Circular No. 333/2016/TT-BTC amending and supplementing certain articles of Circular No. 77/2014/TT-BTC dated June 16, 2014 guiding some provisions of Decree No. 46/2014/NĐ-CP dated May 15, 2014 of the Government on land rent and water surface rent collection.

CIRCULAR

AMENDMENTS AND SUPPLEMENTS TO CERTAIN ARTICLES OF CIRCULAR NO. 77/2014/TT-BTC DATED JUNE 16, 2014 GUIDING CERTAIN PROVISIONS OF DECREE NO. 46/2014/NĐ-CP DATED MAY 15, 2014 OF THE GOVERNMENT ON THE COLLECTION OF LAND RENT AND WATER SURFACE RENT

The Government issues this Decree on management and development of industrial clusters.

Pursuant to Decree No. 46/2014/NĐ-CP dated May 15, 2014 of the Government on the collection of land rent and water surface rent;

Pursuant to Decree No. 118/2015/NĐ-CP dated November 12, 2015 of the Government detailing and guiding the implementation of certain Articles of the Investment Law;

Pursuant to Decree No. 135/2016/NĐ-CP dated September 9, 2016 of the Government amending and supplementing certain provisions of decrees on the collection of land use fee, land rent, and water surface rent;

Pursuant to Decree No. 215/2013/NĐ-CP dated December 23, 2013, promulgated by the Government stipulating the functions, tasks, powers, and organizational structure of the Ministry of Finance;

At the proposal of the Director of the State Asset Management Agency,

The Minister of Finance issues this Circular amending and supplementing certain Articles of Circular No. 77/2014/TT-BTC dated June 16, 2014 guiding certain provisions of Decree No. 46/2014/NĐ-CP dated May 15, 2014 of the Government on the collection of land rent and water surface rent.

Article 1. Amend

"3. Determination of the initial auction price for the right to use leased land

a) In the case of auctioning the right to use leased land with annual land rent payments:

- The initial price for auctioning the right to use leased land with annual land rent payments is the annual land rent rate determined by the financial authority based on the land price in the Land Price Table, the land price adjustment factor, and the percentage rate for determining the annual land rent rate issued of the National Assembly; by the provincial people's committee.

- The land price adjustment factor and the percentage rate for determining the initial price are the land price adjustment factor and the percentage rate issued of the National Assembly; by the provincial people's committee to determine the annual land rent rate Industry and in cases where land is leased without going through an auction process. In cases where the plot of land or area being auctioned is located in urban areas, commercial centers, service areas, transportation hubs, concentrated residential areas with special profitability and advantages for production, business, trade, and services, the Department of Finance shall report to of the National Assembly; the provincial people's committee for a decision to adjust the land price adjustment factor and the percentage rate to determine the initial price based on actual conditions at the local level.

- If the lease term of the plot of land or area being auctioned is shorter than the lease term of the same type of land with the same purpose in the Land Price Table, the land price for determining the initial price specified in this Point shall be determined according to the following formula:

Lease term of the same type of land with the same purpose in the Land Price Table as prescribed by the Government regarding land prices and any subsequent amendments and supplements (if applicable).

- The announcement of the winning bid rent rate and the amount of rent payable shall be carried out in accordance with the provisions of Joint Circular No. 88/2016/TTLT/BTC-BTNMT dated June 22, 2016 of the Ministry of Finance and the Ministry of Natural Resources and Environment on the dossier and procedures for receiving and circulating dossiers to determine the financial obligations of land users.

b) In the case of auctioning land leases with a lump sum payment for the entire lease period:

- For plots of land or areas being auctioned where the area subject to land rent (based on the land price in the Land Price Table) is less than 30 billion VND for central cities; less than 10 billion VND for mountainous and highland provinces; less than 20 billion VND for other provinces, the initial price for auctioning the right to use the land is the specific land price for the lease term determined by the financial authority based on the land price with the same purpose in the Land Price Table and the land price adjustment factor issued of the National Assembly; by the provincial people's committee. Adjustments to the land price adjustment factor to determine the initial price; determination of the initial price in Not deposited into temporary account cases where the lease term is shorter than the lease term of the same type of land with the same purpose in the Land Price Table; announcement of the winning bid price and collection of the winning bid amount are carried out in accordance with the provisions of Point a Clause 3 of this Article.

- In case For plots of land or areas being auctioned where the area subject to land rent (based on the land price in the Land Price Table) is 30 billion VND or more for central cities; 10 billion VND or more for mountainous and highland provinces; 20 billion VND or more for other provinces, the initial price is the specific land price for the lease term determined by the Department of Natural Resources and Environment, transferred to the Appraisal Committee for Land Prices of the locality, chaired by the Department of Finance, to organize the appraisal. The land price appraisal is carried out in accordance with Joint Circular No. 87/2016/TTLT-BTC-BTNMT dated June 22, 2016 of the Ministry of Finance and the Ministry of Natural Resources and Environment guiding the appraisal of draft land price tables by the Land Price Appraisal Committees and the appraisal of land price plans by the Land Price Appraisal Committees.

c) In the case of auctioning land leases for underground construction projects (not part of above-ground construction projects), the initial price is determined by multiplying (x) the specific land price for the lease term as stipulated in Points a and b of this Clause with the specific underground construction land rent rate set of the National Assembly; by the provincial people's committee in accordance with Point c Clause 1 Article 5 of Decree No. 46/2014/NĐ-CP.

d) In the case of auctioning the right to use leased land for water surface land as defined in Article 10 of the Land Law 2013, it is determined as follows:

- For the portion of land without water surface, the initial price for auctioning the right to use the land is determined in accordance with Points a and b of this Clause.

- For the portion of land with water surface, the initial price for auctioning the right to use the land is determined in accordance with Points a and b of this Clause multiplied (x) by the specific collection rate set of the National Assembly; by the provincial people's committee in accordance with Point c Clause 1 Article 6 of Decree No. 46/2014/NĐ-CP.

đ) The Chairman of the National Assembly; of the provincial people's committee approves or delegates or decentralizes approval to the Director of the Provincial Department of Finance, or the Chairman of the National Assembly; of the district people's committee approves the initial price for auctioning the right to use leased land. of the National Assembly; e) For applications for determination of the initial price for auctioning the right to use leased land that have been accepted by competent authorities before November 15, 2016 (the date Decree No. 135/2016/NĐ-CP took effect), such authorities continue to take the lead in implementing.”

e) For applications requesting to determine the initial auction price for the lease of land use rights that were received by competent state agencies before November 15, 2016 (the date on which Decree No. 135/2016/NĐ-CP took effect), such agencies shall continue to be responsible for implementing them.

Article 2. Supplement Clause 2a, Clause 10, Clause 11, Clause 12 as follows:

1. Supplement Clause 2a as follows:

"2a. In cases where households or individuals acquire the lawful transfer of agricultural land use rights to implement investment projects in accordance with approved land use plans and plans, and must change the purpose of land use after acquisition and fulfill financial obligations for land rent payments, the handling of transfer payment shall be carried out in accordance with the provisions of Clause 2 of this Article."

2. Supplement Clause 10 as follows:

"10. In cases where the State leases land on an annual payment basis but has completed financial obligations for several years due to deductions from advance compensation, relocation, or transfer payment amounts from land use rights into the land rent payable according to the law, when transferring to lease land on a lump-sum payment for the remaining lease period without changing the land use purpose, the amount of land rent payable shall be determined as follows:

a) The lump-sum land rent rate for the remaining lease period (after deducting the time already completed financial obligations but not yet deducted) shall be determined in accordance with the provisions of Clause 2 of Article 4 of Decree No. 46/2014/NĐ-CP at the time the competent state agency permits the transfer to a lump-sum payment for the remaining lease period.

b) The amount of land rent payable shall be calculated by multiplying the area subject to land rent payment by the land rent rate specified in Point a of this Clause."

