Regulations on payment of compensation, support and resettlement

Question: Regulations on compensation, support and resettlement payments?

Answer: According to Article 30, Decree No. 47/2014/ND-CP, the payment of compensation, support and resettlement is regulated as follows:

1. The deduction of the amount of unfulfilled financial obligations on land from the compensation amount prescribed in Clause 4, Article 93 of the Land Law shall be carried out according to the following provisions:

a)The amount of money that has not been paid for financial obligations on land includes land use fees and land rent that must be paid to the State but has not been paid at the time of land recovery;

b)The amount of unfulfilled financial obligations specified in Point a of this Clause shall be determined according to the provisions of law on land use fee collection; land rent collection, water surface rent collection.

In case the amount of unfulfilled financial obligations at the time of the land recovery decision is greater than the amount of compensation and support, the household or individual will continue to be credited with the difference; if the household or individual is arranged for resettlement, after deducting the compensation and support amount from the amount to be allocated residential land or buy a house at the resettlement site, the remaining amount is less than the amount of unfulfilled financial obligations, the household or individual will continue to be credited with the difference;

c)Compensation to be deducted from the amount of unfulfilled financial obligations includes compensation for land, compensation for remaining investment costs in land (if any). Compensation for moving costs, compensation for property damage, compensation for stopping production and business, and support amounts are not deducted from the amount of unfulfilled financial obligations regarding land.

2. In case of compensation by allocation of new land or allocation of residential land or resettlement housing, if there is a difference in value, the difference shall be paid in cash according to the following provisions:

a)In case the compensation for land is greater than the land, housing or housing price in the resettlement area, the resettled person will receive the difference;

b)In case the compensation for land is less than the land, housing or resettlement housing price, the person being arranged for resettlement must pay the difference, except for the case specified in Clause 1, Article 22 of this Decree.

3. In case the recovered land area is in dispute over land use rights that has not been resolved, the compensation and support for the disputed land area will be transferred to the State Treasury and will be returned to the land user after the competent State agency has resolved the matter.

4. Advance payment for compensation, support and resettlement is carried out according to the following regulations:

a)The Land Development Fund shall provide capital to organizations responsible for compensation and site clearance to create clean land funds for land allocation and lease in accordance with the Model Regulations on Management and Use of the Land Development Fund;

b)People who are allocated land by the State with land use fees collected or leased land according to the provisions of the law on land, if they voluntarily advance compensation, support and resettlement costs according to the plan approved by the competent State agency, will be reimbursed by the State budget by deduction from the land use fees and land rent payable. The deducted amount shall not exceed the land use fees and land rent payable; the remaining amount (if any) shall be included in the project's investment capital.

In case the person who is allocated land by the State without collecting land use fees, allocated land with collecting land use fees, or leased land according to the provisions of the law on land is exempted from land use fees or land rent if he/she voluntarily advances compensation, support, and resettlement costs according to the plan approved by the competent State agency, the compensation, support, and resettlement costs shall be included in the project investment capital.

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