Ministry of Natural Resources and Environment says land use fees suddenly increased, what does the Ministry of Finance say?

The Ho Chi Minh City Land Price Appraisal Council has reported on the appraisal of the draft decision to amend and supplement Decision 02/2020 on land price list in the area - Photo: NGOC HIEN

The Ministry of Finance requested the Ministry of Natural Resources and Environment to have data on adjusting land price tables nationwide.

Regarding the difficulties of the Ho Chi Minh City People's Committee in calculating financial obligations on land for records after the effective date of the 2024 Land Law until the issuance of the adjusted land price list, the Ministry of Finance said that the current difficulty of the City is adjusting the land price list issued under the old law to calculate financial obligations (from August 1, 2024 to December 31, 2025) according to the new law and Decree 71 (drafted by the Ministry of Natural Resources and Environment ).

Considering that this content is under the state management responsibility of the Ministry of Natural Resources and Environment, the Ministry of Finance requested that this ministry, based on its functions and tasks, report to the Government on the content of resolving the difficulties of the City People's Committee in accordance with the prescribed regime.

The Ministry of Finance believes that according to the reflection of the People's Committee of Ho Chi Minh City, some localities and analysis of the Ministry of Natural Resources and Environment, the current basic problem is the issuance of an adjusted land price list to suit the local situation, avoiding sudden price shocks.

However, in the recommendation to the Prime Minister, the Ministry of Natural Resources and Environment only made recommendations on land acquisition policies but did not make recommendations on land price solutions.

Therefore, the Ministry of Finance requests the Ministry of Natural Resources and Environment to review, synthesize and specifically report data on the expected increase in the adjusted land price list according to the 2024 Land Law compared to the 2013 Land Law nationwide. From there, submit to the Government a plan to handle the recommendations of localities on adjusting the land price list accordingly. In principle, the state budget revenue from land is only appropriate when land prices are appropriately regulated.

Ministry of Finance said it did not receive any reports on land price increases.

In the draft report on the regulations on land use fees and land rent in Decree No. 103, the Ministry of Natural Resources and Environment stated: "The regulations on land use fees when recognizing land use rights, changing land use purposes, and land rent prices, although adjusted down compared to the provisions of the 2013 Land Law, are not commensurate with the sudden increase in land prices according to the draft adjusted land price list, leading to the amount of money that land users will have to pay to the State still increasing suddenly compared to before the adjustment."

Regarding this content, the Ministry of Finance believes that Decree 103 stipulates the land use fee collection rate when recognizing land use rights, the percentage (%) to calculate land rental price, the percentage (%) collection rate for land for underground construction, and the percentage (%) collection rate for land with water surface.

Accordingly, land use fees and land rent when the State recognizes land use rights, permits change of land use purpose, leases land and collects annual land rent without auction or bidding are calculated based on the collection rate prescribed in Decree 103 and land prices in the land price list issued by the Provincial People's Committee.

As for the percentage (%) of land rent calculation, it has been regulated at a minimum level (50% reduction compared to the law on land rent collection according to the 2013 Land Law) and a maximum level, and at the same time, it is regulated to decentralize the assignment of the Provincial People's Committee to regulate this percentage level for appropriate application at the local level.

Notably, the Ministry of Finance said that at the time the Ministry drafted and submitted to the Government a decree regulating land use fees and land rents (prescribing collection rates), the land price list under the provisions of the 2024 Land Law had not yet been issued but was expected to be higher than the land price list under the old law.

"However, during the process of drafting Decree No. 103, the Ministry of Finance did not receive any reports or assessments from the Ministry of Natural Resources and Environment, which presided over the draft under its authority, on how much the average land price table under the new Land Law would increase compared to the land price table under the 2013 Land Law.

Therefore, the Ministry of Finance has no basis to regulate the land use fee and land rental fee levels commensurate with the land price list according to the new law," the Ministry of Finance responded.

Take into account the increase to avoid disruption

According to the Ministry of Finance, the ministry has assessed and taken into account the increase in land prices in the adjusted land price list to avoid disruption and negative impacts on organizations and individuals using land. Some contents on collection levels are assigned to the provincial People's Committee to decide in accordance with local realities.

"In fact, the land use fee and land rent collection rates in Decree 103 have been adjusted down compared to the provisions of the 2013 Land Law. During the process of giving opinions on this content in the draft decree before submitting it to the Government, localities also reached a high consensus and did not have many different opinions on this content," the Ministry of Finance stated.

Source: https://tuoitre.vn/bo-tn-mt-noi-tien-su-dung-dat-tang-cao-dot-ngot-bo-tai-chinh-noi-gi-20241019074842786.htm