Circular 19/2020/TT-BTC amendment to Circular 77/2017/TT-BTC

CIRCULAR

On amending and supplementing a number of Articles of the Ministry of Finance’s Circular No. 77/2017/TT-BTC dated July 28, 2017 on providing guidance on the State budget accounting regime and the State Treasury operations

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Pursuant to the Law on the State Budget dated June 25, 2015;

Pursuant to the Accounting Law dated November 20, 2015;

Pursuant to the Law on E-transactions dated November 29, 2005;

Pursuant to the Law on Information Technology dated June 29, 2006;

Pursuant to the Government s Decree No. 11/2020/ND-CP dated January 20, 2020 on providing regulations on the administrative procedures in the field of State Treasury;

Pursuant to the Government’s Decree No. 87/2017/ND-CP dated July 26, 2017 on defining the functions, tasks, powers and organizational structure of the Ministry of Finance;

Pursuant to the Government’s Decree No. 163/2016/ND-CP dated December 21, 2016, on detailing a number of Articles of the Law on State Budget;

Pursuant to the Government’s Decree No. 174/2016/ND-CP dated December 30, 2016 on detailing a number of Articles of the Accounting Law;

Pursuant to the Government’s Decree No. 130/2018/ND-CP dated September 27, 2018, on detailing the Law on E-Transactions regarding digital signatures and digital signature certification services;

Pursuant to the Government’s Decree No. 165/2018/ND-CP dated December 24, 2018 on e-transactions in financial activities;

Pursuant to the Government’s Decree No. 71/2007/ND-CP dated May 03, 2017 on detailing and guiding the implementation of a number of Articles of the Law on Information Technology regarding information technology industry;

Pursuant to the Prime Minister’s Decision No. 26/2015/QD-TTg dated July 08, 2015 on defining the functions, tasks, powers and organizational structure of the State Treasury of the Ministry of Finance;

The Minister of Finance hereby promulgates the Circular on amending and supplementing a number of Articles of the Ministry of Finance’s Circular No. 77/2017/TT-BTC dated July 28, 2017 on providing guidance on the State budget accounting regime and the State Treasury operations, as  follows:

Article 1.To amend and supplement a number of Articles of the Ministry of Finance’s Circular No. 77/2017/TT-BTC dated July 28, 2017 on providing guidance on the State budget accounting regime and the State Treasury operations as follows:

1. To amend Clauses 1 and 2, Article 20 as follows:

“1. When necessary, an electronic document may be converted to the paper document, but it must fully meet the conditions specified in Clause 3, Article 7 of the Government’s Decree No. 165/2018/ND-CP dated December 24, 2018 on e-transactions in financial activities.

2. When necessary, a paper document may be converted to an electronic document, but it must fully meet the conditions specified in Clause 2, Article 6 of the Government’s Decree No. 165/2018/ND-CP dated December 24, 2018 on e-transactions in financial activities.”

2. To amend Point dd, Clause 3, Article 22 as follows:

“dd, For payment documents, if the unit withdraws many items and could not list all items on one page, it can write on the next page (back page) or make many sets of documents (one document can be made on a maximum of 2 pages). In case the documents are written on 2 pages, then at the back page, the unit must write about 1/4 of the distance from the margin.

In case the payment documents are made on the public service, the number of pages for one payment document is not limited”.

3. To amend Clause 2, Article 26 as follows:

“2. For accounting documents dealing with the State Treasury, the transaction unit must transfer them to the State Treasury no later than 05 working days, from the date of writing stated in the accounting documents. Past the time limit of 05 working days, the affiliated unit of the State Treasury shall request such unit to remake the document in accordance with the transaction time with the State Treasury”.

4. To amend Article 29 as follows:

“The combination of account chart is built on the principle of arranging independent code segments, each containing different information according to management requirements.  A combination of accounts is fixed and uniformly structured for the whole system, including the set of payment center records, the record sets of provinces and cities, and the set of consolidated records of the whole system.

