New land price list applied to many amounts of money
According to the 2024 Land Law, the land price list is built according to the principle of approaching market prices, replacing the old land price framework mechanism. Therefore, the land price list in 2026 is expected to be significantly higher than the previous period, leading to an increase in a series of financial obligations related to land.
The land price list is the basis for calculating many financial obligations according to Article 159 of the 2024 Land Law:
Land use fees when recognized or when changing land use purposes.
Annual land rent.
Land use fees for recognition or conversion of land use purposes.
Annual land rent.
Land use tax; personal income tax when transferring land use rights.
Types of fees and registration fees related to land.
Law on administrative sanctions for violations in the land sector; compensation for damage.
Land use fees or land rent when the State allocates or leases land.
Starting price for auctioning land with infrastructure.
Land use fees when allocating land without auction or when purchasing state-owned houses.
In short, adjusting the land price list will directly affect most legal procedures and costs related to land.
Impact of applying the new price list
When the land price list increases, land use fees and land use fees will increase accordingly; registration fees and personal income tax when selling land will also increase, leading to an increase in the cost of making red books, dividing plots, applying for land rent... accordingly.
If agricultural land is converted to residential land, people may suffer a large difference due to sharp increases in residential land prices, making it more difficult for low- and middle-income people to buy a house, especially in urban areas.
Many households with small plots of land in the center will have to pay higher taxes and fees if they have procedures, and may delay the issuance of red books or change the purpose when costs increase.
