Decision No. 09/2018/QD-UBND dated March 15, 2018 on Ho Chi Minh City’s land price coefficients in 2018

DECISION

ON HO CHI MINH CITY’S LAND PRICE COEFFICIENTS IN 2018

PEOPLE'S COMMITTEE OF HO CHI MINH CITY

Pursuant to the Law on Local Government Organization dated June 19, 2015;

Pursuant to the Land Law dated November 29, 2015;

Pursuant to the Government’s Decree No. 43/2014/ND-CP dated May 15, 2014 detailing a number of articles of, and providing measures for implementing, the Land Law;

Pursuant to the Government’s Decree No. 44/2014/ND-CP dated May 15, 2014 on Land Price;

Pursuant to the Government’s Decree No. 45/2014/ND-CP dated May 15, 2014 on Collection of Land levy;

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Pursuant to the Government’s Decree No. 104/2014/ND-CP dated May 15, 2014 on Land Price Bracket;

Pursuant to the Government’s Decree No. 135/2016/ND-CP dated September 9, 2016 amending a number of Articles in Decrees on collection of land levy, land rent and water surface rent;

Pursuant to the Government’s Decree No. 01/2017/ND-CP dated January 6, 2017 amending a number of Articles of Decrees on Land Law implementation;

Pursuant to the Government’s Decree No. 123/2017/ND-CP dated November 14, 2016 amending a number of Articles in Decrees on collection of land levy, land rent and water surface rent;

Pursuant to the Ministry of Finance’s Circular No. 76/2014/TT-BTC dated June 16, 2014 providing guidance on a number of articles of the Government’s Decree No. 45/2014/ND-CP dated May 15, 2014 on Collection of Land levy;

Pursuant to the Ministry of Finance’s Circular No. 77/2014/TT-BTC dated June 16, 2014 providing guidance on a number of articles of the Government’s Decree No. 46/2014/ND-CP dated May 15, 2014 on Collection of Land Rent and Water Surface Rent;

Pursuant to the Ministry of Natural Resources and Environment’s Circular No. 36/2014/TT-BTNMT dated June 30, 2014 detailing methods of land pricing; land price list formation and adjustment; specific land pricing and land price consultancy;

Pursuant to the Ministry of Finance’s Circular No. 332/2016/TT-BTC dated December 26, 2016 amending a number of Articles in the Ministry of Finance’s Circular No. 76/2014/TT-BTC dated June 16, 2014 providing guidance on a number of articles of the Government’s Decree No. 45/2014/ND-CP dated May 15, 2014 on Collection of Land levy;

Pursuant to the Ministry of Finance’s Circular No. 333/2016/TT-BTC dated December 26, 2016 amending a number of Articles in the Ministry of Finance’s Circular No. 77/2014/TT-BTC dated June 16, 2014 providing guidance on a number of articles of the Government’s Decree No. 46/2014/ND-CP dated May 15, 2014 on Collection of Land Rent and Water Surface Rent;

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Pursuant to the Standing People’s Committee of Ho Chi Minh City’s Official Dispatch No, 71/HĐND-KTNS dated February 22, 2018 on Ho Chi Minh City’s land price coefficients in 2018;

Pursuant to the Department of Finance’s and the Department of Natural Resources and Environment’s Document No. 9702/TTr-STC-STNMT dated December 8, 2017; the Department of Justice’s Official Dispatch No. 19415/STP-VB dated December 1, 2017; the Department of Finance’s Official Dispatch No. 1164/STC-BVG dated March 1, 2018 and Official Dispatch No. 1269/STC-BVG dated March 6, 2018,

HEREBY DECIDES:

Article 1. Scope and regulated entities

This Decision regulates land price coefficients in 2018 for determination of specific land prices, applying to the cases specified in Points a, b, c and d, Clause 4, Article 114, Clause 2, Article 172 and Clause 3, Article 189 of the Land Law, where a housing project’s land plot/land area has a value under VND 30 billion (calculated using the land price table published by people's committee of the city; the starting price for land use rights auction, in the case of a housing project’s land plot/land area, given by the state with land levy or single-collection rent, that has a value under VND 30 billion (calculated using the land price table); the land leased by the state with annual-collection rent for business, service, real estate and mining of precious minerals which has a value under VND 30 billion (calculated using the land price table), requiring re-calculation of unit land rent for the next cycle; the annual rent (for cases other than business, service, real estate and mining of precious minerals); the starting price for land use rights auction in case of land being leased by the state with annual rent collection; determination of land use rights’ value for calculation of overall property price when the land is transferred to a public service provider as specified in Clause 2, Article 10 of the Ministry of Finance's Circular No. 23/2016/TT-BTC dated February 16, 2016.

Article 2. Land price coefficients

The application of land price coefficients vary according to subject groups, zones and factors driving land prices as follows:

1. Group 1: For households and individuals who are granted land use rights by the state and allowed to change land use from non-residential to residential, with the land area exceeding the limit: The land price coefficient shall be 1.1 times the land price specified and published by the People’s Committee of the city.

2. Group 2: For determination of the first stable cycle's annual land rent; determination of annual land rent after adjustment to the unit rent for the next stable cycle; determination of starting price in land use rights auction for rent with annual collection; determination of unit land rent in transfer of the rented land’s property as specified in Clause 3, Article 189 of the Land Law: The land price coefficients vary according to land use purposes and zones:

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Zone 1

Zone 2

Zone 3

Zone 4

Zone 5

Business, service; finance; restaurant; hotel; house for rent; office for personal use or for rent.

