Circular No. 29/2018/TT-BTC dated March 28, 2018 of the Ministry of Finance on guiding the estimation, management and use of the fund for the Program on development of supporting industries

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Circular No. 29/2018/TT-BTC dated March 28, 2018 of the Ministry of Finance on guiding the estimation, management and use of the fund for the Program on development of supporting industries
Issuing body: Ministry of Finance Effective date:
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Official number: 29/2018/TT-BTC Signer: Tran Xuan Ha
Type: Circular Expiry date: Updating
Issuing date: 28/03/2018 Effect status:
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Fields: Finance - Banking , Industry

SUMMARY

Support VND 50 million per trademark for supporting industry products

On March 28, 2018, the Ministry of Finance issued the Circular No. 29/2018/TT-BTC guiding the estimation, management and use of the fund for the Program on development of supporting industries.

Support for enterprises to advertise and register trademarks of their supporting industry products, with the maximum support level of VND 50 million per trademark.

The maximum support for propagating and advertising supporting industry activities on print and online newspapers, radio and television, publications and other media of communication is VND 70 million per information theme.

The maximum support level is 70% for expenses for holding workshops to promote domestic and foreign investment in the field of supporting industries; The maximum support for this content is VND 12 million per participating unit for a fair specialized in supporting industries; the maximum support for this content is VND 150 million per participating unit for an overseas fair connecting supporting industry.

The maximum support for this content: VND 28 million per unit participating in trade transactions in Asia; VND 42 million per unit participating in trade transactions in Europe, Africa, Australia, North America and West Asia; and VND 70 million per unit participating in trade transactions in Central America and Latin America….

This Circular takes effect on May 11, 2018.
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Effect status: Known

THE MINISTRY OFFINANCE

 

THE SOCIALIST REPUBLIC OF VIETNAM
Independence - Freedom - Happiness

No. 29/2018/TT-BTC

 

Hanoi, March 28, 2018

 

CIRCULAR

Guiding the estimation, management and use of the fund for the Program on development of supporting industries[1]

 

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

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

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

Pursuant to the Government’s Decree No. 111/2015/ND-CP of November 3, 2015, on development of supporting industries;

Pursuant to the Prime Minister’s Decision No. 10/2017/QD-TTg of April 3, 2017, promulgating the Regulation on management and implementation of the Program on development of supporting industries;

At the proposal of the Director of the Department of Administrative and Non-Business Finance,

The Minister of Finance promulgates the Circular guiding the estimation, management and use of the fund for the Program on development of supporting industries

 

Chapter I

GENERAL PROVISIONS

Article 1.Scope of regulation and subjects of application

1. This Circular guides the estimation, management and use of the fund for the Program on development of supporting industries in accordance with the Regulation on management and implementation of the Program on development of supporting industries issued together with the  Prime Minister’s Decision No. 10/2017/QD-TTg of April 3, 2017 (below referred to as the Program).

2. This Circular applies to the agency managing the Program, units in charge of implementing schemes under the Program (below referred to as implementing units) and organizations and individuals participating in carrying out activities of the Program.

Article 2.Conditions on implementing units

To implement a scheme under the Program, a unit must fully satisfy the following conditions:

1. Being a state management agency in charge of supporting industry development or an organization assigned to implement a scheme under the Program.

2. Being able to mobilize various resources for organizing the implementation of schemes under the Program.

3. Having a strategy for development of a specific supporting industry or supporting industry products in a target market.

4. Clearly understanding the supporting industry development needs of support beneficiaries.

5. Being experienced in and capable of organizing supporting industry development activities.

6. Implementing the Program to bring about benefits for the business community, not for profit-making purpose.

Article 3.Funding sources for the implementation of the Program

1. The fund for the implementation of the Program at the central level comes from the following sources:

a/ The central budget.

b/ Financial contributions from organizations and individuals at home and abroad.

c/ Other lawful funding sources.

2. The fund for the implementation of the Program at the local level comes from the following sources:

a/ The local budget.

b/ Financial contributions from organizations and individuals at home and abroad.

c/ Other lawful funding sources.

