Nearly 30,000 businesses and households get 30% reduction in land rent

This content is included in Decree 87, which has just been issued by the Government. Thus, this year, people and businesses will continue to have thousands of billions of VND from land rent reduction. Along with that are policies from reducing value added tax by 2%, extending tax payment deadlines, etc. These will be valuable supports for them to promote production and business activities.

Enterprises only need to submit a request for land rent reduction without having to attach land lease documents or land lease contracts as before.

For businesses that rent large areas of land, the 30% reduction in land rent is very meaningful to them. This year, it is even more meaningful because the procedures to enjoy this policy will be implemented in a simplified process. Businesses only need to submit a request for land rent reduction without having to attach land lease documents or land lease contracts as before.

The company rents more than 7 hectares of land to build factories. A 30% reduction in land rent can help them save billions of dong. In addition, the reduction in procedures is what the company feels most satisfied with.

Mr. Zhang You Qi, Director of Precision Craft Component Technology Vietnam Co., Ltd. said: "From the perspective of a business, it's great. We don't need to submit too many documents. Reducing land rent will help us reduce operating costs, contributing to reducing product prices."

Mr. Le Dai Quang - Deputy General Director of Supertex Textile Company shared: "Allowing tax exemption and tax extension is also a great motivation for the factory to try to promote and take advantage of the advantages to improve productivity and restore production better".

Previously, in the years from 2020 to 2023, to remove difficulties for businesses and people affected by the Covid-19 pandemic, the Ministry of Finance submitted to the Prime Minister decisions on reducing land rents. The total amount of land and water surface rents reduced on average in the years is nearly 3,000 billion VND/year. It is expected that the amount of land rent reduction in 2024 will also fall to 4,000 billion VND. This will be a valuable source of capital for businesses to take advantage of to recover and grow, especially small and medium enterprises.

Mr. Mac Quoc Anh, Vice President of the Hanoi Association of Small and Medium Enterprises, commented: "For small and medium enterprises, with limited scale, sales, and revenue, tax and fee reduction is extremely important. With this policy, we highly appreciate the Government's determination in the past and the coming time. Because it strongly touches the wishes of the business community. Enterprises will have their fixed costs reduced, because from fixed costs, enterprises can return to invest in production activities, scientific and technological innovation, and human resources."

It is expected that nearly 30,000 businesses and households will benefit from the 30% reduction in land rent. The tax authority will receive applications until May 31. Land users who submit applications after the deadline will no longer be eligible for this policy.

According to vtv.vn

Source: https://baokhanhhoa.vn/kinh-te/202504/gan-30000-doanh-nghiep-va-ho-gia-dinh-duoc-giam-30-tien-thue-dat-acb2da2/