3. Supplement Clause 11 as follows:

"11. In cases where the extension of the land use period is provided for in Point i, Clause 1, Article 64 of the Land Law 2013, in addition to the land rent payable as prescribed, the land user must pay additional amounts during the extended period as follows: during the extended period as follows:

a) For Not deposited into temporary account annual land rent and has been determined by the competent state agency according to the law, the additional amount payable by the land user shall be equal to the annual land rent payable for the area subject to rent multiplied by the extended period. 2. Provincial People's Committees and centrally administered city people's committees shall be responsible for: b) For cases of annual land rent where the competent state agency has not determined the land rent rate or for lump-sum payment for the entire lease period, the additional amount payable by the land user shall be equal to the land price with the same purpose as stipulated in the Land Price Table multiplied by the land price adjustment factor multiplied by the percentage rate for determining the land rent rate multiplied by the area subject to rent multiplied by the extended period at the time the competent state agency permits the extension of the land use period.

c) The additional amount payable according to Points a and b of this Clause shall be collected once within thirty days from the date the competent state agency issues the extension of the land use period. In cases where the investor accelerates the project implementation progress and puts the land into use before the end of the extended period, the corresponding amount paid for the remaining extended period shall be considered an overpayment and handled according to the law on tax management. The determination of the land use commencement date or project implementation progress shall be carried out in accordance with the guidance of the natural resources and environment authority. d) The tax authority shall base on the document issued by the competent state agency permitting the extension of the land use period to determine and notify the additional amount payable by the land user as prescribed in Points a and b of this Clause within fifteen days from the date of receipt of the land use period extension document from the competent state agency.".

4. Supplement Clause 12 as follows:

"12. In cases where the State leases land but does not put the land into use or delays the land use progress compared to the schedule stated in the investment project and does not fall under the category eligible for land use period extension or falls under the category eligible for land use period extension but does not complete the procedures to obtain an extension or has exceeded the land use period extension according to Point i, Clause 1, Article 64 of the Land Law 2013 and still does not put the land into use and the State has not made a decision to reclaim the land; in addition to the land rent payable as prescribed, the land user must pay additional amounts as follows:

a) In cases where they do not fall under the category eligible for land use period extension or fall under the category eligible for land use period extension but do not complete the procedures to obtain an extension:

annual land rent and has been determined by the competent state agency according to the law, the additional amount payable by the land user during the period of non-use shall be determined based on the annual land rent payable.

annual land rent where the competent state agency has not determined the land rent rate or for lump-sum payment for the entire lease period, the additional amount payable by the land user during the period of non-use shall be determined based on the annual land rent payable. The annual land rent payable shall be determined by multiplying the land price with the same use purpose as stipulated in the Land Price Table by the land price adjustment factor by the percentage rate for determining the land rent rate by the area subject to rent. during the - The period of non-use shall be calculated from the date the State leases the land until the date the State makes a decision to reclaim the land, minus the maximum construction period of up to three years (for cases where the State leases the land before July 1, 2014) and up to two years (for

- In case cases where the State leases the land from July 1, 2014 onwards).

- In case eligible for land use period extension but when the extension period ends, the State has not made a decision to reclaim the land, the additional amount payable during the period of non-use shall be determined according to the provisions of Point a of this Clause. The period of non-use shall be determined according to the provisions of Point a of this Clause minus the extended period for which additional payments have been made according to Clause 11 of this Article."

- The period during which the land is not put into use shall be calculated from the date when the State leases the land until the date when the State makes a decision to reclaim the land, minus the maximum construction period exempted, not exceeding three (3) years (for cases where the State leased the land before July 1, 2014) and not exceeding two (2) years (for cases Not deposited into temporary account where the State leased the land from July 1, 2014 onwards).

b) In case If the time for using the land is extended but the State has not made a decision to reclaim the land by the end of the extension period, the additional amount of rent payable for the period during which the land was not put into use shall be determined according to the provisions of Point a of this Clause. The period during which the land was not put into use shall be determined according to the provisions of Point a of this Clause, minus the period of extension for which additional rent has been paid according to the provisions of Clause 11 of this Article.

c) In case government management agencies, inspection bodies, auditing bodies shall issue documents to the tax authority regarding land users who have been leased land by the State but have not put the land into use or have delayed the progress of land utilization. The tax authority shall, together with the natural resources and environment authority, determine and notify the amount of money payable as prescribed in Point a and Point b of this Clause along with the annual land rent payment notification period stipulated in Clause 3 and Clause 4 of Article 7 of this Circular until the competent state authority issues a decision to reclaim the land according to the provisions of the law on land. coordinate The land user shall submit a document requesting to return the land in accordance with the provisions of the law on land, then they will not be required to pay the additional amount prescribed in Point a and Point b of this Clause from the time the competent state authority receives the document requesting to return the land until the time the decision to reclaim the land is issued.

d) In case Supplement Paragraph 4 as follows:

Article 3. Supplement Paragraph 4, Paragraph 4a as follows:

1. Supplement Paragraph 4 as follows:

"4. In cases where the State leases land for annual land rent payments and the land user has fulfilled financial obligations for some years due to deductions of compensation and clearance costs prepaid or transfer fees for land use rights into the land rent payable according to the law, when transferring the project or transferring assets belonging to them on the leased land according to the law, the transferee shall inherit and continue to deduct remaining compensation and clearance costs or transfer fees for land use rights corresponding to the time already converted but not fully deducted from the total land rent payable."

2. Supplement Paragraph 4a into Article 6 as follows:

"4a. In cases where the investment project (granted land, leased land without auctioning according to the Land Law in 2013) has a mixed land use form (granting land with land use fee, granting land without land use fee, leasing land), if the investor voluntarily pre-pays compensation and clearance costs, the deduction of compensation and clearance costs according to the approved plan by the competent state authority shall be calculated separately for each type of area. The compensation and clearance costs for the part of the area used for public purposes granted without land use fee shall be allocated to the parts of the areas subject to land use fee and land rent according to the proportion of each part in the total area required to pay land use fee and land rent for deduction according to the regulations; any remaining compensation and clearance costs (if any) shall be included in the project's investment capital.

The allocation of compensation and clearance costs as prescribed in this Paragraph shall not be applied to the land area for underground construction projects (not being the underground part of surface construction projects) or the underground part of surface construction projects that exceed the surface land area.

Example:

Project A urban area has a total area d) The tax authority shall base on the document issued by the competent state agency permitting the extension of the land use period to determine and notify the additional amount payable by the land user as prescribed in Points a and b of this Clause within fifteen days from the date of receipt of the land use period extension document from the competent state agency." of 100 hectares; of which: d) The tax authority shall base on the document issued by the competent state agency permitting the extension of the land use period to determine and notify the additional amount payable by the land user as prescribed in Points a and b of this Clause within fifteen days from the date of receipt of the land use period extension document from the competent state agency." land granted with land use fee is 50 hectares, land leased with one-time payment for the entire lease period is 30 hectares, land used for public purposes granted without land use fee is 20 hectares. The total compensation and clearance costs according to the plan approved by the competent state issue approving remediation and environmental recovery plans or remediation and environmental recovery plans authority shall be deducted from the financial obligation land use fee, land rent of the project according to the regulation is 1,000 billion VND; the land use fee payable for the area of land granted with land use fee is 800 billion VND, the one-time land rent payable is 350 billion VND. The allocation and deduction of compensation and clearance costs are as follows:

- File: VT, TXNK.-PL-T.Linh (3b construction costs; compensation and clearance cost for 1 hectare of the project is 1,000 billion VND: 100 hectares = 10 billion VND/hectare; accordingly:

+ Compensation and clearance costs for the area of land granted with land use fee: 10 billion VND/hectare x 50 hectares = 500 billion VND.

