Laws of Vietnam

Pursuant to the Law on Organization of the Government on the 30th of September, 1992;

Proceeding from the Ordinance on Additional Taxes on Households Using Over-Quota Agricultural Land passed by the Standing Committee of the National Assembly on the 15th of March, 1994;

At the proposal of the Minister of Finance,

Article 1.- Tax payers:

Households which use agricultural land in excess of the quotas prescribed by the law shall pay additional taxes in accordance with the provision of this Decree.

The households, which shall pay these additional taxes, include those of farmers, individuals and private citizens registered for tax payment for use of agricultural land.

Article 2.- The taxable objects:

The taxable objects are the areas of agricultural land used in excess of the quotas prescribed by the law.

The quotas of agricultural land to be assigned to each of the households as prescribed for each category and locality by Decree No 64-CP issued on the 27th of September, 1993, by the Government are as follows:

1. For agricultural land to be grown with annual plants: 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, the areas shall not exceed 3 (three) hectares; in other provinces and cities directly under the Central Government, they shall not exceed 2 (two) hectares.

2. For agricultural land to be grown with perennial plans: in low-land communes, the areas shall not exceed 10 (ten) hectares; in mid-land and mountainous communes, they shall not exceed 30 (thirty) hectares.

Article 3.- The bases for calculating the additional taxes are the over-quota area of agricultural land, the average tax levied on each category of agricultural land and the tax rate which is 20% (twenty percent) of the tax on the use of agricultural land.

Article 4.- If a household is using many categories of agricultural land, the areas subjected to additional taxes shall be calculated on the basis of the quotas prescribed for each category.

Article 5.- The average tax levied on each category of agricultural land, which is a base for calculating additional taxes, is the average of the taxes on the use of agricultural land per land unit of each land category used by the tax-paying household.

Article 6.- The registration of the use of over-quota areas of agricultural land for calculation of additional taxes shall be conducted in accordance with the provision of Article 11 of the Law on Taxes on the Use of Agricultural Land and Article 9 of Decree No 74-CP issued on the 25th of October, 1993, by the Government.

A household which is using agricultural land in different communes, city wards, districts, provincial towns and cities in one or many provinces or cities directly under the Central Government shall, apart from filing a tax return with the tax agency at the locality where it registers for taxes on the use of agricultural land, file a combined tax return on all the agricultural land areas it is actually using in different localities with the tax agency at the locality of its residence.

Article 7.- On the basis of the tax return filed by the household, the tax agency at the locality where the household resides shall check the entire area of agricultural land that it is using in different localities to calculate the tax it has to pay in addition to its tax calculated in accordance with Article 9 of the Law on Taxes on the Use of Agricultural Land.

Article 8.- The additional taxes shall be calculated annually along with the tax on the use of agricultural land to be paid by the household, included in its record of tax on the use of agricultural land and paid to the tax agency at the locality of its residence together with its tax on the use of agricultural land.

Article 9.- A household, which is paying these additional taxes for use of over-quota agricultural land in different localities but which is residing at a non-agricultural area, shall file its tax return with, and pay the taxes at, the locality where it registers for taxes.

Regarding the calculation, registration and collection of the additional taxes of these households, the tax agency at the locality where the household registers its tax record and the household itself shall work out an agreement on the place where the household shall pay its addition taxes on the use of over-quota agricultural land.

Article 10.- The tax reduction and exemption, the handling of violations and complaints and the collection of additional taxes on households using over-quota agricultural land shall be implemented in accordance with the Law on Taxes on the Use of Agricultural Land and the documents guiding the implementation of the Law on Taxes on the Use of Agricultural Land and the documents guiding the implementation of the Law on Tax on the Use of Agricultural Land.

Article 11.- This Decree takes effect as from the 1st of January, 1994.

Article 12.- The Minister of Finance shall provide detailed guidance for the implementation of this Decree.

Article 13.- The ministers and heads of agencies of ministerial level, the heads of agencies attached to the Government, and the presidents of the People's Committees of provinces and cities directly under the Central Government shall be responsible for the implementation of this Decree.