New regulations on determining land use fees and land rents

Office of Legal Consulting Lao Dong Newspaper replied:

Article 75 of Decree 102/2024/ND-CP stipulates the determination of land use fees and land rents as follows:

1. The determination of specific land prices for calculating land use fees and land rents shall be implemented in accordance with the provisions of the law on land; in case the surplus method is applied to determine specific land prices, the estimate of total development costs must include land reclamation costs approved by competent state agencies in accordance with the provisions of Article 72 of this Decree; in case the total development costs are greater than the total development revenue, the difference shall be included in the costs of the land reclamation investment project or the investment project with land reclamation items.

2. Within no more than 180 days from the date of completion of the sea reclamation, the investor of the sea reclamation investment project or the investment project with sea reclamation items must prepare a dossier requesting settlement of sea reclamation costs and send it to the specialized construction agency under the Provincial People's Committee for appraisal.

Within no more than 90 days from the date of receipt of the complete settlement request dossier of the investor of the sea encroachment investment project or the investment project with sea encroachment items, the specialized construction agency under the Provincial People's Committee shall settle the sea encroachment costs and submit them to the Provincial People's Committee for approval.

3. The handling of the difference between the settled land reclamation cost and the land reclamation cost included in the total development cost when determining the specific land price in the case of applying the surplus method (hereinafter referred to as the difference) is carried out as follows:

a) In case the finalized cost of sea encroachment is smaller than the cost of sea encroachment calculated in the total development cost, the investor must pay the difference;

b) In case the settled cost of sea encroachment is greater than the cost of sea encroachment included in the total development cost, the difference shall be included in the cost of the sea encroachment investment project or the investment project with sea encroachment items.

4. In case of land allocation or land lease to implement sea encroachment investment projects or investment projects with sea encroachment items through land use rights auction, it is not necessary to comply with the provisions in Clauses 2 and 3 of this Article.

Thus, the method of determining land use fees and land rents is calculated as above.