Conditions for businesses to receive agricultural land transfer

Conditions for businesses to receive agricultural land transfers have been specifically stipulated in Land Law 2024, with many new points compared to previous regulations. Economic organizations need to master regulations on land use plans, approval procedures from state agencies, terms of use, and related financial obligations. The article analyzes in detail the legal conditions for businesses to exercise the right to receive transfer of agricultural land according to current regulations.

Rights and obligations of businesses to receive agricultural land transfer

Economic organizations receiving transfer of use rights agricultural land must comply with the provisions of law. Clause 3 Article 35 of the Land Law 2024 clearly stipulates the rights and obligations of economic organizations upon receipt transfer of agricultural land. These regulations distinguish between cases of transfer with change of land use purpose and cases without change of land use purpose.

In the case of receiving transfer and not changing land use purpose, economic organizations have the rights and obligations specified in Clauses 1 and 3, Article 33 of the Land Law 2024. Accordingly, economic organizations enjoy basic rights such as transferring land use rights, leasing land use rights, donating land use rights in some special cases, mortgaging land use rights, and contributing capital with land use rights.

Regarding obligations, economic organizations must fully fulfill their financial obligations transfer of agricultural land. In particular, organizations are exempted from land use fees or land rents when transferring or contributing capital with land use rights that must be paid to the State an amount of money corresponding to the amount of money exempted or reduced, unless otherwise prescribed by law.

In the case of receiving land transfer and changing land use purpose in cases where the State allocates land with land use fee collection or leases land with one-time land rental payment for the entire lease term, economic organizations also have the same rights and obligations as in cases where the land use purpose is not changed, as prescribed in Clause 1 and Clause 3, Article 33 of the Land Law 2024.

If receiving the transfer and changing the land use purpose in the case of being leased land by the State and paying annual land rent, the economic organization has the rights and obligations as prescribed in Clause 1, Article 34 of the Land Law 2024, with narrower rights than the above two cases.

Conditions for businesses to receive agricultural land transfer

Conditions for businesses to receive agricultural land transfer are specifically stipulated in Clauses 6 and 7, Article 45 of the Land Law 2024. Accordingly, economic organizations that want to transfer agricultural land use rights must meet the requirements on land use plans, administrative procedures and other legal conditions.

The most important requirement is that the economic organization must have an agricultural land use plan approved by the district People’s Committee. This plan is the legal basis for state agencies to consider and evaluate the transfer of agricultural land by the economic organization. Without an approved land use plan, the economic organization cannot carry out the transfer of agricultural land.

The agricultural land use plan must include the following main contents::

• Location;
• Acreage;
• Land use purpose;
• Detailed agricultural production and business plans;
• Estimated investment capital for agricultural production activities;
• Land use term according to regulations;
• Specific land use progress.

These contents must be presented in detail and clearly so that the competent authority has a basis for consideration and approval.

>>> See more: Businesses to receive agricultural land transfer.

Some things to note when businesses to receive agricultural land transfers

When enterprises transfer agricultural land, they need to pay attention to some important legal issues to ensure their rights and comply with legal regulations. Economic organizations need to pay attention to the transfer limit, administrative procedures and regulations on land use after transfer.

Regarding the transfer limit, according to Article 177 of the Land Law 2024, the limit for receiving the transfer of agricultural land use rights of individuals shall not exceed 15 times the limit for agricultural land allocation for each type of land. However, for economic organizations, the Land Law 2024 does not stipulate a specific limit, but economic organizations must still comply with the regulations on approved land use plans.

Procedures for receiving agricultural land transfer from enterprises include:

• Prepare and submit agricultural land use plans;
• Obtain approval from the District People’s Committee;
• Sign a transfer contract; Submit documents to transfer names and register land changes;
• Fulfill financial obligations.

Each step in this process has its own legal requirements that must be strictly followed.

After receiving the transfer, the enterprise must use the land for the right purpose and on schedule as committed in the approved plan. Using the land for the wrong purpose or not on schedule may lead to sanctions or even land revocation according to the provisions of Article 31 of the Land Law 2024. Enterprises also need to pay attention to the terms of agricultural land use when receiving the transfer in order to have a suitable land use plan.

Consulting services on agricultural land transfer for businesses at Long Phan Consulting Company

Long Phan Consulting Company provides professional consulting services on agricultural land transfer for businesses in Vietnam. With a team of experienced experts, we support businesses in the entire process from consulting to completing procedures for agricultural land transfer.

Our consulting services include:

• Consulting on conditions for receiving agricultural land transfer;
• Support the development of agricultural land use plans that meet legal requirements;
• Legal appraisal of land records before receiving transfer;
• Support procedures for applying for plan approval from state agencies;
• Representative of the enterprise to carry out related administrative procedures.

With experience in consulting for many businesses, Long Phan Consulting Company understands the common problems when businesses receive agricultural land transfers. We provide solutions suitable for each specific case, helping businesses save time, costs and avoid legal risks that may arise.

Frequently asked questions

Below are some frequently asked questions related to the article content:

What types of documents do businesses need to prove their eligibility to receive agricultural land transfer?

Enterprises need to have an agricultural land use plan approved by the district People’s Committee, a business registration certificate and documents proving financial capacity.

How is the limit for receiving agricultural land transfer for enterprises regulated?

Currently, the Land Law 2024 does not stipulate specific limits for businesses, but is mainly based on approved land use plans.

Can businesses change the use purpose of agricultural land immediately after receiving the transfer?

Enterprises need to comply with the approved land use plan and request permission from state agencies if they want to change the land use purpose.

How long does it take for state agencies to review and approve land use plans?

This time depends on each locality’s regulations and the complexity of the land use plan.

Can businesses mortgage agricultural land use rights after receiving the transfer?

Yes, businesses have the right to mortgage agricultural land use rights according to the provisions of law.

If a business does not use the land for the right purpose, will it be confiscated?

Yes, according to Article 31 of the Land Law 2024, if an enterprise uses land for the wrong purpose or not on schedule, the land can be revoked.

What expenses are included in the procedures for receiving agricultural land transfer?

Costs include land use fees, registration fees, notary fees and other costs related to administrative procedures.

Are foreign enterprises allowed to receive agricultural land transfers in Vietnam?

This depends on the investment field, and needs to strictly comply with Vietnamese laws.

Conclude

Mastering the conditions for businesses to receive agricultural land transfer according to Land Law 2024 is extremely important to ensure rights and avoid risks. If you need detailed advice on the process and procedures for receiving agricultural land transfers, please contact Long Phan Consulting Company immediately via the hotline 0906735386 to receive support from a team of lawyers specializing in land law.