BENEFICIARIES OF LAND AND WATER SURFACE RENTAL REDUCTION DUE TO THE IMPACT OF COVID-19 PANDEMIC IN 2022 MUST SUBMIT APPLICATION IN ADVANCE OF 31/3/2023

Reducing 30% of land and water surface rental for those affected by the Covid-19 pandemic is a financial support that has been executed in 2022 and has recently been expanded to continue applying in 2023. The expansion of the scope of beneficiaries of this policy was introduced by the Government in Resolution 07/NQ-CP ("Resolution 07") (updated by ATA Legal Services here) and has recently been concretized in Decision No. 01/2023/QD-TTg of the Prime Minister dated January 30, 2023 ("Decision 01").  The following are some notable contents in Decision 01:

Beneficiaries

Decision 01 clarifies the beneficiaries of the subsidy in Resolution 07. Accordingly, these subjects include land and water surface tenants who are not subject to land and water surface rental reduction or those who are being under the land and water surface rental reduction in accordance with other relevant laws.

Basis for determining subsidy amount

1. For cases where the tenants are receiving reduction in land and water surface rental or/and deduction of site clearance compensation as prescribed: The subsidy amount shall be calculated on the amount of land and water surface rental payable (if any) after being reduced or/and deducted in accordance with the provisions of law.
2. For the remaining cases: The subsidy amount shall be calculated on the amount of land and water surface rental payable in 2022 as prescribed, excluding the amount owed in the years before 2022 and the late payment amount (if any).

Settlement mechanism for cases where land and water surface rental have been fully paid in 2022

In case the subsidy beneficiaries under Resolution 07 have made full payment of land and water surface rental of 2022, the overpaid amount will be deducted from the land and water surface rental of the next period or the next year. In case there is no longer the next payable period, the overpaid amount shall be offset or refunded as per the law on tax administration and other relevant laws.

Beneficiaries must prepare and submit the application (electronically or otherwise) to the competent authority no later than 31/03/2023. Any application submitted after the aforementioned deadline shall not eligible for this policy.