now to be recovered, shall be calculated at the land price in the land price table and the percentage (%) for calculation of the land rental rate issued by the provincial-level People’s Committee on the date of land rental calculation as prescribed in Clause 3, Article 155 of the Land Law plus (+) an amount equal to the penalty for late payment of land rental as prescribed by the law regulations on tax administration applicable from time to time.

b) The period during which the late payment penalty, as prescribed at Point a of this Clause, is payable begins from the time the land rental is exempted or reduced until the competent State authority decides to recover the amount by which the land rental has been previously exempted or reduced;

c) The tax offices shall recover the land rental amounts previously exempted or reduced.

10. No land rental exemption and reduction shall be applied to the use of land for commercial and service purposes in the cases of land rental exemption or reduction prescribed in Clause 2, Clause 3, Clause 4, Article 39 and at Point d, Clause 1, Article 40 of this Decree. No land rental exemption and reduction shall be applied in cases where the State leases land not through auction of land use rights.

11. No land rental exemption or reduction shall be applied in accordance with the law regulations on investment incentives to investment projects in the production or business of goods and services subject to excise tax as prescribed by the Law on Excise Tax, except for projects involving the production of automobiles, aircraft, and cruise ships.

12. No land rental exemption and reduction shall be applied to mineral extraction projects.

13. The lists of sectors and trades eligible for investment incentives; sectors and trades eligible for special investment incentives, socio-economically disadvantaged areas, and areas with extremely socio-economically disadvantaged areas as prescribed in Article 39 and Article 40 of this Decree shall comply with the law regulations on investment.

The list of areas entitled to land rental incentives is only applicable to areas having specific administrative boundaries (district-level localities).

14 The exemption from land rental to implement projects on investment in construction of social houses for lease, projects on investment in renovation and reconstruction of condominiums shall comply with law regulations on housing.

15. Depending on local realities, the provincial-level People's Committee shall submit to the People's Council of the same level for decision on land rental exemption incentives for each area and sector applicable to projects using land for production and commercial purposes in the fields eligible for investment incentives (sectors and trades eligible for investment incentives) or areas eligible for investment incentives as prescribed at Point a, Clause 1, Article 157 of the Land Law that meet one of the two conditions: the projects are on the list of types, scale criteria, and socialization standards decided by the Prime Minister; or the projects are not for profit.

The incentives shall be prescribed on the principle that the maximum is exemption from land rental for the entire lease period and the minimum is equal to the amount by which the land rental is exempted as prescribed in Clause 3, Article 39 of this Decree. The land user shall be not permitted to include the exempted land rental in the cost of products and services provided to the public.

16. The land rental shall be exempted or reduced for special investment projects in accordance with the Prime Minister's decisions on special investment incentives issued in accordance with Article 20 of the Law on Investment and the Decree detailing and guiding the implementation of a number of articles of the Law on Investment. The sequence and procedures for land rental exemption or reduction shall comply with this Decree and other relevant law regulations.

Article 39. Land rental exemption

Land rental shall be exempted in cases where the State leases land as prescribed in Clause 1, Article 157 of the Land Law as follows:

1. Land rental shall be exempted for the entire lease period in the following cases:

a) Use of agricultural land by households and individuals of ethnic minorities;

b) Use of land for implementation of investment projects in construction of worker accommodations in industrial parks;

c) Use of land for construction of dedicated railway infrastructure and railway industrial facilities as prescribed at Point b, Clause 1, Point b, Clause 2, Clause 3, Article 209 of the Land Law.

d) Use of land for construction of offices, drying grounds and warehouses, workshops; service facilities directly serving agriculture, forestry, aquaculture or salt production of cooperatives and unions of cooperatives;

dd) Use of land for construction of clean water supply and drainage, wastewater treatment systems in urban and rural areas.

e) Use of land for construction of maintenance and repair stations, parking lots (including ticket booths, administration quarters and public service quarters) for the purpose of public transportation of passengers in accordance with the law regulations on road transportation.

g) Use of land for construction of airport and seaport infrastructure as prescribed at Point b, Clause 1, Article 208 of the Land Law.

h) Use of land for implementation of public-private partnership investment projects on construction of traffic infrastructure.

i) Use of land for construction of social houses for lease as prescribed at Point c, Clause 2, Article 120 of the Land Law; projects on investment in renovation and reconstruction of condominiums that shall be exempted from land rental in accordance with the law regulations on housing and the law regulations on land.

k) Land rental shall be exempted for the area of land, which is not land for national defense and security but is used for national defense and security purposes, of military and public security enterprises, where the land area used for national defense and security purposes can be separated from the land area for other land use purposes.

2. Land rental exemption during the period of capital construction of projects approved by competent authorities, with the exemption period not exceeding 03 years from the date of land lease decision, shall be applicable to projects subject to land rental exemption as prescribed at Point a, Clause 1, Article 157 of the Land Law. In case land lessees use land for agricultural purposes (planting perennial trees) under approved projects, the period of capital construction of tree gardens is eligible for land rental exemption for each type of tree following the technical process of planting and tending perennial trees prescribed by the Ministry of Agriculture and Rural Development. The land rental exemption during the period of capital construction period shall be based on the project associated with new land lease by the State or change from land allocation without land use levy to land lease, excluding cases of investment in construction, renovation, expansion of production and business establishments and replanting of gardens on land areas currently leased by the State. In cases of investment in construction, renovation, expansion of production and business establishments where the State leases additional land areas to implement the projects, including capital construction activities, the land rental shall be exempted during the period of capital construction for such additional land areas leased by the State.

In cases where the investment certificate, investment license, investment registration certificate or investment policy decision granted by a competent authority in accordance with law prior to the date of the land lease decision specifies the capital construction period (project implementation schedule), the determination of the capital construction period for each investment project shall be based on such investment certificate, investment license, investment registration certificate or investment policy decision within no later than 03 years from the date of the land lease decision.

3. Land rental shall be exempted in cases where land is used in accordance with Point a, Clause 1, Article 157 of the Land Law, unless otherwise prescribed in Clause 3 and Clause 4 of this Article, after the land rental exemption period during the period of capital construction as prescribed in Clause 2 of this Article specifically for:

a) 03 (three) years, which is applicable to production and business projects on the list of sectors and trades eligible for investment incentives.

b) 07 (seven) years, which is applicable to production and business projects in socio-economically disadvantaged areas.

c) 11 (eleven) years, which is applicable to production and business projects on investment in extremely socio-economically disadvantaged areas; production and business projects on the list of sectors and trades eligible for special investment incentives; production and business projects on the list of sectors and trades eligible for investment incentives which are implemented in socio-economically disadvantaged areas.

d) 15 (fifteen) years, which is applicable to production and business projects in the list of sectors and trades eligible for investment incentives in extremely socio-economically disadvantaged areas; production and business projects in the list of sectors and trades eligible for special investment incentives in socio-economically disadvantaged areas; for land used for construction of ground facilities for the purposes of operation and utilization of underground facilities.

e) The entire lease period, which is applicable to the use of land for production and business purposes to implement investment projects in the list of sectors and trades eligible for special investment incentives in extremely socio-economically disadvantaged areas.

g) Land rental shall be exempted for projects prescribed in Clause 15, Article 38 of this Decree at the rates prescribed by the provincial-level People's Councils.