The list of detailed values for each code segment shall be amended and supplemented upon the actual requirements. The specific code values of code segments in the combination of account chart shall be issued only one time in the system (used codes shall not be re-issued), except for some special cases as prescribed by the competent State agency. For each code, the system shall assign a unique value during the operation of the system.

During the operation of TABMIS, the General Director of the State Treasury shall be responsible for deciding the issuance, amendment and supplement of code segment values (fund code, account code, detailed accounting code, state treasury code, state budget source and reserve code) according to the management requirements and the business processes”.

5. To amend Clause 2, Article 61 as follows:

“2. The time of closing the annual State budget revenue and expenditure settlement reports: is divided into 03 stages:

a) Closing time-out data for adjusting the settlement: The data is taken until the end of March 31 of the following year. The report shall be saved as a file and at the affiliated unit of the State Treasury where the report is made.

b) Closing source data: The data is taken until the end of March 31 of the following year. The report shall be saved as a file and at the affiliated unit of the State Treasury where the report is made.

c) Closing the final settlement data: The data shall be finalized on November 30 of the following year. The report shall be saved as a file and at the affiliated unit of the State Treasury where the report is made. After November 30, if the settlement data of the previous year is adjusted in accordance with the competent agency s decision, there must be a demonstration”.

6. To amend Clause 2, Article 64 as follows:

"2. The comparison between the State Treasury and the unit having a transaction with the State Treasury shall comply with the Minister of Finance’s Circular No. 18/2020/TT-BTC dated March 31, 2020on providing guidance on the registration and use of accounts at the State Treasury”.

7. To amend Article 68 as follows:

“For non-budget advance received and temporary payment, advances, borrowings and loans of various levels of the state budget, advances to budget-estimating units, affiliated units of the State Treasury should coordinate with competent agencies of the same-level and budget-estimating units in carrying out procedures for handling according to the provisions of documents guiding the work of accounting record closure and making of settlement reports of the Ministry of Finance.

Advance received and temporarily seized amounts must be handled immediately according to the competent authorities’ handling documents. If there is no handling document, the balance shall be transferred to the next year for further monitoring and handling”.

8. To amend Clause 5, Article 79 as follows:

“5. The Director of the provincial-level State Treasury shall decide to authorize the title of chief accountant to a person who fully meets conditions and criteria for performing accounting tasks at the provincial-level State Treasury and the affiliated district-level State Treasuries.

District-level State Treasury may assign tasks for officials who fully meet conditions and criteria to assist the chief accountant, on behalf of the chief accountant to handle authorized works as prescribed by law. Such officials shall take responsibility for the work within the authorized time. The Director of the district-level State Treasury shall submit the Director of the provincial-level State Treasury to decide and assign tasks for officials assisting the chief accountant in their unit, the number of officials authorized as the chief accountant depends on the operation scale of the district-level State Treasury and is decided by the Director of the provincial-level State Treasury”.

9. To amend Clause 2, Article 81 as follows:

“2. The General Director of the State Treasury shall decide the principle to assign and arrange accountants. The chief accountant is not allowed to directly perform specific accounting jobs or deal with customers; the person authorized as a chief accountant is not allowed to sign in documents which they directly perform specific accounting jobs or deal with customers”.

10. To replace the phrase “the Director of the Accounting and Auditing Policies Department” by the phrase “Director General of the Department of Accounting and Auditing Regulations” in Article 86.