+ Compensation and clearance costs for the area of land leased with one-time payment for the entire lease period: 10 billion VND/hectare x 30 hectares = 300 billion VND.

+ Compensation and clearance costs for the area of land used for public purposes granted without land use fee: 10 billion VND/hectare x 20 hectares = 200 billion VND.

- Allocation of construction costs; compensation and clearance costs for the area of land used for public purposes (200 billion VND) to the remaining areas as follows:

+ Allocation to the area of land granted issue with land use fee:

+ Allocation to the area of land leased with one-time payment for the entire lease period:

- Deduction of construction costs; compensation and clearance costs corresponding to each type of area as follows:

+ Compensation construction costs; and clearance costs of the project allocated to the area subject to land use fee and deducted from the land use fee payable: 500 billion VND + 125 billion VND = 625 billion VND; the remaining land use fee payable: 800 billion VND - 625 billion VND = 175 billion VND.

+ Compensation and clearance costs of the project allocated to the area subject to land rent and deducted from the land rent payable: 300 billion VND + 75 billion VND = 375 billion VND. Since the land rent payable is 350 billion VND, the remaining compensation and clearance costs of the project allocated to the area subject to land rent that have not been fully deducted are 25 billion VND and shall be included in the project's investment capital." construction costs; The compensation and clearance costs allocated to the remaining area subject to land rental payment of the project, which have not yet been fully deducted, amounting to VND 25 billion, shall be included in the project's investment capital.

Article 4. Amend Clause 2 and supplement Clause 3 as follows:

1. Amend Clause 2 as follows:

“2. For projects leasing land before the effective date of Decree No. 46/2014/NĐ-CP, where one of the following three types of documents contains provisions on the unit price for land lease and principles for adjusting the unit price for land lease according to the regulations on unit prices for land lease issued by the Ministry of Finance in one of the following decisions: Decision No. 210A-TC/VP dated April 1, 1990, Decision No. 1417/TC/TCĐN dated December 30, 1994, Decision No. 179/1998/QĐ-BTC dated February 24, 1998, Decision No. 2195/QĐ-UBND dated September 15, 2021 of the People's Committee of Ben Tre Province) Decision No. 189/2000/QĐ-BTC dated November 24, 2000, Decision No. 1357TC/QĐ-TCT dated December 30, 1995, the adjustment of the unit price for land lease shall be carried out as follows: Decision a) For investment projects where one of the following three types of documents: Investment Certificate (Investment License), Land Lease Decision, Land Lease Contract issued by competent state agencies contains provisions on the unit price for land lease and principles for adjusting the unit price for land lease according to the aforementioned regulations of the Ministry of Finance or have already implemented changes to the Investment Certificate (Investment License) or changed the model of the Land Lease Contract due to administrative procedures, but the documents obtained after such changes no longer contain provisions on principles for adjusting the unit price for land lease, and the purpose of land use has not changed; until the effective date of Decree No. 46/2014/NĐ-CP, if they have not adjusted the unit price for land lease according to Clause 2, Article 9 of Decree No. 142/2005/NĐ-CP dated November 14, 2005, and do not fall under the cases stipulated in Point a, Clause 1, Article 18 of this Circular, then the tax authority shall report to the provincial people's committee to adjust the unit price for land lease corresponding to each adjustment cycle according to the principle that every five-year stable period increases by 15% compared to the previous period.

b) For cases stipulated in Point a above which have already adjusted the unit price for land lease according to Decree No. 142/2005/NĐ-CP, Decree No. 69/2009/NĐ-CP, Decree No. 121/2010/NĐ-CP and have not changed the purpose of land use, when reaching subsequent adjustment periods for the unit price for land lease, the tax authority shall report to the provincial people's committee to decide on the adjustment level of the unit price for land lease but it must not exceed the percentage increase in the unit price for land lease stipulated in one of the aforementioned three types of documents compared to the adjusted unit price for land lease during the previous stable period up to December 31, 2015. The adjustment of the unit price for land lease from January 1, 2016, shall be carried out according to Clause 8, Article 15 of Decree No. 46/2014/NĐ-CP (supplemented at Clause 4, Article 3 of Decree No. 135/2016/NĐ-CP) and the provisions of Clause 3 of this Article.” ||| 2. Supplement Clause 3 as follows: of the National Assembly; For land leased by the State to pay annual rent according to the law before January 1, 2006, where the unit price for land lease was determined according to the provisions in one of the following decisions: Decision No. 210A-TC/VP dated April 1, 1990, Decision No. 1417/TC/TCĐN dated December 30, 1994, Decision No. 179/1998/QĐ-BTC dated February 24, 1998, Decision No. 189/2000/QĐ-BTC dated November 24, 2000, Decision No. 1357TC/QĐ-TCT dated December 30, 1995 of the Ministry of Finance, but all three types of documents, namely Investment Certificate (Investment License), Land Lease Decision, Land Lease Contract issued by competent state agencies do not record principles for adjusting the unit price for land lease and are currently using the land according to the intended purpose recorded in the decision or contract for land lease issued by competent state agencies, the determination and payment of land rent for the remaining lease term (excluding

extended lease terms) shall be carried out as follows: assessment a) From January 1, 2006 to December 31, 2015: Pay annual land rent according to the unit price for land lease determined in accordance with the regulations or temporarily calculated based on the policy and land price at the time of issuance of the Notice on Temporary Payment of Land Rent and settle the amount of land rent according to the determined or temporarily paid amount. of the National Assembly; If temporarily paying land rent based on the policy and land price before January 1, 2006 or not re-determining the unit price for land lease according to Decree No. 142/2005/NĐ-CP, then the unit price for land lease must be re-determined according to the laws of each period to recover the land rent payable and no late payment fees shall be imposed according to the law on tax administration.

b) The unit price for land lease at the time of January 1, 2016, shall be determined based on the unit price for land lease determined at the time of January 1, 2006 according to Decree No. 142/2005/NĐ-CP, with two adjustment cycles from January 1, 2006 to January 1, 2016, each cycle increasing the unit price for land lease by 15% compared to the unit price for land lease of the previous stable period. The unit price for land lease shall remain stable for five years starting from January 1, 2016, and when reaching the next adjustment period for the remaining lease term, it shall be increased by 15% compared to the unit price for land lease of the previous stable period.

“3. In case c) In cases where the unit price for land lease determined at the time of January 1, 2016, according to Point b, Clause 3 is higher than the unit price for land lease determined according to Article 4 of Decree No. 46/2014/NĐ-CP dated May 15, 2014, the lessee shall submit a written request to the tax authority to continue paying annual land rent for the remaining stable period according to the determined unit price for land lease. When reaching the next adjustment period for the remaining lease term, it shall be increased by 15% compared to the unit price for land lease of the previous stable period. Loan contracts In cases where the land lease certificate issued by the competent state agency does not specify the principle for adjusting the unit price of land rent and the land is being used in accordance with the purpose specified in the land lease decision or contract of the competent state agency, the determination and collection of land rent for the remaining lease period (excluding Not deposited into temporary account periods already extended) shall be carried out as follows:

a) From January 1, 2006 to December 31, 2015: Pay annual land rent based on the unit price of land rent determined in accordance with regulations or temporarily calculated according to policy and land prices at the time of issuance of the Notice on Temporary Payment of Land Rent and settle the actual land rent amount according to the determined or temporarily paid amount. In case For those who are temporarily paying land rent according to policy and land prices before January 1, 2006 or have not recalculated the unit price of land rent according to Decree No. 142/2005/NĐ-CP, they must adjust the unit price of land rent according to the laws of each period to recover the land rent payable and are not required to pay late fees under tax management laws.