4. Land rental shall be exempted for investment projects using land in accordance with Point a, Clause 1, Article 157 of the Land Law in economic zones after the land rental exemption period during the period of capital construction as prescribed in Clause 2 of this Article for:

a) 11 (eleven) years, which is applicable to investment projects not on the investment incentive list (hereinafter referred to as the list of sectors and trades eligible for investment incentives), but in economic zones in district-level localities not on the list of localities eligible for investment incentives.

b) 13 (thirteen) years, which is applicable to investment projects not on the list of sectors and trades eligible for investment incentives, but in economic zones in district-level localities in socio-economically disadvantaged areas.

c) For 15 (fifteen) years, for investment projects outside the List of sectors and trades eligible for investment incentives and in economic zones located in district-level geographical areas with extremely socio-economically disadvantaged areas, and for investment projects on the list of sectors and trades eligible for investment incentives and in economic zones located in district-level geographical areas not eligible for investment incentives.

d) 17 (seventeen) years, which is applicable to investment projects on the list of sectors and trades eligible for investment incentives and in economic zones in district-level localities in socio-economically disadvantaged areas.

dd) 19 (nineteen) years, which is applicable to investment projects on the list of sectors and trades eligible for investment incentives and in economic zones in district-level localities in extremely socio-economically disadvantaged areas.

e) The entire lease period, which is applicable to investment projects in sectors and trades eligible for special investment incentives (unless otherwise prescribed at Point g of this Clause).

g) Particularly, investors who are leased land by the State to invest in construction and commercial operation of infrastructure of functional areas in economic zones shall be exempted from land rental for:

- 11 (eleven) years, which is applicable to investment projects in district-level localities not on the list of localities eligible for investment incentives.

- 15 (fifteen) years, which is applicable to investment projects in district-level localities not on the list of socio-economically disadvantaged areas.

- The entire lease period, which is applicable to investment projects in district-level localities not on the list of extremely socio-economically disadvantaged areas.

In cases where an economic zone is located in two or more districts, land rental exemption shall be determined based on the respective area within each district.

5. Land rental shall be exempted for investment projects using land in accordance with Point a, Clause 1, Article 157 of the Land Law in hi-tech parks after the land rental exemption period during the period of capital construction as prescribed in Clause 2 of this Article for:

a) 15 (fifteen) years, which is applicable to investment projects not on the list of sectors and trades eligible for investment incentives; and project on investment in construction and commercial operation of infrastructure of hi-tech parks.

b) 19 (nineteen) years, which is applicable to projects on the list of sectors and trades eligible for investment incentives.

c) The entire lease period, with all land rental exempted, which is applicable to projects on the list of sectors and trades eligible for special investment incentives (except for projects for investment in construction and commercial operation of infrastructure of hi-tech parks).

6. The exemption of land rental in other cases prescribed in Clause 2, Article 157 of the Land Law shall be proposed by ministries, branches, and provincial-level People's Committees, after obtaining approval from the National Assembly Standing Committee, to the Ministry of Finance the ministry to summarize and report the cases to the Government.

7. In cases where land rental shall be exempted without having to carry out procedures to request for land rental exemption and without having to carry out procedures to determine land prices and calculate exempted land rental in accordance with Clause 3, Article 157 of the Land Law, when carrying out land lease procedures, the competent authority in charge of land administration shall be responsible for compiling statistics and summarizing cases of land rental exemption. In cases where the State leases land with annual land rental payment and the land rental shall be exempted for a number of years as prescribed in Clause 2 of this Article, prior to the expiration of the 6-month period of entitlement to land rental exemption, the land user must carry out procedures to determine and pay land rental as prescribed in this Decree.

During the implementation process, if the competent authority or person discovers that a person who has been exempted from land rental fails to meet the conditions for land rental exemption, the competent authority or person shall send a report to the competent authority in charge of land administration to coordinate with relevant authorities to inspect, review and determine the satisfaction of the conditions for land rental exemption.

In cases where the person who has been exempted from land rental fails to meet the conditions for land rental exemption, the competent authority in charge of land administration shall report to the People's Committee of the same level to decide to revoke the land rental exemption and transfer the information to the tax office for such tax office to coordinate with it in calculating, collecting and paying the payable (not exempted) land rental in accordance with the land policy and at the land price applicable by the time the State issues the land lease decision as well as an amount equal to the penalty for late payment of land rental as prescribed by the law regulations on tax administration.

Article 40. Land rental reduction

Land rental shall be reduced in cases where the State leases land as prescribed in Clause 1, Article 157 of the Land Law as follows:

1. In case of land lease with annual rental payment:

a) The annual rental shall be reduced by 80% during the entire land lease period, applicable to land used for construction of other auxiliary facilities directly serving train operations, passenger pick-up and drop-off, and cargo loading and unloading of railways; land used for construction of facilities for aviation and non-aviation services as prescribed at Point b, Clause 1 and Point b, Clause 2, Article 208 of the Land Law.

b) The annual rental shall be reduced by 50% during the entire land lease period, applicable to public non-business units as prescribed at Point c, Clause 3, Article 120 of the Land Law.

c) The annual rental shall be reduced by a percentage (%) of revenue from national defense and security tasks over the total revenue for land area which is not land for national defense and security but is used for national defense and security purposes, and revenue from the land area used for other purposes during the entire land lease period in cases where it is not possible to separate the land area used for national defense and security purposes from the land area used for other purposes. In cases where it is impossible to determine the percentage (%) of revenue from national defense and security tasks over the total revenue for land area which is not land for national defense and security but is used for national defense and security purposes, and revenue from the land area used for other purposes, the annual land rental shall be reduced by 30% during the entire land lease period for the entire land area used for the purposes for which the State leases the land.

d) The annual rental shall be reduced by the amount prescribed at Point b of this Clause in cases of land use to implement investment projects under the public-private partnership in fields and regions eligible for investment incentives according to the list of sectors and trades eligible for investment incentives; sectors and trades eligible for special investment incentives; socio-economically disadvantaged areas, and extremely socio-economically disadvantaged areas as prescribed by the law regulations on investment, unless otherwise prescribed at Point h, Clause 1, Article 39 of this Decree.

