The Ministry of Justice has just announced the Appraisal Dossier for the draft policy dossier of the Law on Real Estate Business (amended).
In which, the drafting agency, the Ministry of Construction, has a Report summarizing the implementation of the 2023 Real Estate Business Law.
Notably, the policy of real estate project transfer is pointed out to have many shortcomings and limitations.
The transfer of the entire or part of real estate projects is currently regulated in two legal systems: the law on real estate business and the law on investment; in legal normative documents of these two legal fields, there are different regulations on the order, procedures, and competent authorities for project transfer.
This leads to difficulties, unclearness, and overlap in the implementation process; difficulties in implementation for investors and state law enforcement agencies.
In addition, through reports and reflections from localities, in fact, there is currently a situation where investors are indirectly transferring projects through forms such as transferring capital in enterprises, merging enterprises, splitting enterprises, splitting projects, contributing capital to enterprises with projects, assets formed from projects...
These forms all lead to changes in investors of the project; but there is no process of appraising project transfer conditions, no fulfillment of tax obligations for project transfer activities; the rights and interests of parties involved in the project are difficult to ensure, may encounter risks, and disputes often arise leading to complex consequences.
It is necessary to amend and supplement regulations on real estate project transfer in the Law on Real Estate Business to unify in one regulation, one order, procedures, and competent authorities to implement; simplify administrative procedures; create motivation to unlock resources for the real estate market; remove difficulties and obstacles for backlog projects; overcome wastefulness of resources" - the report of the Ministry of Construction clearly stated.
