Decree No. 44/2014/ND-CP dated May 15, 2014 of the Government on land prices

DECREE

Prescribing land prices[1]

Pursuant to the December 25, 2001 Law on Organization of the Government;

Pursuant to the November 26, 2003 Land Law;

At the proposal of the Minister of Natural Resources and Environment;

The Government promulgates the Decree prescribing land prices.

Chapter I

GENERAL PROVISIONS

Article 1. Scope of regulation

This Decree prescribes methods of determining land prices; development and adjustment of land price frames and tables; determination of specific land prices and consultancy on land price determination.

Article 2. Subjects of application

1. Agencies performing the state management of land; agencies in charge of developing, adjusting and appraising land price frames and tables, and determining specific land prices.

2. Organizations with the function of consultancy on land price determination; individuals practicing consultancy on land price determination.

3. Other related organizations and individuals.

Article 3. Interpretation of terms and phrases

In this Decree, the following terms and phrases shall be construed as follows:

1. Vacant land parcel means a land parcel that has no houses and land-attached assets at the moment of price determination.

2. Net income means income determined by subtracting total cost from total income.

3. Popular market price means the price with the highest frequency of appearance in successful transactions on the market, winning price in auctions of land use rights, or land price determined from costs and incomes of various land parcels with the same land use purpose in a certain area and in a certain period of time.

Article 4. Land pricing methods

1. Method of direct comparison means a method of land pricing through analysis of price levels of vacant land parcels that are similar in terms of land use purpose, location, profitability, infrastructure conditions, size, shape and legality of land use rights already transferred in the market (below referred to as comparable parcel) or at the auctions of land use rights, for comparing and determining prices of land parcels that need to be priced.

2. Subtraction method means a method of pricing a land parcel with attached assets by subtracting the value of land-attached assets from the total value of the real estate (including the value of land and the value of attached assets).

3. Income-based method means a method of determining the land price being the quotient between the average annual net income earned on a land acreage unit and the average annual savings interest rate by the time of land pricing of VND deposits with a 12-month term at a state-owned commercial bank having the highest savings interest rate in the provincial-level locality.

4. Surplus-based method means a method of determining the price of a land parcel with development potential according to the land use master plan, the construction master plan or permitted for change of the land use purpose for the fullest and optimal use by subtracting total estimated cost from the total assumed development revenue of the real estate.

5. Land price adjustment coefficient method means a method of determining the land price by multiplying the land price adjustment coefficient by the land price in the land price table promulgated by the People’s Committee of a province or centrally run city (below referred to as provincial People’s Committee).

Article 5. Application of land pricing methods

1. Requirements on information used for land pricing methods:

a/ Information on land prices in successful transactions in the market, winning prices in auctions of land use rights, land prices in the land database, land prices on real estate transaction floors, land prices determined by cost and income of land parcels (below referred to as market land prices) must be impartial and truthful.

If information on the area subject to land pricing is insufficient, information may be collected in areas adjacent to the area with the to-be-priced land parcel;

b/ Upon the application of land pricing methods, priority must be given to the selection of information prescribed at Point a of this Clause in the areas subject to land pricing and at the time nearest to the time of land pricing.

2. Conditions on application of land pricing methods

a/ The method of direct comparison may be applied when there are comparable land parcels already transferred in the market or at the auctions of land use rights;

b/ The subtraction method may be applied to land parcels with attached assets in case there are sufficient data on prices of real estates (including land and land-attached assets), which are similar to the to-be-priced land parcels, already transferred in the market or at the auctions of land use rights;.

c/ The income-based method may be applied to land parcels with determined incomes and costs;

d/ The surplus-based method may be applied to land parcels with development potential due to change of planning or use purpose when their total assumed development revenue and total estimated cost can be determined;

e/ The land price adjustment coefficient method may be applied in the cases prescribed in Clause 2, Article 18 of this Decree.

