Circular No. 258/2016/TT-BTC dated November 11, 2016 of the Ministry of Finance on prescribing the rates of charges for appraisal and approval of fire prevention and fighting designs and charge collection, remittance, management and use

CIRCULAR

Prescribing the rates of charges for appraisal and approval of fire prevention and fighting designs and charge collection, remittance, management and use[1]

Pursuant to the November 25, 2015 Law on Charges and Fees;

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

Pursuant to the Government’s Decree No. 120/2016/ND-CP of August 23, 2016, detailing and guiding a number of articles of the Law on Charges and Fees;

Pursuant to the Government’s Decree No. 79/2014/ND-CP of July 31, 2014, detailing a number of articles of the Law on Fire Prevention and Fighting and the Law Amending and Supplementing a Number of Articles of the Law on Fire Prevention and Fighting;

Pursuant to the Government’s Decree No. 215/2013/ND-CP of December 23, 2013, defining the functions, tasks, powers and organizational structure of the Ministry of Finance;

At the proposal of the Director of the Tax Policy Department,

The Minister of Finance issues the Circular prescribing the rates of charges for appraisal and approval of fire prevention and fighting designs and charge collection, remittance, management and use.

Article 1.Scope of regulation and subjects of application

1. This Circular prescribes the rates of charges for appraisal and approval of fire prevention and fighting designs for projects, works and motor vehicles subject to special fire prevention and fighting safety requirements (below referred collectively to as projects) prescribed in Clause 2, Article 15 of the Government’s Decree No. 79/2014/ND-CP of July 31, 2014, and other amending, supplementing or replacing documents (if any), and charge collection, remittance, management and use.

This Circular does not apply to appraisal and approval of fire prevention and fighting designs of 1:500-scale planning projects and basic designs of projects and construction project location approval.

2. This Circular applies to payers of, organizations collecting, and other organizations and individuals engaged in the collection, remittance, management and use of, charges for appraisal and approval of fire prevention and fighting designs.

Article 2.Interpretation of terms

1. Fire prevention and fighting design appraisal and approval means the  examination and comparison by a fire prevention and fighting police office of a project’s design solutions and contents against fire prevention and fighting-related standards, technical regulations and laws of Vietnam and foreign and international fire prevention and fighting standards permitted for application in Vietnam according to the procedures, order and contents prescribed in Article 15 of the Government’s Decree No. 79/2014/ND-CP of July 31, 2014.

Result of fire prevention and fighting design appraisal and approval means the grant by a fire prevention and fighting police office of a certificate of fire prevention and fighting design appraisal and approval for a dossier of project design, renovation or change of use of works, or conversion of motor vehicles; or of a fire prevention and fighting appraisal and approval document for a dossier of design for renovation or change of use of work items or for construction of work items under projects on the list provided in Appendix IV to the Government’s Decree No. 79/2014/ND-CP of July 31, 2014 (below referred collectively to as fire prevention and fighting design appraisal and approval document).

2. Renovation of a work or work item means the quality upgrading, enlargement or adjustment of area structure and technical systems of an in-use work or work item. Contents of renovation mean the change of one or more than one fire prevention and fighting requirement prescribed in Article 13 of the Government’s Decree No. 79/2014/ND-CP of July 31, 2014.

3. Change of use of a work or work item means the change of use purposes and fire and explosion hazards of the work or work item against its current use purposes. Contents of change of use mean the change of one or more than one of fire prevention and fighting requirement prescribed in Article 13 of the Government’s Decree No. 79/2014/ND-CP of July 31, 2014.

4. Work item means a part of a work which has a particular use and may operate separately from other work items and the use of which aims to meet a specific requirement of the work. Work items must belong to projects prescribed in Clause 2, Article 15 of the Government’s Decree No. 79/2014/ND-CP of July 31, 2014.

5. Conversion means the change of the operation scope and nature, fire and explosion hazards, structure and conditions on fire prevention and fighting of motor vehicles. Contents of conversion mean the change of one or more than one requirement for fire prevention and fighting safety solutions corresponding to the operational characteristics and fire and explosion features of motor vehicles; conditions for fire spread prevention, escape and rescue in case of fire; fire prevention and fighting safety solutions for electric systems, fuel systems and engines; fire-alarming and -fighting systems and other fire-fighting means; systems and devices to detect and handle the leak of flammable and explosive gases and  liquids.

Article 3.Charge payers

Organizations and individuals that are granted fire prevention and fighting design appraisal and approval documents by competent state agencies shall pay charges specified in this Circular.

