Calculation of the fee for changing land use purposes for households, individuals in Vietnam

Calculation of the fee for changing land use purposes for households, individuals in Vietnam (Illustrative photo)

1. Conversion of land for construction of houses and facilities for livelihood, gardens and ponds within one land parcel to homestead land

In the case of converting from land for construction of houses and facilities for livelihood, gardens and ponds in a residential area that are not recognized as homestead land according to Clause 6, Article 103 of the Land Law to homestead land; converting from land originating from garden, pond land attached to residential houses but the land users have separated to transfer the rights or due to the surveying unit separating individual parcels when mapping cadastral maps before July 1, 2004, has independently measured to separate into individual parcels to homestead land:

The land levy is collected at 50% of the difference between the land levy calculated according to the price of homestead land and the land levy calculated according to the price of agricultural land at the time of the authority's decision on the change of land use purpose.

To be specific, the land levy is calculated according to the formula:

(The land price is determined at the time of the authority's decision on the change of land use purpose)

2. Conversion of agricultural land assigned by the State without land usage fee to homestead land

Households and individuals converting from agricultural land assigned by the State without land levy to homestead land will calculate the land usage fee according to the following formula:

3. Change the land use purpose from non-agricultural land that is not homestead land to homestead land

* Cases that do not require paying land levy

If using non-agricultural land and recognized by the State with stable and long-term land use rights before July 1, 2004, and it is not land assigned or leased by the State, when changing the purpose to homestead land, no land levy is required.

* Cases requiring payment of land levy

+ If using non-agricultural land assigned by the State with a land levy before July 1, 2014, when changing the purpose to homestead land, the land levy is calculated as follows:

+ In the case of the State leasing non-agricultural land that is not homestead land with a one-time land rent payment for the whole lease period, when changing the purpose to homestead land along with changing from leasing land to assigning land, the land levy is calculated as follows:

- If using non-agricultural land that is not homestead land under the form of State leasing with annual land rent payment, the land levy is calculated as follows:

4. Change of land use purpose originating from lawful land transfer

In the case of changing the land use purpose originating from the lawful land use rights transfer according to the land law of the land user to homestead land, the land levy is based on the land transfer origin according to the above cases.

5. Change of use from non-agricultural business production land (not homestead land)

- In the case of changing the use from non-agricultural business production land (not homestead land) originating from the transfer of homestead land from households, individuals to homestead land to implement an investment project from July 1, 2014, onwards, the land levy is calculated as follows:

Land usage fee = Land usage fee calculated according to the detailed construction planning of the project approved by the competent authority minus (-) Land usage fee calculated according to the detailed construction planning for household, individual housing at the time the competent authority allows the change of land use purpose.

- In the case of households and individuals changing the use purpose of land from non-agricultural business production land (not homestead land) originating from homestead land to homestead land, no land levy is required.

Legal basis: Clause 2, Article 5 of Decree 45/2014/ND-CP (amended by Clause 3, Article 2 of Decree 123/2017/ND-CP)

Bao Ngoc

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