b) The unit price of land rent at the time of January 1, 2016 shall be determined based on the unit price of land rent determined at the time of January 1, 2006 according to Decree No. 142/2005/NĐ-CP, with two adjustment cycles from January 1, 2006 to January 1, 2016, each cycle increasing the unit price of land rent by 15% compared to the previous stable period. The unit price of land rent will remain stable for five years starting from January 1, 2016, and when it comes to the next adjustment cycle of the remaining lease period, it will increase by 15% compared to the unit price of land rent of the previous stable period.

c) In cases where the unit price of land rent determined at the time of January 1, 2016 according to this Clause b is higher than the unit price of land rent determined according to Article 4 of Decree No. 46/2014/NĐ-CP dated May 15, 2014, the lessee may submit a written request to the tax authority to continue paying annual land rent for the remaining stable period based on the previously determined unit price of land rent. When it comes to the next adjustment cycle of the remaining lease period, it will increase by 15% compared to the unit price of land rent of the previous stable period.

d) In cases where the land rental price has been adjusted according to the provisions of Clause 2, Clause 3 Article 15 and Clause 2, Clause 4 Article 32 Decree No. 46/2014/NĐ-CP and is currently within the period of stabilizing the land rental price, if the land rental price is lower than the land rental price determined according to the provisions of Point b Clause of this Article, the land lessee shall continue to pay the land rental fee annually for the remaining time of the stabilization period at the previously determined land rental price. When it comes to the time to adjust the land rental price for the next period of the remaining lease term, the adjustment will be increased by 15% compared to the land rental price of the previous stabilization period.

đ) In cases where adjustments have been made 2. Provincial People's Committees and centrally administered city people's committees shall be responsible for: to the land rental price according to the provisions of Clause 2, Clause 3 Article 15 and Clause 2, Clause 4 Article 32 Decree No. 46/2014/NĐ-CP and is currently within the period of stabilizing the land rental price, if the land rental price is higher than the land rental price determined according to the provisions of Point b Clause of this Article and the tax authority has issued a Notice on payment of the land rental fee for the year 2016, if the land lessee submits a written request, the tax authority shall adjust the land rental price according to the provisions of Point b Clause of this Article for the remaining time of the cycle from the date the tax authority receives the written request from the land lessee. The land lessee shall pay the land rental fee for the year 2016 according to the Notice issued by the tax authority in accordance with the regulations.

e) In cases where enterprises leasing land have completed shareholding reform or conversion of business models in accordance with the laws on enterprises and inherit all rights and obligations regarding land, including the remaining lease term and without changing the purpose of land use before the effective date of Decree No. 135/2016/NĐ-CP, the determination and payment of the land rental fee for the remaining lease term starting from January 1, 2016 shall be carried out according to the provisions of Points b, c, d, đ Clause of this Article.

Article 5. Amend Clause 4, Clause 5 and supplement Clause 8 as follows:

1. Amend Clause 4 as follows:

“4. Projects that were operating and paying annual land rental fees and water surface rental fees before the effective date of Decree No. 46/2014/NĐ-CP and which were not eligible for exemption or reduction of land rental fees and water surface rental fees; now become eligible for exemption or reduction of land rental fees and water surface rental fees under Decree No. 46/2014/NĐ-CP shall be entitled to such exemptions or reductions for the remaining preferential period (if any) from the date the project owner submits complete and valid documentation requesting such exemptions or reductions in accordance with the regulations.”

2. Amend Clause 5 as follows:

“5. Those who are granted land leases by the State may only enjoy exemptions or reductions in land rental fees after completing the procedures to obtain such exemptions or reductions; specifically as follows:

a) In cases where they are eligible for exemption or reduction of land rental fees but those granted land leases by the State do not complete the procedures to obtain such exemptions or reductions, they must pay the land rental fees in accordance with the law. If the procedures for exemption or reduction of land rental fees are delayed, the period of delay will not be exempted or reduced from the land rental fees.

b) In cases where the application for exemption or reduction of land rental fees is submitted after the time limit for exemption or reduction specified in Articles 19 and 20 of Decree No. 46/2014/NĐ-CP has expired, they will not be eligible for exemption or reduction of land rental fees; if they are still within the period for exemption or reduction of land rental fees, they will only be eligible for exemption or reduction of land rental fees for the remaining preferential period from the date of submission of complete and valid documentation for exemption or reduction of land rental fees; except for the cases assessment provided for in Point c Clause of this Article.

c) In cases where they are eligible for exemption or reduction of land rental fees not linked to investment projects and new land leases as stipulated in Clause 1 Article 18 of Decree No. 46/2014/NĐ-CP (amended MANAGEMENT AND USE OF DEPOSITS AT THE ENVIRONMENT PROTECTION FUND at Clause 5 Article 3 of Decree No. 135/2016/NĐ-CP) and submit complete and valid documentation before July 1, 2017, the time when they are eligible for exemption or reduction of land rental fees shall be determined as follows:

- From the date they are required to switch to leasing land in accordance with the land law for the cases specified in Point a Clause 1 Article 18 of Decree No. 46/2014/NĐ-CP.

- From the date they start being exempted or reduced from land rental fees in accordance with the land law for the cases specified in Point b Clause 1 Article 18 of Decree No. 46/2014/NĐ-CP.

- From the date they are required to pay land rental fees for the cases specified in Point c Clause 1 Article 18 of Decree No. 46/2014/NĐ-CP.

- From the date the Government's or Prime Minister's regulations take effect for the cases specified in Point d Clause 1 Article 18 of Decree 54/2017/ND-CP 46/2014/NĐ-CP.

In cases where the above entities submit complete and valid documentation from July 1, 2017 onwards, they will only be eligible for exemption or reduction of land rental fees for the remaining preferential period (if any).”

3. Supplement Clause 8 as follows:

“8. In cases where the State grants land leases with annual payments but the project must temporarily cease operations from dated July 1, 2015 (the date the Investment Law 2014 came into effect) due to force majeure reasons as stipulated in Clause 1 Article 15 of Decree No. 43/2014/NĐ-CP dated May 15, 2014 of the Government or as prescribed by investment laws, they shall be exempted from land rental fees during the temporary cessation of operations to overcome the consequences caused by force majeure as follows: Industry and a) The period exempted from land rental fees is the period of temporary cessation of operations confirmed by the investment registration agency.

b) The amount of land rental fees exempted is equivalent to the amount of land rental fees that would have been paid if there had been no cessation of operations due to force majeure corresponding to the period of temporary cessation of operations.

c) Based on the application for exemption from land rental fees, the tax authority

in coordination with the investment registration agency, the finance agency, the natural resources and environment agency, and other relevant agencies (as necessary) shall conduct inspections and determine the specific period of temporary cessation of operations to issue a decision on exemption from land rental fees in accordance with the authority stipulated in Clause 1 Article 21 of Decree No. 46/2014/NĐ-CP.” coordinate with the investment registration agency, financial agency, natural resources and environment agency, and other relevant agencies (if necessary) to inspect and specifically determine the period of temporary cessation of operations to issue a decision to exempt land rent according to the authority stipulated in Clause 1, Article 21 of Decree No. 46/2014/NĐ-CP." Not deposited into temporary account (if necessary) conduct inspections to determine specifically the period of suspension of operations to issue a decision exempting land rent fees according to the authority prescribed in Clause 1, Article 21 of Decree No. 46/2014/NĐ-CP.

Article 6. Supplement Article 12a

"Article 12a. Exemption and reduction of land rental fees for certain cases

1. Cases where the State leases land with annual rental payments before December 27, 2015, and such cases fall under the category eligible for exemption or reduction of land rental fees according to Decree No. 108/2006/ND-CP but now do not belong to the list of areas or sectors eligible for investment incentives or enjoy lower levels of incentives according to Decree No. 118/2015/ND-CP shall continue to enjoy the level of incentives regarding exemption or reduction of land rental fees as stipulated by law before December 27, 2015 for the remaining period of incentive (if any).