Chapter II

DEVELOPMENT AND ADJUSTMENT OF LAND PRICE FRAMES AND TABLES, DETERMINATION OF SPECIFIC LAND PRICES AND CONSULTANCY ON LAND PRICE DETERMINATION

Section 1

DEVELOPMENT AND ADJUSTMENT OF LAND PRICE FRAMES

Article 6. Bases for development of land price frames

The development of land price frames shall be based on the principles of land pricing prescribed in Article 112 of the Land Law, land pricing methods prescribed in Clauses 1, 2, 3, and 4 of Article 4 of this Article; results of summarization and analysis of information on market land prices; natural and socio-economic factors and land management and use affecting land prices.

Article 7. Contents of land price frames

1. The minimum and maximum price levels shall be prescribed for the following land types:

a/ Agricultural land:

- The price frame of land for cultivation of annual crops including paddy land and land for cultivation of other annual crops;

- The price frame of land for cultivation of perennial trees;

- The price frame of land for production forests;

- The price frame of land for aquaculture;

- The price frame of land for salt production.

b/ Non-agricultural land

- The price frame of rural residential land;

- The price frame of rural trading and service land;

- The price frame of non-agricultural production and business land that is not rural trading and service land;

- The price frame of urban residential land;

- The price frame of urban trading and service land;

-  The price frame of non-agricultural production and business land that is not urban trading and service land.

2. Land price frames shall be prescribed for the following economic regions and urban center grades:

a/ Economic regions include the northern midland and mountainous region, the Red river delta region, the northern central region, the southern central coastal region, the Central Highlands region, the southeastern region and the Mekong river delta region.

The price frames of agricultural land and rural non-agricultural land of each economic region shall be determined according to three types of delta, midland and mountain communes.

b/ Urban center grades include special grade, grade I , grade II, grade III, grade IV and grade V.

The price frames of urban non-agricultural land shall be determined according to economic regions and urban center grades.

3. Land price frames shall be used as the basis for provincial-level People’s Committees to prescribe local land price tables.

Article 8. Order of and procedures for development of land price frames

1. The order of development of land price frames must comply with the following provisions:

a/ Determining land types, economic regions, urban center grades in developing land price frames;

b/ Investigating, summarizing and analyzing information on market land prices; natural and socio-economic factors and land management and use affecting land prices;

c/ Analyzing and assessing the results of implementation of the existing land price frames;

d/ Developing land price frames and making reports on the promulgation of land price frames;

dd/ Organizing consultations on the draft land price frames;

e/ Appraising the draft land price frames;

g/ Completing the land price frames for submission to the Government for promulgation.

2. A dossier on development of a land price frame for submission to the Government for promulgation must comprise:

a/ A report on the promulgation of the land price frame;

b/ A draft land price frame;

c/ An explanatory report on development of the land price frame;

d/ The appraisal document on the land price frame.

3. The Ministry of Natural Resources and Environment shall develop and submit to the Government for promulgation the land price frames once every five years. The Ministry of Finance shall organize the appraisal of the land price frames.

Article 9. Adjustment of land price frames

1. If the popular market price increases 20% or more over the maximum price or reduces 20% or more below the minimum price prescribed in the land price frame during a period of 180 days or more, the Government shall adjust the land price frame.

2. Contents of adjustment of a land price frame:

a/ Adjusting the maximum and minimum price levels of a single type or  some or all types of land in the land price frame;

b/ Adjusting the land price frame(s) in a single economic region or some or all economic regions; in a single urban center grade or some or all urban center grades.

3. The order of adjustment of a land price frame must comply with the following provisions:

a/ Determining land type, economic region and urban center grade of which the land price frame needs to be adjusted;

b/ Investigating, summarizing and analyzing information on market land prices; natural and socio-economic factors and land management and use affecting land prices;

c/ Analyzing and assessing the results of implementation of the existing land price frame;

d/ Developing the adjusted land price frame and making a report on the adjustment of the land price frame;

dd/ Organizing consultation on the draft adjusted land price frame;

e/ Appraising the draft adjusted land price frame;

g/ Completing the adjusted land price frames for submission to the Government for promulgation.

