Regulations on reducing land rent payable in 2025

The Lao Dong Newspaper Legal Consulting Office replied:

Article 6 of Decree 230/2025/ND-CP (effective from August 19, 2025) stipulates the reduction of land rent payable in 2025 as follows:

1. 30% reduction in land rent payable in 2025 for land users as prescribed in Article 4 of the 2024 Land Law who are being leased land by the State in the form of annual land rent payment (including cases with and without legal documents on land but using land but having to pay land rent in 2025 as prescribed and cases where land users are using land but have not completed land records as prescribed by the land law).

The provisions of this Article apply to all cases where land users are not exempted from or have reduced land rent or have expired the exemption or reduction period of land rent and cases where land users are being reduced in land rent according to the provisions of the law on land and other relevant laws.

2. The land rent reduction for 2025 prescribed in Clause 1 of this Article is calculated on the land rent payable in 2025 according to the Land Rental Conclusion Notice (if any) or is calculated according to the provisions of law on land rent in cases where there is no notice of land rental collection. No reduction is made on the remaining land rent of the years before 2025 and the late payment fee (if any).

In case the land user is receiving a reduction in land rent according to regulations or/or a deduction of compensation and site clearance according to the provisions of law on land rent, the reduction in land rent prescribed in Clause 1 of this Article shall be calculated on the land rent payable (if any) after being reduced or/and deducted according to the provisions of law (except for the land rent reduced in 2024 as prescribed in Decree No. 87/2025/ND-CP dated April 11, 2025 of the Government regulating the reduction of land rent in 2024).

3. Within 30 days from the date of the decision to reduce land rent in 2025 as prescribed in this Article; investors leased land by the State with annual land rent payment to invest in construction and business of infrastructure of industrial parks, industrial clusters, and export processing zones (hereinafter referred to as investors) must allocate the reduced land rent of the land area leased by the investor according to the provisions of Clause 6, Article 202 of the 2024 Land Law (allocated equally according to the ratio of land area leased to the subjects as prescribed in Clause 6, Article 202 of the 2024 Land Law).

The reduced land rental amount of the unleased land area does not need to be allocated by the investor. In case the investor does not comply with the provisions of this clause, he/she will not enjoy the land rent reduction policy as prescribed in this Article and must comply with the provisions of Point c, Clause 5 of this Article.

Thus, the reduction of land rent payable in 2025 is regulated as above.