The Ministry of Finance is proposing to draft a Government Decree regulating the reduction of land rent in 2024.

Accordingly, the Ministry of Finance proposed 2 levels of land rent reduction according to 2 options. Option 1, reduce 15% of land rent payable in 2024 for land lessees. Option 2, reduce 30% of land rent payable in 2024 for land lessees.

According to the Ministry of Finance, this plan is suitable for the new socio-economic developments of the whole country.

Specifically, the growth rate in the last 6 months of the year of the whole country and many localities is forecast to slow down. GDP growth in the third quarter of the whole country may decrease by 0.35%, and in the fourth quarter by 0.22% compared to the scenario without storm No. 3. Option 1 was proposed by the Ministry of Finance in the scenario without storm No. 3.

According to the draft, the subjects of application are organizations, units, enterprises, households and individuals who are being leased land by the State, directly according to the decision or contract or certificate of land use rights, house ownership rights and other assets attached to land of competent state agencies in the form of annual land rent payment.

This regulation applies to both cases where the land lessee is not eligible for exemption or reduction of land rent and cases where the land lessee is receiving a reduction in land rent according to the provisions of the law on land and other relevant laws; competent authorities handling land rent reduction dossiers; other relevant agencies, organizations and individuals.