2. In case of full one-off land rental payment for the entire lease period, the amount of land rental reduction shall be calculated as follows:

3. The competence to calculate and decide on the amount by which the land rental is reduced shall comply with Clause 2, Article 41 of this Decree.

4. The reduction of land rental in other cases prescribed in Clause 2, Article 157 of the Land Law shall be proposed by ministries, branches, and provincial-level People's Committees, after obtaining approval from the National Assembly Standing Committee, to the Ministry of Finance the ministry to summarize and report the cases to the Government.

Article 41. Sequence and procedures for land rental exemption or reduction

1. In case of land rental exemption, the procedures for determining land price and calculating exempted land rental shall not be carried out in accordance with regulations in Clause 3, Article 157 of the Land Law. Land users who are exempt from land rental may not complete the procedures for requesting exemption from land rental.

2. In case of land rental reduction, based on the land rental dossiers of the land lessees transferred by the land registration office or the competent authority in charge of land administration, the beneficiaries, and the levels of land rental reduction as prescribed by regulations, the tax offices shall calculate the land rentals payable and the amounts of land rental reduction, and issue decisions on the reduction of the land rentals; specifically:

a) The Heads of the provincial-level Tax Departments shall issue decisions on land rental reduction for land lessees that are domestic organizations; people of Vietnamese origin residing abroad; and foreign-invested organizations.

b) The Heads of the district-level Tax Departments and the Regional Tax Departments shall issue decisions on land rental reduction for land lessees that are households and individuals.

A decision on land rental reduction shall be made using Form No. 02 provided in Appendix II to this Decree.

Section 3

LAND RENTAL COLLECTION AND PAYMENT

Article 42. Sequence and procedures for land rental calculation

1. Based on cadastral records regarding land lease (information on area, position and use purpose of leased land, land lease form and term); decisions on land prices, land rental rates of land for construction of underground facilities issued by provincial-level People’s Committees; and land price tables and percentages (%) for calculation of land rental set by provincial-level People’s Committees; tax offices shall organize the calculation, collection, and payment of land rental specifically as follows:

a) Within 05 working days from the date of receiving the slip of information transfer provided by the land registration office or the competent authority in charge of land administration (the sender of the slip of information transfer), the tax office shall determine the land rental rate, calculate the land rental payable and issue a notice of land rental to the person obligated to pay land rental; and at the same time to the sender of the slip of information transfer.

Notices of land rental payment shall be made using Form No. 01a or Form No. 1b provided in Appendix II to this Decree.

b) In cases where there are insufficient grounds for calculation of the land rental, within 05 working days from the date of receiving the slip of information transfer, the tax office shall send a written notice to the sender of the slip of information transfer for supplementation thereof. Within 05 working days after having sufficient cadastral records as prescribed, the tax office shall determine the land rental rate, calculate the land rental, and issue a notice of land rental to the person obligated to pay the land rental; and at the same time to the sender of the slip of information transfer.

2. On an annual basis, the tax offices shall send notices of land rental payment directly to the land rental payers in order to collect such rentals during the period of land rental stabilization. In cases where the grounds for calculation of land rental have changed, the payable land rental amounts shall be re-calculated and notified to persons with relevant obligations.

A year for which the land rental shall be paid is a Gregorian calendar year, from January 01 to December 31. In cases where the first year of the land lease period and the ending year of the land lease period are constituted by less than 12 months, the rental for the first year and the ending year shall be calculated based on the number of months of lease. In cases where the first month or the ending month of the land lease period are not full one (01) month:

a) If the land lease lasts from 15 days or more to a full month (>= 15 days), the number of land lease days shall be rounded up to 01 month.

b) If the land lease lasts in less than 15 days (< 15 days), the land rental shall not be calculated for such number of land lease days.

3. After the period of land rental stabilization as prescribed in Clause 2, Article 153 of the Land Law, the tax office shall coordinate with the competent authority in charge of land administration to determine and notify the land lessee to adjust the land rental for the next stabilization period as prescribed in the law regulation applicable by the time of adjustment. In case of changes in cadastral information (location, road section, area, etc.), the competent authority in charge of land administration and the land registration office shall be responsible for transferring the information to the tax office to serve as a ground for determining the land rental rate of the next stabilization cycle in accordance with regulations.

4. Tax offices shall make dossiers for monitoring the collection and land rental payment using the form provided by the Ministry of Finance.

Books recording the delivery of notices of paying land-related financial obligations shall be made using Form No. 04 provided in Appendix II to this Decree.

Article 43. Land rental collection and payment

1. Land rental shall be paid into the State Budget in Vietnamese currency (VND). In case foreign organizations and individuals and Vietnamese nationals permanently residing abroad pay land rental in foreign currencies, such foreign-currency amounts shall be converted into VND in accordance with the law regulations on the date of payment.

2. Land rental shall be paid as follows:

a) The tax office shall send a notice of land rental payment to the land lessee; and at the same time send it to the land registration office or the competent authority in charge of land administration and the State Treasury at the same level (for monitoring and accounting in accordance with regulations).

b) Land lessees shall pay to the State Budget the land rental amounts as written in the notices of the tax offices in accordance with the law regulations on tax administration.

c) In the case of land allocation with land use levy, after collecting the land use levy, the authority in charge of State revenue shall transfer information on collection and payment to the tax office in accordance with the law regulations on tax administration so that the tax office can transfer it to the competent authority in charge of land administration to serve as a ground for reporting to the competent State authority to allocate land to the land user in accordance with regulations. The land shall be only allocated when the land lessee has fully paid the one-off rental for the entire lease period as prescribed by the regulations.

3. Time limits for land rental payment

a) In cases where the State leases land through auction of land use rights, the time limit for payment of the auction-winning amount for the land use rights must be specifically stated in the plan for auction of land use rights or the decision recognizing the winning auction result as prescribed in the law regulations on auction so that the auction winner can pay such amount. This time limit shall not exceed the time limit for payment of land rental as prescribed in the law regulations on tax administration.

In cases where the auction winner fails to fulfill the obligation to pay the auction-winning amount, leading to the cancellation of the decision recognizing the auction result, the law regulations on property auctions, the Decree detailing the implementation of a number of articles of the Land Law, and the law regulations on tax administration shall apply.

b) In cases where the State leases land not through auction of land use rights, the time limit for payment of land rental shall comply with the law regulations on tax administration, but shall not exceed 180 days from the date of the decision approving the land price used for calculation of land rental by the competent State authority (in case of full one-off land rental payment for the entire lease period based on the specific land price). After 180 days from the date of the decision approving the land price for calculation of the full one-off land rental for the entire lease period, if the land lessee fails to fully pay the land rental, the land shall not be allocated in accordance with regulations. If the land user fails to fully pay the land rental to the State Budget within the time limit written in the notice of the tax office, he/she/it must pay a penalty for late payment of land rental at the rate prescribed by the law regulations on tax administration.

