11 cases of land use fee reduction from August 2024

Office of Legal Consulting Lao Dong Newspaper replied:

Article 157 of the 2024 Land Law (amended), effective from August 2024, stipulates exemption and reduction of land use fees and land rent as follows:

1. Exemption and reduction of land use fees and land rents are applied in the following cases:

a) Use land for production and business purposes in investment incentive sectors or in investment incentive areas according to the provisions of the law on investment and relevant laws, except for the case of using land to build commercial housing, using land for commerce and services;

b) Use land to implement housing policies, residential land for people with meritorious services to the revolution, war invalids or sick soldiers who are unable to work, families of martyrs who no longer have the main labor force, and the poor; use land to implement investment projects to build social housing, workers' accommodation in industrial parks, housing for the people's armed forces, renovate and rebuild apartment buildings according to the provisions of the law on housing; residential land for people who have to relocate when the State reclaims land due to risks to human life; residential land for subjects specified in Point a and Point b, Clause 3, Article 124 of this Law who are working in border communes, islands or island districts without commune-level administrative units in areas with difficult socio-economic conditions, areas with especially difficult socio-economic conditions.

c) Ethnic minorities using land are exempted from or have their land use fees and land rents reduced according to Government regulations;

d) Use of land by public service units as prescribed in Point c, Clause 3, Article 120 of this Law;

d) Using land to build infrastructure for airports and airfields; land to build facilities and works providing aviation services; land for parking lots and maintenance workshops serving public passenger transport activities; land to build above-ground works serving the operation and exploitation of underground works;

e) Use of land for construction of specialized railway infrastructure; land for construction of railway industrial works; land for construction of other auxiliary works directly serving train operations, passenger pick-up and drop-off, and railway cargo loading and unloading;

g) Use land to implement investment projects under the public-private partnership method;

h) Using land as premises for construction of headquarters, drying yards, warehouses, production workshops; construction of service facilities directly serving agricultural, forestry, aquaculture, and salt production of cooperatives and cooperative unions;

i) Using land to build clean water supply and drainage works, and wastewater treatment in urban and rural areas;

k) Using land other than defense and security land for defense and security purposes of military and police enterprises;

l) Allocating residential land to households and individuals who, when the State recovers land attached to houses, must relocate but are not eligible for compensation for residential land and have no other place to live within the commune-level administrative unit where the land is recovered;

2. The Government shall prescribe other cases of exemption or reduction of land use fees and land rents not specified in Clause 1 of this Article after obtaining the approval of the National Assembly Standing Committee.

3. In cases of exemption from land use fees and land rent, it is not necessary to carry out procedures for determining land prices and calculating exempted land use fees and land rent. Land users exempted from land use fees and land rent do not have to carry out procedures to request exemption from land use fees and land rent.

4. The Government shall detail this Article.

Thus, the cases that are eligible for land use fee reduction according to the 2024 Land Law are stipulated as above.