Conditions for compensation
To be compensated in case of no red book, land users must simultaneously meet two conditions.
First, the land plot must be agricultural land that has been used stably before July 1, 2004.
Second, land users are households or individuals directly engaged in agricultural production on that land plot.
If one of the two conditions mentioned above is missing, land without a red book will not be compensated for land when the State recovers it.
Cases that are not compensated
According to the 2024 Land Law, cases that are not compensated for land without a red book include: agricultural land used after July 1, 2004; land that is not agricultural land; land users who do not directly engage in agricultural production; land abandoned or used for improper purposes.
In these cases, people can only be considered for support, not compensation.
How to calculate compensation when land is recovered
When the State recovers land, the specific land price is determined at the time of recovery. One of the methods applied is the method of land price adjustment coefficient.
Accordingly, the value of 1m2 of land is determined by the land price in the land price list issued by the Provincial People's Committee. The land price list is applied from January 1, 2026 and is adjusted once a year to be consistent with the market land price.
The formula for determining specific land prices is as follows:
Value of 1m2 of land = Land price in the land price list × Land price adjustment coefficient (coefficient K)
Thus, agricultural land used before July 1, 2004, even without a red book, is still compensated when the State recovers it, if the land user is a household or individual directly engaged in agricultural production in accordance with the 2024 Land Law.