In cases where the land lessee fails to comply with tax assessment, the tax office shall transfer the dossier to the competent authority in charge of land administration for the latter to submit it to the competent authority for consideration and handling of this land lease decision in accordance with the Decree detailing the implementation of a number of articles of the Land Law.

c) In cases where a person leased land by the State with annual land rental payment wishes and so request, he/she/it may pay in advance the land rental for a number of years within the land rental stabilization cycle (not exceeding 05 years) and shall be granted the rights as a user of land leased by the State with annual land rental payment.

4. The Ministry of Finance shall prescribe forms of declaration, receipt and book for monitoring land rental collection and payment.

Chapter IV

RESPONSIBILITIES OF AUTHORITIES AND LAND USERS

Section 1

RESPONSIBILITIES OF AUTHORITIES AND LAND USERS IN DETERMINING AND COLLECTING LAND USE LEVY AND LAND RENTAL

Article 44. Responsibilities of authorities and land users

1. Finance authorities shall:

Assume the prime responsibility for developing and submitting to the provincial-level People's Committees for approval of specific rates (%) used for determination of land rental rates; rates (%) used for calculation of the land rentals for land used for construction of underground facilities, or construction of underground facilities located outside the land use space determined for users of land and land with water surface as prescribed in Articles 26, 27 and 28 of this Decree.

2. Authorities in charge of land administration and land registration offices shall:

a) Determine the location, position, area, land type, land use purpose, date on which the land use levy or land rental becomes payable (including the date on which the land is actually handed over in cases where an additional amount is payable as prescribed in Clause 2, Article 50 and Clause 9, Article 51 of this Decree), land lease period, land rental rate as prescribed in Clause 2, Article 29 of this Decree, specific land price in all cases where obligations for land use levy or land rental arise (including cases where the land use levy or land rental of the land type prior to land use change, prior to adjustment of the detailed master plan, adjustment of the land allocation or land lease decision shall be determined) and additional amounts payable as prescribed in this Decree.

b) On an annual basis, compile statistics and summarize cases of land use levy and land rental exemption and notify relevant authorities to conduct inspections and audits accordingly within the functions and tasks assigned to them.

c) Perform other tasks prescribed in this Decree and relevant law regulations.

3. Tax offices shall:

a) Pursuant to the regulations of this Decree and the slips of information transfer provided by the competent authorities in charge of land administration and other authorities, calculate land use levies and land rentals, rentals for land with water surface, rentals for land used for construction of underground facilities, or construction of underground facilities located outside the land use space as prescribed in Clause 3, Article 27 of this Decree, and amounts by which land use levies and land rentals shall be reduced, and notify them to land users in accordance with this Decree.

b) Organize implementation, provide guidance, answer questions, and resolve complaints regarding the calculation, collection, and payment of land use levy and land rental in accordance with this Decree, the law regulations on tax administration, and other relevant law regulations.

c) Determine the land rental rates in case of annual rental payment or full one-off rental payment for the entire lease period under Article 26 of this Decree.

d) Review cases where the arrears are acknowledged but have not yet been fully repaid, and notify those who have the land use levy in arrears about the acknowledgment, repayment and clearance of their land use levy arrears in accordance with this Decree.

dd) Perform other tasks prescribed in this Decree and relevant law regulations.

4. For state treasuries, or authorities in charge of revenue, or credit institutions (banks) authorized to collect the amounts as prescribed by the law regulations on tax administration:

a) In cases where the land user pays land use levy and land rental at the State Treasury:

a1) The State Treasury shall collect and remit into the State Treasury the land use levy or land rental as written in the notice of land use levy or land rental payment of the competent authority and shall not refuse to collect such amount for any reason.

a2) Refrain from leaving the rental collection to the following day when the persons, who are responsible for fulfilling the financial obligations for land use levy or land rental, have completed the payment procedures.

a3) Transfer information on payments of land users into the State Budget to tax offices so that tax offices can transfer it to competent authorities in charge of land administration to serve as a ground for reporting to competent State authorities to allocate and lease land to land users in accordance with regulations.

a4) Perform other tasks prescribed in this Decree and relevant law regulations.

b) In cases where the land user pays land use levy and land rental at the authority in charge of revenue or credit institution (bank) authorized to collect the amount as prescribed by the law regulations on tax administration:

The authority in charge of revenue or credit institution (bank) authorized to collect the amount shall collect the land use levy or land rental as written in the notice of land use levy or land rental payment of the competent authority; pay such amount to the State Budget and transfer the information of the land user's payment in accordance with the law regulations on tax administration.

5. District-level People's Committees shall:

a) Confirm the amount of compensation, support and resettlement expenses deducted from the land use levy and land rental payable.

b) Together with the units or organizations performing the compensation, support and resettlement tasks, be responsible for the accuracy of the data and information on the statements of compensation, support and resettlement payments made.

c) Perform other tasks prescribed in this Decree and relevant law regulations.

6. Land users shall:

a) Declare land use levy and land rental payment in accordance with this Decree and the Law on Tax Administration as well as its guiding documents.

b) Pay land use levy and land rental within the time limits written in notices of tax offices.

c) Pay late payment penalties as prescribed in Article 45 of this Decree if failing to pay fully land use levy and land rental within the time limits written in notices of tax offices.

7. The responsibilities of authorities and land users in determining and collecting land use levy and land rental in cases where they are delegated such competence under a pilot or specific mechanism shall comply with the decisions of competent authorities on permitting the implementation of such pilot or specific mechanism.

Article 45. Handling of late payment

In case of late payment of land use levy or land rental to the State Budget, the land user must pay a penalty for late payment of land use levy or land rental at a rate prescribed by the Law on Tax Administration and its guiding documents, unless the land use levy has been acknowledged as arrears in accordance with the law regulations.

Article 46. Complaints and settlement thereof

The lodging and settlement of complaints about land use levy and land rental must comply with the Law on Complaints and guiding documents. Pending settlement, complainants shall timely and fully pay the land use levy or land rental as notified.

Section 2

RESPONSIBILITIES FOR STATE GOVERNMENT OVER COLLECTION OF LAND USE LEVY AND LAND RENTAL

Article 47. The Ministry of Finance shall:

1. Guide and inspect the implementation of this Decree.

2. Prescribe the forms of dossiers, declarations, and books for monitoring of the collection and payment of land use levy and land rental, and decentralize the management of the collection and payment of land use levy and land rental in accordance with regulations.

3. Perform other tasks prescribed in this Decree and relevant law regulations.

4. Summarize and submit to the Government the regulations on exemption and reduction of land use levy and land rental in other cases prescribed in Clause 2, Article 157 of the Land Law proposed by ministries, branches, and provincial-level People's Committees after obtaining approval from the National Assembly Standing Committee.