Article 4.Principles of use of the fund for supporting industry development

1. The fund for implementation of the Program at the central level shall be used for supporting industry development activities and tasks managed and organized by the Ministry of Industry and Trade aiming at developing supporting industries at regional and national levels with spillover effects to promote the development of supporting industries. Regional and national supporting industry activities shall be determined by the Minister of Industry and Trade.

2. The fund for implementation of the Program at the local level shall be used for supporting industry development activities managed and carried out by provincial-level People’s Committees in their localities in conformity with local supporting industry development strategies and orientations aiming at developing supporting industries in their localities.

3. The fund for supporting industry development shall be used for proper purposes and according to regulations under the inspection and control of competent authorities; and expenses paid from the fund shall be finalized under current regulations.

Article 5.Conditions for receiving supports from the fund for supporting industry development

Organizations and individuals may receive supports from the Program when fully satisfying the following conditions:

1. The contents of their tasks and schemes conform with the contents specified in Clause 2, Article 10 of the Prime Minister’s Decision No. 10/2017/QD-TTg of April 3, 2017, promulgating the Regulation on management and implementation of the Program on development of supporting industries.

2. Their tasks and schemes are approved by a competent agency (the Ministry of Industry and Trade with regard to supporting industry development tasks and schemes at the central level; or provincial-, district- and commune-level People’s Committees with regard to supporting industry development tasks and schemes at the local level).

3. They have invested funds or committed to invest sufficient funds in the implementation of the schemes already approved by competent authorities (after subtracting the funding supports from the state budget).

4. Their commitment to implement the supporting industry scheme has not yet received any support from any funding sources of the State for the same content and such commitment has been appraised by the scheme-approving agency.

5. Within 2 years up to the time of submitting a dossier of request for support, they do not fall into one of the following cases: Having presided over a supporting industry development scheme which is assessed as “fail”; having handed over the product behind schedule without the consent of the Ministry of Industry and Trade; or using the fund under a supporting industry development scheme in violation of current regulations.

 

Chapter II

EXPENSES AND EXPENSE LEVELS

Article 6.Connection and support for supporting industry enterprises to become product suppliers for domestic and foreign customers; promotion of foreign investment in the field of supporting industries

1. The maximum support level of 100% shall be applied to expenses for the following tasks:

a/ Elaboration and promulgation of national technical regulations according to Joint Circular No. 145/2009/TTLT-BTC-BKHCN of July 17, 2009, of the Ministry of Finance and the Ministry of Science and Technology, guiding the management and use of funds for the elaboration of national standards and technical regulations.

b/ Assessment and certification of capability of supporting industry enterprises: study and formulation of assessment criteria; and holding workshops to announce assessment results.

Expense for assessment of capability of enterprises: The maximum support is VND 7 million per enterprise.

c/ Technical consultancy and assistance for supporting industry enterprises.

d/ Consultancy and assistance for enterprises investing in supporting industries.

dd/ Assessment and recognition of enterprises’ capability and size meeting international requirements: study and formulation of assessment criteria; and holding workshops to announce assessment results.

Expense for assessment of capability of enterprises: The maximum support is VND 7 million per enterprise (in case of hiring domestic consultants).

In case of hiring foreign consultants, the support level for an enterprise shall be based on the expense for hiring foreign consultants approved by heads of competent agencies approving the Program or its schemes and tasks.

2. The maximum support level of 70% shall be applied to expenses for the following tasks:

a/ Holding workshops to promote domestic and foreign investment in the field of supporting industries.

b/ Organizing exhibitions to connect domestic supporting industries: renting venues and design and installation of stalls; services: electricity, water, cleaning, and security (if not yet included in the expense for renting venues and stalls); management expense of exhibition organizers; general decoration of exhibitions; opening and closing ceremonies: invitation cards, reception, decoration, sound and lighting; holding workshops: renting venues and equipment; and other expenses (if any).

The maximum support for this content is VND 12 million per participating enterprise.