2. Cases where the State leases land with annual rental payments before December 27, 2015, and such cases do not fall under the category eligible for exemption or reduction of land rental fees according to Decree No. 108/2006/ND-CP but now belong to the list of areas or sectors eligible for investment incentives according to Decree No. 118/2015/ND-CP shall enjoy incentives regarding exemption or reduction of land rental fees as stipulated in Clause 1, Clause 3, Article 19 and Article 20 of Decree No. 46/2014/ND-CP for the remaining period of incentive (if any) calculated from the time when all necessary documents for requesting exemption or reduction of land rental fees are submitted. This provision does not apply to projects specified in Point c, Point d, Clause 2, Article 15 of the Investment Law 2014 that were leased by the State before July 1, 2015 (the date the Investment Law 2014 took effect).

3. Investment projects with a capital investment of VND 6,000 billion or more (excluding commercial housing development projects; mineral resource exploitation projects; production and business projects of goods and services subject to special consumption tax according to the Special Consumption Tax Law (except automobile manufacturing) and other projects not eligible for exemption or reduction of land rental fees under land laws), if they implement disbursement of at least VND 6,000 billion within three years from the date the competent state agency issues the Certificate of Investment Registration or the Decision on Investment Orientation, shall be exempted from specific land rental fees as follows:transfera) The exemption period is 11 years if it does not belong to the investment incentive sector; 15 years if it belongs to the investment incentive sector; the entire lease period if it belongs to the highly favored investment sector. The list of investment incentive sectors and highly favored investment sectors shall be implemented according to the provisions of the law on investment.

b) The exemption period starts from the time the tax authority receives the project owner's application for land rental fee exemption. The amount of land rental fee exempted shall be determined according to Clause 2, Article 15 of this Circular. The project owner must pay the land rental fee according to the law after the exemption period during the construction phase until the submission of the application for land rental fee exemption.

c) The tax authority shall determine and issue the Decision on Land Rental Fee Exemption according to the law. The project owner shall not include the exempted land rental fee in production and business costs.

d) In cases where the time point of disbursing the required VND 6,000 billion exceeds three years from the date the competent state agency issues the Certificate of Investment Registration or approves the investment orientation, the exemption of land rental fees according to this Clause shall not be applied.

đ) In cases where the competent state agency discovers through inspection or examination that the project does not meet the conditions to be exempted from land rental fees according to the regulations, the project owner must return to the state budget the exempted land rental fees and late payment interest on the exempted land rental fees according to the law on tax management. The amount of exempted land rental fees to be returned shall be determined according to the policy and land price at the time the tax authority issues the Decision on Land Rental Fee Exemption.

4. Investment projects in rural areas employing 500 workers or more (on average annually) excluding part-time workers and those with contracts shorter than 12 months, starting from the completion and operation date of the project (excluding commercial housing development projects; mineral resource exploitation projects; production and business projects of goods and services subject to special consumption tax according to the Special Consumption Tax Law (except automobile manufacturing) and other projects not eligible for exemption or reduction of land rental fees under land laws) shall be exempted from specific land rental fees as follows:

a) In cases where the project owner has a document requesting to enjoy investment incentives in agriculture and rural areas according to the Government's regulations, the exemption and reduction of land rental fees shall be carried out according to the Government's regulations on investment incentives in agriculture and rural areas.transferb) In cases where the project owner has a document requesting to enjoy land rental fee exemption according to the land law and investment law, the exemption period is 7 years if it does not belong to the investment incentive sector; 11 years if it belongs to the investment incentive sector; 15 years if it belongs to the highly favored investment sector. The exemption period starts from the time the tax authority receives the project owner's application for land rental fee exemption. The amount of land rental fee exempted shall be determined according to Clause 2, Article 15 of this Circular. The tax authority shall determine and issue the Decision on Land Rental Fee Exemption according to the law. The project owner shall not include the exempted land rental fee in production and business costs. The list of investment incentive sectors and highly favored investment sectors shall be implemented according to the provisions of the law on investment.

c) In cases where the project does not meet the condition of employing 500 workers or more upon inspection or examination, the project owner shall not be exempted from land rental fees during the remaining incentive period (if any). The project owner must return to the state budget the exempted land rental fees during the period of insufficient employment of 500 workers and pay late payment interest on the exempted amount according to the law on tax management. The amount of exempted land rental fees to be returned shall be determined according to the policy and land price at the time the tax authority issues the Decision on Land Rental Fee Exemption.

b) In cases where the investor submits a written request to enjoy the preferential exemption of land rent according to the laws on land and investment, they shall be exempted from land rent for seven years if it does not fall within the scope of investment incentives; eleven years if it falls within the scope of investment incentives; fifteen years if it falls within the scope of special investment incentives. The exemption period starts from the date when the tax authority receives the application for exemption of land rent from the investor. The amount of land rent exempted shall be determined according to Clause 2, Article 15 of this Circular. The tax authority shall determine and issue the Decision on Exemption of Land Rent according to the law. The investor shall not include the exempted land rent in production and business expenses. The list of investment incentive areas and special investment incentive areas shall be implemented according to the laws on investment.

c) In cases where, upon inspection and examination, the project does not meet the condition of employing 500 workers or more, the investor shall not be exempted from land rent during the remaining preferential period (if any). The investor must refund the state budget the exempted land rent for the period during which the employment did not reach 500 workers and pay late fees on the exempted amount according to the laws on tax management. The amount of land rent to be refunded shall be determined according to the policy and land prices at the time when the tax authority issues the Decision on Exemption of Land Rent.

d) For investment projects employing 500 workers or more and located in areas including both rural and non-rural regions, the level of preferential exemption from land rent shall be implemented according to the policy applicable to the largest proportion of area.

5. High-tech enterprises, science and technology enterprises, and scientific and technological organizations are exempted from land rent for the entire duration of land lease for land used to construct scientific research facilities if they meet the relevant conditions for scientific and technological activities (if any), including: land for constructing laboratories, land for establishing technology incubation centers and science and technology enterprise incubation centers, land for constructing experimental bases, and land for constructing trial production bases.

6. Investors who are granted land leases by the State to invest in and operate industrial park infrastructure, industrial cluster infrastructure, and export processing zone infrastructure are exempted from land rent after the initial period of land rent exemption during the basic construction phase, as stipulated in Clause 10, Article 19 of Decree No. 46/2014/ND-CP (supplemented by Clause 6, Article 3 of Decree No. 135/2016/ND-CP). In cases where an industrial park, industrial cluster, or export processing zone spans multiple districts with different levels of incentives, the investor building and operating infrastructure shall enjoy the incentive level corresponding to the largest proportion of the investment-favored area.

