Collecting opinions of enterprises and associations on the draft Land Law (amended); at the same time, synthesizing suggestions from researchers, organizations and individuals in the process of collecting comments via text, website vibonline.com.vn, Vietnam Confederation of Trade and Industry (VCCI) for that the draft is designing regulations on the mechanism of setting up the land fund to implement commercial housing projects in the direction of land recovery by the State to create an auction land fund. land use rights or bidding for projects using land for commercial housing projects using non-residential land.
At the same time, investors agree on the right to use residential land and non-residential land in order to change the land use purpose for implementation of urban projects, commercial housing, and rural residential areas. In this case, the State will not recover the land.
This is one of the content that receives great attention from businesses. Businesses think that for projects business HomeIn urban areas, the investor’s self-negotiation mechanism with land users is not feasible and makes the project difficult to implement. Because, in many cases, the site clearance will be “congested” just because one or a few households refuse to agree, or ask for too high a price. In fact, businesses cannot negotiate and negotiate with thousands of people in a big project. To be able to implement the project, enterprises need the State’s support in land acquisition.
On the other hand, the draft separation of State land recovery, based on the properties of the land as above, ie the State recovers land that is not residential land; investors agree on residential land and non-residential land… seems not suitable. Because, in some cases, the investor receives the transfer of non-residential land and these lands conform to the master plan and plan on land use as residential land but cannot carry out urban projects, commercial housing projects, because according to regulations that land must have a part of “residential land.” This is also a case of big problems in reality that businesses have reflected in the past few years.
To ensure the clearance of investment projects, enterprises ask the drafting agency to consider amending regulations on land fund creation in the direction of removing the phrase “using non-residential land” or ” residential land and non-residential land to change the land use purpose.” At the same time, the design of the mechanism involves the State’s intervention in land acquisition in case the investor cannot reach an agreement. With land users, it is possible to set a percentage of land that cannot be negotiated in which the State must intervene.
Along with that, review the provisions in the draft to ensure uniformity in determining the types of land to be recovered by the State, the types of land that investors are implemented according to the agreement mechanism.
[Khẩn trương tổng hợp Báo cáo kết quả lấy ý kiến dự thảo Luật Đất đai]
Regarding the content of the land price list, the draft stipulates the use of the land price list as a basis for calculating the starting price of the land use right auction, whereby “the land price list is built according to the location. For areas with digital cadastral maps and land price databases, a land price list shall be built up to each land parcel according to the value region and standard land plot.” The land price list is applied to “calculate the starting price for each land plot.” in the case of auction of land use rights for land allocation or land lease.” VCCI believes that these regulations need to be considered at many points.
The land price list is built annually, announced to apply from the beginning of the year, ie on January 1. The land price for auction is determined according to the technical information of the specific land plot and the specific time of valuation. The land plot to be auctioned is a clearly defined land plot with specific planning characteristics, which means that it must be determined according to a specific land price method to determine the right time. Therefore, the land price list is often “outdated” compared to the time of auction by about 1 year, especially for land locations with information on infrastructure investment planning, adjustment of administrative boundaries, changes in management models, and changes in land prices. administrative management such as from district to district…
Building a land price list close to the market price faces many challenges such as: the transaction price recorded in the contract can be adjusted according to the actual price, because the taxable price according to the land price list has been approved, but This data may not be enough to assemble into a database with a high level of confidence. Not to mention that it is very difficult to exclude the factors that form the total transaction value of real estate that are determined as the basis for building a land price list such as the value of assets on the land, irregular land plots or illegal transactions. market. For commercial service land, there will be almost no information on successful transactions on the market in the vicinity during the time period when the land price list is developed.
Regulations on land price lists also raise concerns about whether they are close to the market price, so some businesses are asking the drafting agency to consider not to stipulate the land price list as a basis. determine the starting price for auction of property rights.
As for the land price for calculating land rent and paying annual land rent, the draft stipulates: “For non-agricultural land use tax calculation, land rent calculation and annual land rental payment, the land price shall be the land price. to calculate the non-agricultural land use tax, calculate the land rent and pay the annual land rent stably within 5 years.”
As reflected above, one of the concerns of enterprises when adjusting regulations on cases where the State leases land with one-off payment for the entire lease period to the State leases land with annual payment is the risk to business financial plan when the risk of land rent is increased.
According to the draft regulations, although the regulation for calculating the annual land rent payment is stable for 5 years, there is no limit for subsequent increases. This will create risks for investors and significantly affect business operations.
Faced with this fact, the VCCI proposed the drafting agency to consider adding an adjustment limit for annual land rent increase (may consider regulations in the direction of the maximum growth rate not exceeding 1.2 times the inflation rate). or limit the rate of increase compared to the land rent paid in the first 5 years).
Ngoc Quynh (VNA/Vietnam+)