An exhibition specialized in supporting industries must have at least 200 standard stalls (3 m x 3 m) and 100 participating enterprises, if organized by a central organization; or 150 standard stalls and 75 participating enterprises, if organized by a local organization.

c/ Organizing overseas exhibitions to connect supporting industries: renting venues and design and installation of stalls; general decoration of Vietnam’s zone (including the national stall, if any); holding the opening ceremony (if being an exclusive exhibition of Vietnam): invitation cards, reception, decoration, sound and lighting; holding workshops: renting venues and equipment, decoration, sound and lighting, interpretation, security, protocols, drinking water, documents and speakers; product presentation: renting venues, design and stage decoration, sound, lighting, equipment, presenters, masters of ceremony, interpreters; working trip allowances for organizers; and other expenses (if any).

The maximum support for this content is VND 150 million per participating enterprise.

An overseas exhibition connecting supporting industries may be organized if it has at least 7 standard stalls (3 m x 3 m) and 7 participating enterprises.

d/ Organizing investment transaction and promotion delegations overseas: 1 return airfare per participating enterprise; holding trade exchange workshops: renting venues and equipment, invitation cards, interpretation and documents; information, advertising and invitation of guests to the event; working trip allowances for organizers; and other expenses (if any).

The maximum support for this content: VND 28 million per enterprise participating in trade transactions in Asia; VND 42 million per enterprise participating in trade transactions in Europe, Africa, Australia, North America and West Asia; or VND 70 million per enterprise participating in trade transactions in Central America and Latin America.

A trade transaction delegation to foreign countries may be organized when it is participated by at least 7 supporting industry enterprises.

dd/ Support for enterprises to advertise and register trademarks of their supporting industry products, with the maximum support level of VND 50 million per trademark.

e/ Propagating and advertising supporting industry activities on print and online newspapers, radio and television, publications and other media of communication.

The maximum support for this content is VND 70 million per information theme.

Article 7.The maximum support level of 100% for enterprises to apply management systems satisfying requirements of global production chains in corporate governance and production administration

1. Assessment of the possibility of and demand for application of management standards and systems in production at enterprises.

a/ Expense for study and elaboration of assessment criteria.

b/ Assessment of capability of enterprises: The maximum support is VND 7 million per enterprise.

c/ Holding workshops to announce assessment results.

2. Development of training programs and organization of training courses for enterprises: Expenses for development of training programs; printing of materials and textbooks directly serving training courses; stationery; drinking water; renting of training venues and equipment; materials for practice during training (if any); allowances for trainers and instructors of technical practice; expenses for travel, accommodation and interpretation (if any); expenses for trainees: support for meal, travel and lodging expenses (if any); and opening and closing ceremonies, printing of certificates, medical care during training courses, commendation and prizes.

3. Assessment and recognition of corporate governance and production administration systems

a/ For enterprises with an average annual number of no more than 200 workers covered by social insurance and meeting either of the following criteria: the total capital does not exceed VND 100 billion or the total revenue of the preceding year does not exceed VND 300 billion, the maximum support level is VND 200 million per enterprise.

b/ For enterprises other than those specified at Point a, Clause 3 of this Article, the maximum support level is VND 150 million per enterprise.

Article 8.The maximum support level of 70% for training to raise the quality of human resources to meet requirements of industries producing supporting industry products

1. Study and assessment of the demand for manpower of supporting industry enterprises.

2. Organization of training courses.

a/ Trainees: state management officials; and managers and technical workers of enterprises producing supporting industry products.

b/ Expenses: Development of training programs; printing of materials and textbooks directly serving training courses; stationery; drinking water; renting of training venues and equipment; materials for practice during training (if any); allowances for domestic trainers, foreign experts, and instructors of technical practice; expenses for travel, accommodation and interpretation (if any); expenses for trainees: support for meal, travel and lodging expenses (if any); and other expenses: opening and closing ceremonies, printing of certificates, medical care during training courses, commendation and prizes.

Article 9.Support for research and development, application, transfer and renovation of technologies in the trial production of components, parts, materials and supplies

1. The maximum support of 100% shall be applied to the following contents:

a/ Expenses for formulation of standards and regulations: hiring officials and experts to directly formulate standards and regulations; hiring consultants; purchasing supplies, materials, fuels and supplies, standards, processes, technical documents, technology copyright and patents; holding workshops; translation; and survey.

b/ Expenses for introduction and dissemination of some production technology processes and technical requirements on supporting industry products for supporting industry enterprises in Vietnam.

c/ Support for purchase of main experimentation equipment and instruments for laboratories in order to build capacity of supporting industry development centers under the scheme approved by the Ministry of Industry and Trade.

