Land use fee is the amount of money that land users must pay to the State when the State allocates land with land use fee collection, allows change of land use purpose, or recognizes land use rights.
However, there are many cases where land use fees are not required; they can be divided into 3 main cases corresponding to 3 forms in which households and individuals establish land use rights, including:
Case 1: No need to pay when issued with Certificate (Red Book, Pink Book).
Case 2: No payment required when changing land use purpose.
Case 3: No payment required when land is allocated by the State.
In particular, the case of the State allocating land without collecting land use fees is stipulated in Article 118 of the 2024 Land Law in the following cases:
- Individuals directly engaged in agricultural production are allocated agricultural land within the limit.
- Land for construction of headquarters of Party agencies, state agencies, Vietnam Fatherland Front, socio-political organizations... established in accordance with the provisions of law and assigned tasks by the State and supported with regular operating expenses.
- National defense and security land; land used for public purposes not for business purposes; land for cemeteries, funeral homes, crematoriums, land for ash storage facilities, religious land for compensation in cases where the State reclaims religious land.
- People using special-use forest land, protective forest land, production forest land.
- Public service units use land to build public service facilities.
- Communities using agricultural land; religious organizations and affiliated religious organizations using land.
- Agencies and organizations using land to implement investment projects to build public housing according to the provisions of the law on housing.
- Ethnic minorities are not individuals directly engaged in agricultural production but are subject to land allocation without land use fees according to the policy prescribed in Article 16 of this Law.
- Organizations use land to build resettlement housing according to State projects.
