Land belongs to the entire people, and the State is the representative of the owner and uniformly manages it. Today, land-related issues are increasingly diverse, relatively complex and of great interest to many people, including the State granting land use rights to land users in the form of land lease. This can be an annual land rental or a one-time rental for the entire lease period. So about the matter “Cases of land lease with annual payment in Vietnam” Let’s find out with LSX in the article below.
Legal grounds
- Land Law 2013
What is land lease with annual rental payment?
Land use rights arise on the basis that the State grants land use rights to land users in the form of land allocation (with land use levy or without land use levy) or land lease (in the form of land use rights). annual land rent or one-off land rental for the entire lease period) or recognition of land use rights. Therefore, renting land with annual rental payment is one of the forms in which the State grants land use rights to land users and thereby gives rise to the rights and obligations of land users.
Entities who are leased land by the State with annual rental payment
According to the provisions of Article 56 of the 2013 Land Law, the entities that are leased land with annual rental payment by the State include:
– Households and individuals using land for agricultural production, forestry, aquaculture, and salt production;
– Households and individuals wishing to continue using agricultural land in excess of the assigned quota specified in Article 129 of the 2013 Land Law;
– Households and individuals using commercial or service land; land used for mineral activities; land for production of building materials and pottery; land for non-agricultural production establishments;
– Households and individuals that use land to build public works for business purposes;
– Economic organizations, overseas Vietnamese, foreign-invested enterprises using land to implement investment projects on agricultural production, forestry, aquaculture and salt making; non-agricultural production and business land; land for construction of public works for business purposes; land for implementation of housing investment projects for lease;
– Economic organizations, self-financed public non-business organizations, overseas Vietnamese, foreign-invested enterprises using land for construction of non-business works;
– Foreign organizations with diplomatic functions use land to build offices;
– People’s armed forces units use land for agricultural production, forestry, aquaculture, salt making or agricultural production, forestry, aquaculture, salt making in combination with national defense and security tasks security.
Cases of land lease with annual payment in Vietnam
According to the provisions of Article 56 of the 2013 Land Law, the entities that are leased land with annual rental payment by the State include:
– Households and individuals using land for agricultural production, forestry, aquaculture, and salt production;
– Households and individuals wishing to continue using agricultural land in excess of the assigned quota specified in Article 129 of the 2013 Land Law;
– Households and individuals using commercial or service land; land used for mineral activities; land for production of building materials and pottery; land for non-agricultural production establishments;
– Households and individuals that use land to build public works for business purposes;
– Economic organizations, overseas Vietnamese, foreign-invested enterprises using land to implement investment projects on agricultural production, forestry, aquaculture and salt making; non-agricultural production and business land; land for construction of public works for business purposes; land for implementation of housing investment projects for lease;
– Economic organizations, self-financed public non-business organizations, overseas Vietnamese, foreign-invested enterprises using land for construction of non-business works;
– Foreign organizations with diplomatic functions use land to build offices;
– People’s armed forces units use land for agricultural production, forestry, aquaculture, salt making or agricultural production, forestry, aquaculture, salt making in combination with national defense and security tasks security.
The formula for determining the one-year land rent
In order to determine the land use levy that the land user must pay to the State agency when receiving the land use right in the form of land rental with annual payment not through the form of auction, it is necessary to rely on the following bases:
– Area of land use;
– Annual land rental unit price.
According to the provisions of Article 12 of Decree 46/2014/ND-CP, the land rent in the case of land rental with annual payment is determined as follows:
Land rent collected per year = Area to pay land rent (X) Land rental unit price
Determination of land rental unit price
The land rental unit price is specified very clearly in Clause 1, Article 4 of Decree No. 46/2014/ND-CP, specifically:
Land rental unit price = Level Percentage (X) Land price for calculation of land rental
Percentage level (%)
The percentage (%) for calculating the one-year land rental unit price is 1% (Point a, Clause 1, Article 4 of the 2013 Land Law), except for some specific cases listed in Clause 1, Article 4 of the Land Law. (The law only sets limits in these cases).
