Vietnam: Guidance on procedures for households and/or individuals' application for permission for deferred repayment of land use fees

According to Vietnam’s regulations, households and individuals (including persons rendering meritorious revolutionary services; poor households; ethnic minority households and individuals; households and individuals obtaining registration for their permanent residence at communes that are recognized as difficult or extremely difficult socio-economic areas) may be granted permission for deferred repayment of land use fees if they are allocated resettlement land after the State’s land expropriation in accordance with law on land.

Documentation requirements and procedures for households and/or individuals' application for permission for deferred repayment of land use fees shall be subject to regulations of Clause 4 Article 1 of Decree No. 79/2019/NĐ-CP amending Article 16 of Decree No. 45/2014/NĐ-CP of Vietnam’s Government, specifically as follows:

Step 1: Households and/or individuals submit their application for permission for deferred repayment of land use fees, other written documents evidencing that they are eligible to obtain permission for deferred repayment of land use fees, and their application for Certificates in accordance with law at Land Registration Divisions or natural resources and environment agencies (hereinafter referred to as Division).

Application includes Decision on allocation of resettlement land and Plan for compensation, support or resettlement approved by a competent regulatory authority.

Step 2: Divisions review and verify submitted documents, complete and send Information Transfer Forms to tax authorities and other related entities in accordance with regulations in force. These Forms must contain information about the amount of compensation or support related to land plots that requesting households and/or individuals are allocated.

Step 3: Based on the Forms sent by Divisions, tax authorities confirm and issue legally prescribed Notices to requesting households and/or individuals, Divisions and other related agencies (where necessary) within the maximum duration of two (02) working days from the date of issuance of such Notices. Notices must include the followings:

- Total amounts of land use fees payable.

- Amounts of land use fees that do not obtain permission for deferred repayment (i.e. amounts of compensation or support related to land plots that households and/or individuals are allocated).

- The deferred amount of land use fee is equal to (=) total amount of land use fee payable minus (-) the amount of land use fee that does not obtain permission for deferred repayment (i.e. the amount of compensation or support related to land plots that a household and/or individual is allocated).

- Maturities of payment of deferred land use fee debts, including:

+ Maturity of payment of land use fee debts that are not deferred (which are the same as those specified in Decree No. 45/2014/NĐ-CP dated May 15, 2014 of Vietnam’s Government).

+ Maturity of payment of land use fee debts that are deferred (within 5 years of receipt of the decision on resettlement land allocation from a competent regulatory authority).

Step 4: Based on Notices of tax authorities, households and/or individuals pay amounts of land use fee debts that are not deferred (i.e. amounts of compensation or support related to land plots that they are allocated) at state treasuries or any other entity authorized by state treasuries (hereinafter referred to as treasury) within prescribed time limits, and then submit payment receipts issued by treasuries to Divisions to receive Certificates.

Step 5: Treasuries have to collect land use fees based on tax authorities’ Notices and provide receipts for households and/or individuals; transfer information about amounts collected from these households and/or individuals to relevant entities in accordance with regulations in force.

Step 6: Based on receipts that households and/or individuals submit, Divisions issue Certificates in accordance with regulations in force. Each Certificate must show information about the deferred amount of land use fee debt and debt payment maturity (within 5 years of receipt of decisions on resettlement land allocation from competent regulatory authorities).

View full text at Decree No. 79/2019/NĐ-CP of Vietnam’s Government, effective from December 10, 2019.

Thu Ba

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