New points of the 2024 Land Law have a direct impact on businesses

Friday, June 21, 2024 | 11:49:53

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On the morning of June 21, the Provincial Business Association organized a conference to disseminate, popularize and educate the law with the topic "New points of the 2024 Land Law directly related to production and business activities of enterprises" for the business community and enterprises in the province.

The reporter conveyed the contents at the conference.

Delegates listened to Mr. Phan Duc Hieu, Standing Member of the Economic Committee of the 15th National Assembly, conference reporter, disseminate the basic contents of the 2024 Land Law with 5 groups of contents including protecting the legitimate rights and interests of land users; access to land with market factors, transparency, fairness; improving land use efficiency; effectiveness and efficiency of state management of land. In particular, businesses were reminded of 4 new provisions of the 2024 Land Law that directly impact the business community and the business investment environment.

Conference delegates.

Specifically, regarding land valuation, the provincial People's Committee will develop a land price list and submit it to the provincial People's Council to make a decision on the first land price list. The law specifically stipulates 32 cases in which the State will reclaim land for socio-economic development purposes; for other projects, investors must proactively negotiate with people to determine a reasonable compensation level. The 2024 Land Law allows enterprises to flexibly pay land rent, specifically stipulated in Clause 2, Article 30: "Economic organizations, individuals, people of Vietnamese origin residing abroad, and economic organizations with foreign investment capital that are currently leasing land from the State and paying land rent at one time for the entire lease term may choose to switch to leasing land and paying land rent annually. The land rent paid will be deducted from the annual land rent payable according to Government regulations.".

A new point that businesses need to pay attention to is that Clause 8, Article 81 of the 2024 Land Law stipulates that the State will reclaim land from enterprises if: “The land is allocated, leased, permitted to change the purpose of use, recognized by the State, or transferred to implement an investment project but is not used within 12 consecutive months from the date of receiving the land handover in the field. The land use progress is 24 months behind the progress recorded in the investment project. In case the land is not put into use or the project progress is behind schedule, the investor is allowed to extend the land use period for no more than 24 months and must pay the State an additional amount of money corresponding to the land use fee and land rent for the extended period. After the above extension period, if the investor has not put the land into use, the State will proceed to reclaim the land without compensation for the land, assets attached to the land and remaining land investment costs.”.

The Provincial Business Association hopes that the important knowledge disseminated at the conference will help the business community and enterprises in the province raise awareness and understanding of land laws, apply them to practice in the investment process, organize production and business proactively and effectively in the coming time.

Khac Duan

Source: https://baothaibinh.com.vn/tin-tuc/4/202043/nhung-diem-moi-cua-luat-dat-dai-nam-2024-tac-dong-truc-tiep-toi-doanh-nghiep