Regulations on land finance have not adapted to reality

VCN - On the morning of February 28, the Ministry of Finance held a conference to gather opinions on regulations related to land finance in the draft Land Law (amended) and other issues under the State management scope of the Ministry. Deputy Minister Nguyen Duc Chi attended and chaired the conference.
Correcting policy to avoid overlaps in inspection and supervision at land border gates Correcting policy to avoid overlaps in inspection and supervision at land border gates
Strengthening support for taxpayers to enjoy policy of reducing land and water surface rents Strengthening support for taxpayers to enjoy policy of reducing land and water surface rents
Deputy Minister Nguyen Duc Chi attended and chaired the conference.
The conference

At the conference, Deputy Minister of Finance Nguyen Duc Chi said that the draft Land Law (amended) was submitted by the Government to the National Assembly at the 4th session, the 15th National Assembly, and was discussed by the National Assembly deputies before the Standing Committee of the National Assembly issued Resolution No. 671/NQ-UBTVQH15 dated December 23, 2022, the Government issued Resolution No. 170/NQ-CP dated December 31, 2022 on the Plan on the collection of people's opinions on the draft Land Law (amended) and the public consultation on this draft Law.

In particular, the Government assigns ministries, ministerial-level agencies and Government-attached agencies to collect comments on the draft Law on contents under their assigned functions and tasks.

Accordingly, the Ministry of Finance organized a conference with the participation of a number of ministries, central agencies, enterprises, organizations, associations, experts, scientists and 63 cities and provinces to discuss regulations related to land finance in the draft Land Law (amended) and other issues related to the State management scope of the Ministry of Finance.

Deputy Minister Nguyen Duc Chi said that after nearly 10 years of implementing the Land Law 2013, land management and land finance have achieved important results, creating a consistent legal corridor for the effective mobilization, exploitation and use of this source.

In particular, the policy of land finance has been improved, becoming a basis for State budget collection. VND160,000 billion per year was mobilized to the State budget in the 2013-2020 period on average, accounting for more than 15% of total state budget revenue.

The Deputy Minister also emphasized that policies on tax incentives, exemption and reduction of land use fees and land rents have made an important contribution to attracting investment, especially in remote and difficult social-economic areas.

The land policy on social housing has achieved a number of important results, in which the developed land price bracket and land price list, taking into account the prevailing land prices in the market.

The Deputy Minister also said that despite of important results, after nearly 10 years of implementation, the Land Law 2013, including regulations on land finance, have not kept pace with the rapid change of reality.

For example, the financial policy in the field of land have neither encouraged economical, efficient and sustainable use of land; nor restricted waste and violations of the law on land and create a sustainable revenue structure.

The methods of valuation and auction of land use rights are still inadequate and not suitable for reality. Besides, the determined land price is usually much lower than the market price; there is a gap in land price between adjacent localities; there are no sanctions to handle violations in land price determination and land use right auction.

Many opinions have been given at the conference, focusing on financial revenues from land; the basis and time for calculating land use fee and land rent; land price list, the determination of land prices for calculation of land use fee and land rent; rights and obligations of economic organizations and public non-business units using leased land with annual rental payment.

In addition, the land allocation and lease, change of land use purpose; grounds, conditions of land allocation and lease, change of land use purpose; auction of land use rights; bidding for projects using land; exemption or reduction of land use fee and land rent; handling of compensation and ground clearance for a number of cases of land allocation or lease; provisions on the transition of the Law were also discussed at the conference.

According to Mr. Phan Dinh Cuong, former Director of the Department of Public Asset Management, Resolutions 18, 19 and the Land Law clearly state that the principle of land valuation must comply with the market. In fact, those who are the biggest owners shall determine the market. The State is the biggest owner of land (public land), the draft needs to clarify that the State decides the market price.

