Vietnam Land law has regulations on conditions for the exercise of rights of land users in Vietnam. Let’s find out this issue with Lawyer X through the following situation: “Dear Lawyer! I want to ask what are regulations on conditions for the exercise of the rights to exchange, transfer, lease, sublease, inherit, donate or mortgage land use rights; to contribute land use rights as capital? What are conditions for selling and buying assets attached to land which is leased by the State with annual rental payment in Vietnam? Thanks for you advice!”
Legal grounds
- 2013 Vietnam Land law
Conditions for the exercise of the rights to exchange, transfer, lease, sublease, inherit, donate or mortgage land use rights; to contribute land use rights as capital
– Land users may exercise the rights to exchange, transfer, lease, sublease, inherit, donate or mortgage land use rights and contribute land use rights as capital when meeting the following conditions:
+ Having the certificate, except the case prescribed in Clause 3, Article 186 and the case of receiving inheritance prescribed in Clause 1, Article 168 of Land law;
+ The land is dispute-free;
+ The land use rights are not distrained to secure judgment enforcement;
+ Within the land use term.
– In addition to the conditions specified in Clause 1 of this Article, when exercising the rights to exchange, transfer, lease, sublease, inherit, donate or mortgage land use rights and contribute land use rights as capital, land users must also be eligible under Articles 189, 190, 191, 192, 193 and 194 of Land law.
– The exchange, transfer, lease, sublease, inheritance, donation or mortgage of land use rights or contribution of land use rights as capital must be registered with the land registration agency and will take effect from the time of registration in the cadastral book.
Conditions for selling and buying assets attached to land which is leased by the State with annual rental payment
– Economic organizations, households, individuals, overseas Vietnamese and foreign- invested enterprises may sell assets attached to leased land when fully meeting die following conditions:
+ The assets attached to leased land are legally established in accordance with law;
+ The construction has been completed in accordance with the detailed construction master plan and approved investment project.
– The buyer of assets attached to leased land must ensure the following conditions:
+ Having financial capacity to implement investment projects;
+ Having business lines relevant to investment projects;
+ Not violating the land law when being allocated or leased land from the State to implement the previous projects.
– The buyers of assets may continue leasing land from the State within the remaining land use term according to specific land price and for the purposes determined in the project documents.
– The case of leasing land to implement projects on construction and commercial operation of infrastructure is prescribed in Article 194 of Land law.
Conditions for exchanging agricultural land use rights
Households and individuals using agricultural land which is allocated by the State or obtained through exchange, acquisition of land use rights, inheritance, donation of lawful land use rights from other land users, may only exchange these agricultural land use rights to other households and individuals in the same commune, ward or township to facilitate agricultural production, and do not have to pay income tax incurred from the exchange of land use rights and registration fee.
Cases in which acquisition or donation of land use rights is not allowed
– Organizations, households, individuals, communities, religious institutions, overseas Vietnamese and foreign-invested enterprises may not receive transfer or donation of land use rights in case the transfer or donation of land use rights is prohibited by law.
– Economic organizations may not acquừe the rights to use paddy land, protection forest land or special-use forest land from households or individuals, except the case of change in land use purpose in accordance with the land use master plan and plans approved by competent state agencies.
– Households and individuals not directly engaged in agricultural production may not receive the transfer or donation of paddy land use rights.
– Households and individuals may not receive the transfer or donation of residential land use rights and agricultural land use rights with regard to the land located in the areas of protection forests, strictly protected zones and ecological rehabilitation zones in special-use forests if they do not live in such protection forests or special-use forests.
Cases in which households and individuals may transfer or donate land use rights under certain conditions
– Households and individuals living in the strictly protected zones or ecological rehabilitation zones in special-use forests and are not able to move out of these areas may only transfer or donate the rights to use residential land or forest land in combination with agricultural, forestry and aquaculture production purposes to households and individuals living in these areas.
– Households and individuals that are allocated residential land or agricultural land in protection forests by the State may only transfer or donate the rights to use residential or agricultural land to households and individuals living in these areas.
– Households and individuals of ethnic minorities using allocated land under the support policies of the State may transfer or donate land use rights after 10 years from the date of issuance of the decisions on land allocation in accordance with the Government’s regulations.
Conditions for receiving the transfer or contribution as capital of, or leasing, agricultural land use rights to carry out investment projects on non-agricultural production and business
Economic organizations, households and individuals may receive the transfer or contribution as capital of, or lease, agricultural land use rights to carry out investment projects on non-agricultural production and business when fully meeting the following conditions:
– Economic organizations may receive the transfer or contribution as capital of, or lease, agricultural land use rights to carry out investment projects upon receiving written approval from a competent state agency.
– The use purpose for the land area of which land use rights are acquired, contributed as capital or leased must be consistent with the land use master plan and plans approved by competent state agencies.
– For land used exclusively for wet rice cultivation, the provisions of Clause 3, Article 134 of Land law shall apply.
Conditions for transferring land use rights in implementation of investment projects on construction of and trading in houses; investment projects on construction of infrastructure for transfer of lease
– The transfer of land use rights in investment projects on construction of and trading in houses must be conducted in accordance with the following provisions:
+ The provincial-level People’s Committee may, based on the Government’s regulations on conditions and types of urban centers, permit investors of projects on construction of and trading in houses to transfer land use rights in the form of dividing land parcels upon completion of the infrastructure construction and fulfillment of financial obligations related to land;
+ For investment projects on construction of and trading in houses, the transfer of land use rights together with the transfer of the whole or part of the project may be conducted upon receipt of the certificate. Those who acquire land use rights shall implement investment projects in accordance with the approved schedule.
– The transfer of land use rights together with the transfer of the whole project on construction of infrastructure for transfer or lease must meet the following conditions:
+ Satisfaction of all conditions specified in Clause 1, Article 188 of Land law;
+ The technical infrastructure facilities must be completely constructed in accordance with the schedule stated in the approved project document.
– The Government shall detail this Article.
Please see more:
- Instructions for exclusive registration of company logos in Vietnam
- Service of changing the legal representative of Vietnamese enterprises
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Frequently asked questions
The exchange, transfer, lease, sublease, inheritance, donation or mortgage of land use rights or contribution of land use rights as capital must be registered with the land registration agency and will take effect from the time of registration in the cadastral book.
The buyers of assets may continue leasing land from the State within the remaining land use term according to specific land price and for the purposes determined in the project documents.
The case of leasing land to implement projects on construction and commercial operation of infrastructure is prescribed in Article 194 of Land law.
Conclusion: So the above is Conditions for the exercise of rights of land users under Vietnam Law. Hopefully with this article can help you in life, please always follow and read our good articles on the website: lsxlawfirm.com