4. A dossier of the adjusted land price frame for submission to the Government for promulgation must comprise:

a/ A report on the promulgation of the adjusted land price frame;

b/ The draft adjusted land price frame;

c/ An explanatory report on development of the adjusted land price frame;

d/ The appraisal document on the adjusted land price frame.

5. The Ministry of Natural Resources and Environment shall develop and submit adjusted land price frames to the Government for promulgation. The Ministry of Finance shall organize the appraisal of adjusted land price frames.

Section 2

DEVELOPMENT AND ADJUSTMENT OF LAND PRICE TABLES

Article 10. Bases for development of land price tables

The development of land price tables shall be based on the principles of land pricing prescribed in Article 112 of the Land Law, land pricing methods prescribed in Clauses 1, 2, 3, and 4 of Article 4 of this Decree and the land price frames prescribed by the Government; results of summarization and analysis of information on market land prices; natural and socio-economic factors and land management and use affecting land prices.

Article 11. Contents of land price tables

1. Land price tables shall be prescribed for the following land types:

a/ The price table of land for cultivation of annual crops including land for paddy and land for cultivation of other annual crops;

b/ The price table of land for perennial trees;

c/ The price table of land for production forests;

d/ The price table of land for aquaculture;

dd/ The price table of land for salt production;

e/ The price table of rural residential land;

g/ The price table of rural trading and service land;

h/ The price table of non-agricultural production and business land that is not rural trading and service land;

i/ The price table of urban residential land;

k/ The price table of urban trading and service land;

l/ The price table of non-agricultural production and business land that is not urban trading and service land;

In addition to the land price tables prescribed in this Clause, provincial-level People’s Committees may promulgate detailed price tables of land types according to the land classification prescribed in Article 10 of the Land Law suitable to local practical conditions.

2. Land price tables shall be developed according to land locations. For localities with cadastral maps and manpower and financial conditions, land price tables shall be developed for each land parcel.

3. Land prices in land price tables:

a/ Land prices in land price tables shall be prescribed on the principle that the price of land of a certain type must comply with the price frame prescribed in Article 7 of this Decree for such type of land.

For urban residential land; urban trading and service land; or non-agricultural production and business land that is not urban trading and service land having high profitability and advantages in being used as ground for production, business, trading and services, provincial-level People’s Committees may, base on local practical conditions, prescribe higher price levels which must not exceed 30% of the maximum price level of the same land type in the land price frame. If wishing to prescribe price levels higher than 30%, provincial-level People’s Committees shall report such to the Ministry of Natural Resources and Environment for consideration and decision.

For agricultural land in residential areas or within the administrative boundaries of wards, provincial-level People’s Committees may, based on local practical conditions, determine higher land price levels which must not exceed 50% of the maximum price of the same land type in the land price frame;

b/ For protection forest land and special-use forest land, provincial-level People’s Committees shall prescribe their price levels based on the production-forest land prices in adjacent areas prescribed in the land price table and on the land pricing methods;

c/ For other agricultural land types, provincial-level People’s Committees shall prescribed their price levels based on prices of agricultural land types in adjacent areas prescribed in the land price tables;

d/ For land for public purposes involving commercial purpose, land for construction of offices of state agencies, and land for construction of non-business facilities, provincial-level People’s Committees shall prescribe their price levels based on production and business land prices for land for public purposes involving commercial purpose or on residential land prices for land for offices and non-business facilities in adjacent areas prescribed in the land price table;

dd/ For land with rivers, streams, canals, springs and special-use water surface for aquaculture purposes, the aquaculture land price frame shall be applied; if they are used for non-agricultural purposes or for non-agricultural purposes in association with aquaculture, provincial-level People’s Committees shall determine their price levels based on non-agricultural land prices prescribed and decided by adjacent areas.

4. For unused land, when competent state agencies allocate or lease such land to be put to use, provincial-level People’s Committees shall determine its price levels using the land pricing methods and based on the price of the type of allocated or leased land with the same land use purpose in adjacent areas.

