Decree 71 specifically outlines the procedures and content for land valuation using four methods: comparison, income, surplus, and adjustment coefficient.
For cases of land allocation with land use fee collection, land lease with one-time rental payment for the entire lease period, where at the time of decision issuance, the adjustment coefficient method is applied, and for annual rental land leases, the land price table multiplied by the adjustment coefficient at the time of decision issuance is used.
If the decision issuance date falls between July 1, 2014, and December 31, 2014, and the adjustment coefficient method is applied, and for annual rental land leases, the land price table at the time of decision issuance multiplied by the 2015 adjustment coefficient is used.
For cases of land allocation with land use fee collection, land lease with one-time rental payment for the entire lease period, where the adjustment coefficient method is not applicable at the time of decision issuance, other methods will be applied.
Accordingly, for land allocation or lease according to compensation, support, and resettlement progress, specific methods will be applied depending on the case.
In such cases, when applying the surplus method for land valuation, if the land plot has sufficient conditions to estimate development revenue and costs, these are determined based on the area allocated or leased.
If full development revenue estimates cannot be made, or if estimated development costs exceed estimated revenue, the revenue and cost estimates will be based on the entire project as approved by competent authorities.
Article 257 of Decree 71 addresses financial issues for pending land projects.
For cases where decisions have been made on land allocation, lease, land use purpose change, annual to one-time rental payment conversion, land use extension, or detailed construction planning adjustments under the 2013 Land Law, but land price plans have not been presented to competent authorities, the policies for land use fees, rental, and pricing are determined at the decision issuance time.
For cases where competent authorities have allocated or leased land according to compensation, support, and resettlement progress, specific land prices are determined based on the time of each decision.
Decree 71 details factors influencing non-agricultural land prices, including location, site conditions, transport, water supply, electricity supply, area, dimensions, and shape of the land.
Additionally, construction planning factors like land use coefficient, building density, construction boundaries, building height limits, and the number of basement floors as approved by competent authorities affect land prices.
Agricultural land prices are influenced by crop and livestock productivity, the location and characteristics of the land, proximity to production and consumption sites, transport conditions, and land use duration.
Local Departments of Natural Resources and Environment, in coordination with relevant departments, will organize land valuation based on local conditions and submit proposals to provincial People’s Committees for specific regulations on influencing factors.
If provincial People’s Committees have not specified or are lacking regulations on influencing factors, the implementing organization will propose details in the land price plan report for the Land Price Appraisal Council's consideration.
Organizations managing information sources must provide data for land valuation within five working days upon request, either in writing or electronically.
Source: theleader
Compiled by VietnamCredit
