30% REDUCTION IN LAND RENT
On April 11, 2025, the Government issued Decree 87/2025/ND-CP regulating the reduction of land rent in 2024. Accordingly, Article 3 of Decree 87/2025/ND-CP stipulates the reduction in land rent as...
On April 11, 2025, the Government issued Decree 87/2025/ND-CP regulating the reduction of land rent in 2024.
Accordingly, Article 3 of Decree 87/2025/ND-CP stipulates the reduction in land rent as follows:
- 30% reduction in land rent payable in 2024 for land users specified in Clause 1, Article 2 of Decree 87/2025/ND-CP;
- The land rent reduction level prescribed in Clause 1 of this Article is calculated on the land rent payable in 2024 according to the provisions of law. The reduction shall not be applied to the outstanding land rent of years prior to 2024 and late payment fees (if any). In case the land user is receiving a land rent reduction according to regulations or/and compensation and site clearance deductions according to the provisions of law on land rent, the land rent reduction level prescribed in Clause 1, Article 3 of Decree 87/2025/ND-CP shall be calculated on the land rent payable (if any) after being reduced or/and deducted according to the provisions of law.
Article 2 Clause 1 of Decree 87/2025/ND-CP stipulates the subjects eligible for land rent reduction as follows:
- Land users as prescribed in Article 4 of the 2024 Land Law are being directly leased land by the State according to the Land Lease Decision or Land Lease Contract or Certificate of Land Use Rights and Ownership of Assets Attached to Land of a competent State agency that is effective in 2024 in the form of annual land rent payment.
- In case in 2024, the land user has not completed the legal procedures on land, but by the time of submitting the application for land rent reduction according to the provisions of this Decree, the legal procedures on land have been completed (with a Land Lease Decision or Land Lease Contract or Certificate of land use rights, ownership of assets attached to land in the form of annual land rent payment), he/she is eligible for land rent reduction according to the provisions of this Decree.
- This provision applies to cases where land users are not eligible for exemption or reduction of land rent; or the period of exemption or reduction of land rent has expired; and cases where land users are currently enjoying land rent reduction according to the provisions of the law on land and other relevant laws.