Vietnam: Guidelines for determining the base price of land for calculation of the registration charge

According to Circular No. 301/2016/TT-BTC of the Ministry of Finance of Vietnam, the base price from which the registration charged is computed (hereinafter referred to as the base price) of land shall be specified in the Land price list promulgated by the provincial People’s Committees in effect upon the declaration of the registration charge and be determined according to the following formula:

In which, the land area on which the registration charge is levied shall be the entire area of the land plot within the right of use of the relevant organization(s) or individual(s). Such land area is determined by the relevant land use right registration office, which provides such information to the relevant tax authority via the “Form of land information for determination of relevant financial obligations”.

Moreover, Circular No. 301/2016/TT-BTC also specifies the base price of land in certain circumstances, specifically as follows:

- The base price of a land plot on which a state-owned house exists and is sold to its current lessee as per the legislation on the sale of state-owned premises to renters shall be the actual selling price defined by the relevant provincial People’s Committee;

- The base price of a land plot that the government allocates by tender or auction shall be the actual winning price invoiced or indicated in the written record of winning bid or defined in the competent government authority’s written approval of the winning bid;

- etc.

View full text at Circular No. 301/2016/TT-BTC of the Ministry of Finance of Vietnam, effective from January 01, 2017.

- Thanh Lam -

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