Proposal to reduce land rent for 26 localities affected by storm Yagi

DNVN - VCCI has proposed that the Ministry of Finance study a higher reduction in land lease fees for 26 localities affected by Typhoon Yagi compared to the national average reduction, thereby helping businesses have more resources to recover production and business activities...

The Ministry of Finance is seeking feedback on the Draft Decree stipulating the reduction of land rent for 2024 to promote production and business (Draft).

According to the draft, the Ministry of Finance has proposed two options for reducing land rent. Option 1 proposes a 15% reduction in land rent payable for 2024, while Option 2 proposes a 30% reduction.

Commenting on this draft, the Vietnam Chamber of Commerce and Industry (VCCI) stated that the draft report shows a very positive outlook for budget revenue in 2024. In the first six months, 60.4% of the projected revenue was collected, exceeding the same period last year by 16.42%. In the first seven months, 72.65% of the projected revenue was collected, exceeding the same period last year by 19.09%. Land and water surface lease fees have reached 91.63% of the projected revenue.

The Vietnam Chamber of Commerce and Industry (VCCI) has requested that the drafting agency consider a higher reduction in land lease fees for the 26 localities affected by Typhoon Yagi compared to the national average reduction.

According to the draft report, "...the 2024 budget revenue forecast approved by the National Assembly will be met and exceeded; the reduction in land lease fees under this policy will not significantly affect overall budget revenue...".

The Vietnam Chamber of Commerce and Industry (VCCI) assesses that the policy of reducing land rent in the years from 2020 to 2023 has had a positive impact on the economy, helping businesses have more resources to recover production and business activities when affected by the COVID-19 pandemic. The land rent reduction in the previous year was 30% and was considered reasonable.

Therefore, VCCI proposes that the drafting agency choose option 2, applying a 30% reduction in land rent payable for 2024.

According to the Vietnam Chamber of Commerce and Industry (VCCI), the damage caused by Typhoon Yagi to 26 northern localities was extremely severe. Businesses in these provinces and cities urgently need support to quickly restore production and business. The government has also issued Resolution 143, which requires research into policies to exempt, reduce, and extend land and water surface lease fees for those affected and damaged by typhoons, floods, landslides, and other natural disasters.

Therefore, VCCI proposes that the drafting agency consider a higher reduction in land rent for the 26 localities affected by the storm compared to the national average. This policy will help businesses in these localities have more resources to recover production and business, create jobs, and prepare welfare for workers for the upcoming Tet holiday.

Minh Thu

Source: https://doanhnghiepvn.vn/kinh-te/chinh-sach/kien-nghi-giam-tien-thue-dat-cho-26-dia-phuong-chiu-anh-huong-bao-yagi/20241001113020876