2. The maximum support of 70% shall be applied to the following contents:

a/ Expenses for hiring domestic and foreign experts to directly assist domestic supporting industry enterprises.

b/ Expense for international cooperation on training, research and technology transfer: To comply with current regulations on working trip allowances for state officials and civil servants on overseas short-term working trips funded by the state budget.

3. The maximum support of 50% shall be applied to the following contents:

a/ Support for applied research, trial production and technology transfer for enterprises and research facilities in the field of supporting industries.

b/ Support for supporting industry enterprises to improve and renovate technologies and carry out trial production.

c/ Support for enterprises to acquire advanced, modern technologies; purchase copyright, patents and software;  hire foreign experts and train human resources.

d/ Support for projects on research into and trial production of supporting industry products. Support of part of research funds for organizations and individuals that have invested their own money in research, development and application of products to production, bringing about economic benefits.

dd/ Support for the formulation and improvement of criteria for assessing enterprises in terms of technology and supporting industry products.

Article 10.The maximum support level of 100% for the development and annual disclosure of information on supporting industries

1. Expenses for survey, building and update of a database on enterprises producing finished products and supporting industry products in the fields of textile and garment, leather and footwear, electronics, manufacture and assembly of automobiles and mechanical engineering (including also key mechanical products), and hi-tech industries.

2. Expense for data input and creation of hypertexts and electronic data on the basis of existing databases, expense for information digitalization.

3. Expense for purchase of databases, information about supply and demand on the markets of supporting industry products and supporting industry policies.

a/ Expense for purchase of data and documents.

b/ Expenses for search, survey and synthesis of data and documents.

c/ Expense for publication and distribution.

d/ Other expenses (if any).

The maximum support level for this content is VND 2 million per unit registering and receiving information.

4. Expenses for publishing publications on supporting industries and operating a website on supporting industries.

5. Holding workshops: expenses for renting venues, equipment, decoration, sound, lighting, interpretation, security, reception, drinking water, documents and speakers.

Article 11.Expenses for management of supporting industry schemes and programs

1. The agency managing the fund for supporting industries may use up to 1.5% of the fund allocated annually by competent authorities to support the formulation of programs and schemes, inspection, supervision and acceptance: hiring experts and employees (if any); overtime pay under regulations; stationery; telephone, post, electricity and water; working trip allowances, petrol and diesel, hiring cars for on-site inspections (if any); expenses for evaluation, selection and acceptance of supporting industry programs and schemes; and other expenses (if any). Specific expenses and expense levels shall be approved by competent agencies.

2. For providers of supporting industry services: Units that implement supporting industry schemes may spend up to 3% of the estimate of the fund for a supporting industry scheme (or 4% for schemes implemented in areas with difficult or extremely difficult socio-economic conditions and poor districts identified by the Government) on management, direction, inspection and supervision activities, and other expenses (if any).

Article 12.General expense levels for supporting industry activities

The common levels for a number of expenses specified in this Circular must comply with the documents listed in the enclosed Appendix. When a document cited in this Circular is amended, supplemented or replaced, the amending, supplementing or replacing document will be applied.

Article 13.Expense levels for supporting industry activities in localities

1. Pursuant to Decision No. 10/2017/QD-TTg and based on the support levels prescribed in this Circular, provincial-level People’s Committees shall work out a Regulation on management of the fund for development of supporting industries in the locality and prescribe specific expense levels for activities to develop supporting industries in the locality suitable to the local budget.

2. Based on their local budgets, provincial-level People’s Committees shall submit to their People’s Councils for adoption contents and forms of support other than those prescribed in this Circular as suitable to their local practical conditions.

Article 14.Elaboration and distribution of fund estimates

1. For the fund for implementation of the Program at the central level

a/ Annually, the Ministry of Industry and Trade shall elaborate an estimate of the fund for the Program and include it in the budget estimate of the Ministry, which shall be sent to the Ministry of Finance for submission to the Government under regulations.

b/ Based on the budget estimate assigned by competent authorities, the Ministry of Industry and Trade shall approve the Program and allocate specific funds to each scheme, task and implementing unit, and send them to the Ministry of Finance for examination in accordance with the law on the state budget.