Note:
The rate level (%) to calculate the land rental unit price shall be specified by the People’s Committee of the province or centrally run city for each area and route corresponding to each land use purpose as prescribed in Point a of this Clause. a Clause 1, Article 4 of Decree No. 46/2014/ND-CP and publicly announced during the implementation process. (Point a, Clause 1, Article 3 of Circular 77/2014/TT-BTC)
Land price for collection of land rent
Pursuant to Article 3 of Circular 77/2014/TT-BTC, the land price for calculating land rent is determined as follows:
– For the case of land lease with annual land rental payment not through auction, the area for calculation of land rent collection of the land parcel or land plot has a value (calculated according to the land price in the Land Price List) from 30 billion VND. VND or more for cities directly under the Central Government; from 10 billion VND or more for mountainous and highland provinces; from 20 billion VND or more, for the remaining provinces:
The land price for calculation and collection of land rent is the specific land price decided by the provincial-level People’s Committee and determined according to the methods of direct comparison, deduction, income and surplus specified in the Government’s Decree on land rental. land price.
– For the case of land lease with annual land rental payment not through auction, but the area for calculation of land rent collection of the land parcel or land plot has a value (calculated according to the land price in the Land Price List) of less than 30 billion VND. VND for cities directly under the Central Government; less than 10 billion VND for mountainous and highland provinces; under VND 20 billion for the remaining provinces:
The land price for calculation and collection of land rent is the land price calculated according to the purpose of using the leased land as prescribed by the provincial-level People’s Committees in the Land Price List multiplied by (x) by the land price adjustment coefficient.
Note:
– The land price adjustment coefficient to determine the land price for calculation and collection of land rent shall be determined by the Department of Finance in charge of each area, route and location corresponding to each land use purpose and suitable to the market and conditions for socio-economic development in the locality, and submit them to the provincial People’s Committee for promulgation annually after consulting the Standing People’s Council at the same level.
– In case at several locations of land for project implementation in the same area, the road has a land use coefficient (construction density, height of the work) that is different from the general average of the area or route. The People’s Committee of the province shall stipulate the land price adjustment coefficient higher or lower than the general average to calculate and collect land rent for these cases and specify the regulations in the Decision on promulgation of the land price adjustment coefficient.
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Frequently asked questions
Pursuant to Point b, Clause 1, Article 99, Clause 1, Article 74, and Point a, Clause 1, Article 175 of the 2013 Land Law, persons who have been leased land by the State since July 1, 2014 shall be granted a Certificate.
Clause 3, Article 167 of the 2013 Land Law provides for the right to convert, transfer, lease, sublease, inherit, donate, mortgage and contribute land use rights as capital.
Land users may exercise the rights to exchange, transfer, lease, sublease, inherit, donate, mortgage or contribute land use rights as capital in accordance with this Law.
Groups of land users who share the same land use rights have the following rights and obligations:
a) A group of land users including households and individuals shall have the same rights and obligations as those of households and individuals in accordance with this Law.
If a member of the group of land users is an economic organization, they shall have the same rights and obligations as the rights and obligations of an economic organization in accordance with this Law;
b) In the case of a group of land users in which the land use right is divided into parts for each member of the group, if each member of the group wishes to exercise the right to his or her share of the land use right, he/she must perform the following procedures: procedures for division of plots according to regulations, procedures for issuance of certificates of land use rights, ownership of houses and other land-attached assets, and exercise of rights and obligations of land users in accordance with this Law. this.
In case the land use rights of a group of land users cannot be divided into parts, they shall authorize a representative to exercise the rights and perform the obligations of the group of land users.
In Clause 2, Article 179 of the 2013 Land Law, the rights and obligations of households and individuals using land are as follows:
“2. Households and individuals that are leased land by the State with annual rental payment have the following rights and obligations:
a) General rights and obligations prescribed in Articles 166 and 170 of this Law;
b) Sell properties under their ownership attached to the leased land; the buyer of the property shall continue to lease the land from the State according to the defined purpose;
c) To inherit or donate property under their ownership attached to the leased land; the heir, the person who is given the property to continue to lease the land to the State for the defined purpose;
d) Leasing assets under their ownership attached to the leased land according to the provisions of civil law;
….”
Thus, for land use rights with annual rental payment, the State only allows mortgage of assets attached to the leased land, but not the right to mortgage this leased land use right. And there is no property attached to the land, so this property cannot be mortgaged.
Conclusion: So the above is Cases of land lease with annual payment in Vietnam. Hopefully with this article can help you in life, please always follow and read our good articles on the website: lsxlawfirm.com
