Answering questions about reducing land use fees when converting agricultural land into residential land

Xuyên Đông |

On the Ministry of Finance's Information Portal, the tax authority has just answered people's questions about regulations on reducing land use fees when converting agricultural land to residential land.

Reader N.Q. Q in Nghe An reflected: "My family has a plot of land for perennial crops located separately from the family's residential land plot (a road away), with an area of 280 m2.

The land plot was granted a red book on December 31, 2005, but in fact my family has used it stably since 1994. Currently, my family has a need to change the land use purpose of this land plot to residential land".

Reader asks: What is the minimum and maximum area allowed to convert to residential land? What is the percentage of land use fees when converting purpose calculated according to the land price list prescribed by the State?

The reader added that the reader's father is a war invalid, over 80 years old this year. The land red book is in the name of the household including the reader's father and mother.

In this case, is your family entitled to the policy of exemption and reduction of land use fees?

Answering this content, the tax authority in Nghe An said that the area of agricultural land transfer is determined by specialized land agencies.

The tax authority shall base on the information transfer slip, decision allowing land use purpose conversion, land price list and related documents to calculate and issue a notice of land use fee payment according to regulations.

Regarding reducing land use fees for sick soldiers, the tax authority answers as follows:

According to Article 105 of Decree No. 131/2021/ND-CP dated December 30, 2021 of the Government detailing and implementing measures of the Ordinance on Preferential Treatment for People with Meritorious Services to the Revolution, sick soldiers are subject to consideration for land use fee reduction within the residential land allocation limit when being allocated residential land by the State, allowing land use purpose conversion to residential land or recognizing residential land use rights. The reduction level is determined according to the body injury rate recorded in the dossier of the person with meritorious services.

In which, sick soldiers with a body injury rate of 61% to 80% are entitled to a 90% reduction in land use fees within the residential land allocation limit.

Injured soldiers with a body injury rate of 41% to 60% are entitled to a 80% reduction in land use fees within the residential land allocation limit.

According to Article 17 of Decree No. 103/2024/ND-CP, amended and supplemented in Decree No. 291/2025/ND-CP, the exemption and reduction of land use fees for people with meritorious services to the revolution is carried out according to the law on people with meritorious services and is only carried out when there is a decision from a competent state agency on allowing exemption and reduction of land use fees.

Households and individuals eligible for exemption or reduction of land use fees are only exempted or reduced once for the land area within the residential land allocation limit, unless otherwise provided by law.

Therefore, if Mr. Q's father is a war invalid, he may be considered for a land use fee reduction if he fully meets the conditions according to regulations, including:

Have documents confirming the subject of the person with meritorious services and the rate of physical injury.

Having land use rights for the land plot proposed for purpose conversion.

Has not been exempted or reduced from land use fees once.

The reduced area is within the residential land allocation limit.

There is a decision to reduce land use fees by a competent state agency.

Mr. Q's father being over 80 years old is not a separate basis for determining the land use fee reduction level. The specific reduction level must be based on the body injury rate recorded in the war invalid record and the results of the policy benefit conditions inspection by competent authorities.

Xuyên Đông
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