5. Land price tables shall be used as the basis in the cases prescribed in Clause 2, Article 114 of the Land Law.

Article 12. Order of and procedures for development of land price tables

1. The order of development of a land price table must comply with the following provisions:

a/ Determining land type and land location according to delta, midland or mountainous commune and urban center grade in the provincial-level administrative unit;

b/ Investigating, summarizing and analyzing information on market land prices; natural and socio-economic factors and land management and use affecting land prices;

c/ Analyzing and assessing the results of implementation of the existing land price table;

d/ Developing the land price table and making a report on the promulgation of the land price table; handling land prices in the land price table of adjacent areas under Article 13 of this Decree;

dd/ Organizing consultations on the draft land price table;

e/ Completing the draft land price table for submission to the provincial-level People’s Committee;

g/ Appraising the draft land price table;

h/ Submitting the land price table to the People’s Council of the same level for approval;

i/ The provincial-level People’s Committee decides on the promulgation of the land price table.

2. A dossier of development of a land price table for submission to the provincial-level People’s Committee must comprise:

a/ A report on the promulgation of the land price table;

b/ The draft land price table;

c/ An explanatory report on the development of the land price table;

d/ The appraisal document on the land price table.

3. A land price table development dossier for submission to the provincial-level People’s Council for approval must contain a report of the provincial-level People’s Committee; the draft land price table and the explanatory report on development of the land price table.

4. Land price tables shall be appraised by the Appraisal Boards for Land Price Tables. Provincial-level People’s Committees shall decide on the establishment of the Appraisal Board for Land Price Tables that must comprise:

a/ A representative of the provincial-level People’s Committee as head of the Board;

b/ A representative of the provincial-level Finance Department as a permanent member of the Board; representatives of the provincial-level Department of Natural Resources and Environment and Department of Justice and the People’s Committees of districts, towns and provincial cities (below referred to as district-level People’s Committees); the organization with the function of consultancy on land pricing or land pricing expert, and other members decided by the provincial-level People’s Committee.

5. Provincial-level Departments of Natural Resources and Environment shall develop and submit local land price tables once every five years to provincial-level People’s Committees for promulgation and publication on the first day of January of the first year of the period.

Article 13. Handling of prices of land in bordering areas between provinces and centrally run cities in the development of land price tables

1. The bordering area between provinces and centrally run cities (below referred to as bordering areas) shall be determined according to land type as follows:

a/ For agricultural land, the bordering area shall be determined to extend from the administrative boundary between provinces and centrally run cities inward each province or centrally run city, with the maximum width of 1,000 meters;

b/ For non-agricultural land, the bordering area shall be determined to extend from the administrative boundary between provinces and centrally run cities inward each province or centrally run city, with the maximum width of 500 meters;

c/ For bordering areas separated by rivers, lakes or canals of the main width of 100 meters or less, the bordering area shall be determined to extend from each bank of the river, lake or canal inward each province or centrally run city as prescribed at Point or b of this Clause. If the river, lake or canal is over 100 meters wide, no bordering land shall be determined.

2. Land in bordering areas with the same use purpose and similar profitability and income earned from the land use must have the same price. In case there are differences in the above factors, the land prices in bordering areas may differ by 30% at most.

3. Provincial-level People’s Committees shall send the local draft land price tables to the People’s Committees of the provinces having the bordering land; and post the draft land price tables on the websites of the provincial-level People’s Committees and Departments of Natural Resources and Environment.

In case the land price difference in bordering areas in the draft land price table exceeds the level prescribed in Clause 2 of this Article, the People’s Committees of the provinces having the bordering land shall take the initiative in reaching agreement on the land prices in bordering areas.

If they cannot reach agreement, the People’s Committees of the provinces having the bordering land shall report it to the Ministry of Natural Resources and Environment before September 15 of the year of developing the land price tables for settlement. If the provincial-level People’s Committees and the Ministry of Natural Resources and Environment fail to reach agreement on the land prices in bordering areas, the Ministry of Natural Resources and Environment shall report it to the Prime Minister for consideration and decision.

4. Provincial-level People’s Committees shall coordinate in settling land price differences in bordering areas in the course of development of land price tables.

