Whether or not there are penalties for late payment of land tax is a question that has captured the attention of the accounting community and business owners since the government issued the regulation. Decree 373/2025/ND-CP (Amendment to Decree 126/2020/ND-CP). The deadlines for land lease payments have undergone fundamental changes, forcing taxpayers to review their entire financial plans. Missing even a single day will trigger the automatic late payment penalty system, causing unnecessary financial losses.
From the perspective of experts at MAN – Master Accountant Network, understanding whether late land tax payments are subject to penalties is key to protecting land use rights. With a late payment interest rate of 0.03%/day and various penalties in place... Decree 310/2025/ND-CP, Therefore, businesses need a well-structured tax management strategy. This article will analyze in detail the legal scenarios and provide the most accurate payment timelines.
Detailed explanation: Will I be penalized for late payment of land tax?
To answer the question of whether late payment of land tax is subject to penalties, businesses need to directly compare the relevant information with the relevant authorities. Tax Administration Law No. 38/2019/QH14 and Decree 310/2025/ND-CP. In reality, land lessees will face a "double penalty": late payment fees calculated daily and administrative fines if they are late in submitting tax declarations.
Late payment interest: 0.03%/day
According to regulations, as soon as the land lease payment deadline stated in the notice is missed, the system will automatically calculate interest. Many people still carelessly wonder if they will be penalized for late land tax payments if they are only a few days late; in reality, this amount is continuously accumulated until the obligation is fulfilled.
Calculation formula:
|
Late payment penalty = Amount of tax underpaid x 0.03% x Number of days late |
Example: A business owes 1 billion VND in land lease fees and is 30 days late in payment. The late payment penalty will be: 1,000,000,000 x 0.03% x 30 = 9,000,000 VND.
Administrative penalties for tax return filing
The issue of penalties for late land tax payments has now been extended to the declaration process. If a business is late in submitting its tax declaration when leasing, renewing, or adjusting its land use plan, the fine will be based on the number of days overdue, as stipulated in Decree 310/2025/ND-CP.
| Late submission period | Fines (Decree 310) |
| From 1 to 30 days | Fines ranging from 2,000,000 VND to 5,000,000 VND. |
| From 31 to 60 days | Fines ranging from 5,000,000 VND to 8,000,000 VND. |
| From 61 to 90 days | Fines ranging from 8,000,000 VND to 15,000,000 VND. |
| Over 90 days | Fines ranging from 15,000,000 VND to 25,000,000 VND. |
Deadlines for land lease payments for the period 2026-2027
To avoid worrying about penalties for late land tax payments, accountants need to remember the payment schedule as stipulated in Decree 373/2025/ND-CP. This regulation applies uniformly to 2026 and 2027.
Land lease with annual payments.
For this type of tax, the risk of being penalized for late land tax payments often stems from forgetting the following deadlines:
- First year: Submit within 30 days of receiving notification from the tax authorities.
- From the second year (2026 and 2027): Pay once: Deadline date 31/05; Submit in two installments: Phase 1 deadline 31/05; Deadline for Part 2 31/10.
Land lease with one-time payment
The regulations regarding penalties for late land tax payments are very strict here to ensure budget revenue:
- During the first 30 days: The total amount for payment as notified must be completed for payment of 50%.
- During the first 90 days: The entire 100% tax payment must be completed.
Why should you be concerned about whether you will be penalized for late land tax payments?
In addition to financial losses, land tax arrears also lead to serious legal consequences under the 2024 Land Law.
Risk of land expropriation
According to Article 31 of the 2024 Land Law, the State has the right to reclaim land if the user fails to fulfill their financial obligations after enforcement action. At this point, the question is no longer whether late payment of land tax will result in penalties, but rather the risk of losing the entire project asset. This is the highest penalty for dealing with cases of prolonged delay in payment.
Bills frozen and accounts seized.
The tax authorities have the right to freeze bank accounts or suspend invoices for entities with overdue tax payments. This paralyzes business operations. This is why the question "Are there penalties for late land tax payments?" is always of particular concern to financial directors.
Conclude
The question of whether late land tax payments are subject to penalties has been clearly answered by new regulations. Entering 2027, adhering to tax payment deadlines will be a vital right for businesses. Don't let small mistakes lead to the risk of forced eviction or land reclamation.
MAN – Master Accountant Network is ready to partner with your business through the following services:
- Auditing services – Advanced Tax Accounting.
- Tax consulting services, optimizing financial obligations.
- Tax settlement and comprehensive tax reporting.
Contact MAN today to build a safe, sustainable tax roadmap and eliminate worries about penalties for late land tax payments.
Service contact information at MAN – Master Accountant Network
- Address: No. 19A, Street 43, Tan Thuan Ward, Ho Chi Minh City
- Mobile/Zalo: 0903 963 163 – 0903 428 622
- Email: man@man.net.vn
Content production by: Mr. Le Hoang Tuyen – Founder & CEO MAN – Master Accountant Network, Vietnamese CPA Auditor with over 30 years of experience in Accounting, Auditing and Financial Consulting.
Quick answer regarding whether there are penalties for late payment of land tax.
The submission date is the date the funds are confirmed in the budget. Businesses should submit the payment 1-2 days in advance to avoid technical issues.
No. Fulfilling financial obligations is a mandatory condition for transfer. Whether or not late payment of land tax is penalized directly affects the project's liquidity.
Yes. The system will calculate interest on even the smallest outstanding amount. Accountants need to carefully check the outstanding balance on the tax portal. If I pay the land tax on May 31st but the system malfunctions, will I be penalized for late payment?
Can a business that owes land lease fees transfer its project?
Will I be penalized for late payment of land tax if I pay even one dollar less?
