New regulations on converting agricultural land to residential land.

The government has just issued Decree No. 50/2026/ND-CP dated January 31, 2026, detailing the implementation of several articles of Resolution No. 254/2025/QH15 of the National Assembly, aiming to resolve difficulties in the implementation of the Land Law related to land use fees and land lease fees. A notable highlight of the decree is the method of calculating land use fees when households and individuals change the purpose of land use from agricultural land, garden land, or pond land to residential land, in a transparent and fair manner, limiting policy abuse.

According to the new regulations, the preferential mechanism for calculating land use fees when changing land use purposes can only be applied once per household or individual and only to one plot of land chosen by the land user. For subsequent changes of land use purpose, or changes to a different plot of land, the land user must pay 100% of the difference between the land use fee calculated based on residential land prices and agricultural land prices at the time the change of purpose is permitted.

The decree also requires citizens to clearly commit to whether or not they have received preferential treatment in their land use conversion application and to be legally responsible for the content of their commitment. If the competent authority discovers that a person who has already received preferential treatment continues to request the same policy for another plot of land, the file will be transferred to the tax authority to recalculate the land use fee at 100% of the difference. The amount previously paid will be deducted, but the violator must pay an additional amount equivalent to late payment penalties, calculated from the time the land use conversion decision was made until the violation was discovered.

Illustration photo: baolamdong.vn

Besides provisions on land-use conversion, the decree also stipulates the recalculation of land use fees and land rent that have been exempted or reduced. Accordingly, domestic organizations to which the State has allocated land with land use fees or leased land with a one-time land rent payment for the entire lease period to implement investment and business projects, if they have been exempted or reduced land use fees and land rent and now transfer or contribute land use rights as capital, must pay the State an amount corresponding to the exempted or reduced amount (except in cases where the law stipulates otherwise). The amount payable is calculated according to the policy at the time the decision to allocate land, lease land, or permit land-use conversion was issued; the land price is determined according to the land price table and the land price adjustment coefficient (if any) at that time. In addition, the organization must also pay an additional amount, calculated on top of the aforementioned amount due, from the date of exemption or reduction to the date of transfer or capital contribution using land use rights, according to the rates stipulated in land law and related guiding decrees.

The decree also clearly lists cases eligible for exemption or reduction of land use fees and land rent, such as: using land for production and business purposes in sectors or areas prioritized for investment; implementing housing and land policies for meritorious individuals and the poor; investing in the construction of social housing, worker accommodation, and housing for the armed forces; renovating and rebuilding apartment buildings in accordance with housing laws; land use by ethnic minorities; or allocating residential land to households and individuals when the State reclaims land attached to housing requiring relocation, and they do not meet the conditions for compensation for residential land and have no other place to live within the same commune.

With these new regulations, the Government and the National Assembly aim to perfect the legal framework for land finance in a way that is strict, transparent, and ensures the legitimate rights and interests of land users, while strengthening discipline in state land management and limiting the abuse of preferential policies that lead to budget losses.

Source: https://baolangson.vn/quy-dinh-moi-ve-chuyen-dat-nong-nghiep-sang-dat-o-5077569.html