Article 14. Adjustment of land price tables

1. Land price tables shall be adjusted in the following cases:

a/ When the Government adjusts the land price frame with the adjusted land price increasing by 20% or more as compared with the maximum land price or decreasing by 20% or more as compared with the minimum land price in the price table of the similar land type;

b/ When the popular market land price increases by 20% or more as compared with the maximum land price or decreases by 20% or more as compared with the minimum land price in the price table during  a period of 180 days or more.

2. Contents of adjustment of land price tables:

a/ Adjusting the price(s) of one type of land or of several or all types of land in the land price table;

b/ Adjusting the land price table(s) in one land location or several or all land locations.

3. Land prices in the adjusted price table must conform to the land price frame and the provisions on land price differences in bordering areas in Clause 2, Article 13 of this Decree.

4. The order of adjustment of a land price table must comply with the following provisions:

a/ Determining land types and locations that need to be adjusted in the price table;

b/ Investigating, summarizing and analyzing information on market land prices; natural and socio-economic factors and land management and use affecting land prices;

c/ Analyzing and assessing the results of implementation of the existing land price table;

d/ Developing the adjusted land price table and making a report on the promulgation of the adjusted land price table;

dd/ Organizing consultation on the draft adjusted land price table;

e/ Completing the draft adjusted land price table for submission to the provincial-level People’s Committee;

g/ Appraising the draft adjusted land price table;

h/ Submitting the draft table to the Standing Board of the People’s Council of the same level and reporting to the People’s Council at the nearest session;

i/ The provincial-level People’s Committee decides on the promulgation of the adjusted land price table.

5. A dossier of adjustment of a land price table for submission to the provincial-level People’s Committee must comprise:

a/ A report on the promulgation of the adjusted land price table;

b/ The draft adjusted land price table;

c/ An explanatory report on development of the adjusted land price table;

d/ The appraisal document on the adjusted land price table.

6. A dossier of land price table adjustment for submission to the Standing Board of the provincial-level People’s Council for approval must comprise a report of the provincial-level People’s Committee; the draft adjusted land price table and the explanatory report on the development of the adjusted land price table.

7. Provincial-level Departments of Natural Resources and Environment shall develop and submit to provincial-level People’s Committees for promulgation adjusted local land price tables.

Section 3

DETERMINATION OF SPECIFIC LAND PRICES

Article 15. Determination of specific land prices

1. Based on the principles of land pricing prescribed in Article 112 of the Land Law, the land pricing methods prescribed in Clauses 1, 2, 3, and 4 of Article 4 of this Decree and results of summarization and analysis of information on land parcels and market land prices, provincial-level People’s Committees shall determine specific land prices.

2. Specific land prices may be used as the basis for the cases prescribed in Clause 4, Article 114; Clause 2, Article 172; and Clause 3, Article 189 of the Land Law; the reserve price for auctions of land use rights when the State allocates land with land use levy or leases land with full one-off rental payment for the entire lease term.

Article 16. Order of and procedures for determination of specific land prices

1. The order of determination of specific land prices prescribed in Article 15 of this Decree must comply with the following provisions:

a/ Determining the purpose of determining specific land prices;

b/ Investigating, summarizing and analyzing information on land parcels, market land prices; determining the land pricing method;

c/ Formulating a land price plan for submission to the provincial-level People’s Committee;

d/ Appraising the land price plan;

dd/ Finalizing the draft land price plan for submission to the provincial-level People’s Committee for decision;

e/ The provincial-level People’s Committee decides on land prices.

2. A dossier of specific land price determination for submission  to the provincial-level People’s Committee for decision must comprise:

a/ A report on the land price plan;

b/ The draft land price plan;

c/ An explanatory report on the development of the land price plan;

d/ The appraisal document on the land price plan.

