A property tax law, with the imposition of a progressive tax on land and house ownership, is to be proposed by the Ministry of Finance in 2009 or early 2010, in a bid to regulate the property market, said the Minister of Finance, Vu Van Ninh, in a recent interview granted to local media.
According to Mr. Ninh, the promulgation of this law aims to closely link land with land use plans in order to capitalize on land in the most economic and efficient manner.
Pending the promulgation of the law, in order to cope with the existing problem of land speculation, amendments would be made to the Ordinance on Land and Housing Tax in a way that market regulators can know how many assets being land and houses that an individual owns and where they are, so that state agencies will work out timely solutions when the property market shows unusual trends due to speculation.
In the long run, in addition to the property tax law, a law on property registration would be enacted to ensure transparency, said the Finance Minister.-