Article 48. Provincial-level People’s Committees shall:

1. Set the rates (%) used for calculation of land rental rates, the rates (%) of collection applicable to land for construction of underground facilities, the rates (%) of collection applicable to land with water surface, and decide on specific land prices under their competence to serve the grounds for calculation of land use levy and land rental.

2. Direct local authorities to promptly complete legal documents on land for land users to calculate land use levy and land rental.

3. Direct local authorities to perform the tasks prescribed in this Decree and other relevant law regulations.

4. Direct the inspection and handling of violations in the declaration and implementation of land use levy and land rental exemption and reduction for inappropriate beneficiaries and incentives, causing damage to the State as well as land use levy and land rental payers; inspect the satisfaction of conditions for exemption of land use levy and land rental during the land use process by land users and notify tax offices to recoup (recover) land use levy and land rental in cases where land users and land lessees fails to satisfy the conditions for exemption of land use levy and land rental during the land use process.

5. Settle complaints and denunciations about the calculation, collection, and payment of land use levy and land rental in accordance with the law regulations on complaints and denunciations.

6. Based on the sequence and procedures for land allocation, land lease, recognition of land use rights, extension of land use terms, adjustment of land use terms, land use change, determination of land prices used for calculation of land use levies and land rentals in accordance with regulations on land prices in the Decrees detailing the implementation of a number of articles of the Land Law, and regulations on procedures for calculation, collection and payment of land use levies and land rentals in this Decree to develop and promulgate regulations on the process of circulating records to determine land-related financial obligations depending on local realities.

7. Be responsible for submitting to the People's Council of the same level for decision on:

a) Land rental exemption incentives for each area and sector applicable to projects using land for production and commercial purposes in the fields eligible for investment incentives (sectors and trades eligible for investment incentives) or areas eligible for investment incentives as prescribed at Point a, Clause 1, Article 157 of the Land Law that meet one of the two conditions: the projects are on the list of types, scale criteria, and socialization standards decided by the Prime Minister; or the projects are not for profit as prescribed in Clause 15, Article 38 of this Decree.

b) Permitting land users, which are allocated land by the State without land use levy or leased land in the hi-tech parks, to not reimburse the State Budget for the compensation and site clearance expenses that have been funded by the State from the State Budget (except for capital advanced from the Land Development Fund) in accordance with Clause 8, Article 31 of this Decree.

8. Direct and review to thoroughly handle existing cases of land use levy and land rental prior to the effective date of the 2024 Land Law.

9. Perform other tasks prescribed in this Decree and relevant law regulations.

Article 49. Responsibilities of ministries and sectoral authorities

1. Relevant ministries and sectoral authorities, within the ambit of the functions and tasks assigned to them, shall coordinate with the Ministry of Finance in guiding the calculation, collection and payment of land use levy and land rental in accordance with this Decree.

2. Perform other tasks prescribed in this Decree and relevant law regulations.

Chapter V
IMPLEMENTATION PROVISIONS

Section 1

TRANSITIONAL PROVISIONS AND SETTLEMENT OF SOME SPECIFIC ISSUES

Article 50. Transitional provisions regarding land use levy

1. In cases where the land user has been allocated land, permitted to change the land use purpose of the land, has the land use rights recognized, or the land allocation decision adjusted, or has been permitted to adjust the detailed master plan, and the competent State authority has calculated and notified the land use levy payable in accordance with the law regulations prior to the effective date of the 2024 Land Law but he/she/it has not completed the payment of land use levy, he/she/it must now pay the outstanding land use levy and a late payment penalty as prescribed by the law regulations on tax administration from time to time.

In cases where the competent State authority re-calculates and the land use levy increases compared to the amount written on the notice, the land user must pay the increased land use levy and pay an additional amount calculated on such increase as prescribed in Clause 2 of this Article and Point d, Clause 2, Article 257 of the Land Law from the time for calculation of land use levy in accordance with the law regulations applicable from time to time until the date on which the land user pays such amount to the State Budget.

2. In cases where a decision on land allocation, permission to land use change, or adjustment of the detailed master plan in accordance with the law regulations on land and related law regulations prior to the effective date of the 2024 Land Law was made, but the land price has not been decided, the land use levy shall be calculated and collected in accordance with Clause 2, Article 257 of the Land Law.

The amount that the land user must pay additionally for the period of time for which the land use levy has not yet been calculated in accordance with Point d, Clause 2, Article 257 of the Land Law shall be calculated at the rate of 5.4%/year on the amount of land use levy payable determined in accordance with Clause 2, Article 257 of the Land Law.

3. For households and individuals whose land use levy arrears were acknowledged on the certificates in accordance with the law regulations applicable from time to time but, until the effective date of this Decree, have not yet fully paid such land use levy arrears:

a) Households and individuals whose land use levy arrears were acknowledged prior to December 10, 2019, shall continue to pay the land use levy arrears in accordance with land policies and at land prices applicable by the time the certificates were granted (or the amounts written in the certificates, which are determined in accordance with the law regulations). In case of overdue payment as prescribed in the Government’s Decree No. 45/2014/ND-CP dated May 15, 2014, amended by the Government’s Decree No. 79/2019/ND-CP dated October 26, 2019, the land user must pay the remaining land use levy in accordance with the land policy and at the land price applicable by the time of repayment.

b) Households and individuals whose land use levy arrears were acknowledged from December 10, 2019 and prior to the effective date of this Decree, shall continue to pay the land levy amount arrears as written in the certificates, which are determined under the Government’s Decree No. 45/2014/ND-CP dated May 15, 2014 within 05 years from the date the land use levy arrears are acknowledged.

After 05 years from the date the land use levies are acknowledged as arrears, households and individuals shall pay the arrears in accordance with Article 22 of this Decree.

4. In cases where the land user is eligible for land use levy exemption but has not carried out the procedures to be entitled to land use levy exemption, determination and calculation of exempted land use levy prior to August 01, 2024, from the effective date of this Decree, the tax office shall return the dossier to the competent authority in charge of land administration for handling in accordance with Clause 3, Article 157 of the Land Law and this Decree.

5. In cases where the land user is eligible and is currently carrying out procedures for land use levy reduction at a competent State authority but has not yet received a decision on land use levy reduction from any competent State authority, the land use levy reduction shall comply with this Decree. In cases where the reduction rate in accordance with this Decree is lower than the rate that the land user is applying for, the land user shall enjoy the higher rate.

6. Dossiers for calculation of land use levy for economic zones that have been received by competent State authorities in accordance with the law regulations on land use levy collection prior to the effective date of this Decree shall be transferred by such authorities to competent authorities as prescribed by the Land Law for implementation in accordance with competence and responsibilities delegated to them.