3. The land price plan shall be appraised by the Appraisal Board for Land Prices. The provincial-level People’s Committee shall decide on the establishment of the Appraisal Board for Land Prices that must comprise:

a/  The chairperson of the provincial-level People’s Committee as head of the Board;

b/ A representative of the provincial-level Finance Department as a permanent member of the Board; and representatives of the provincial-level Department of Natural Resources and Environment and the People’s Committee of the district where exists the land; the organization with the function of consultancy on land price determination or land expert, and other members as decided by the provincial-level People’s Committee.

Article 17. Organizations with the function of consultancy on determination of specific land prices

1. Based on the local demand for determination of specific land prices, provincial-level Departments of Natural Resources and Environment shall devise specific land price determination plans for submission to provincial-level People’s Committees for approval, and organize the implementation of the approved plans.

2. Organizations with the function of consultancy on determination of specific land prices shall be selected in accordance with the bidding law.

Article 18. Determination of specific land prices by the land price adjustment coefficient method

1. Based on the popular market price, local socio-economic conditions and the land price table, provincial-level People’s Committees shall prescribe and decide on the land price adjustment coefficient for determining specific land prices.

2. Specific land prices determined by the land price adjustment coefficient method prescribed in Clause 5, Article 4 of this Decree are applicable to the following cases:

a/ Cases specified at Points a, b, c and d, Clause 4, Article 114; in Clause 2, Article 172 and in Clause 3, Article 189 of the Land Law in which the land parcel or the area of a project valued at less than VND 30 billion (according to land prices in price tables), for centrally run cities; at less than VND 10 billion, for mountainous provinces and regions; at less than VND 20 billion, for remaining provinces; cases of land lease with annual rental payment in which the unit price for land lease shall be re-determined for adjustment in the subsequent period; reserve prices for auctions of land use rights when the State leases land with annual rental payment;

  b/ Cases specified at Point dd, Clause 4, Article 114 of the Land Law for projects with adjacent land parcels with the same land use purpose and similar profitability and income earned from the land use.

3. Annually, provincial-level People’s Committees shall prescribe the land price adjustment coefficient applicable to the cases prescribed at Point a, Clause 2 of this Article.

For cases prescribed at Point b, Clause 2 of this Article, provincial-level People’s Committees shall decide on the land price adjustment coefficient applicable to each project at the time the State decides on land recovery.

4. Responsibilities for establishing the land price adjustment coefficient:

a/ Provincial-level Finance Departments shall assume the prime responsibility for, and coordinate with provincial-level Departments of Natural Resources and Environment and related departments and branches in, establishing and submitting to provincial-level People’s Committees for promulgation the land price adjustment coefficient prescribed at Point a, Clause 2 of this Article;

b/ Provincial-level Departments of Natural Resources and Environment shall assume the prime responsibility for, and coordinate with provincial-level Finance Departments and related departments and branches in, establishing and submitting to provincial-level People’s Committees for decision the land price adjustment coefficient prescribed at Point b, Clause 2 of this Article.

5. The Ministry of Natural Resources and Environment shall assume the prime responsibility for, and coordinate with the Ministry of Finance in, guiding the establishment of the land price adjustment coefficient prescribed in this Article.

Section 4

CONSULTANCY ON LAND PRICE DETERMINATION

Article 19. Principles of consultancy on land price determination

When providing consultancy on land price determination, organizations having the function of consultancy on land price determination shall comply with the following principles:

1. Complying with the land pricing principles and methods, order and contents for the development of land price frames and tables and determination of specific land prices;

2. Being independent, honest and impartial;

3. Performing the obligations specified in Clause 2, Article 116 of the Land Law.

Article 20. Conditions on consultancy on land price determination and individuals practicing consultancy on land price determination

1. Organizations may provide consultancy on land price determination if satisfying the following conditions:

a/ Having the function of consultancy on land price determination or price appraisal or consultancy on real estate price determination;

b/ Having at least three valuators eligible for practicing consultancy on land price determination specified in Clause 2 of this Article.