7. Investment projects that are granted land leases by the State to build worker housing in industrial parks are exempted from land rent for the entire leasing period, as provided in Point b, Clause 1, Article 19 of Decree No. 46/2014/ND-CP (amended and supplemented by Clause 6, Article 3 of Decree No. 135/2016/ND-CP). In cases where the project sponsor leases land within an industrial park from an infrastructure development enterprise to implement a worker housing project according to a plan approved by competent state authorities, the exemption from land rent (the project sponsor cannot include land rental costs in the rental price of housing) shall be carried out as follows:

a) The project sponsor leasing land is exempted from land rent for the entire period of land leasing. The period of leased land for implementing the investment project shall not exceed the land lease term of the industrial park infrastructure development enterprise.

b) Based on the proposal of the project sponsor and the industrial park infrastructure development enterprise accompanying the approved investment project in accordance with the law, the tax authority shall exempt land rent for the infrastructure development enterprise corresponding to the land area used for the project and the period of land leasing. The amount of land rent exempted is determined based on the land price in the Land Price Table, the land price adjustment factor, and the percentage rate (%) for calculating the land rental unit price issued by the provincial people's council at the time the project sponsor submits a request for exemption from land rent. of the National Assembly; c) In cases where the implementation progress of the project is delayed by 24 months compared to the schedule stated in the investment project or does not commence investment construction within 12 months from the date of actual land handover, the industrial park infrastructure development enterprise shall not be exempted from land rent for the remaining lease period and shall be required to pay back the previously exempted land rent plus an equivalent amount as late payment penalty as prescribed by the law on tax administration. The handling of leased land rent between the project sponsor and the industrial park infrastructure development enterprise shall be carried out in accordance with civil law regulations.”

c) In cases where the project implementation progress is delayed by twenty-four months compared to the schedule stated in the investment project or does not commence construction within twelve months from the date of receiving the land handover on-site, the industrial zone infrastructure business enterprise shall not be exempted from land rent for the remaining lease period and shall be required to repay the exempted land rent plus an equivalent amount of late fees according to the laws on tax management. The handling of land rent between the investor and the infrastructure business enterprise shall be carried out according to civil law provisions."

Article 7. Amending

1. Amend Point a Clause 1 as follows:

“a) In cases where land rent and water surface rent are exempted according to Article 19 of Decree No. 46/2014/NĐ-CP, the annual amount of land rent and water surface rent that must be paid after the exemption period for land rent has expired and the period determined as having fulfilled the financial obligation regarding annual land rent due to deductions from compensation for land clearance and resettlement or from the transfer price of land use rights according to the regulations shall be determined as follows:

Where:

- The annual land rent and water surface rent rate is determined according to policy and land prices at the time when payment of land rent and water surface rent begins. The time when payment of land rent and water surface rent begins is the time after the exemption period for land rent under the law and the period determined as having fulfilled the financial obligation regarding annual land rent due to deductions from compensation for land clearance and resettlement or from the transfer price of land use rights according to the conversion method into years and months of completing the annual land rent payment obligation into the land rent payable according to the regulations. The stable cycle of the annual land rent and water surface rent rate (five years) is calculated from the time of payment of land rent and water surface rent. During the exemption period for land rent and the period determined as having fulfilled the financial obligation regarding annual land rent, the adjustment of the annual land rent and water surface rent rate will not be implemented.

- In cases where the total time of land rent exemption under the law and the period determined as having fulfilled the financial obligation regarding annual land rent due to deductions from compensation for land clearance and resettlement or from the transfer price of land use rights is less than the first stable cycle of the annual land rent rate (five years), the annual land rent rate for the remaining period of the cycle is the annual land rent rate determined at the time of the Decision on land lease issued by the competent state agency.

- In cases where, after deducting the time of land rent exemption under the law and the period determined as having fulfilled the financial obligation regarding annual land rent due to deductions from compensation for land clearance and resettlement or from the transfer price of land use rights according to the regulations, the actual remaining time for paying land rent within the lease term is less than five years and the lessee wishes to pay the land rent in advance for this period, the tax authority shall report of the National Assembly; to the provincial people's council for consideration and decision. The land price for calculating land rent payable is determined according to policy and land prices at the time of the National Assembly; when the provincial people's council approves the permission to pay land rent in advance for the actual remaining time for paying land rent. The lessee has corresponding land rights for the case of leasing land with annual payment of land rent.”

2. Amend Clause 2 as follows:

“2. In case paying land rent and water surface rent in one lump sum for the entire lease period

a) In cases where land is leased with a one-time payment for the entire lease period without going through auction procedures and the land price for calculating land rent is determined according to Clause 4, Article 4 and is exempted from land rent and water surface rent according to Article 19 of Decree No. 46/2014/NĐ-CP, the amount of land rent payable shall be determined as follows:

Where:

b) In cases where land is leased with a one-time payment for the entire lease period without going through auction procedures and the land price for calculating land rent is determined according to Clause 5, Article 4 and is exempted from land rent and water surface rent according to Article 19 of Decree No. 46/2014/NĐ-CP:

In which, the actual time for paying land rent is determined by subtracting the time of land rent exemption (including the construction period exempted) according to the law from the time of land lease granted by the State.”

Article 8. Supplement Clause 7, Clause 8, Clause 9, Clause 10, Clause 11, Clause 12, Clause 13, Clause 14, and Clause 15 as follows:

1. Supplement Clause 7 as follows:

"7. In cases where the competent state agency has a decision to lease land under the annual payment form as prescribed in the Land Law 2003 but the actual handover date of the land is from July 1, 2014 onwards, the rent price for the land shall be determined according to the policy and land price at the time of actual handover of the land. In cases where the land was used before July 1, 2014 but the competent state agency issued a decision to lease land from July 1, 2014 onwards and the rent payment for the period of land use prior to that date has not been made, the tax authority shall collect the outstanding rent payment according to the policy and land prices applicable during each period from the start of land use until the issuance of the lease decision. The collection and payment of rent from the date of the lease decision onwards shall be carried out in accordance with Decree No. 46/2014/ND-CP and Decree No. 135/2016/ND-CP."  date Supplement Clause 8 as follows:

2. Model No. 11, Model No. "8. In cases where the investor implements advance payments for compensation and clearance of land use rights according to the plan approved by the competent state agency and leases the land according to the provisions of the Land Law 2003, and the amount of compensation and clearance costs determined and allowed to be deducted from the rent payable by the competent state agency but have not yet been deducted as prescribed and not included in production and business expenses, then such amounts may continue to be deducted from the rent payable (in cases of leasing land with a one-time payment for the entire lease period) or converted into the number of years and months completing the obligation to pay annual rent according to the rent price determined on January 1, 2015 as prescribed in Decree No. 46/2014/ND-CP (in cases of leasing land with annual payments)."

3. Supplement Clause 9 as follows: approving remediation and environmental recovery plans or remediation and environmental recovery plans "9. In cases where the investor implements advance payments for compensation and clearance of land use rights according to the plan approved by the competent state agency as prescribed in the Land Law 2003 but leases the land according to the provisions of the Land Law 2013, and the amount of compensation and clearance costs determined and allowed to be deducted from the rent payable by the competent state agency but have not yet been deducted as prescribed and not included in production and business expenses, then such amounts may continue to be deducted from the rent payable (in cases of leasing land with a one-time payment for the entire lease period) or converted into the number of years and months completing the obligation to pay annual rent according to the rent price determined at the time of the lease decision issued by the competent state agency (in cases of leasing land with annual payments)." 2. Provincial People's Committees and centrally administered city people's committees shall be responsible for: 4. Supplement Clause 10 as follows:

"10. In cases where the investor negotiates compensation and clearance of land use rights according to the provisions of the Land Law 2003 and leases the land according to the provisions of the Land Law 2013, and the amount of negotiated compensation determined and allowed to be deducted from the rent payable by the competent state agency but have not yet been deducted as prescribed and not included in production and business expenses, then such amounts may continue to be deducted from the rent payable (in cases of leasing land with a one-time payment for the entire lease period) or converted into the number of years and months completing the obligation to pay annual rent according to the rent price determined at the time of the lease decision issued by the competent state agency (in cases of leasing land with annual payments), the amount of negotiated compensation and clearance costs deducted shall not exceed the amount of compensation deductible when the State recovers the land. The financial agency shall take the lead and coordinate with the tax agency, the natural resources and environment agency, and other relevant agencies (if necessary) to determine the amount of negotiated compensation and clearance costs deductible from the rent payable and the amount of compensation and support deductible when the State recovers the land at the time the competent state agency approves the negotiation of compensation and clearance of land use rights."

