Circular No. 35/2021/TT-BTC the financial management mechanism for implementation of supporting enterprises

CIRCULAR

Prescribing the financial management mechanism for implementation of the National Program on supporting enterprises to improve productivity and quality of products and goods in the period of 2021-2030

^__________

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

Pursuant to the Law on Science and Technology dated June 18, 2013;

Pursuant to the Law on Standards and Technical Regulations dated July 12, 2006; Pursuant to the Law on Product and Goods Quality dated December 05, 2007;

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

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 Prime Minister’s Decision No. 1322/QD-TTg dated August 31,2020, approving the national program on supporting enterprises to improve productivity and quality of products in the period of 2021-2030;

At the request of the Director General of the Department of Public Expenditure;

The Minister of Finance hereby promulgates the Circular prescribing the financial management mechanism for implement of the National Program on supporting enterprises to improve productivity and quality of products and goods in the period of 2021-2030.

Chapter I

GENERAL PROVISIONS

Article 1. Scope of regulation and subjects of application

This Circular defines the financial management mechanism for implementation of the National Program on supporting enterprises to improve productivity and quality of products in the period of 2021-2030 as defined at the Decision No. 1322/QD-TTg dated August 31, 2020 of the Prime Minister approving the national program on supporting enterprises to improve productivity and quality of products and goods in the period of 2021-2030 (hereinafter referred to as the Program 1322).

This Circular applies to state management agencies, units, organization, individual involving in implementation of the tasks of the Program 1322.

Article 2. Funding for implementation

1. The State budget sources are allocated in the annual state budget estimates of ministries, central agencies, and localities under the management decentralization of the State Budget Law to implementation of the tasks specified in the Program 1322:

a) The State budget shall ensure the tasks defined in Clauses 1 and 2, Points a and b, Clause 4, Point a, Clause 5, and Clause 6, Section II, Article 1 of the Prime Minister's Decision No. 1322/QD-TTg;

b) The State budget shall support the tasks defined in Clause 3, Point c, Clause 4, Points b, c, d, Clause 5, Section II, Article 1 of the Prime Minister's Decision No. 1322/QD-TTg according to the law on State budget.

2. Funding sources of enterprises shall be used to perform tasks of improving productivity and the quality of their products and goods.

a) Expenditure levels to perform tasks of improving productivity and the quality of their products and goods shall be determined by the enterprise itself.

b) The accounting of expenses to perform tasks of improving productivity and the quality of their products and goods when determining income subject to enterprise income tax shall comply with the law on enterprise income tax.

c) In case enterprises use their Funds for scientific and technological development to perform tasks of improving productivity and the quality of their products and goods, they must ensure to comply with the provisions of expenditure and management of the funds in accordance with the current law on Funds for scientific and technological development of enterprises.

3. Funds mobilized from other lawful sources.

Article 3. Principles of provision and use of support from the state budget

1. State budget fund for the performance of tasks of the Program 1322 shall be balanced based on its proportion to mobilized funds other than budget under the approved tasks and balancing ability of annual state budget.

2. Supports from the State budget shall be planned in detail by type of funding sources; and be allocated and used according to the implementation progress of, and structure of funding sources as approved.

Article 4. Principles of mobilization and use of financial sources

1. Tasks of the Program 1322 must have plans for mobilization of financial sources, clearly stating the demand for funds from each funding sources as specified in Article 2 of this Circular and explaining the capacity for mobilization of financial sources for implementation.

2. Competent state agencies shall, when approving tasks of the Program 1322, base on this Circular to determine the levels of expenditures from other funding sources for performance of such tasks, ensuring the financial structure and funds for implementation of the Program 1322.

3. Organizations and individuals performing tasks shall take the initiative in mobilizing funds from sources other than the state budget and use and disburse mobilized funds under plans on mobilization of financial sources, ensuring the proportion of these funds to the state budget funds as approved.

4. Spending norms, accounting and finalization of funds from other sources must comply with current regulations applicable to these sources, units are encouraged to apply this Circular.

Chapter II

SPECIFIC PROVISIONS

Article 5. Items and levels of expenditures for information and communication about quality productivity

The information and communication about quality productivity of the Program 1322 shall be organized and performed according to the guidance of the Ministry of Science and Technology by ministries, central agencies and localities. Items and levels of expenditures must comply with the following regulations:

1. Developing the program of communication about quality productivity; disseminating, sharing knowledge, experience about improving quality productivity:

a) Expenses for the production of materials, publications in the form of press and publication works (programs, specialized columns, feuilletons, narratives and articles): To comply with the Government's Decree No. 18/2014/ND-CP of March 14, 2014, prescribing the regime of royalties in the field of press and publication;

b) Expense for production of materials and publications in the form of literary and art works (paintings, panels, posters, banners and electronic boards): To comply with the Government's Decree No. 21/2015/ND-CP of February 14, 2015, providing royalty and remuneration for cinematographic, art, photographic and stage works and other performance arts;

c) Expenses for the production of materials and publications in the form of television broadcast, broadcasting: To comply with the Ministry of Information and Communications' Circular No. 03/2018/TT-BTTTT of April 20, 2018, promulgating techno-economic norms on production of television programs and Circular No. 09/2020/TT-BTTTT of April 24, 2018, promulgating techno-economic norms on production of broadcast programs;

d) Other expense items (expenses for printing and distribution, for print press, and publications): To comply with current regulations on spending regime and norms of the state budget and payment under contracts and actually arising amount within approved estimates, ensuring thrift and efficiency.

dd) Expenses for holding conferences to disseminate, sharing knowledge, experiences about improving quality productivity: To comply with the Ministry of Finance's Circular No. 40/2017/TT-BTC of April 28, 2017, on work-trip allowances and conference expenditures.

2. Establishing, maintaining, exploiting and developing the database on standards and technical regulations, benchmarking, good practices on productivity in service of enterprises and other relevant database: To comply with the Ministry of Finance's Circular No. 194/2012/TT-BTC of November 15, 2012, guiding levels of expenses for creation of electronic information to maintain regular operation of state budget-funded agencies and units.

3. Heads of agencies and units assigned the task of conducting communicating about productivity and quality specified in Clauses 1 and 2 of this Article have responsibility for approving estimated expenses for performance of activities within their assigned cost estimates according to their competence, ensuring compliance with policies and regimes, thrift, efficiency and compliance with the regulation on bidding, order placement and task assignment.

Article 6. Items and levels of expenses for training human resources to perform improving quality productivity

The Ministry of Science and Technology shall assume the prime responsibility for, and coordinate with other ministries, related central agencies, localities in, organizing training activities about quality productivity according to the Prime Minister's Decision No. 1322/QD-TTg of August 31, 2020, approving the Program 1322. Items and levels of expenditures must comply with the following regulations:

1. Formulation, promulgates criteria, standard for productivity expert:

To comply with the Joint Circular No. 55/2015/TTLT-BTC-BKHCN dated April 22, 2015, of the Ministry of Finance and the Ministry of Science and Technology, guiding norms for the formation and allocation of cost estimates and finalization of funds for state budget-funded science and technology tasks (hereinafter referred to as the Joint Circular No. 55/2015/TTLT-BTC-BKHCN).

2. Compilation of documents serving the education, training in improving quality productivity: To comply with the Ministry of Finance’s Circular No. 76/2018/TT-BTC of August 17, 2018, guiding items, expenses of building training program, compilation of documents to higher education, vocational education.

3. Expenses for organizing training courses:

a) Organizing training courses inside the country for quality productivity experts, quality productivity lectures, leaders, managers of enterprises and employees with knowledge and skills on quality productivity; broadening to train knowledge on quality productivity in universities, colleges, professional secondary schools and vocational schools: To comply with the Ministry of Finance's No. 36/2018/TT-BTC of March 30, 2018, guiding the formulation of estimate, management, use and settlement of funds from state budget for training and retraining cadres, civil servants and public employees;

b) Organizing training courses in other countries for quality productivity experts with regional and international levels: To comply with the Ministry of Finance's Circular No. 88/2017/TT-BTC of August 22, 2017, guiding financial mechanism to implement the Scheme for training and re-training of human resources of science and technology in the country and foreign countries by the state budget.

4. Hiring experts, domestic and international lectures to attend training courses for quality productivity experts with prescribed standards:

a) Requirements on qualifications and competencies of experts must comply with relevant regulations of the Ministry of Science and Technology;

b) Units assigned to organize training programs shall base on contents and requirements of jobs for which experts are hired to negotiate rates for hiring experts and make and submit to competent agencies written explanations about results of hiring experts and criteria for evaluating these results for approval of the number of experts to be hired and expenses under work package contracts.

Based on expenses of hiring experts specified in the Ministry of Labor, Invalids and Social Affairs’ Circular No. 02/2015/TT-BLDTBXH of January 12, 2015, prescribing salaries for Vietnamese consultants which serve as a basis for estimate costs of state capital-using bidding packages for consultancy service provision under time-based contracts, heads of agencies competent to approve training programs shall decide the specific level of payment for experts within approved estimates.

