DECREE NO. 84-CP PROVIDES FOR THE DETAIL IMPLEMENTATION OF THE ORDINANCE ON ADDITIONAL TAX FOR HOUSEHOLDS USING AGRICULTURAL LAND IN EXCESS OF THE AREA LIMIT

DECREE

DECREE NO. 84-CP OF THE GOVERNMENT DATED AUGUST 8, 1994 DETAILING THE IMPLEMENTATION OF THE ORDINANCE ON ADDITIONAL TAX FOR HOUSEHOLDS USING AGRICULTURAL LAND IN EXCESS OF THE ALLOWABLE AREA

THE GOVERNMENT

Pursuant to the Government Organization Law dated September 30, 1992;
Pursuant to the Ordinance on Additional Tax for Households Using Agricultural Land in Excess of the Allowable Area, adopted by the Standing Committee of the National Assembly on March 15, 1994;
At the proposal of the Minister of Finance,

DECREE :

I. SUBJECTS LIABLE TO PAY TAX AND TAXPAYERS

Article 1.- Subjects liable to pay tax:

Households using agricultural land in excess of the allowable area as prescribed by law shall be taxpayers under this Decree.

Taxpayers include households of farmers, private households, and individuals listed in the land use tax registration book.

Article 2.- Taxpayers:

The taxable object is the portion of agricultural land used in excess of the allowable area as prescribed by law.

The allowable area of agricultural land for each household is stipulated in Decree No. 64-CP dated September 27, 1993 of the Government, according to each type and for each locality as follows:

1. For agricultural land used for annual crop cultivation: in the provinces of Minh Hai, Kien Giang, Soc Trang, Can Tho, An Giang, Vinh Long, Tra Vinh, Dong Thap, Tien Giang, Long An, Ben Tre, Tay Ninh, Song Be, Dong Nai, Ba Ria-Vung Tau, and Ho Chi Minh City, not exceeding 3 hectares; in other provinces and centrally-administered cities, not exceeding 2 hectares.

2. For agricultural land used for perennial crop cultivation: in plain communes, not exceeding 10 hectares; in midland and mountainous communes, not exceeding 30 hectares.

II. BASIS FOR CALCULATING TAX

Article 3.- The basis for calculating additional tax is the area of agricultural land used in excess of the allowable area, the average tax rate for each type of agricultural land, and a tax rate of 20% (twenty percent) of the land use tax rate.

Article 4.- If a taxpayer uses multiple types of agricultural land, the additional area will be calculated based on the allowable area for each type of land.

Article 5.- The average tax rate for each type of agricultural land for calculating additional tax is the average land use tax rate per unit area for each type of land used by the taxpayer.

III. DECLARATION, CALCULATION, AND PAYMENT OF TAX

Article 6.-

The declaration of the area of agricultural land for calculating additional tax shall be carried out in accordance with Article 11 of the Law on Land Use Tax and Article 9 of Decree No. 74-CP dated October 25, 1993 of the Government.

Households using agricultural land in multiple communes, wards, districts, towns, cities within a province, or in multiple provinces and centrally-administered cities must declare the total area of agricultural land they are currently using at the tax authority where the land use tax registration book is established, in addition to declaring the area of land for land use tax purposes at the tax authority where the land use tax registration book is established.

Article 7.- Based on the declaration of the taxpayer, the tax authority where the taxpayer resides will check the actual area of agricultural land being used in multiple places by the taxpayer to calculate additional tax for households using agricultural land in excess of the allowable area, after calculating the tax according to Article 9 of the Law on Land Use Tax.

Article 8.- Additional tax is calculated annually, together with the land use tax, and recorded in the land use tax book of the taxpayer and paid along with the land use tax to the tax authority where the taxpayer resides.

Article 9.-

Taxpayers who use agricultural land in multiple places but reside in a place without agricultural land must declare and pay taxes at one place where they have established a tax book.

The calculation of additional tax, establishment of tax books, and collection of additional tax in this case shall be determined by the local tax authorities where the tax book is established, in coordination with the taxpayer, to determine the place of payment for the additional tax on the portion of agricultural land used in excess of the allowable area.

IV - EFFECTIVE PROVISIONS

Article 10.- Provisions regarding tax reduction, exemption, handling of violations, appeals, and implementation of the collection of additional tax for households using agricultural land in excess of the allowable area shall be implemented in accordance with the Law on Land Use Tax and guiding documents for the implementation of the Law on Land Use Tax.

Article 11.- This Decree takes effect from January 1, 1994.

Article 12.- The Minister of Finance shall guide the implementation of this Decree.

Article 13.- The Minister, Heads of Ministries equivalent to Ministries, Heads of agencies under the Government, Chairmen of People's Committees of provinces and centrally-administered cities are responsible for organizing the implementation of this Decree.