The prime minister has just assigned the Ministry of Finance to draft a property tax bill in an effort to fight speculation and to improve the efficiency of land use.
This issue has been discussed several times in the past, with many experts proposing to impose progressive tax on properties so as to prevent speculators on the property market from accumulating land and houses and manipulating prices.
Such a tax should also be imposed on those people with unused property.
In his instruction, the prime minister also asked the Ministry of Finance to review personal income tax imposed on the transfer of properties.
Regarding credits for the sector, the prime minister asked the State Bank of Vietnam to order commercial banks to restrict loans for site clearance, compensation, as well as luxury property projects. Loans to property traders must also be put under tight supervision.
Meanwhile, loans should be further extended for development projects to provide accommodations for poor people.