HCMC – A new land price framework will come into force on Thursday, October 31, affecting taxes and fees related to land use across HCMC.
Outlined in Decision 79, the updated rates replace those under Decision 02/2020, which previously set land value in the city.
This change will impact financial obligations for land transactions, including land use fees, personal income tax, and transfer fees. The revised approach applies uniformly across the city, removing distinctions between urban and suburban land.
Under the new guidelines, specific land value caps, such as the previous VND30 billion limit, and case-by-case property price assessments are no longer applicable.
Instead, the updated land price list introduces a standardized method for calculating fees on land-use conversion. Tax obligations are now streamlined across various land types, including residential, commercial, and non-commercial land for production or services.
The fees for converted land use will be based on the difference between land’s new usage valuation and its previous value, according to the revised price list.
The lease duration for some land categories has been extended from 50 to 70 years. Special-use or non-commercial land may qualify for reduced fees based on regional percentage formulas outlined in Decision 79.
For conversions to residential land, fees will be calculated by deducting the original land-use or lease value from the updated value, as per Decision 79’s guidelines. For ownership transfers, land-use fees will be assessed according to Articles 9 through 12 of Decree 103, introduced in August.
