Decree No. 43/2014/ND-CP dated on May 15th 2014 detailing a number of articles of the Land Law, Decree No. 44/2014/ND-CP dated on May 15th 2014 regulating land prices, and Decree No. 47/2014/ND-CP dated on May 15th 2014 regulating compensation, support and resettlement upon land expropriation by the State.
Decree 01 is highlighted as follows:
- Provisions on lease of assets attached to land which is paid annually: Organizations, overseas Vietnamese, foreign invested enterprises lease land from the State pay annual rent; Land leased or land transfered in industrial parks, export processing zones, industrial clusters or craft villages that is annual paid and have been issued with certificates shall be entitled to lease assets attached to land which have been lawfully created if all the conditions specified by the law on real estate business are met.
- Specifying the conditions for land use right transfer associated with the transfer of part or whole of projects which are not projects on construction of housing or infrastructure to transfer or lease. Include:
+ Conditions specified in Clause 1, Article 188 of the Land Law.
+ The investor must fulfill the financial obligations related to the land of the project, including land use fees and land rent, tax, charges and fees related to land (if any)
- Supplementing the provisions on using land with regards to the purchase, sale, transfer of shares and capital contribution in the enterprise, whereby:
Where there is no change on the land user, the owner of assets attached to land, the enterprise does not have to conduct procedures for registration of change of land and assets attached to land.
Where there is a change on the land user, the owner of assets attached to land, enterprise must conduct procedures for land use transfer, registration of change of land and assets attached to land as well as financial obligations within 30 days as from purchase, sale, transfer of shares and capital contribution in the enterprise. For foreign-invested enterprises, the land use duration shall comply with the term of the project but must not exceed the time limit prescribed in Clause 3, Article 126 of the Land Law.
In addition, the Decree also provides for the treatment of LUR being leased or mortgaged when the State recovers land; Land recovery due to violation of land use progress, failure to fulfill land users’ obligations; the case where the project is terminated in accordance with the law on investment; Shorten the 1/3 to 1/2 of time taken for land-related procedures...
Decree 01 takes effect as from March 3rd 2017.