Mr. Phan Dinh Cuong also noted, we are emphasizing the fact that the land price is not close to the market price, but if we continue to follow the trend to push the price up, it will cause many consequences for society, in which the real estate market sometimes increases, sometimes decreases, making the State's regulation low. Therefore, the draft needs to build a land price list so that all land transactions need to run around the land price list, not to push the price up but pull it down.

The draft Land Law (amended) consists of 16 chapters and 236 articles, of which one chapter stipulates the issues of land finance, land price, principles and basic contents of land finance and land price, principles, and basic contents of financial revenues from land and land prices.

In addition, the draft contains non-financial regulations on land but directly affect this issue such as land classification; land allocation, land lease, change of land use purpose; recognition (issuance of certificates) of land use rights; auction of land use rights, bidding for projects using land; compensation and site clearance.

Strengthening support for taxpayers to enjoy policy of reducing land and water surface rents Strengthening support for taxpayers to enjoy policy of reducing land and water surface rents

The draft also mentioned many new concepts such as land lease rights in land lease contracts, multi-purpose land, land prices according to the value of the region, standard land plots, rights to use underground space and space, directly or indirectly related to the scope of State management of the Ministry of Finance.

By Hoai Anh/ Huyen Trang

Related News

Agricultural, forestry and fishery trade surplus value shoots up

Agricultural, forestry and fishery trade surplus value shoots up

VCN - According to the Ministry of Agriculture and Rural Development, the total export turnover of agricultural, forestry and fishery products in the first 10 months reached 51.74 billion USD, up 20.2% over the same period in 2023. Notably, the trade surplus value recorded a spectacular increase year on year.
Abolishing regulations on tax exemption for small-value imported goods must comply with international practices

Abolishing regulations on tax exemption for small-value imported goods must comply with international practices

VCN - The Ministry of Finance said that the abolition of regulations on tax exemption for imported goods valued at less than VND1 million must comply with international practices in the context of the growing trend of cross-border e-commerce activities.
Opportunity to accelerate agricultural export to China

Opportunity to accelerate agricultural export to China

VCN - For many years, China has been Vietnam's largest trading partner. Trade between Vietnam and China has maintained a stable and sustainable growth momentum.
Coconut is expected to become a billion-dollar export item

Coconut is expected to become a billion-dollar export item

VCN - Talking to the press at the ceremony to launch the first train carrying fresh coconuts to China, Mr. Luu Van Phi, Director of the Department of Industry and Trade of Tien Giang province, said that Vietnam's agricultural export potential, especially fresh coconuts, is expanding with the appearance of international railway transportation from Song Than station.

Latest News

Banks increase non-interest revenue

Banks increase non-interest revenue

VCN - Slow credit demand and fierce competition have forced banks to seek ways to increase non-interest revenue, especially when there is a lot of support from the digital transformation of the entire banking system.
Monetary policy forecast unlikely to loosen further

Monetary policy forecast unlikely to loosen further

It will be difficult for the State Bank of Vietnam (SBV) to further loosen monetary policy due to a rising USD/VNĐ exchange rate pressure, experts said.
World Bank outlines path for Vietnam to reach high income status

World Bank outlines path for Vietnam to reach high income status

The World Bank (WB) has released a report which explores how Vietnam can upgrade its participation in global value chains to become a high-income country by 2045.
Strictly control public debt and ensure national financial security  2025

Strictly control public debt and ensure national financial security 2025

VCN – In order to achieve goal of strictly managing public debt and maintaining security and safety of the national financial system in 2025, it is necessary to ensure the borrowings and repayments of public debts is within the approved estimate; closely monitor public debt indicators to ensure that they are within the ceiling and warning thresholds approved by the National Assembly.