5. Supplement Clause 11 as follows:

"11. In cases where the investment project (allocated land or leased land without auctioning according to the provisions of the Land Law 2003) has a mixed land use form (allocating land with land use fee, allocating land without land use fee, leasing land) and the investor makes advance payments for compensation and clearance of land use rights according to the plan approved by the competent state agency from October 1, 2009 to June 30, 2014 as prescribed in Decree No. 69/2009/ND-CP dated August 13, 2009 of the Government but have not yet been deducted and not included in production and business expenses, then such amounts may be deducted according to Clause 4, Article 13 of Decree No. 46/2014/ND-CP (supplemented in Clause 3, Article 3 of Decree No. 135/2016/ND-CP) and Clause 4a, Article 6 of this Circular."

6. Supplement Clause 12 as follows: 2. Provincial People's Committees and centrally administered city people's committees shall be responsible for: "12. In cases where the State leases land with annual rent payments before July 1, 2014 and is currently exempted from rent payments for land and water surfaces according to Decree No. 142/2005/ND-CP dated November 14, 2005 and Decree No. 121/2010/ND-CP dated December 30, 2010, the adjustment of the rent price shall not be implemented until the exemption period ends from the effective date of this Circular. The stable period of the rent price for land and water surfaces is calculated from the date of payment of rent for land and water surfaces. The starting date of rent payment for land and water surfaces is the date after the end of the rent exemption period (including the construction period exempted according to regulations) and the period determined to complete the financial obligation of annual rent payments due to deductions of compensation and clearance costs or land transfer fees converted into the number of years and months completing the obligation to pay annual rent according to the regulations."

7. Supplement Clause 13 as follows:

5. Supplement Clause 11 as follows:

"11. In cases where investment projects (assigned land or leased land by the State without conducting public auctions as stipulated in the Land Law of 2003) have a mixed land use form (granting land with payment for land use rights, granting land without payment for land use rights, leasing land), if the investor has prepaid compensation and clearance costs according to the plan approved by competent state authorities from October 1, 2009 to June 30, 2014 as prescribed in Decree No. 69/2009/NĐ-CP dated August 13, 2009 of the Government but such payments have not been deducted or included in production and business expenses, they shall be deductible in accordance with Clause 4, Article 13 of Decree No. 46/2014/NĐ-CP (supplemented by Clause 3, Article 3 of Decree No. 135/2016/NĐ-CP) and Clause 4a, Article 6 of this Circular."

6. Supplement Clause 12 as follows:

“12. In cases where the State leases land on an annual payment basis before July 1, 2014 and is currently within the period exempted from land rent and water surface lease fees as prescribed in Decree No. 142/2005/NĐ-CP dated November 14, 2005, and Decree No. 121/2010/NĐ-CP dated December 30, 2010, the adjustment of the unit price for land rental shall not be implemented until the end of the exemption period from the date this Circular takes effect. The stable period for the unit price of land rental and water surface lease is calculated from the time when land rent and water surface lease fees must be paid. The start time for paying land rent and water surface lease fees is the time after the exemption period for land rent (including the construction period exempted under regulations) and the period determined as having fulfilled financial obligations regarding annual land rent through deductions of compensation and clearance costs or transfer payments of land use rights converted into years and months of fulfilling annual land rent obligations according to regulations.”

7. Supplement Clause 13 as follows:

"13. In cases where land is leased by the State before July 1, 2014, the exemption from land lease fees during construction shall be implemented as follows: during the During the construction period:

a) For projects that have been leased land by the State, have submitted applications for exemption from land lease fees during the construction period in accordance with regulations, and the tax authority has issued a Notice temporarily exempting land lease fees during the construction period (for multiple years at once) in accordance with the law before July 1, 2014, when the construction period ends, the lessee must complete the procedures stipulated in Circular No. 156/2013/TT-BTC dated November 5, 2013, of the Ministry of Finance to settle the amount of land lease fees exempted but the maximum exemption period shall not exceed the temporarily exempted period. In case The Notice temporarily exempting land lease fees during during the the construction period is carried out annually, then the tax authority will coordinate with relevant agencies to inspect and determine the specific exemption period for land lease fees during the construction period, but it shall not exceed three years from the date of the Land Lease Decision or  date the actual handover of land if  date the actual handover of land does not match the time point of the land leasing decision made by the competent state agency.

b) For projects that have been leased land by the State before July 1, 2014, but submitted applications for exemption from land lease fees during the construction period from July 1, 2014 onwards, the tax authority will coordinate with relevant agencies to inspect and determine the specific exemption period for land lease fees during the construction period, but it shall not exceed three years from the date of the Land Lease Decision or the actual handover of land. The lessee must submit the application within the time limit specified in Clause 8, Article 3 of Decree No. 135/2016/NĐ-CP (Clause 16, Article 31 of Decree No. 46/2014/NĐ-CP). If the lessee has paid the land lease fees during the exemption period, such payments can be deducted from the land lease fees payable in subsequent years according to the method of preserving the corresponding financial obligation completion time regarding land lease fees calculated from the date the tax authority issues the decision on exemption from land lease fees.

c) For those who have been leased land by the State and submitted applications for exemption from land lease fees during the construction period from June 30, 2016 to before November 15, 2016 but have not yet had their applications resolved, the tax authority will base on the submitted application to determine the exemption period for land lease fees according to Points a and b of this Clause." stipulating from June 30, 2016 to before November 15, 2016 but have not yet been resolved, the tax authority shall base on the documents submitted by the lessee to determine the period of exemption from land rent as prescribed in Point a and Point b of this Clause.”

8. Supplement Clause 14 as follows:

"14. Exemption and reduction of land lease fees under investment laws (excluding mining activities) for cases where land was leased by the State before July 1, 2014 shall be implemented as follows:transfera) In cases where the Investment Preference Certificate or Investment License clearly specifies the level of exemption and reduction of land lease fees in accordance with the law at the time of issuance but has not completed the procedures for exemption and reduction of land lease fees, they shall enjoy the preferential land lease fees as stipulated in the Investment Preference Certificate or Investment License issued by the competent state agency after submitting the application for exemption and reduction of land lease fees within the time limit specified in Clause 8, Article 3 of Decree No. 135/2016/NĐ-CP (Clause 17, Article 31 of Decree No. 46/2014/NĐ-CP). If the lessee has paid the land lease fees according to the Notice of the tax authority during the preferential period for land lease fees stipulated in the Investment Preference Certificate or Investment License, the amount paid shall be deducted from the land lease fees payable in subsequent years according to the method of preserving the corresponding financial obligation completion time regarding land lease fees calculated from the date the tax authority issues the decision on exemption from land lease fees.

b) In cases where the Investment Preference Certificate or Investment License does not specify the level of exemption and reduction of land lease fees or only states that the preferential land lease fees shall be enjoyed according to the land law or does not fall under the category requiring an Investment Preference Certificate or Investment License but falls under the category eligible for exemption and reduction of land lease fees according to the law at the time of being leased land by the State and submits the application for exemption and reduction of land lease fees from July 1, 2014 onwards, they shall enjoy the exemption and reduction of land lease fees according to the law at the time of being leased land by the State. The submission of the application and the resolution time for exemption and reduction of land lease fees shall be carried out as stipulated in Point a of this Clause.

c) In cases where the lessee has submitted applications for exemption and reduction of land lease fees under investment laws from June 30, 2016 to before November 15, 2016 but have not yet had their applications resolved, the tax authority will base on the submitted application to determine the exemption period for land lease fees according to Points a and b of this Clause." Not deposited into temporary account at Point a of this Clause.

