This resolution introduces a tiered fee structure starting at 30%, a policy regarded as highly suitable for current social needs. By addressing practical hurdles and simplifying administrative procedures, the new regulations significantly reduce the financial pressure on citizens when converting land use purposes.

During the initial implementation of the 2024 Land Law, the primary barrier that discouraged people from converting agricultural land into residential plots was the heavy financial obligation. The requirement to pay 100% of the price difference presented a major obstacle, especially for economically disadvantaged households in rural areas.

Since its enforcement at the start of 2026, Resolution 254 has attracted immense public attention, as the new fee structure is seen as far more aligned with the economic conditions of the populace.

Instead of a single flat rate, the resolution opens a humane tiered roadmap where citizens pay only 30% for the area within the legal quota. For the first portion exceeding that quota, the rate is 50%, and the full 100% is applied only to the remaining area.

On January 31, 2026, the Government further clarified these rules by issuing Decree No.50/2026/NĐ-CP, which specifies that this calculation is applied once per household or individual on a single selected parcel. Any subsequent conversions on that same plot or on other parcels are then calculated at 100% of the difference based on the land prices at the time of the decision.

Trần Văn Trung from Sam Mứn commune owns nearly 1,000m2 of land and had previously halted his plan to convert 500m2 for residential use due to the prohibitive 100% price difference. With the favorable mechanisms now provided by Resolution 254 and Decree 50, he has decided to move forward with the procedures. Another significant update in the resolution involves land designated for pathways.

According to Clause 3, Article 11, if a land user sets aside a portion of a residential or mixed-use plot for an alley, they are no longer required to perform a land use conversion for that specific area when splitting or merging plots. This provision saves citizens substantial costs and streamlines the management of land records for those needing to consolidate plots for mortgages or transfers.

The resolution also untangles long-standing issues for families like that of P.T.T. in Huổi Phạ village, Him Lam ward. Previously, she was unable to merge an 80m2 residential plot with a 120m2 annual crop plot because they did not share the same purpose or usage term under the 2024 Land Law. However, the new resolution provides the necessary legal conditions to allow the Land Registration Office to finalize such consolidations.

Dương Thị Minh Dịu, Director of the Land Registration Office, stated that Resolution 254 and its guiding decrees serve as a vital legal foundation to harmonize state budget interests with the financial capacity of the people. This breakthrough in policy addresses unprecedented challenges that arose as the new land price tables began operating, reflecting a shift toward a management mindset that places citizens and businesses at the heart of public service.