7. In cases where the land user has been allocated land with land use levy by the State for a long-term, stable land use term and a competent State authority issued a decision permitting land use levy exemption or reduction in accordance with the law regulations prior to the effective date of this Decree, or in cases where the land user has submitted an application to a competent State authority prior to the effective date of this Decree but has not yet received any decision on land use levy exemption or reduction, he/she/it shall continue to be exempted or reduced from land use levy in accordance with the law regulations prior to the effective date of this Decree.

8. In cases where a commercial housing project has been permitted by a competent State authority to pay an amount equal to the value of the 20% of the land fund where a technical infrastructure system has been built for construction of social houses in accordance with the law regulations on housing, but by the time this Decree comes into effect, this amount has not been calculated, the calculation, collection and payment thereof shall comply with this Decree. In cases where this amount has been calculated in accordance with the law regulations prior to the effective date of this Decree, such amount and a penalty for late payment (or an amount equal to the late payment penalty) of land use levy (if any) must be paid in accordance with the law regulations on tax administration.

9. In cases where a land user is eligible for land allocation by the State not through the form of land use right auction and has advanced funding for compensation and ground clearance under a plan approved by a competent State authority under the policy on compensation, support and resettlement upon land recovery by the State prior to the effective date of the 2024 Land Law, may continue to deduct the advanced amount from payable land use levy in accordance with regulations on collection of land use levy applicable from time to time prior to the effective date of this Decree.

Article 51. Transitional provisions regarding land rental collection

1. Households and individuals using agricultural land areas allocated prior to July 01, 2014, which exceed the land allocation quota by the time of allocation, must lease the excessive land area in accordance with Clause 1, Article 255 of the 2024 Land Law and must pay the land rental as prescribed in this Decree.

2. Economic institutions, individuals and Vietnamese nationals permanently residing abroad that were allocated land with land use levy in definite terms by the State prior to the effective date of the 2024 Land Law and have fulfilled their financial obligations for land use levy, but now have to lease land in accordance with the 2024 Land Law may continue using the land for the remaining land use term without having to change to lease land. In cases where they wish to lease land, they shall not pay land rental for the remaining land use term. In cases where they change to land lease but the land lease period stated in the land lease decision is longer than the remaining land use term prior to the change to land lease, they shall pay land rental for the excessive period.

In case of failure to fulfill obligations for land use levy, Clause 1, Article 50 of this Decree shall apply. Upon the expiration of the land use term, if they have such term extended by competent State authorities in accordance with Clause 2, Article 255 of the 2024 Land Law and have to lease land, the land rentals shall be calculated, collected and paid in accordance with this Decree.

3. Organizations, households, individuals, and Vietnamese nationals permanently residing abroad that were allocated land by the State without land use levy prior to July 01, 2014, but have to lease land as prescribed by the 2013 Land Law, and now lease land in accordance with Clause 3, Article 255 of the 2024 Land Law, the land rentals shall be calculated, collected and paid in accordance with this Decree.

Public non-business units that were required to change to land lease and were eligible for land rental exemption in accordance with the 2013 Land Law, but have either not yet changed to land lease or have changed but failed to carry out or delayed the procedures to be entitled to land rental exemption, and for which the tax offices have not yet issued notices of land rental payment, shall not be required to pay land rental for the period during which they failed to carry out or delayed the procedures to be entitled to land rental exemption in accordance with regulations prior to the effective date of the 2024 Land Law. In cases where the tax office has issued a notice of land rental payment and late payment penalty of land rental (if any) but the public non-business unit fails to pay or has not fully paid the amount written in the notice, such public non-business unit shall report to the ministry, sectoral authority or local authority directly managing it for the latter to summarize the case and propose resolution to the Ministry of Finance for the Ministry of Finance to summarize and report the cases to the competent authority for consideration and decision. In cases where the land rental and late payment penalty (if any) have been paid prior to the effective date of this Decree, the State shall not refund the amount paid.

4. In cases where domestic organizations, agricultural and forestry companies have used land subject to annual land rental payment but have not yet obtained land lease decisions, they must pay land rentals in accordance with the actual land use purposes and may not stabilize their land rentals in accordance with Article 32 of this Decree. In cases where the dossier has been submitted to the competent State authority to finalize the land-related legal procedures (signing a land lease contract), but the competent State authority delays the procedures, or the land lease contract cannot be signed due to ineligibility without a decision on land recovery being issued, the land rental shall be stabilized in accordance with Article 32 of this Decree, from the time of submitting a complete and valid dossier to finalize the land-related legal procedures.

5. In cases where the State leases land in accordance with the law regulations on land prior to the effective date of this Decree and the land user is eligible for land rental exemption or reduction in accordance with the law regulations on land or other regulations of the Government or the Prime Minister prior to the effective date of the 2024 Land Law:

a) In cases where the land user is permitted by a competent State authority to be exempted or reduced from land rental in accordance with the law regulations prior to the effective date of this Decree, he/she/it shall continue to be exempted or reduced from land rental for the remaining land lease period in accordance with the law regulations prior to the effective date of this Decree. After the period of entitlement to exemption or reduction, the land rental must be paid in accordance with this Decree.

b) In cases where the land user has submitted the dossier in accordance with the regulations to the competent State authority and remains within the period of entitlement to land rental exemption or reduction as prescribed by the law regulations prior to the effective date of this Decree but no decision on land rental exemption or reduction has been made, the land rental incentives (exemption or reduction) as prescribed by the law regulations prior to the effective date of this Decree shall prevail. In cases where the incentive prescribed in this Decree is higher, it shall be applied for the remaining period of entitlement.

c) In cases where the land user failed to carry out the procedures to be entitled to land rental exemption or reduction but remains within the period of entitlement to land rental exemption or reduction as prescribed by the law regulations prior to the effective date of this Decree, the land rental exemption or reduction shall comply with this Decree for the remaining period of entitlement.

d) In the cases prescribed at Point b and Point c of this Clause that are eligible for land rental exemption, the tax office shall return the dossier to the authority in charge of land administration to carry out land-related procedures (other than the procedures for land rental exemption). In the other cases, the tax office shall continue to carry out the procedures and notify the land user and the authority in charge of land administration in accordance with this Decree.

6. Economic institutions, households and individuals using land allocated by the State and having paid land use levy prior to the effective date of the 2024 Land Law, now falling under the case of land lease as prescribed by the 2024 Land Law, if they wish to lease land, shall not pay land rental for the remaining land use term.

