HCMC – The government of HCMC has released a document permitting the use of the current land price list for tax calculation and collection while waiting for the new land price list to be issued.
The move has given relief to thousands of individuals and organizations that have seen their land transactions stuck at the tax offices in the city since early August this year due to the absence of an official land price list which is used for tax purposes.
In Document No. 5635 regarding the settlement of financial obligations and land taxes in the city, the HCMC People’s Committee stated that having reviewed a proposal made on September 17 by the city’s Tax Department and a consensus reached at a meeting on the same day, and based on a recommendation made on September 19 by the HCMC Department of Natural Resources and Environment, the committee sent a proposal to its Party Civil Affairs Committee requesting a policy decision on the above matter.
With a consensus reached at the September 21 meeting of the Party Civil Affairs Committee, the HCMC People’s Committee agreed that while waiting for the new land price list to come out, the current land price list issued under the 2013 Land Law (multiplied by the land price adjustment coefficient under Decision 56/2023) would continue to be in force, as it was prior to August 1, for settling financial obligations and land taxes from August 1 until the new land price list is issued.
As a result, financial obligations, taxes, and other legal provisions related to land (land use fees, land rental fees, personal income tax from real estate transfers, and other land-related fees) will be calculated accordingly.
After more than 1.5 months of waiting, the backlog of land files in HCMC can be cleared.
The delay in issuing a new land price list has made it impossible to handle files related to land transfers, gifting, inheritance and changes in land use purposes.
The Tax Department had submitted three proposals to the HCMC People’s Committee seeking a way out. Most recently, on September 16, it submitted an urgent proposal to the committee requesting a meeting to resolve the land files that have piled up since August 1, 2024.
Data from the Tax Department showed that from August 1 to 27, the department received a total of 8,808 land-related files, of which 346 need land use fee calculation for land use rights recognition, 277 require land use fee calculation for land use purpose changes, 5,448 need personal income tax calculation for real estate transfers.
The HCMC Department of Natural Resources and Environment has drafted a new land price list based on the 2024 Land Law, which took effect on August 1.
But the draft has sparked controversy as the land prices proposed in the draft are five to 51 times higher than those provided in the land price list issued under the 2013 Land Law.
