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City suffers as firms delay payment of land-use fees
Nearly one hundred enterprises in HCM City owe land use fees and land rentals that amount to thousands of billions of dong, according to the municipal Department of Natural Resources and Environment.
The department says 98 agencies and enterprises in the city have not yet fulfilled their financial obligations, including the payment of land use fees and rentals, after they were allocated land by the city to develop their real estate projects.
It has asked the municipal People's Committee and the Tax Department to co-operate with it in taking drastic measures to collect the debts, saying this would provide badly needed funds for the State Budget and protect people's benefits.
The department has petitioned the city government for permission to revoke land from those firms that have intentionally not paid the land use charges and rentals they owe.
A department representative who declined to be named said that the delay in payment has caused large revenue losses.
It has also badly affected the rights of people, particularly those who had bought properties from projects for which owners have not yet paid their dues.
"The fact is that some real estate developers who have not yet paid their dues have been selling their products," the department said. This means that people who bought land from these projects are not allowed to build houses on their property or sell it.
Meanwhile, representatives of some firms that have delayed payment of their dues blame the delay on current administrative procedures, which they say are too complicated.
"Another reason for the delay is that the current charges were calculated on the basis of market prices under Decree No 69/2009/ND-CP, which is beyond their financial capacities," the representatives said
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