7. In cases where the State leases land prior to the effective date of the 2024 Land Law and the tax office has issued a notice of land rental payment, but by the time this Decree comes into effect, the land lessee has not fulfilled the obligation for land rental written in the notice of the tax office, the case shall be resolved as follows:

a) Land lessees that make full one-off rental payment for the entire lease period may continue to pay land rental amounts that haven been notified and late payment penalties as prescribed in the Law on Tax Administration and guiding documents.

b) In cases where the competent State authority re-calculates and the land rental increases compared to the amount written on the notice, the land user must pay the increased land rental and pay an additional amount calculated on such increase as prescribed in Clause 9 of this Article and Point d, Clause 2, Article 257 of the Land Law from the date on which the land rental becomes payable in accordance with the law regulations applicable from time to time until the date on which such amount is paid to the State Budget.

8. In cases where the land user is subject to land lease by the State not through auction of land use rights and has advanced the compensation and site clearance expenses under the plan approved by the competent State authority in accordance with the compensation, support and resettlement policy upon land discovery by the State prescribed in the 2003 Land Law and the 2013 Land Law, and the land lease period remains, but such expenses have not been deducted from the land rental payable or remains after conversion to the period of time for which the obligation for land rental is deemed fulfilled (in case of land lease with annual payment) and have not been included in the costs of investment (capital) in the project as prescribed by the law regulations from time to time, the advanced expenses shall continue to be deducted from the land rental payable in accordance with the law regulations on land rental collection prior to the effective date of this Decree, as applicable from time to time.

9. In the cases where decisions have been made on land lease, permission of land use change, permission of change from annual land rental payment to full one-off land rental payment for the entire lease period, extension of the land use term, adjustment of the land use term, and adjustment of detailed master plans of the projects in accordance with law regulations on land and other relevant law regulations prior to the effective date of the 2024 Land Law but land prices used for calculation of full one-off land rental for the entire lease period have not been decided, the land rentals shall be calculated in accordance with Clause 2, Article 257 of the 2024 Land Law.

The amount that the land user must pay additionally for the period of time for which the land rental has not yet been calculated in accordance with Point d, Clause 2, Article 257 of the 2024 Land Law shall be calculated at the rate of 5.4%/year on the amount of land rental payable determined in accordance with Clause 2, Article 257 of the 2024 Land Law.

10. In cases where the land was leased prior to the effective date of this Decree and the period of stabilization of land rental rates as prescribed by the law regulations on land prior to the effective date of the 2024 Land Law still remains, the land rental rates shall continue to be stabilized until the end of the stabilization period. After a land rental rate stabilization cycle, the land rental shall be calculated in accordance with Article 30 of this Decree and applied to the next cycle. This land rental shall be stabilized for 05 years. After the land rental stabilization cycle, the land rental shall be adjusted in accordance with Article 32 of this Decree.

11. In the case of land lease with annual rental payment, if the time for land rental rate adjustment occurred before the effective date of this Decree but the adjustment has not yet been made, the land rental shall be calculated in accordance with Article 30 of this Decree and applied in the next cycle. The land rental shall be stabilized for 05 years. After the stabilization cycle, it shall be adjusted in accordance with Article 32 of this Decree. For the period in which land has been used but land rental rates have not yet been adjusted, such rates shall be adjusted in accordance with the law regulations applicable from time to time for land rental payment and finalization.

12. In cases where the land was leased prior to the effective date of this Decree and the land rental has been prepaid for many years in accordance with the law regulations, during the period for which the land rental has been prepaid, the land rental shall not be re-calculated in accordance with this Decree. After the period for which the land rental was paid, the land rental shall be adjusted in accordance with Article 30 of this Decree and applied to the next cycle. This land rental shall be stabilized for 05 years. After the stabilization cycle, the land rental shall be adjusted in accordance with Article 32 of this Decree.

13. In case competent State authorities have permitted the contribution of the value of leased land use rights (land rental) as capital in cooperative joint-ventures as prescribed by the law regulations prior to the effective date of this Decree, adjustment to land rental rate in accordance with this Decree is not required. In cases where the period, during which the value of land use rights is contributed as capital in cooperative joint-ventures, expires by the time this Decree takes effect and the rights to management and use of the land shall be held by the land lessee in accordance with the law regulations, the land rental rate must be re-determined in accordance with Article 26, Article 27 and Article 28 of this Decree.

14. Dossiers for calculation of land rental for economic zones and hi-tech parks that have been received by competent State authorities in accordance with the law regulations on land rental collection prior to the effective date of this Decree shall be transferred by such authorities to competent authorities as prescribed by the 2024 Land Law for implementation in accordance with competence and responsibilities delegated to them.

15. In case of using land under a land lease contract with a competent State authority as prescribed by the Land Law but the competent State authority has not yet issued a land lease decision; or in case of transformation or equitization as prescribed by the law regulations, the land rental shall be calculated in accordance with Article 30 of this Decree by the time it shall be re-calculated, and the land rental stabilization principle shall be applied for a 5-year cycle. After the land rental stabilization cycle, the land rental shall be adjusted in accordance with Article 32 of this Decree.

Article 52. Settlement of some specific issues

1. Calculation of land rentals for investors leased land by the State with annual rental payment for construction and commercial operation of infrastructure of industrial parks and industrial clusters, who have subleased the land together with infrastructure with full one-off rental payment for the entire lease period prior to July 01, 2014:

a) For those that were leased land by the State prior to January 01, 2006, if any of the following papers: investment certificate (investment license), land lease decision, and land lease contract issued (or signed) by a competent State authority does not State the principle of adjustment of land rental rates or any of such papers States such principle but some adjustment has been made in accordance with Clause 2, Article 9 of Decree No. 142/2005/ND-CP but they have subleased the land with full one-off rental payment for the entire lease period prior to July 01, 2014, the land rentals payable by the enterprises commercially operating infrastructure in accordance with Clause 2, Article 260 of the 2024 Land Law shall be calculated, collected and paid as follows:

a1) Annual land rentals shall be calculated and collected for the lease period from January 01, 2006, to December 31, 2025, at the land rental rate determined in accordance with regulations or temporarily calculated in accordance with the land policy and price applicable by the time of issuance of the notice of temporary land rental payment, and such land rentals that have been calculated or temporarily paid may be finalized. In case of temporary payment of land rental in accordance with the land policy and at the price applicable prior to January 01, 2006, or in cases where the land rental has not yet been re-determined in accordance with the Government’s Decree No. 142/2005/ND-CP, Decree No. 46/2014/ND-CP, and Decree No. 135/2016/ND-CP, the land rental rate shall be adjusted in accordance with the law regulations applicable from time to time to be used for calculation, collection and payment of the land rental for the period from January 01, 2006, to December 31, 2025.

