Land-use fee when converting agricultural land in the same parcel as residential land under Resolution 254/2025/QH15: the 30%/50% rates apply only once
The preferential rates of 30% and 50% of the difference between the land-use fee at residential land price and at agricultural land price, for converting agricultural land in the same parcel as residential land into residential land, are charged only once per household or individual, on one parcel of their choice. Later conversions, on that parcel or another, are charged at 100% of the difference. The asker described a case where a person receives part of a parcel from a transferor assumed to have used the incentive, and asked whether the recipient can use it. The Ministry only set out the rules, gave no conclusion on that specific case, and told the asker to contact local authorities.
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Based on:Nghị quyết 254/2025/QH15; Nghị định 50/2026/NĐ-CP; Nghị định 103/2024/NĐ-CP - Ministry of FinanceEffective:
This explanation was generated by AI and checked by an automated AI review, not by a human expert. It is not legal, tax or accounting advice and may contain errors. Check the official document before you rely on it.
Question
The asker requested clarification of the land-use fee reduction when converting agricultural land in the same parcel as residential land into residential land under point c, clause 2, Article 10 of Resolution 254/2025/QH15 and Article 6 of Decree 50/2026/NĐ-CP (the asker wrote 50/2025/CP).
Scenario described by the asker (local residential allocation limit 200 m2, minimum new residential parcel 50 m2):
- A land user holds a 3,000 m2 parcel of 2,950 m2 perennial crop land and 50 m2 residential land, and applies to convert 400 m2 to residential land; in the asker's assumption, this user is charged at the 30% and 50% rates.
- The user then transfers part of the parcel (1,000 m2: 50 m2 residential, 950 m2 perennial crop) to another person.
- The recipient applies to convert 400 m2 to residential land and, according to the asker, has not used the incentive since 1 August 2024.
Question: can the recipient use the land-use fee reduction under Resolution 254 for this conversion?
Ministry of Finance response
Resolution 254/2025/QH15 of 11 December 2025 (point c, clause 2, Article 10)
When garden, pond or agricultural land in the same parcel as residential land is converted to residential land, the land-use fee is:
- 30% of the difference (between the fee at residential land price and at agricultural land price at the time of the conversion decision) for area within the residential allocation limit;
- 50% of the difference for area exceeding the limit but not more than 1x the limit;
- 100% of the difference for area exceeding 1x the limit.
This rate applies only once per household or individual (per one parcel).
Decree 50/2026/NĐ-CP of 31 January 2026 (Article 6, effective 31 January 2026)
- This calculation applies once per household or individual, on one parcel of their choice.
- A later conversion on that parcel or another parcel is charged at 100% of the difference.
Decree 103/2024/NĐ-CP (Articles 44, 48; amended by Decrees 291/2025/NĐ-CP and 50/2026/NĐ-CP)
People's Committees at all levels, land management bodies, tax authorities, land registration offices and others are responsible for directing, implementing, guiding and resolving issues under land and land-use fee law.
Conclusion
The Ministry gave no specific conclusion for the scenario. It asked the inquirer to contact local competent authorities for handling within their assigned functions, duties and responsibilities.