Further 30% reduction in land rent for 2023.

Accordingly, the Prime Minister has just decided to reduce land rent for organizations, businesses, households, and individuals leasing land in 2023, subject to the following conditions, procedures, and formalities:

+ The entities eligible for land rent reduction are organizations, units, enterprises, households, and individuals who are directly leasing land from the State under Decisions, Contracts, or Certificates of Land Use Rights, Ownership of Houses and Other Assets Attached to Land issued by other competent state agencies in the form of annual land rent payments (collectively referred to as land lessees).

This regulation also applies to cases where the land lessee is not eligible for land rent exemption or reduction , where the exemption or reduction period has expired, and in cases where the land lessee is currently receiving land rent reduction under the provisions of land law and other relevant laws.

The infrastructure of WHA Industrial Park Phase 1 in Nghi Thuan commune, Nghi Loc district, has been fully developed and is ready for lease. Photo: Nguyen Hai

+ The land rent reduction is 30% of the land rent payable (revenue generated) for the year 2023 for the land lessees specified above; the reduction does not apply to outstanding land rent from years prior to 2023 and late payment penalties (if any). The above land rent reduction is calculated based on the land rent payable (revenue generated) for the year 2023 as stipulated by law.

In cases where the land lessee is already receiving a land rent reduction under other regulations or/and a deduction for compensation and land clearance costs as stipulated by the law on land rent, the 30% land rent reduction will be calculated on the amount of land rent payable (if any) after any reductions or deductions have been made as stipulated by law (excluding the amount of land rent reduced under Decision No. 01/2023/QD-TTg dated January 31, 2023 of the Prime Minister).

+ The application for land rent reduction includes : A request for land rent reduction for 2023 from the land lessee, using the form issued with this Decision. A copy of the land lease decision or land lease contract or Certificate of Land Use Rights, Ownership of Houses and Other Assets Attached to Land issued by the competent state agency. The land lessee is legally responsible for the truthfulness and accuracy of the information and their request for land rent reduction, ensuring that they are eligible for the reduction as stipulated in this Decision.

+ Procedures for reducing land rent:

Land lessees must submit one set of documents requesting a reduction in land rent in person, electronically, or by mail to the tax authority managing land rent collection (if outside the Economic Zone), the Economic Zone Management Board , the Industrial Park Management Board (if within the Economic Zone), and other agencies as prescribed by tax law, from the effective date of Decision No. 25/2023/QD-TTg (November 20, 2023) until March 31, 2024. The land rent reduction stipulated in Decision 25/2023/QD-TTg will not apply to land lease applications submitted after March 31, 2024.

Based on the land rent reduction application submitted by the land lessee as stipulated in Clause 1 above, within no more than 30 days from the date of receiving a complete and valid application, the competent authority shall determine the amount of land rent to be reduced and issue a decision on land rent reduction in accordance with the law on land rent collection and the law on tax management.

Businesses and household businesses leasing land in small industrial clusters also receive a reduction in land rent according to Decision No. 25/2023/QD-TTg. Photo: Nguyen Hai

In cases where a land lessee has been granted a land rent reduction by a competent authority in accordance with Decision No. 25/2023/QD-TTg, but the state management agency subsequently discovers through inspection and audit that the lessee does not qualify for the reduction, the lessee must reimburse the state budget the reduced land rent amount plus late payment interest calculated on the reduced amount in accordance with the law on tax management.

In cases where a land lessee has paid land rent for 2023, and after the competent authority determines and decides to reduce the land rent, an overpayment is incurred, the overpaid amount may be deducted from the land rent of the next period or the following year in accordance with the law on tax administration and other relevant laws; if there are no further periods for which land rent is due, the overpaid amount may be offset or refunded in accordance with the law on tax administration and other relevant laws.

The Decision takes effect from November 20, 2023; assigns the Ministry of Finance the responsibility for organizing the implementation and resolving any difficulties during the implementation of the Decision; and assigns the Minister and heads of ministerial-level agencies, and the Chairmen of provincial People's Committees to organize inspections, examinations, and promptly and strictly handle any violations in accordance with the law.

Source: https://baonghean.vn/giam-tiep-30-tien-thue-dat-nam-2023-post278566.html