a2) Full one-off land rental shall be calculated and paid for the period from January 01, 2026, to the end of the land sub-lease period. This amount shall be calculated based on the area of land sub-leased, the remaining sub-lease period starting from January 01, 2026, the annual land rental rate determined in accordance with the law regulations applicable as of January 01, 2006, and an additional amount equivalent to the penalty for late payment of this amount, as prescribed by the regulations applicable from time to time, which shall be calculated from January 01, 2006 to the time it is paid into the State Budget in cases where the land was sub-leased before January 01, 2006, or calculated from the time the land was subleased to the time it is paid into the State Budget in cases where the land was subleased after January 01, 2006 and before July 01, 2014.

b) For those that were leased land by the State from January 01, 2006 until prior to July 01, 2014, and have sub-leased the land with full one-off rental payment for the entire lease period prior to July 01, 2014, the land rentals payable by the enterprises commercially operating infrastructure in accordance with Clause 2, Article 260 of the 2024 Land Law shall be calculated, collected and paid as follows:

b1) Annual land rentals shall be calculated, collected and paid from the date the land is leased by the State until December 31, 2025, at the land rental rate determined in accordance with regulations or temporarily calculated in accordance with the land policy and at the price applicable by the time of notification of temporary land rental payment, and such land rentals that have been calculated or temporarily paid may be finalized. In cases where the land rental rate has not been determined yet or the temporary payment of annual land rentals is inconsistent with the land policy and price applicable by the time of notification of temporary payment of land rental, the land rental rate shall be re-determined for collection of land rental for the period from the date of land lease by the State to December 31, 2025.

b2) The full one-off land rental shall be calculated, collected and paid for the period from January 01, 2026, to the end of the sub-lease period for the sub-leased land area as follows:

- In cases where the investors were leased land by the State with annual land rental payment in the period from January 01, 2006 to prior to October 01, 2009 (the effective date of the Government’s Decree No. 69/2009/ND-CP of August 13, 2009), the full one-off land rental shall be calculated by multiplying the annual land rental by the time the land was sub-leased by (x) the number of sub-lease years (from January 01, 2026 to the end of the sub-lease period), plus an amount equal to the late payment penalty as prescribed by the law regulations on tax administration applicable from time to time from the date of sub-lease of the land to the date of payment into the State Budget.

- In cases where the investors were leased land by the State with annual land rental payment during the period from October 01, 2009 to prior to July 01, 2014, the amount of full one-off land rental shall be calculated to be equal the payable land use levy as in the case of land allocation with land use levy for the same land use purpose and land use term (from January 01, 2026 to the end of the sub-lease period) in accordance with the land policy and at the price applicable by the time the land was sub-leased, plus an amount equal to the late payment penalty as prescribed by the law regulations on tax administration applicable from time to time from the date the land was sub-leased to the date this amount is paid into the State Budget.

c) In cases where the investors were leased land by the State with annual rental payment for construction and commercial operation of infrastructure of industrial parks, industrial clusters and export processing zones, if any of the following papers: investment certificate (investment license), land lease decision, and land lease contract issued (signed) by a competent State authority specifies the principle of adjustment of land rental rates and no adjustment thereto has been made in accordance with Clause 2, Article 9 of the Government’s Decree No. 142/2005/ND-CP dated November 14, 2005 on payment of land rents and water surface rents, the Government’s Decree No. 46/2014/ND-CP dated May 15, 2014, and the Government’s Decree No. 135/2016/ND-CP dated September 09, 2016 but they have subleased the land with infrastructure with full one-off land rental payment for the entire lease period from January 01, 2006, to prior to July 01, 2014, such investors in construction and commercial operation of infrastructure shall pay to the State full one-off land rentals for the entire lease period that are calculated on the principle prescribed at Point a or b of this Clause.

d) Enterprises commercially operating infrastructure of industrial parks, industrial clusters and export processing zones shall complete payment of the land rental as calculated in accordance with Point a, b or c of this Clause prior to December 31, 2026. If the enterprises fail to do so within this time limit, they shall face administrative measures and pay amounts equal to the late payment penalties for the unpaid amount in accordance with the law regulations on tax administration.

2. In cases prescribed in the 2024 Land Law where the application of the land use levy or land rental policies and the land prices prior to the effective date of the 2024 Land Law is permitted, the sequence and procedures for calculation of land use levy or land rental must comply with this Decree and other Decrees guiding the Land Law.

3. In cases where the Land Development Fund advances capital to units and organizations performing the tasks of compensation, support, and resettlement to create land funds for land allocation or land lease, or the State Budget has cover such compensation, support, and resettlement prior to the effective date of this Decree, but the State allocates or leases land after the effective date of this Decree, the compensation, support and resettlement expenses shall be settled in accordance with Article 16 and Article 31 of this Decree.

4. In cases where a land user is permitted to change the land use purpose under a decision issued by a competent State authority prior to the effective date of this Decree but, by the effective date of this Decree, such land user has not yet fulfilled the obligations for land use levy and land rental, and the land prior to land use change involves various forms of land use, including residential land (but not separated into separate parts in the project after the land use change) or the project after the land use change involves various forms of land use, the land levy prior to the land use change shall be calculated on the principles prescribed in Article 7 and Article 34 of this Decree. The land price used for calculation of land use levy or land rental shall be determined by the time the competent State authority issues a decision permitting the land use change. The land user must pay an amount equal to the penalty for late payment of land use levy or land rental as prescribed in the law regulations from time to time for the period from the date the competent State authority issues a decision permitting the land use change to the date the land use levy or land rental is paid.

Section 2

IMPLEMENTATION PROVISIONS

Article 53. Effect

1. This Decree takes effect on August 01, 2024.

2. This Decree supersedes Decree No. 45/2014/ND-CP dated May 15, 2014 on collection of land use levy, Decree No. 46/2014/ND-CP dated May 15, 2014 on collection of land rental and water surface rental; the Government’s Decree No. 135/2016/ND-CP dated September 09, 2015 and Decree No. 123/2017/ND-CP dated November 15, 2017 amending and supplementing a number of articles of Decrees on collection of land use levy, land rental and water surface rental; Decree No. 35/2017/ND-CP dated April 3, 2017 prescribing the collection of land use levy, land rental and water surface rental in economic zones and hi-tech parks; Decree No. 79/2019/ND-CP dated October 26, 2019 amending Article 16 of Decree No. 45/2014/ND-CP dated May 15, 2014 on collection of land use levy.

3. The regulations on land rental exemption and reduction incentives for projects in the socialized sectors as prescribed in Article 6 of the Government’s Decree No. 69/2008/ND-CP dated May 30, 2008 and Decree No. 59/2014/ND-CP dated June 16, 2014 are hereby annulled.

Article 54. Responsibilities for implementation

Ministers, heads of ministerial-level authorities, heads of government-attached authorities, chairpersons of People’s Committees of provinces and municipalities, and entities that are allocated or leased land by the State shall implement this Decree.

* All Appendices are not translated herein.