2. For the fund for implementation of the Program at the local level

a/ Annually, the provincial-level Department of Industry and Trade shall elaborate an estimate of the fund for the Program and include it in the budget estimate of the Department, which shall be sent to the provincial-level Department of Finance for inclusion in the local budget estimate for submission to the provincial-level People’s Committee under current regulations.

b/ Based on the assigned budget estimate, the provincial-level Department of Industry and Trade shall allocate specific funds for the implementation of the local supporting industry development program for each scheme, task and implementing unit, and send them to the provincial-level Department of Finance for examination in accordance with the law on the state budget.

c/ Provincial-level People’s Committees shall prescribe the elaboration, allocation and assignment of the fund estimates for local supporting industries to district- and commune-level authorities, taking into account local supporting industry organizations.

Article 15.Execution of fund estimates

1. Based on the estimates of state budget expenses assigned by competent authorities, units shall send dossiers and documents to the State Treasury offices where they have transactions for control.

2. State Treasury offices shall control and pay expenses for the tasks of the supporting industry development programs under the Ministry of Finance’s Circular No. 161/2012/TT-BTC of October 2, 2012, on the control and payment of state budget expenses via the State Treasury, and Circular No. 39/2016/TT-BTC of March 1, 2016, amending and supplementing a number of articles of Circular No. 161/2012/TT-BTC, and amending, supplementing and replacing documents (if any). Particularly, amounts to be advanced for supporting industry tasks and schemes shall be determined based on performance contracts and must neither exceed 50% of the total support fund for supporting industry development nor exceed the annual fund estimate approved by competent authorities.

Article 16.Accounting and finalization work

1. Units directly using the fund of the Program shall account and finalize expenses for the performance of supporting industry tasks under the Program in Item 280, Section 309 - Supporting industry activities, in the corresponding chapter of the State Budget Index.

2. For supporting industry tasks performed by the units under contracts signed with the implementing agencies, documents used as grounds for payment and finalization shall be retained at these agencies, including: task performance contracts enclosed with a detailed fund estimate approved by competent authorities; acceptance records showing the acceptance of the work performed with the fund invested by the unit as committed (if any); contract liquidation records; payment orders or payment documents and other relevant documents according to regulations of the Ministry of Industry and Trade. Spending documents of units directly performing supporting industry tasks shall be retained at the units.

3. Units directly using the fund for supporting industries shall annually finalize the paid expenses with the Ministry of Industry and Trade (for the fund for supporting industry activities at the central level) or with provincial-level Departments of Industry and Trade (for the fund for supporting industry activities at the provincial level). The latter shall send annual finalization statements to the finance agencies of the same level for appraisal. The procedures for elaboration, forms, and submission and approval deadlines for finalization statements must comply with current regulations.

Provincial-level People’s Committees shall prescribe the finalization of expenses for local supporting industries by district- and commune-level administrations to be suitable to local supporting industry organizations in accordance with the Law on the State Budget and guiding documents.

 

Chapter III

ORGANIZATION OF IMPLEMENTATION

Article 17.Inspection, supervision, information and reporting

1. The Ministry of Industry and Trade and provincial-level Departments of Industry and Trade shall coordinate with the finance agencies of the same level in conducting periodical and unscheduled inspections; and assessing the performance of the tasks and objectives of the schemes to ensure the strict management and efficient, effective and proper use of the fund for supporting industries.

2. The Ministry of Industry and Trade shall monitor, evaluate and periodically report on the implementation of supporting industry schemes nationwide to the Prime Minister.

3. Provincial-level People’s Committees shall monitor, evaluate and biannually report on supporting industry activities in their localities to the Ministry of Industry and Trade.