Article 7. Items and levels of expenses for improve standardization and assessment of conformity with standards and technical regulations

Tasks of the Program 1322 regarding formulation of standards, technical regulations, and assessment of the conformity with standards and technical regulations shall be organized to perform by the Ministries, central agencies, localities according to the guidance of the Ministry of Science and Technology. Items and levels of expenditures must comply with the following regulations:

1. Formulation of national standards and technical regulations to directly serve the improvement of quality productivity, establishment of standardized base for smart manufacturing and services: To comply with the Ministry of Finance's Circular No. 27/2020/TT-BTC of April 17, 2020, guiding the management and use of funds for formulation of national standards and technical regulations.

2. Support for improving the capacity of certification organizations in accordance with standards and technical regulations to be recognized and acknowledged in the region and internationally:

Supported tasks must be formulated in the form of science and technology tasks under regulations of the Ministry of Science and Technology. Estimated expenses for the performance of tasks must comply with the Joint Circular No. 55/2015/TTLT-BTC-BKHCN and current regulations on norms for the formation and allocation of cost estimates and finalization of funds for spending of state budget; payment under contracts on the basis of actually arising amount within approved estimates, ensuring thrift, efficiency and compliance with the regulations on bidding, order placement and task assignment.

3. Support for improving the capacity for testing of quality, safety and ecology of products, key exported goods:

Based on annual budget-balancing capacity, ministers, heads of central agencies and chairpersons of provincial-level People's Committees (for tasks managed by localities as decentralized) shall decide and approve tasks on improving the capacity for testing of quality, safety and ecology of products, key exported goods of fields, sectors or managing localities. Heads of assigned agencies and units shall take responsibility for, within their assigned estimates, ensuring compliance with policies and regimes, saving, efficiency and compliance with the law regulations on bidding.

Article 8. Items and levels of expense for management, general activities of the Program 1322 in central agencies and localities

1. Expenses for task identification consultancy; selection of tasks of the Program 1322; inspection and assessment of the implementation of tasks and projects of the Program 1322; organization of scheduled and unscheduled meetings of standing agency or focal point to organize the implementation of the tasks of the Program 1322; and organization of symposiums: To comply with the Joint Circular No. 55/2015/TTLT-BTC-BKHCN.

2. Expenses for research and improvement of mechanisms and policies, solutions on science, technology and innovation to promote national, sectoral, local and enterprise productivity in the process of restructuring the economy; tasks of research, deployment and application of green productivity solutions and community development: To comply with the Joint Circular No. 55/2015/TTLT-BTC-BKHCN.

3. Expenses for payment of working-trip allowance and holding preliminary and final reviews of the Program 1322: To comply with the Ministry of Finance's Circular No. 40/2017/TT-BTC of April 28, 2017, on working-trip allowance and expenses for organization of conferences.

4. Expenses for stationeries and payment of charges for public services (electricity, water and communications): To be paid under contracts and based on actually arising amounts within approved estimates.

5. Organizations and individuals have high achievements in activities of improving productivity and quality shall be honored and commended:

a) Based on practical conditions, the Ministry of Science and Technology shall formulate plans on organizing the honor, commendation and regulations on rewarding collectives and individuals with high achievement in improving quality productivity according to the Law on Emulation and Commendation, and guiding documents;

b) Level of expenses for commendation shall comply with the provisions of the Government's Decree No. 91/2017/ND-CP of July 31, 2017, detailing the implementation of some articles of the Law on Emulations and Commendation.

In case of mobilizing funds from other lawful sources (other than the state budget) from domestic and foreign organizations and individuals to honor, commend collectives and individuals who have high achievements on improving quality productivity: The items and levels of expenditure shall comply with the specific reward regulations of the sponsoring organizations and individuals after approved by the competent agencies for such organizations and individuals to organize the reward in accordance with law provisions.

6. Expenses for international cooperation activities on quality productivity: To comply with the Ministry of Finance's Circular No. 102/2012/TT-BTC of June 21, 2012, stipulating the regime of working-trip allowances for state officials and employees who travel abroad on short working missions funded by the state budget; the Ministry of Finance's Circular 71/2018/TT-BTC of August 10, 2018, on prescribing the mechanism of spending for reception of foreign guests on working visits to Vietnam, organization of international conferences and seminars in Vietnam, and reception of domestic guests.

7. Expenses to support the implementation of the task of boost the mutual recognition mechanism of conformity assessment results at all levels and other expenditures directly implementing the Program 1322: To comply with current regulations on spending regime and norms of the state budget, be paid under contracts and based on actually arising amounts within approved estimates.

Article 9. Supporting enterprises in applying standards, technical regulations, management systems, quality productivity improvement tools, and supporting tools for smart production and smart services; participating in international training programs.

