Procedures for payment and debt cancellation of land levy for households and individuals with recorded debt in Vietnam in 2025

Procedures for payment and debt cancellation of land levy for households and individuals with recorded debt in Vietnam in 2025​ (Image from the internet)

1. Procedures for payment and debt cancellation of land levy for households and individuals with recorded debt in Vietnam in 2025

According to Clause 3, Article 22 of Decree 103/2024/ND-CP stipulating the procedures for payment and debt clearance of land levy for households and individuals with recorded debt:

- Based on the debt recording period stipulated in the Decree on compensation, support, and resettlement when the State requisitions land, and the Decree on the issuance of land use right certificates, households and individuals shall settle the land levy debt by paying the outstanding land levy in one lump sum into the state budget in accordance with the law on tax management.

State budget revenue agencies, as stipulated by the law on tax management, are responsible for collecting the outstanding land levy according to the debt recorded on the Certificate or the Notice from the tax authority and providing receipts for households and individuals; at the same time, transferring information about the amount collected from households and individuals to relevant agencies as stipulated.

The tax authority shall issue a Notice on the acknowledgment of the completion of financial obligations regarding land levy payment as per Form No. 03 in Appendix I issued with Decree 103/2024/ND-CP.

- After completing the payment of land levy debt as stipulated above, households and individuals shall submit a dossier consisting of: the Certificate (original), the land levy payment receipt (original), or the Notice on the acknowledgment of the completion of financial obligations regarding land levy payment (original) at the land registration office or land management agency or the interconnected one-stop service department to have the land levy debt recorded on the Certificate cleared.

In case of loss or misplacement of documents, households and individuals must go to the state budget revenue agency as stipulated by the law on tax management to get a confirmation of the land levy already paid.

- The land registration office or land management agency or the interconnected one-stop service department is responsible for reviewing and verifying the dossier submitted by the household or individual to clear the land levy debt recorded on the Certificate and returning the Certificate to the household or individual within one working day from the date the dossier is submitted.

2. Cases exempt from land levy in 2025 vIvn

Based on Article 18 of Decree 103/2024/ND-CP stipulating cases of land levy exemption:

(1) Exemption from land levy when authorized state agencies allocate land, allow for changes in land use purposes, recognize land use rights (issuance of the Certificate) within the homestead land limit for land users in the following cases:

- To implement housing policies, homestead land for war invalids or sick soldiers unable to work, and families of martyrs without the main labor force.

- The poor, households or individuals who are ethnic minorities living in areas with particularly difficult socioeconomic conditions, borders, and islands.

- Residential land for those who need to relocate when the State requisitions land due to threats to human life.

- Allocating homestead land to households and individuals when the State requisitions land linked with housing requiring relocation, without fulfilling conditions for homestead land compensation and having no other accommodation in the administrative unit where land is requisitioned.

- Land area in infrastructure investment projects of cemeteries for transferring land-use rights associated with infrastructure, constructing facilities to store ashes appointed for burying subjects of social policies as per the law on construction, management, use of cemeteries and crematoria.

(2) Exemption from land levy within the allocated homestead land limit when issuing the Certificate for the first time for land converted from non-homestead land to homestead land due to household separation for households who are ethnic minorities or poor in areas with exceptionally difficult socioeconomic conditions, ethnic minority regions, and mountainous areas as listed by the Government of Vietnam and the Prime Minister.

(3) Exemption from land levy for homestead land within the allocated homestead land limit (including land allocation, change of land use purpose, issuance of the Certificate for current land users) for households, persons with meritorious services to the revolution eligible for land levy exemption according to regulations on people with meritorious services.

Exemption from land levy to implement investment projects for social housing, housing for the armed forces, renovation, reconstruction of apartment buildings according to housing law.

(4) Exemption from land levy in other cases stipulated in Clause 2, Article 157 of the Land Law 2024 as proposed by Ministries, industries, or provincial People's Committees for submission to the Ministry of Finance for aggregation and submission to the Government of Vietnam for regulation after receiving consent from the Standing Committee of the National Assembly.

(5) In cases exempt from land levy that do not require procedures for requesting land levy exemption and do not require procedures for determining land prices, exempted land levy is calculated following Clause 3, Article 157 of the Land Law 2024, the procedure for land allocation; land management agencies are responsible for compiling, summarizing cases exempt from land levy.

During execution, if authority discovers that persons exempt from land levy do not meet conditions for exemption (if any), authorities shall cooperate with relevant agencies to verify and ascertain compliance with conditions for exemption.

If persons who have been exempted from land levy do not meet conditions for exemption, land management agencies shall report to the same level People's Committee to decide on revoking the land levy exemption and transfer information to the tax authority to coordinate the calculation, collection, and submission of the payable land levy (without exemption) according to policies and land prices at the time the competent state agency issued the decision to allocate land and an equivalent amount to the late payment of land levy as stipulated by tax management laws.

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