STUDY ON THE ROADMAP FOR IMPLEMENTING A TAX POLICY ON IDLE LAND

One of the notable directions in the ongoing review of land policies is the study of tax and financial measures aimed at improving land-use efficiency, discouraging land speculation, and supporting the sustainable development of the real estate market.

According to orientations presented at the National Conference on the dissemination and implementation of the Resolution of the 3rd Plenary Session of the 14th Party Central Committee, amendments to the Land Law and related regulations are expected to both unlock land resources for development and strengthen land governance to ensure efficient and responsible use.

Among the policy options under consideration is the development of a roadmap for applying tax measures to land that remains idle or is not put into use within the prescribed timeframe. The proposal is intended to encourage more effective land utilization while reducing incentives for long-term land hoarding.

Authorities are also studying financial mechanisms to regulate the added value generated from land in real estate activities, with the objective of balancing the interests of the State, businesses, and the public.

Regarding land valuation, the proposed policy direction continues to emphasize the State’s role in managing and regulating land prices through an integrated data system. Land valuation is expected to be supported by synchronized databases linking land administration with taxation, notarization, banking, and the real estate market, helping to improve transparency and reduce irregular price fluctuations.

In addition, policies related to official land price lists, land price adjustment coefficients, land-use fees, land rental charges, and compensation mechanisms are expected to be further refined to better reflect market conditions while enhancing management effectiveness.

Alongside amendments to the Land Law, regulatory agencies are also reviewing and updating several other laws that have a direct impact on the property market, including the Housing Law and the Law on Real Estate Business. In the draft revised Law on Real Estate Business, taxation is also identified as one of the policy tools that could contribute to promoting a stable and sustainable real estate market.

The idea of applying tax measures to underutilized or idle land has been discussed by many experts and industry organizations in recent years as a potential solution to encourage productive land use, discourage speculative activities, and improve the allocation of land resources. However, these proposals remain under review and consultation as part of the legislative drafting process.