11. To amend and supplement forms of accounting documents as follows:

a) To issue the following document forms to replace the corresponding forms specified in Appendix I - Accounting document system issued together with the Circular No. 77/2017/TT-BTC: State budget revenue refund order (Form C1-04/NS), Refund order cum clearing the state budget (Form C1-05/NS), Request for adjustment of state budget revenue (Form C1-07a/NS), Request for adjustment of state budget revenues in foreign currencies (Form C1-07b/NS), Payment order (Form C2-01a/NS), Payment receipt for superior budget (Form C2-05b/NS), Adjustment of budget data (Form C2-10/NS), Domestic payment order of debts in Vietnam dong (Form C2-14a/NS), Domestic payment order for debt in Vietnam Dong (Formulated by the Treasury Management Department - State Treasury - Form C2-14b/NS), Payment order for foreign debt repayment in foreign currency (Form C2-16NS), Order recording of budget revenue and expenditure (Form C2-17a/NS), budget record of revenue and expenditure (Form C2-17b/NS), Application for withdrawal of advance of investment capital (Form C3-03/NS), Sheet of adjustment of State budget expenditures (Form C3-05/NS), Payment to account (Form C4-08/KB), Bank transfer slip (Form C6-08/KB), Adjustment slip (Form C6-09/KB), Application for temporary grant of budget estimate (Form C6-13/NS), List of payment of deposit interests at the State Treasury (Form C6-14/KB) (Forms specified in Appendix I attached to this Circular).

b) To supplement the document of withdrawal of additional estimate from the superior budget (Form C2-11/NS), Domestic payment order for debt repayment in foreign currencies (Form C2-15a/NS), Domestic payment order for debt repayment in foreign currencies (formulated by the Treasury Management Department - State Treasury - Form C2-15b/NS), Service use statement for the month... (Form C6-18/KB), Debit advice (Form C6-19/KB) (Forms specified in Appendix I attached to this Circular).

12. To amend and supplement accounts as follows:

a) To change the titles of the following accounts:

- Account 3722 - "Deposits of specialized public funds" is changed to "Deposits of off-budget financial funds managed by the commune-level authorities".

- Account 3723 - “Other deposits” is changed to “Other deposits managed by the commune-level authorities”.

- Account 3730 - “Project deposit” is changed to “Project management deposit”.

- Account 3741 - “Deposit with a purpose" is changed to “Deposit with purpose from investment funding”.

- Account 3750 - “Deposit of organization and individual” is changed to “Deposit of organizations”; Account 3751 - “Deposit of organizations and individuals” is changed to “Deposit of organizations”.

- Account 7910 - "Budget remainder" is changed to "Budget remainder and budget remainder source used to pay the principals and interests of State budget loans.

- Account 8953 - "Regular expenditures from expenses left to record revenues and expenditures for units" is changed to "Regular expenditures from the form of revenue and expenditure recording".

- Account 9264 - "Estimated revenue and expenditure recurrently allocated to level 1 units" is changed to "Estimated revenue and expenditure records regularly allocated to level 1 units from foreign loans".

- Account 9265 - "Estimated revenue, expenditure of capital construction investment allocated to level 1 units" is changed to "Estimated revenue, expenditure of capital construction investment allocated to level 1 units from the foreign loans”.

- Account 9595 - "Estimated recurrent revenue and expenditure by the estimation" is changed to "Estimated recurrent revenue and expenditure from foreign loans".

- Account 9597 - "Estimated revenue, expenditure of capital construction investment by the estimation" is changed to "Estimated revenue, expenditure of capital construction investment from the foreign loans”.

b) To replace the following accounts:

- Account 1476 is replaced by Account 1462 - Advances of capital construction investment expenditures of State budget from the foreign loans in the form of intermediary revenue and expenditure recording.

- Account 1477 is replaced by Account 1463 - Advances of capital construction investment expenditures of State budget from the aid funding in the form of intermediary revenue and expenditure recording.

Accounts 1462 and 1463 are the second grade of Account 1462 - Advances of budget expenditures in the form of intermediary revenue and expenditure recording.

c) To add the following accounts:

- Account 1347 - Receivables of debt already acknowledged is the second-grade account of Account 1340 - Receivables of debt already acknowledged.

- Account 1413 - Advances of regular expenditures in the form of revenue and expenditure recording is the second grade of Account 1410 - Advances of budget revenue and expenditure in the form of revenue and expenditure recording.

- Account 1418 - Advances of capital construction investment in the form of revenue and expenditure recording is the second grade of Account 1410 - Advances of budget expenditures in the form of revenue and expenditure recording.