2. Individuals may practice consultancy on land price determination in organizations with the function of consultancy on land price determination if satisfying the following conditions:

a/ Having the civil legal capacity;

b/ Being ethical, upright, honest and impartial;

c/ Having a university or higher degree in land management, prices, price appraisal, cadastral work, real estate business, real estate business or other disciplines related to land price determination;

d/ Having a practical working duration in the trained discipline of 36 months or more after obtaining the diploma in the discipline specified at Point c of this Article;

dd/ Possessing a price appraiser card granted under the price law or a certificate of real estate valuation granted under the law on real estate business, or a land pricing certificate.

Chapter III

ORGANIZATION OF IMPLEMENTATION

Article 21. Responsibilities of ministries, sectors and provincial-level People’s Committees

1. The Ministry of Natural Resources and Environment shall:

a/ Develop and adjust land price frames for submission to the Government for promulgation;

b/ Guide land pricing methods; development and adjustment of land price tables; determination of specific land prices as prescribed; consultancy on land price determination; development, update, management and exploitation of the land price database in the land information system; making of land price maps;

c/ Inspect, examine and handle violations in the application of land pricing methods; application of land price tables and specific land prices, auctions of land use rights and consultancy on land price determination in accordance with law;

d/ Promulgate a retraining program on land law and land pricing;

dd/ Develop, update, manage and use the national database of land prices in the land information system.

2. The Ministry of Finance shall:

a/ Appraise land price frames and adjusted land price frames;

b/ Assume the prime responsibility for, and coordinate with the Ministry of Natural Resources and Environment in, guiding the contents of appraisal of land price frames and determination of specific land prices of the Appraisal Boards for Land Price Tables and Appraisal Boards for Land Prices.

3. Provincial-level People’s Committees shall:

a/ Develop, adjust and promulgate land price tables; decide on specific land prices and propose adjustments to land price tables; prescribe and decide on the land price adjustment coefficient;

b/ Guide and examine the implementation of legal provisions on land prices in the localities; settle arising difficulties related to land prices according to their  competence;

c/ Inspect, examine and handle violations in land prices and in the provision of consultancy on determination of land prices in the localities;

d/ Develop, update, manage and exploit the database on local land prices, develop land price maps under regulations of the Ministry of Natural Resources and Environment; publicize market land price fluctuation indices;

dd/ Annually report to the Ministry of Natural Resources and Environment on the implementation of the law on land prices in the localities.

4. Funds for developing, adjusting and appraising land price frames and tables; monitoring and updating local land prices; publicizing market land price fluctuation indices; and developing the database of land prices and land price maps shall be allocated from the state budget.

Article 22. Handling of a number of issues arising after this Decree takes effect

1. Specific land prices put forth by relevant agencies before July 1, 2014, but not yet decided by provincial-level People’s Committees shall be further submitted to the Appraisal Boards for Land Prices for consideration before the provincial-level People’s Committees make decision.

2. Localities that already sign a contract to hire organizations providing consultancy on land price determination before July 1, 2014, may continue to implement the signed contract; the land price consultancy results shall be submitted to the Appraisal Boards for Land Prices for consideration before the provincial-level People’s Committees make decision.

3. The 2014 land price tables promulgated by provincial-level People’s Committees shall be applied through December 31, 2014.

Chapter IV

IMPLEMENTATION PROVISIONS

Article 23. Effect

1. This Decree takes effect on July 1, 2014.

2. This Decree replaces the Government’s Decrees No. 188/2004/ND-CP of November 16, 2004, on methods of determining land prices and land price frames and No. 123/ 2007/ND-CP of July 27, 2007, amending and supplementing a number of articles of Decree No. 188/2004/ND-CP; annuls the provisions on land prices in Clause 6, Article 1 of the Government’s Decree No. 189/2013/ND-CP of November 20, 2013, amending and supplementing a number of articles of the Government’s Decree No. 59/2011/ND-CP of July 18, 2011, on transformation of enterprises with 100% state capital into joint-stock companies.

Article 24. Implementation responsibility

Ministers, head of ministerial-level agencies, heads of government-attached agencies, chairpersons of provincial-level People’s Committees and related agencies and organizations shall implement this Decree.-

On behalf of the Government
Prime Minister
NGUYEN TAN DUNG