On September 21, the People’s Committee of Ho Chi Minh City issued a document to the heads of departments, branches, and the Chairman of the People’s Committee of Thu Duc City and related districts regarding the settlement of financial and land-related tax obligations in the city.
A view of Ho Chi Minh City.
The document clearly states that, considering the report and proposal of the City Tax Department, the suggestions of the Department of Natural Resources and Environment, and the unanimous opinion at the meeting of the City People’s Committee regarding the settlement of financial and land-related tax obligations from August 1, 2024, the People’s Committee has the following opinions:
During the period when the city has not yet issued a decision to amend and supplement Decision No. 02/2020/QD-UBND dated January 16, 2020, on issuing land price tables in accordance with the 2024 Land Law, the city still approves the use of the old land price table (the land price table issued in accordance with the 2013 Land Law) as implemented before August 1, 2024.
This application will be effective for settling financial and land-related tax obligations from August 1, 2024, until the issuance of a new decision.
The City People’s Committee assigns the City Tax Department to urgently coordinate with the Department of Natural Resources and Environment, the Department of Finance, and related units to resolve pending land-related dossiers arising from August 1, 2024, in accordance with the law. This includes calculating financial obligations, taxes, and other legal provisions such as land use fees, land rent, personal income tax from real estate transfer, and other land-related revenues…
The Department of Natural Resources and Environment and the City Tax Department are responsible for providing complete information to the Department of Information and Communications to continue coordinating with relevant agencies and units to promote communication activities. This includes clarifying the contents related to the construction of a decision to amend and supplement Decision No. 02/2020/QD-UBND in accordance with Clause 1, Article 257 of the 2024 Land Law and the implementation of financial and land-related tax policies from August 1, 2024, until the issuance of a new decision.
Previously, at the end of July 2024, Ho Chi Minh City announced its plan to apply an adjusted land price table from August 1, causing a stir among the public. The adjusted land price table, with increases ranging from five to fifty times the original price, aimed to align land prices with market values but also posed challenges for eleven affected groups.
Many residents agreed that the city’s land price adjustment was reasonable, but a clear roadmap was necessary to help them prepare.
Concerned about the potential surge in costs for changing land-use purposes, people in Ho Chi Minh City rushed to the Land Registration Offices to complete the necessary procedures.
However, from August 1 until now, despite the indecision over the new land price table, thousands of people’s tax dossiers have been put on hold by the Tax Sub-Departments, awaiting instructions from the City Tax Department on the calculation method.
According to the City Tax Department, from August 1 to August 27, a total of 8,808 land-related dossiers were received. These included 346 dossiers for land-use right recognition, 277 dossiers for land-use purpose changes, 5,448 dossiers for personal income tax from real estate transfers, and 2,737 dossiers for cases not incurring financial obligations.
These dossiers remain unresolved as the tax authorities await guidance on the new tax calculation method following the enforcement of the 2024 Land Law and Decree 103 from August 1.
To prevent further inconvenience to the public, on September 17, the Ho Chi Minh City Tax Department again proposed that the City People’s Committee hold an urgent meeting to agree on the land tax calculation method for dossiers arising from August 1. This was the third time in a month that the Tax Department had sent such a proposal to the City People’s Committee.
As of today (September 21), after nearly two months, the Ho Chi Minh City People’s Committee has finalized the plan: to accept the calculation of taxes according to the old land price table until the new adjusted land price table is officially issued.
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