Article 5 of the 2024 Land Law stipulates the principle of land use must be for the right purpose, in accordance with land use planning and planning. At the same time, Article 31 of the 2024 Land Law clearly states that land users are obliged to use land for the right purpose, within the correct boundaries of the land plot, comply with regulations on space above and below the ground, as well as related legal regulations.
Regarding agricultural land, Clause 3, Article 178 of the 2024 Land Law stipulates that agricultural land users are allowed to convert crop and livestock structure; are allowed to use a certain area of land according to the regulations of the provincial People's Committee to build works directly serving agricultural production. In case of rice land, it must also comply with separate regulations.
According to Clause 6, Article 3 of Decree 112/2024/ND-CP, works directly serving agricultural production include works such as: Primary processing and storage facilities for agricultural products; warehouses for agricultural supplies, machinery, labor tools; works for displaying and introducing agricultural products.
Thus, housing is not considered a project directly serving agricultural production. Therefore, people are not allowed to build houses to live on agricultural land if they have not completed the procedures to change the land use purpose to residential land according to regulations.
According to Clause 2, Article 10 of Decree 123/2024/ND-CP, the act of converting the purpose of using agricultural land (not rice-growing land, not forestry land) to non-agricultural land, including building a house on agricultural land, within the administrative boundaries of the commune level, will be punished as follows:
Fine from 10 - 20 million VND for area under 0.01 ha;
Fine from 20 - 30 million VND for area from 0.01 ha to less than 0.03 ha;
Fine from 30 - 50 million VND for area from 0.03 ha to less than 0.05 ha;
Fine from 50 - 100 million VND for areas from 0.05 ha to less than 0.1 ha;
Fine from 100 - 150 million VND for an area of 0.1 ha or more.
In case of violations occurring at the administrative boundaries of wards and towns, the fine will be double the above level.
In addition to the fine, violators may also be forced to restore the land to its original state, which means dismantling illegal construction works on agricultural land if they do not comply with the requirements of the competent authority.
Note, the above fine applies to individuals. For organizations, the fine will be twice the fine for individuals according to Clause 2, Article 5 of Decree 123/2024/ND-CP.