More News

Revising the title of a draft of 1 Law amending seven finance-related laws

Revising the title of a draft of 1 Law amending seven finance-related laws

VCN - On November 19, 2024, the Standing Committee of the National Assembly (SCNA) discussed amendments and refinements to the draft of a law revising seven existing finance-related laws. Concluding the session, Vice Chairman of the National Assembly Nguyen Duc Hai emphasized the need for the Government to direct the drafting body and relevant agencies to collaborate closely to finalize a persuasive and widely supported report, ensuring the quality of the draft law for the National Assembly's consideration and decision.
Transparency evates the standing of listed companies

Transparency evates the standing of listed companies

VCN - According to the Hanoi Stock Exchange (HNX), the number of companies placed under warning, control, or restricted trading on the listed and registered markets has increased over the past two years compared to 2022.
State-owned securities company trails competitors

State-owned securities company trails competitors

Contrary to the outstanding performances in the banking sector, the securities subsidiaries of major banks have yet to fully leverage their potential, despite numerous inherent advantages.
Strengthening the financial “health” of state-owned enterprises

Strengthening the financial “health” of state-owned enterprises

VCN - The state economy plays a key role in the socio-economic development process, but it is necessary to strengthen the financial health and competitiveness of state-owned enterprises (SOEs).
U.S. Treasury continues to affirm Vietnam does not manipulate currency

U.S. Treasury continues to affirm Vietnam does not manipulate currency

VCN - In its latest report, the U.S. Department of the Treasury has positively assessed Vietnam's monetary policy, reaffirming that Vietnam does not engage in currency manipulation.
Exchange rate fluctuations bring huge profits to many banks

Exchange rate fluctuations bring huge profits to many banks

Net profits from the foreign exchange trading segment of many banks have gained positive results thanks to a strong USD/VNĐ exchange rate fluctuations this year.
A “picture” of bank profits in the first nine months of 2024

A “picture” of bank profits in the first nine months of 2024

VCN - Pre-tax profits for banks during the first nine months of 2024 remained positive, exceeding 200 trillion VND, solidifying the sector's position as a market leader.
Many challenges in restructuring public finance

Many challenges in restructuring public finance

VCN - Restructuring public finance is an important step to improve state financial management, ensure resources are allocated reasonably and effectively, contributing to the country's sustainable development. In addition to the achieved results, the process of accelerating public finance restructuring also faces many pressures.
Tax declaration and payment by e-commerce platforms reduces declaration points and compliance costs

Tax declaration and payment by e-commerce platforms reduces declaration points and compliance costs

VCN - E-commerce platforms that declare and pay taxes on behalf of traders not only help to reduce the number of tax declaration points but also reduce the cost of compliance with administrative procedures for the whole society because only one point as the e-commerce trading platform implements tax deduction, payment and declaration on behalf of tens, hundreds of thousands of individuals and business households on the platform.
Read More

Your care

Latest Most read
Banks increase non-interest revenue

Banks increase non-interest revenue

VCN - In the first 9 months of 2024, the group of banks leading in profit has focused on increasing the ratio of non-term deposits (CASA) to help reduce operating costs, resulting in positive credit growth.
Monetary policy forecast unlikely to loosen further

Monetary policy forecast unlikely to loosen further

It will be difficult for the State Bank of Vietnam (SBV) to further loosen monetary policy due to a rising USD/VNĐ exchange rate pressure, experts said.
World Bank outlines path for Vietnam to reach high income status

World Bank outlines path for Vietnam to reach high income status

The World Bank (WB) has released a report which explores how Vietnam can upgrade its participation in global value chains to become a high-income country by 2045.
Strictly control public debt and ensure national financial security  2025

Strictly control public debt and ensure national financial security 2025

VCN - According to the plan for borrowing and repaying public debt and foreign debt of the country in 2025, the total borrowing demand of the Government in the year is expected to be at VND 815,238 billion, an increase of 20.6% compared to the Government'
Revising the title of a draft of 1 Law amending seven finance-related laws

Revising the title of a draft of 1 Law amending seven finance-related laws

On November 19, 2024, the Standing Committee of the National Assembly (SCNA) discussed amendments and refinements to the draft of a law revising seven existing finance-related laws.
Mobile Version