Latest procedures on adjustment to the land price bracket in Vietnam

Latest procedures on adjustment to the land price bracket in Vietnam (Internet image)

1. When to make adjustment to the land price bracket?

According to Clause 1, Article 9 of Decree 44/2014/ND-CP, if the common market price of land increases by 20% or more in comparison with the maximum land price in the bracket or decreases by 20% or more in comparison with the minimum land price in the bracket, the Government shall adjust the land price bracket.

2. Contents of land price bracket adjustment

Contents of land price bracket adjustment according to Clause 2, Article 9 of Decree 44/2014/ND-CP include:

- Adjustment to the maximum, minimum prices of one, some or all of the types of land prescribed in the land price bracket.

- Adjustment to the land price bracket(s) of one, some or all of the economic regions or classes of urban areas.

3. Application for promulgation of the adjusted land price bracket in Vietnam

According to Clause 4, Article 9 of Decree 44/2014/ND-CP, the application for promulgation of the adjusted land price bracket includes:

- A written request for the promulgation of the adjusted land price bracket

- The draft of the adjusted land price bracket

- A description of formulation of the adjusted land price bracket

- A record on verification of the adjusted land price bracket

4. Latest procedures on adjustment to the land price bracket in Vietnam

According to Clause 3, Article 9 of Decree 44/2014/ND-CP, the procedure for adjusting the land price bracket includes:

- Defining the types of land, economic regions and class urban areas of which the price brackets need adjusting.

- Investigating, synthesizing, analyzing the information about the market price of land, the natural, economic, and social factors, management and use of land that affect the land price.

- Analyzing, evaluating the result of the current land price bracket

- Formulating the adjusted land price bracket and sending a written request for the land price bracket adjustment.

- Conducting a survey into the draft land price bracket;

- Verifying the draft land price bracket;

- Completing the adjusted land price bracket and requesting the Government to promulgate it.

5. Regulations on land price bracket in Vietnam

Regulations on land price bracket according to Article 7 of Decree 44/2014/ND-CP (amended in Decree 01/2017/ND-CP) are as follows:

-  Regulations on the maximum, minimum prices shall be applied to these following types of land

+ Agricultural land:

++ Price bracket for land on which annual plants are planted including paddy fields and land for other annual crops

++ Price bracket for land on which perennials are planted.

++ Price bracket for production forest land.

++ Price bracket for aquaculture land

++ Price bracket for salt production land

+ Non-agricultural land

++ Residential land price bracket in rural areas;

++ Commercial land price bracket in rural areas;

++ Price bracket for non-agriculture land used for production/business other than commercial land in rural areas

++ Residential land price bracket in urban areas;

++ Commercial land price bracket in urban areas;

++ Price bracket for non-agriculture land used for production or business other than commercial land in urban area

- Land price brackets vary according to these economic regions and class urban areas including:

+ The economic regions include: Southeast, Red River Delta, Mekong Delta, Northeast and Northwest, North Central Coast, South Central Coast, Central Highlands

The land price bracket for rural agricultural and non-agricultural land in each economic regions is classified according to 3 types of communes in the plain, midland or highland.

+ Class urban areas include: Special class, class I, class II, class III, class IV and class V.

The land price bracket for non-agricultural land in urban areas depends on the economic regions and class of urban areas.

- Price brackets shall be used by the People’s Committee of the province to compile local land price lists.

- Land prices in the price list for lands used for definite duration pertain to a duration of land use of 70 years.

Land price lists for which the provincial People’s Committees stipulate a land use duration different from that defined in this Section shall be subject to revision accordingly

Quoc Dat

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