9. Supplement Clause 15 as follows:

"15. Exemption and reduction of land lease fees for mining activities leased by the State before July 1, 2014 shall be implemented as follows:

a) For mining projects that have been leased land by the State, have actually handed over the land and submitted applications for exemption and reduction of land lease fees in accordance with regulations before July 1, 2014, they shall enjoy the exemption and reduction of land lease fees according to the law at the time of being leased land by the State.transferb) For mining projects that have been leased land by the State, have actually handed over the land before July 1, 2014 but submitted applications for exemption and reduction of land lease fees from July 1, 2014 onwards and within the time limit specified in Clause 8, Article 3 of Decree No. 135/2016/NĐ-CP (Clause 16, Clause 17, Article 31 of Decree No. 46/2014/NĐ-CP), they shall enjoy the exemption and reduction of land lease fees as if they had submitted the application within the prescribed time limit. d) The tax authority shall base on the document issued by the competent state agency permitting the extension of the land use period to determine and notify the additional amount payable by the land user as prescribed in Points a and b of this Clause within fifteen days from the date of receipt of the land use period extension document from the competent state agency." c) For mining projects that have submitted applications for exemption and reduction of land lease fees beyond the time limit specified in Clause 8, Article 3 of Decree No. 135/2016/NĐ-CP, the land user will only be exempted and reduced for the remaining exemption and reduction period (if any)."

a) For mineral exploitation projects leased by the State, which have actually handed over the land and submitted applications for exemption or reduction of land rent according to regulations before July 1, 2014, the exemption or reduction of land rent shall be in accordance with the laws in force at the time the State leased the land.transferg products leased by the State, which have actually handed over the land before July 1, 2014 but submit applications for exemption or reduction of land rent from July 1, 2014 onwards and within the time limit prescribed in Clause 8, Article 3 of Decree No. 135/2016/NĐ-CP (Clause 16, Clause 17, Article 31 of Decree No. 46/2014/NĐ-CP), the exemption or reduction of land rent shall be equivalent to that of

g products leased by the State, which have actually handed over the land before July 1, 2014 but submit applications for exemption or reduction of land rent from July 1, 2014 onwards and within the time limit prescribed in Clause 8, Article 3 of Decree No. 135/2016/NĐ-CP (Clause 16, Clause 17, Article 31 of Decree No. 46/2014/NĐ-CP), the exemption or reduction of land rent shall be equivalent to that oftransferother projects that comply with the provisions of Clause 8, Article 3 of Decree No. 135/2016/NĐ-CP. If the land user submits an application for exemption or reduction of land rent beyond the time limit prescribed in Clause 8, Article 3 of Decree No. 135/2016/NĐ-CP, only the remaining period of exemption or reduction of land rent (if any) shall be granted. Not deposited into temporary account at Point a of this Clause. In case c) For mineral exploitation projects leased by the State, if the land user submits an application for exemption or reduction of land rent beyond the time limit prescribed in Clause 8, Article 3 of Decree No. 135/2016/NĐ-CP, only the remaining period of exemption or reduction of land rent (if any) shall be granted.

d) For mineral exploitation projects leased by the State, the provincial people's committee shall issue a resolution at the time of transfer (for cases of negotiation or transfer) to determine the amount of compensation and clearance costs (excluding attached assets) to be deducted from the land use fee or land rent payable, reported for approval by the provincial people's committee.transferg projects that were leased land by the State before July 1, 2014 but actually received the land and submitted applications for exemption or reduction of land lease fees from July 1, 2014 onwards shall not be exempted or reduced from land lease fees.

d) For exploitation projectstransferg projects that were leased land by the State and have areas actually handed over before and from July 1, 2014 onwards, the preferential exemptions or reductions of land lease fees shall be implemented corresponding to each area of land actually handed over according to the provisions of Points a, b, and c of this Clause.

Article 9. Supplement Clause 4 as follows:

“4. The handling of compensation and clearance costs according to the plan approved by competent state authorities (including cases of self-negotiated compensation or self-transfer acceptance) which the land users have paid in accordance with the law before July 1, 2004 as stipulated in Clause 6, Article 32 of Decree No. 46/2014/ND-CP (supplemented at Clause 9, Article 3 of Decree No. 135/2016/ND-CP):

a) The financial agency shall take the lead and coordinate with the tax agency, the natural resources and environment agency, and other relevant agencies (if necessary) based on the compensation and clearance plans approved by competent state authorities or according to the land price for the purpose of transfer acceptance as prescribed in the Provincial People's Council Land Price Table at the time of transfer acceptance (for cases of self-negotiation or transfer acceptance) to determine the amount of compensation and clearance costs (excluding attached assets) to be deducted from the land use fee or land lease fee payable and report for approval by the Provincial People's Council. of the National Assembly; e) The provincial people's committee shall approve the resolution, dividing (:) by the lease term multiplied (x) by the remaining lease period from the effective date of Decree No. 135/2016/NĐ-CP. of the National Assembly; f) The provincial people's committee shall approve the resolution, dividing (:) by the lease term multiplied (x) by the remaining lease period from the effective date of Decree No. 135/2016/NĐ-CP, then dividing (:) by the annual land rent payable determined according to the policy and land value at January 1, 2016, implemented by the tax authority.

b) The amount deductible as provided in Point a of this Clause shall be determined as follows:

- In the case of leasing land with payment made once for the entire lease period, the amount to be deducted from the land lease fee payable as stipulated in Point a of Clause 6, Article 32 of Decree No. 46/2014/ND-CP shall be calculated by dividing the amount approved by the Provincial People's Council by the lease term and multiplying it by the remaining lease period starting from the effective date of Decree No. 135/2016/ND-CP. of the National Assembly; g) The provincial people's committee shall approve the resolution, dividing (:) by the lease term multiplied (x) by the remaining land use period from the date of transferring to grant land with payment for land use rights. In cases where the transfer to grant land with payment for land use rights occurs before the effective date of Decree No. 135/2016/NĐ-CP, the remaining land use period shall be calculated from November 15, 2016.”

- In the case of leasing land with annual payments, the completion time of the financial obligation regarding the land lease fee as stipulated in Point b of Clause 6, Article 32 of Decree No. 46/2014/ND-CP shall be calculated by dividing the amount approved by the Provincial People's Council by the lease term and multiplying it by the remaining lease period starting from the effective date of Decree No. 135/2016/ND-CP, then dividing it by the annual land lease fee payable determined according to the policy and land price as of January 1, 2016, and carried out by the tax authority. of the National Assembly; the provincial people's committee approves dividing (:) by the lease term multiplied (x) by the remaining lease period from the date Decree No. 135/2016/NĐ-CP takes effect, then dividing (:) by the annual land rent payable determined according to policy and land value at January 1, 2016, implemented by the tax authority.

- In the case of transferring from land allocation without payment of land use fee to leasing land with annual payments and then to land allocation with payment of land use fee, the amount to be deducted from the land lease fee payable as stipulated in Point c of Clause 6, Article 32 of Decree No. 46/2014/ND-CP shall be calculated by dividing the amount approved by the Provincial People's Council by the lease term and multiplying it by the remaining land use period starting from the date of transfer to land allocation with payment of land use fee. If the transfer to land allocation with payment of land use fee occurs before the effective date of Decree No. 135/2016/ND-CP, the remaining land use period shall be calculated from November 15, 2016.” of the National Assembly; the provincial people's committee approves dividing (:) by the lease term multiplied (x) by the remaining land usage period from the date of transferring to grant land with payment of land use fee. In cases where the transfer to grant land with payment of land use fee occurs before the effective date of Decree No. 135/2016/NĐ-CP, the remaining land usage period shall be calculated from November 15, 2016.

Article 10. Effective Date

1. This Circular takes effect from February 10, 2017.

2. Amend the name "Land Registration Office" to "Land Registration Department" in Model No. 01 - Notification on Payment of Land Lease Fee and Water Surface Lease Fee issued together with Circular No. 77/2014/TT-BTC dated June 16, 2014 of the Ministry of Finance.

3. During implementation, if there are difficulties or obstacles, relevant agencies, units, organizations, and individuals are requested to promptly report to the Ministry of Finance for consideration and resolution.