Decree No. 120/2010/ND-CP dated December 30, 2010 of the Government amending and supplementing a number of articles of the Government’s Decree No. 198/2004/ND-CP of December 3, 2004, on the collection of land use levy

ALLOW TO PAY THE INDEBTED LAND USE LEVY AMOUNTS IN 5 YEARS AT MOST

This regulation is mentioned in the Decree No. 120/2010/ND-CP which was issued by the Government on December 12, 2010 amending and supplementing a number of articles of the Government’s Decree No. 198/2004/ND-CP of December 3, 2004, on the collection of land use levy.

Accordingly, in case households and individuals that are permitted to change land use purposes or are granted land use right certificates and must pay land use levy and households and individuals that are allocated resettlement land by the State but cannot afford to pay land use levy may have unpaid levy amounts recorded as “land use levy debts” in their land use right certificates if they so wish and file written applications, enclosed with dossiers of application for grant of land use right certificates, dossiers of application for change of land use purposes or dossiers of application for allocation of resettlement land. Land users shall pay indebted land use levy amounts at the land price at the time of granting their land use right certificates. They may pay these debts within 5 years on an amortization basis. Past this 5-year time limit, if land users still fail to fully pay the indebted land use levy amounts, they shall pay land use levy at the land price at the time of debt payment.

In case an organization was allocated land without collection of land use levy or leased land by the State before October 15, 1993, when it is granted land use rights certificates, the land use levy shall be collected at a level equal to 40% of land prices prescribed by provincial-level People’s Committees as for cases of selling state-owned houses to current tenants, for areas within the residential land allocation limits, or 100% of land prices decided by provincial-level People’s Committees in conformity with actual land use right transfer prices in the market at the time of grant of land use right certificates, for areas in excess of residential land allocation limits.

This Decree also amends and supplements some other important contents relating to collection of land use levy; collection of land use levy upon land allocation by the State; collection of land use levy upon the conversion from land lease to land allocation with the collection of land use levy; collection of land use levy upon the grant of land use right certificates to current land users; land use levy exemption or reduction and so on.