Article 4.Charge-collecting organizations

Charge-collecting organizations are state management agencies competent to appraise and approve fire prevention and fighting designs, including:

1. The Fire Prevention and Fighting, Rescue and Salvage Police Department (the Ministry of Public Security).

2. Provincial-level Fire Prevention and Fighting Police.

3. Provincial-level Public Security Departments (for provinces without Fire Prevention and Fighting Police).

Article 5.Methods of calculation of rates of appraisal and approval charges

1. The rate of charge for appraisal and approval of fire prevention and fighting designs (below referred to as appraisal and approval charge rate) applicable to a project are determined according to the following formula:

In which:

- The project’s total investment level shall be determined under Decree No. 32/2015/ND-CP on management of construction investment costs and amending, supplementing and replacing documents (if any), minus expenses for site clearance compensation, support and resettlement, and land use (pre-tax calculation).

- The charge calculation rate is specified in the Table 1 or 2 on charge calculation promulgated together with this Circular (not translated).

2. In case a project’s total investment level ranges between the value spaces of projects’ total investment levels stated in the Table 1 or 2 on charge calculation rates promulgated together with this Circular, the charge calculation rate shall be determined according to the following formula:

In which:

- N_itis the charge calculation rate of project i according to the value scale to be calculated (unit of calculation: %).

- G_itis the total investment level of project i, for which appraisal and approval charge is to be calculated (unit of calculation: billion dong).

- G_iais the value of total investment amount just above the value of the total investment of the project for which  appraisal and approval charge is to be calculated (unit of calculation: billion dong).

- G_ibis the value of total investment just below the value of total investment amount of the project for which appraisal and approval charge is to be calculated (unit of calculation: billion dong).

- N_iais the charge calculation rate applicable to project i corresponding to G_ia(unit of calculation: %).

- N_ibis the charge calculation rate applicable to project i corresponding to G_ib(unit of calculation: %).

3. The payable appraisal and approval charge amount for a project shall be determined under Clauses 1 and 2 of this Article, but must be neither lower than VND 500,000 dong nor higher than VND 150,000,000.

4. The payable appraisal and approval charge amount for an investment project to formulate designs for renovation or change of use of a work or work item; or conversion of motor vehicles; and construction of work items shall be determined according to its total investment value.

Article 6.Charge declaration and remittance

1. Charge-collecting organizations shall wholly deposit collected charge amounts into an account of charge revenues awaiting remittance into the state budget, which is opened at the state treasury, on a monthly basis by the 5^thof the subsequent month at the latest.

2. Charge-collecting organizations shall declare and remit collected charge amounts on a monthly basis and make finalization on an annual basis under Clause 3, Article 19 and Clause 2, Article 26 of the Minister of Finance’s Circular No. 156/2013/TT-BTC of November 6, 2013, guiding a number of articles of the Law on Tax Administration; the Law Amending and Supplementing a Number of Articles of the Law on Tax Administration and the Government’s Decree No. 83/2013/ND-CP of July 22, 2013.

Article 7.Charge management and use

1. Charge-collecting organizations may retain 80% of collected charge amounts to cover the expenses prescribed in Article 5 of the Government’s Decree No. 120/2016/ND-CP of August 23, 2016, in which, other expenses related to work performance, service provision and charge collection shall include the following expenses:

a/ Additional expenses and support for purchase, replacement or hiring of fire prevention and fighting devices and equipment to serve appraisal and approval work as prescribed in this Circular and the Ministry of Public Security’s guidance; support for archive of appraisal and approval dossiers;

b/ Payments for project appraisal councils; expenses for hiring other organizations to appraise projects; expenses for purchase and translation of documents, technical regulations, standards to serve appraisal and approval work; overtime pays for individuals engaged in appraisal and approval work or charge collection; and expenses for professional training and re-training to serve appraisal and approval work.

2. The remainder (20%) shall be remitted into the state budget according to corresponding chapters, items and sub-items of the current state budget index.

Article 8.Organization of implementation

1. This Circular takes effect on January 1, 2017, and replaces the Minister of Finance’s Circular No. 150/2014/TT-BTC of October 10, 2014, prescribing the rates of charge for appraisal and approval of fire prevention and fighting designs and charge collection, remittance, management and use.

2. For projects for which dossiers of request for appraisal and approval of fire prevention and fighting designs are submitted before the effective date of this Circular but fire prevention and fighting appraisal and approval documents are issued after the effective date of this Circular, charge shall be collected under this Circular.

3. Other contents related to charge collection, remittance, management and use, receipts and publicity of the charge collection regime which are not guided in this Circular must comply with the Law on Charges and Fees; the Government’s Decree No. 120/2016/ND-CP of August 23, 2016; the Minister of Finance’s Circular No. 156/2013/TT-BTC of November 6, 2013; the Minister of Finance’s circular prescribing the printing, distribution, management and use of documents for collection of charges and fees belonging the state budget; and amending, supplementing or replacing documents (if any).

4. Any problems arising in the course of implementation should be promptly reported to the Ministry of Finance for consideration and guidance.-

For the Minister of Finance
Deputy Minister
VU THI MAI