Chương 1 Nghị định 188/2004/NĐ-CP: Những quy định chung

Chapter I

GENERAL PROVISIONS

Article 1.- Objects of regulation

This Decree prescribes methods of determining land prices, assorted-land price brackets and valuating specific land categories in localities.

Article 2.- Scope of application

1. Land prices decided by the People’s Committees of the provinces or centrally run cities (hereinafter called the provincial-level People’s Committees for short) under the provisions of this Decree shall be used as basis for:

a) Calculating tax on land use and land use right transfer according to law provisions;

b) Calculating land use levies and land rents upon land assignment, land lease without going through auctions of land use rights or bidding for projects involving land use, for the cases prescribed in Articles 34 and 35 of the 2003 Land Law;

c) Calculating the land use right value when land is assigned without the collection of land use levies to organizations, individuals in the cases prescribed in Article 33 of the 2003 Land Law;

d) Determining the land use right value for calculation into the value of assets of State enterprises upon their equitization, with the selection of form of land assignment with the collection of land use levies under the provisions in Clause 3, Article 59 of the 2003 Land Law;

e) Calculating the land use right value to collect fees for registration of land use right transfer according to law provisions;

f) Calculating the land use right value for payment of compensations when the State recovers land for use for defense, security, national interest, public interest and/or economic development purposes as prescribed in Articles 39 and 40 of the 2003 Land Law;

g) Calculating damages to be paid by persons who have committed acts of violating land legislation, thus causing damage to the State as provided for by law.

2. In cases where the State assigns or leases land in form of land use right auction or bidding for projects involving land use, the auction or bid winning prices must not be lower than the prices decided by the provincial-level People’s Committees as provided for in this Decree.

3. This Decree shall not apply to cases where the land use right possessors reach agreement on land prices when exercising the right to transfer, lease or sublease their land use rights; or to contribute capital with the land use rights.

Article 3.- Interpretation of terms and phrases

In this Decree, the following terms and phrases shall be construed as follows:

1. Rural land region classification means the determination of land fund which embraces categories of land with similar soil, adaphic and climatic conditions in the region, and thereby the categorization of land in the delta, midland and mountain regions for price determination.

2. The actual market price of land use right transfer under normal conditions means the amount of VNdong calculated on a land acreage unit formulated from the results of common actual transactions between people who wish to transfer and people who wish to be transferred without being affected by such factors as price rise due to accumulation, change of planning, transfer under conditions of coercion, blood relations.

3. Land in adjacent areas between provinces, centrally run cities mean land areas bordering on each other at the administrative boundaries between provinces, centrally run cities.

4. Adjacent land means land areas adjacent to each other, successive to land areas already determined.