- Account 1420 - Advances of expenditures from the budget in the form of revenue and expenditure recording is the first grade of Group account 14a - Advances of budget expenditures in the form of revenue and expenditure recording.

Such an account comprises second-grade accounts as follows:

+ Account 1420 - Advances of regular expenditures of state budget from foreign aid capital in the form of revenue and expenditure recording.

+ Account 1426 - Advances of capital construction investment of state budget from foreign loans in the form of revenue and expenditure recording.

+ Account 1427 - Advances of capital construction investment of state budget from foreign aid capital in the form of revenue and expenditure recording.

- Account 1461 - Advances of regular expenditures of state budget from aid capital in the form of intermediary revenue and expenditure recording is the second-grade account of Account 1460 - Advances of budget expenditures in the form of intermediary revenue and expenditure recording.

- Account 3657 - Payables of debt already acknowledged is the second-grade account of Account 3650 - Payables of foreign long-term debt already acknowledged.

- Account 3715 - "Deposits paid for public non-business services with full payment" is the second-grade account of Account 3710 - "Deposits of non-business administrative units".

- Account 3742 - "Deposit with purpose from regular expenses", Account 3743 - "Deposit with other purposes" are the second-grade accounts of Account 3740 - "Deposit with a purpose".

- Account 3745 - ODA and aid deposit is the first-grade account of group account 3700 - Payables of deposits of units.

Such account comprises second-grade accounts as follows:

+ Account 3746 - Deposits of ODA loans

+ Account 3747 - Deposits of aid funding.

- Account 7114 - State budget revenue at the request of the auditor is the second-grade account of Account 7110 - State budget revenue.

- Account 7912 - Budget remainder source used to pay for principal and interest of State budget loans is the second-grade account of Account 7910 - Budget remainder and the budget remainder source used to pay for principal and interest of State budget loans.

- Account 8995 - Payment of loans from the budget surplus source; increase revenues and save budget expenditures; the budget remainder is the second-grade account of Account 8950 - Other budget expenditures.

- Account 9266 - Estimated regular revenue and expenditure from foreign aid allocated at tier 1 is the second-grade account of Account 9250 - Distribution estimate for level 1 units.

- Account 9267 - Estimated revenue and expenditure of capital construction investment from foreign aid allocated at tier 1 is the second-grade account of Account 9250 - Distribution estimate for level 1 units.

- Account 9570 - Estimated domestic revenue and expenditure recording is the first-grade account of Account 95 - Expenditure estimate allocated at tier 4. Such account comprises 02 second-grade accounts as follows:

+ Account 9571 - Estimated regular revenues and expenditures from domestic sources.

+ Account 9572 - Estimated regular revenues and expenditures of capital construction investment from domestic sources.

- Account 9596 - Estimated regular revenues and expenditures from foreign aid sources.

- Account 9598 - Estimated regular revenues and expenditures of capital construction investment from foreign aid sources.

13. To add the code of the target program and detailed accounting according to Appendix II attached hereto.

14. To amend and supplement the state budget source code as follows:

a) To rename code 17 “Funding for the implementation of preferential policies for people with meritorious services to the revolution” to “Funding for monthly allowances, subsidies and one-time allowances for people with meritorious services to the revolution”.

b) To add source codes 46 - Source of green Government bonds belonging to source code group 31 - Investment source of Appendix III.11. Appendix III is issued together with the Circular No. 77/2017/TT-BTC.

c) To add State budget source codes belonging to source code group 50 - Foreign capital source of Appendix III.11. Appendix III is issued together with the Circular No. 77/2017/TT-BTC.

- Source code 55 - Recording of revenues and expenditures of independent foreign aid capital belonging to the central budget for implementing programs and projects.

- Source code 56 - Recording of revenues and expenditures of independent foreign aid capital belonging to the central budget supplemented with a purpose for the local budget to implement programs and projects.

- Source code 57 - Recording of revenues and expenditures of independent foreign aid capital belonging to the local budget for implementing programs and projects.