1. Enterprises eligible to participate in the Program 1322 under instructions of the Ministry of Science and Technology are supported in:

a) Applying the management systems, quality productivity improvement tools, boosting up the application of specific management systems, quality productivity improvement tools of sectors or fields, newly announced standards on management systems;

b) Applying the products and goods traceability system, good agricultural practices (G.A.P), organic agricultural production, green productivity practices; applying standards, and supporting tools for smart production and smart services.

c) Supporting for applying information technology, digital technology to establish, optimize and modernize the corporate governance system;

d) Supporting for certification of products and goods, certification of management system for food safety, environment, energy, occupational safety and health, and certification of product and goods traceability system in conformity with national and international standards.

2. Supported tasks specified in Clause 1 of this Article must be formulated in the form of science and technology tasks under regulations of the Ministry of Science and Technology.

Estimated expenses for the performance of tasks must comply with the Joint Circular No. 55/2015/TT-BTC-BKHCN and the current regulations on the spending regime and norms of state budget and be paid under contracts on the basis of actually arising amount within approved estimates ensuring thrift, efficiency and compliance with the regulations.

3. Supporting for enterprises participating in the Asian Productivity Organization's and other international and regional standard organizations' training programs: To comply with the Ministry of Finance's Circular No. 88/2017/TT-BTC of August 22, 2017, guiding financial mechanism to implement the Scheme for training and re-training of human resources of science and technology in the country and foreign countries by the state budget.

Article 10. Estimation, execution and finalization of state budget for the implementation of the Program 1322

The estimation, execution and finalization of state budget must comply with the law on the state budget, public investment and current regulations. This Circular defines a number of specific contents as follows:

1. Estimation: Annually, at the time of estimating state budget revenues and expenditures, organizations and units assigned to perform tasks of the Program 1322 shall base on approved tasks and the guidance of this Circular to estimate funds for the performance of tasks of the Program 1322 and send these estimates to the governing agency for synthesis in the estimates of ministries, sectors and localities (according to state budget management decentralization) and send them to financial agencies (for regular expenses) or planning and investment agencies (for development investment expenses) for subsequent submission to competent authorities for approval, and concurrently send them to the Ministry of Science and Technology for summarization and coordination in implementation.

2. The allocation and assignment of cost estimates, advance payment, payment and finalization of funds for implementation must comply with the law on the state budget and law on public investment and guiding documents. Particularly:

a) Estimated expenses for the performance of national tasks on science and technology of the Program 1322, estimated expenses allocated to the Ministry of Science and Technology to sign a contract with the presiding agency must comply with regulations of the Law on Science and Technology and guiding documents;

b) Estimated expenses for the performance of ministerial, local and grassroots-level tasks on science and technology (if any) of the Program 1322, estimated expenses allocated to ministries, localities and units assigned to assume the prime responsibility must comply with regulations of the Law on Science and Technology and guiding documents.

3. In case a task is not performed as planned or the raising and disbursement of funds from other sources do not conform with the schedule or the structure and total level of funds prescribed in the approving decision of a competent authority or signed contracts; or the allocated funds are used improperly:

State agencies competent to manage funds of the Program 1322 shall take the following handling measures: Stopping the disbursement of support funds from the state budget; suspending the performance of tasks, settling and recovering improper expenditures for remittance to the state budget (for funds form the state budget), requesting the unit in charge of performing the task to settle improperly used expenditures (for funds from other sources), and other forms of handling according to their competence, or requests of agencies competent to handle violations in accordance with law.

In case of suspending the performance of task and recovering improperly used expenditures at the State Treasury: State agencies competent to manage the Program shall issue a decision on suspension of the performance of the task and recovery of improperly used expenditures and at the same time, send them to the State Treasury for use as a basis for recovery and remittance of funds into the state budget.

Chapter III

ORGANIZATION OF IMPLEMENTATION

Article 11. Organization of implementation

1. Levels of state budget expenditures for support for the performance of tasks of the Program 1322 prescribed in this Circular are maximum ones. Based on the criteria and conditions for consideration and selection of organizations and individuals participating in the Program 1322 and resource-balancing capacity, ministers, heads of central agencies and provincial and municipal People's Councils (for tasks of the Program 1322 performed by localities) shall specify the appropriate contents and level of expenditures.

2. The Ministry of Science and Technology, other ministries, central agencies, provincial and municipal People's Committees, and organizations and individuals shall manage and use state budget funds for performance of the tasks of the Program 1322, ensuring efficiency and avoiding overlaps with other programs and projects; ensuring compliance with prescribed purposes and current regulations on criteria, norms and regimes of expenditures and subject to the inspection and control by competent agencies in accordance with law.

Article 12. Implementations provisions

1. This Circular takes effect on July 05, 2021.

2. In case the documents referred to in this Circular are amended, supplemented or replaced, the amending, supplementing of replacing documents shall prevail.

3. Any difficulties and problem arising in the course of implementation of this Circular should be reported to the Ministry of Finance for timely settlement./.

For the Minister

The Deputy Minister

Do Hoang Anh Tuan