Article 18.Organization of implementation

1. This Circular takes effect on May 11, 2018.

2. Any problems arising in the course of implementation of this Circular should be reported to the Ministry of Finance for study, amendment and supplementation as appropriate.-

For the Minister of Finance
Deputy Minister
TRAN XUAN HA

APPENDIX

(To the Ministry of Finance’s Circular No. 29/2018/TT-BTC
of March 28, 2018)

1. Expenses for development of framework programs and compilation of programs and textbooks on supporting industries must comply with the Ministry of Finance’s Circular No. 123/2009/TT-BTC of June 17, 2009, guiding the contents and levels of expenses for the development of framework programs and compilation of textbooks for training disciplines at university, college and professional secondary training levels;

2. Working trip allowances and expenses for holding conferences, workshops and training courses in the field of supporting industries must comply with the Ministry of Finance’s Circular No. 40/2017/TT-BTC of April 28, 2017, prescribing working trip allowances and expenses for conferences;

3. Working trip allowances for delegations making overseas visits must comply with the Ministry of Finance’s Circular No. 102/2012/TT-BTC of June 21, 2012, prescribing working trip allowances for state officials and civil servants making overseas short-term working trips funded by the state budget;

4. Expenses for organizing training courses on supporting industries for state management officials must comply with the Ministry of Finance’s Circular No. 139/2010/TT-BTC of September 21, 2010, prescribing the estimation, management and use of state budget funds for cadre and civil servant training;

5. The levels of royalties and remunerations in the field of press and publication must comply with the Government’s Decree No. 18/2014/ND-CP of March 14, 2014, prescribing the payment of royalties in the fields of press and publication;

6. Expenses for appraisal of technology transfer contracts must comply with the Ministry of Finance’s Circular No. 169/2016/TT-BTC of October 26, 2016, prescribing the rates and collection, payment, management and use of charges for appraisal of technology transfer contracts;

7. Expenses for surveys must comply with the Ministry of Finance’s Circular No. 109/2016/TT-BTC of June 30, 2016, prescribing the estimation, management, use and finalization of funds for conducting statistic surveys and national statistic census;

8. Expenses in support of the formulation and promulgation of national technical regulations; formulation and declaration of establishments’ standards on raw materials, materials, components and parts; formulation and declaration of national standards on raw materials, materials, components and parts conformable with international standards, must comply with Joint Circular No. 145/2009/TTLT-BTC-BKHCN of July 17, 2009, guiding the management and use of funds for the formulation of national standards and technical regulations;

9. Interpretation expenses must comply with the Ministry of Finance’s Circular No. 01/2010/TT-BTC of January 1, 2010, on the level of expense for interpretation in reception of foreign guests and organization of international conferences and workshops in Vietnam;

10. Expenses for information technology application must comply with Joint Circular No. 19/2012/TTLT-BTC-BKHDT-BTTTT of February 15, 2012, of the Ministry of Finance, the Ministry of Planning and Investment and the Ministry of Information and Communications, guiding the management and use of the fund for information technology application in state agencies’ activities;

11. Expenses for study, survey report and evaluation report and proposition of solutions in the field of supporting industries must comply with Joint Circular No. 55/2015/TT-BTC-BKHCN of April 22, 2015, of the Ministry of Finance and the Ministry of Science and Technology, guiding the norms for estimation, allocation and finalization of expenses for science and technology tasks funded by the state budget;

12. Expense for hiring domestic and foreign experts must comply with Joint Circular No. 55/2015/TTLT-BTC-BKHCN of April 22, 2015, of the Ministry of Finance and the Ministry of Science and Technology, guiding the norms for estimation, allocation and finalization of expenses for science and technology tasks funded by the state budget;

13. Expenses for data input and creation of hypertexts and electronic information on the basis of existing databases and information digitalization must comply with the Ministry of Finance’s Circular No. 194/2012/TT-BTC of November 15, 2012, guiding the levels of expenses for creation of electronic information to maintain routine operation of agencies and units funded by the state budget;

14. Expenses for research and development, applied research, application and transfer and renovation of technologies in the trial production of components, parts, materials and supplies must comply with Joint Circular No. 22/2011/TTLT-BTC-BKHCN of February 21, 2011, of the Ministry of Finance and the Ministry of Science and Technology, guiding the financial management of trial production projects enjoying financial support from the state budget.;

15. Expenses for labor outsourcing must comply with the Ministry of Finance’s Circular No. 136/2017/TT-BTC of December 22, 2017, prescribing the estimation, management and use of the fund for economic activities with regard to spending tasks in the field of natural resources and environment.-



[1]Công Báo Nos 583-584 (17/5/2018)

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