All types of assets on land are compensated when the state recovers land

Article overview

Assets on land are compensated when the state recovers land including houses, construction works, crops and livestock according to the provisions of the Land Law 2024. Compensation is carried out according to the principle of ensuring the rights of property owners and complying with legal regulations law. The article below provides specific information about the types of assets on land that are compensated when the state recovers.

Assets on land are compensated when the State recovers land
Assets on land are compensated when the State recovers land

Principles of compensation for property damage on land when land is recovered

Principles for compensation for property damage when the State recovers land are prescribed in Clause 3, Article 91 of the Land Law 2024 as follows:

Property owners who, according to the provisions of civil law, suffer property damage, will be compensated for the damage; Owners of production and business establishments that have to stop production and business due to land recovery by the State will be considered for support.

Production facilities stopped doing business
Production facilities stopped doing business

Assets on land are compensated when the state recovers land

Compensation for damage to houses and structures on land

According to the provisions of Article 102 of the Land Law 2024, compensation for damage to houses and structures built on land is prescribed as follows:

  1. For houses and structures serving daily life attached to land of households, individuals, and people of Vietnamese origin residing abroad that must be dismantled or demolished when the State recovers the land, the homeowner shall be the owner of the house. Those houses and works will be compensated with the value of new construction of houses and works with equivalent technical standards according to relevant laws.

Owners of houses and constructions are allowed to use the remaining materials of the houses and constructions.

  1. For houses and constructions attached to land that do not fall into the cases specified in Clause (1), when the State recovers the land and is dismantled or demolished in whole or in part, compensation will be paid as follows:
  • For houses and construction works that are dismantled or demolished in whole or in part and the remaining part does not meet technical standards as prescribed by law, compensation will be equal to the value of the new construction of the house and construction with equivalent technical standards according to the provisions of construction law;
  • For houses and other construction works that are dismantled or demolished other than in the cases just mentioned, compensation will be paid according to actual damage.
  1. For technical infrastructure works and social infrastructure works attached to land in use that are not subject to the provisions of Clauses (1) and (2), the compensation level shall be calculated by the new construction value of works with equivalent technical standards according to the provisions of specialized laws.

Compensation for crops and livestock

According to the provisions of Article 103 of the Land Law 2021, when the State recovers land and causes damage to crops and livestock, compensation is carried out according to the following regulations:

  • For annual crops, the compensation level is calculated by the value of the harvest for that crop. The output value of the harvested crop is calculated according to the yield of the highest crop in the 3 consecutive previous years of that crop in the locality and the compensation unit price;
  • For perennial trees, compensation is calculated according to the actual damage value of the garden.

For perennial trees that are harvested multiple times and are in the harvest period, the compensation level is calculated based on the unharvested garden yield corresponding to the remaining number of years in the harvest cycle and the compensation unit price;

  • For unharvested crops that can be moved to another location, compensation will be paid for moving costs and actual damages caused by having to move or replant.
  • For forest trees planted with state budget capital, natural forest trees assigned to organizations, households, and individuals to plant, manage, care for, and protect, compensation will be based on the actual damage value of the garden; Compensation money is distributed to managers, caretakers and protectors according to the provisions of forestry law;
  • When the State recovers land and causes damage to aquatic animals or other animals that cannot move, actual damages will be compensated according to the specific compensation level prescribed by the Provincial People’s Committee;
  • Owners of plants and livestock specified in the above clauses may recover the plants and livestock themselves before handing over the land to the State;
Compensation for crops and livestock
Compensation for crops and livestock

Compensation for moving expenses

According to the provisions of Article 104 of the Land Law 2024, when the State recovers land and must move assets, the State will compensate the costs for dismantling, moving, and installing; In case the machinery system or production line must be moved, compensation will also be paid for damage during dismantling, transportation, and installation.

Accordingly, the above compensation level will be determined by the Provincial People’s Committee.

Support payments when the state recovers land

When the State recovers land, in addition to receiving compensation (if eligible for compensation), land users will also receive support from the State. Support amounts when the State recovers land according to Article 108 of the Land Law 2024 include:

  1. Support for life stabilization;
  2. Support to stabilize production and business;
  3. Support for relocation of pets;
  4. Support for training, career change and job search;
  5. Resettlement support for people whose residential land is recovered and must relocate but the compensation is not enough to receive a minimum resettlement rate;
  6. Support for dismantling, demolishing, and relocating assets attached to land that are construction works under a construction permit but by the time of land recovery, the permit has expired;
  7. Other support.

Consulting services and support for compensation procedures at Long Phan

Long Phan provides in-depth consulting services on compensation for land and assets on land when the state recovers land. We will accompany customers throughout the process of implementing compensation procedures. The scope of consulting and support includes:

  • Review records on land use rights and assets on land
  • Consulting on compensation, support and resettlement plans
  • Calculate and compare compensation levels according to legal regulations
  • Drafting complaints and compensation recommendations (if any)
  • Representing customers in working with competent state agencies
  • Consulting on resettlement plans and stabilizing life after land recovery
  • Consulting on other issues related to compensation when land is recovered.

Customers who need advice on compensation when the state recovers land, please contact Long Phan immediately via hotline 0906735386. Our team of experts will assist customers in carrying out related procedures, ensure their rights and help customers receive reasonable compensation according to the provisions of the law.