15. To amend and supplement accounting record forms as follows:

- To replace the detailed record form to monitor the use of budget estimates (Form S2-05/KB/TABMIS), List of budget allocation management documents (Form S2-06d/KB/TABMIS) and List of documents on management of commitment of expenditures (Form S2-06e/KB/TABMIS) by the corresponding forms specified in Appendix IV - Lists and forms of accounting records and lists promulgated together with the Circular No. 77/2017/TT-BTC (Such Forms are specified in Appendix III attached to this Circular).

- To promulgate the form of account statement (Form 01/SK) (Such Form is specified in Appendix III attached to this Circular).

16. To amend and supplement forms of financial statement and administrative statement:

a) To add the reporting form of a refund of domestic revenues and other revenues other than state budget of... (Fiscal year) (B2-05a/BC-NS/TABMIS).

b) To replace the forms specified in Appendix V - List and forms of financial statement and administrative statement attached to the Circular No. 77/2017/TT-BTC by the corresponding forms of financial statement and administrative statement as follows: Summary of allocation and assignment of provincial-level (or district-level, commune-level) budget estimates and debt repayment, fiscal year... (B1-01b/BC-NS/TABMIS), report on collection and borrowing of the state budget in ... (fiscal year) (B2-01/BC-NS/TABMIS), Borrow, repayment of the State budget in the year ... (B6-01-01/BC-NS/TABMIS), Borrow, repayment of the local budget in the year ... (B6-02/BC-NS/TABMIS).

(Such Forms are specified in Appendix IV attached to this Circular).

Article 2.To repeal a number of Articles of the Ministry of Finance’s Circular No. 77/2017/TT-BTC dated July 28, 2017 on providing guidance on the State budget accounting regime and the State Treasury operations as follows:

1. To repeal provisions of Clauses 1 and 6, Article 24 on stamps of the transaction offices and transaction points, to repeal provisions of Clause 1, Article 40, Clause 2, Article 56 and Point c, Clause 1, Article 60 on transaction offices.

2. To repeal forms of document for withdrawing state budget estimates (C2-02a/NS, C2-02b/NS), request for advance payment (C2-03/NS), document for payment (C2-05a/NS), document for withdrawing state budget estimates in foreign currencies (C2-06/NS), request for advance payment in foreign currencies (C2-08/NS), request for a commitment to state budget expenditure (C2-12/NS), Adjustment slip of State budget expenditure commitment (C2-13/NS), request for advance payment of loan or aid capital has been recorded as revenue or expenditure (C2-18/NS), request for recording revenue or expenditure of ODA and foreign concessional loans (C2-19/NS), document for withdrawing investment capital (C3-01/NS), request for payment of investment advance (C3-02/NS), standing order (in foreign currencies) for electronic credit transfer (C4-02b/KB) and comply with the Government’s Decree No. 11/2020/ND-CP dated January 20, 2020 on providing regulations on administrative procedures in the field of State Treasury.

3. To repeal forms of payment order (Form C2-01c/NS), document of payment to the district budget (Form C2-05c/NS), document for withdrawing additional estimates from the superior budget (C2-11a/NS), document for withdrawing additional estimates from the district budget (C2-11b/NS), Payment order for domestic debt repayment in foreign currencies (Form C2-15/NS), Statement of investment capital payment (Form C3-04/NS), Cash withdrawal form from deposit account (Form C4-09/KB).

4. To repeal the following forms: Report on the summary of estimates (Form B1-01a/BC-NS/TABMIS), Report on the operation of the State budget and the central budget year ... (B8-01/BC-NS/TABMIS), Report on operation of the provincial budget year ... (B8-02/BC-NS/TABMIS), Report on operation of the district-level budget... (B8-03/BC-NS/TABMIS), Report on operation of the commune-level budget... (B8-04/BC-NS/TABMIS).

Article 3. Effect

1. This Circular takes effect on May 15, 2020.

2. Any difficulties arising in the course of implementation of this Circular should be promptly reported to the Ministry of Finance for consideration and settlement./.