2.1

1.9

1.7

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1.3

- Industry, handicraft; warehouse, workshop; mining; production of building materials or pottery; commercial public building; supermarket, fair-price shop, gas station.

- Infrastructure for transfer or rent in industrial parks, export processing zones; workers’ residence; port, bus station, train station, airport, airport infrastructure; waste transfer station, trash compactor depot; agriculture, forestry, aquaculture, salt production. 

1.3

1.2

1.15

1.1

1.1

The aforementioned zones are identified as follows:

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- Zone 2 consists of: Districts 6 and 7, Go Vap, Binh Thanh and Tan Phu Districts;

- Zone 3 consists of: Districts 2, 8, 9 and 12, Binh Tan and Thu Duc Districts;

- Zone 4 consists of: Binh Chanh, Cu Chi, Nha Be, Hoc Mon Districts;

- Zone 5: Can Gio District.

3. Group 3: For organizations given land with levy by the state without land use rights auction, granted land use rights and allowed to change land use; households and individuals given land by the state without land use rights auction; determination of single-collection auction-free unit land rent; determination of unit land rent when changing from annual collection to single collection as specified in Clause 2, Article 172 of the Land Law; determination of single-collection unit land rent when privatization occurs; determination of land use rights’ value for calculation of overall property price when the land is transferred to a public service provider as specified in Clause 2, Article 10 of the Ministry of Finance's Circular No. 23/2016/TT-BTC dated February 16, 2016; the starting price in land use rights auction, in the case of land given by the state with land levy or single-collection rent: The land price coefficients vary according to the zones as follows:

- Zone 1: The land price coefficient shall be 2.1 times the land price specified and published by the People’s Committee of the city;

- Zone 2: The land price coefficient shall be 1.9 times the land price specified and published by the People’s Committee of the city;

- Zone 3: The land price coefficient shall be 1.7 times the land price specified and published by the People’s Committee of the city;

- Zone 4: The land price coefficient shall be 1.5 times the land price specified and published by the People’s Committee of the city;

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4. The land price coefficients mentioned in Clauses 1, 2 and 3 of this Article shall be adjusted according to the location and land use coefficient of the land plot/land area:

a) If the land plot/land area borders two main streets (which are named in the land price table) or more, the land price coefficient specified in Clauses 1, 2 and 3 of this Article shall be increased by 10%.

b) If the land plot/land area is used for any purposes specified in Clauses 2 and 3 of this Article, the land price coefficient shall be increased according to its land use coefficient as follows:

- If the land plot/land area has a land use coefficient below 6.0 or the coefficient is not determined, one of the land price coefficients specified in Clauses 2 and 3 of this Article can be applied;

- If the land plot/land area has a land use coefficient from 6.0 to below 8.0, the land price coefficient specified in Clauses 2 and 3 of this Article shall be increased by 5%;

- If the land plot/land area has a land use coefficient from 8.0 to below 10.0, the land price coefficient specified in Clauses 2 and 3 of this Article shall be increased by 10%;

- If the land plot/land area has a land use coefficient from 10.0 to below 12.0, the land price coefficient specified in Clauses 2 and 3 of this Article shall be increased by 15%;

- If the land plot/land area has a land use coefficient from 12.0 to below 14.0, the land price coefficient specified in Clauses 2 and 3 of this Article shall be increased by 20%;

- If the land plot/land area has a land use coefficient from 14.0 to below 16.0, the land price coefficient specified in Clauses 2 and 3 of this Article shall be increased by 25%;

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c) If the land plot/land area meets both conditions in Points a and b of this Article, the land price coefficient shall be adjusted in accordance with Point a first, then Point b.

Article 3. Responsibilities of departments, regulatory bodies and People’s Committees of districts

1. The Department of Finance and the Department of Natural Resources and Environment have the responsibility to: On an annual basis, cooperate with other Departments and regulatory bodies of the city, alongside People’s Committees at district and commune levels in presenting the city's People's Committee with land price coefficients adapted to current conditions.

2. The city’s Taxation Department and Taxation Branches at district and commune level have the responsibility to: Determine and collect levy and rent, based on the land price coefficients specified in this Decision and relevant regulations of law.

3. The People’s Committees of districts have the responsibility to:

a) Direct the Natural Resources and Environment Division, Finance Division, Taxation Branches and commune People’s Committees to cooperate with related district-level authorities in determination and collection of levy and rent in accordance with this Decision and relevant regulations of law;

b) Inspect and take action against violations, settle complaints and denunciations related to determination and collection of levy and rent within their competence.

Article 4.During the implementation of this Decision, should any complication arises, the district People’s Committee shall promptly inform the relevant Departments and regulatory bodies for instructions; if the complication is beyond those authorities' competence, they shall inform the city's People's Committee for consideration and decision.

Article 5. Effect

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2. This Decision replaces Ho Chi Minh City’s People’s Committee’s Decision No. 19/2017/QD-UBND dated March 23, 2017 on Ho Chi Minh City’s Land Price Coefficients In 2017.

Article 6.The chief of Ho Chi Minh City’s People’s Committee Office, directors of the city’s departments and regulatory bodies, chairpersons of district and commune People’s Committees, other related organizations and individuals have the responsibility to implement this Decision./.

ON BEHALF OF THE PEOPLE’S COMMITTEE
ON BEHALF OF THE CHAIRMAN
VICE CHAIRMAN




Tran Vinh Tuyen