HƯỚNG DẪN CÁCH TÍNH TIỀN NỘP BỔ SUNG KHI GIA HẠN DỰ ÁN / GUIDANCE ON THE CALCULATION OF ADDITIONAL P

According to the law, upon the expiry of the land use term in investment projects, if the investors wish to continue implementing the project, they must carry out procedures for extending the land use term. In cases where the State approves the extension, the investors shall be required to make an additional payment in accordance with the law. In addition, clause 8 Article 81 of the Land Law 2024 states that: 

“8. If the State allocates, leases out land, permits land repurposing, recognizes LURs, receives LURs by conveyance for execution of an investment project but the land is not used for 12 consecutive months from the date of actual land receipt (or the land use is behind schedule by 24 months if land is not put into use or put into use behind schedule), the investor shall be given a land use deferral of up to 24 months and has to pay the State an amount equal to land levy and land rent accrued over the deferral period. If the investor does not put the land into use upon expiration of the deferral period, the State will repossess the land without land-related recompense, property affixed to the land, and the residual land value”.

Therefore, based on the aforementioned regulations, if the investment projects fall behind schedule in land use, the investor shall carry out procedures to request an extension of the land use term and make an additional payment as prescribed by law. According to the guidelines under Article 15 of Decree No. 103/2024/ND-CP, additional payment upon project extension as prescribed in clause 8 Article 81 and point dd clause 1 Article 153 of the Land Law 2024 is calculated as follows: 

If the project developer is permitted to extend the land use term of a project according to the provisions of clause 8 Article 81 of the Land Law, in addition to the land levy payable, an additional amount must be paid to the State calculated as follows: 

Note:

- If the extended period of time has an incomplete month, the incomplete month shall be rounded up to 01 month if it is 15 days or more, and rounded down to 0 month (no additional payment) if it is less than 15 days

- The regulations on deduction of budget for recompense, support and resettlement and the regulations on exemption and reduction of land levies do not apply to the amount specified in Clause 1 Article 15 of Decree No. 103/2024/ND-CP. 

Example: The investor of the Vincom commercial and service Urban Area project located in Truong Vinh ward, Nghe An province, wishes to extend the land use term for an area of 2,000 square meters for a period of 15 months, the land price, according to the land price list issued by the People’s Committee of Nghe An province at the time when the competent State authority issues the decision on land use term extension, is 12,500,000 VND/m2. Calculating the additional payment due upon project extension.

Apply the aforementioned formula, we have:

Additional payment = 2,000 m2 x 12,500,000 x 2% x 15 = 625,000,000 VND 

To conclude, the additional payment upon project extension in this case is 625,000,000 VND.