DECISION

PROMULGATING THE REGULATION ON FINANCIAL MANAGEMENT OF PRIZE GAME BUSINESS

THE MINISTER OF FINANCE

Pursuant to the Governments Decree No. 108/2006/ND-CP of September 22, 2006. detailing and guiding the implementation of a number of articles of the Investment Law;

Pursuant to the Governments Decree No. 24/2007/ND-CP of February 14, 2007. detailing the implementation of the Law on Enterprise Income Tax: Decree No. 149/2003/ND-CP of December 4, 2003, detailing the implementation of the Law on Special Consumption Tax and the Law Amending and Supplementing a Number of Articles of the Law on Special Consumption Tax;

Decree No. 158/2003/ND-CP of December 10, 2003, detailing the implementation of the Law on Value Added Tax and the Law Amending and Supplementing a Number of Articles of the Law on Value Added Tax and Decree No. 148/2004/ND-CP of July23, 2004, amending and supplementing a number of articles of Decree No. 158/2003/ND-CP;

Pursuant to the Governments Decree No. 77/2003/ND-CP of July 1, 2003, defining the functions, tasks, powers and organizational structure of the Ministry of Finance;

Pursuant to the Prime Minister s Decision No. 32/2003/QD-TTg of February 27, 2003, promulgating the Regulation on electronic prize game business for foreigners;

At the proposal of the director of the External Finance Department,

DECIDES:

Article 1. To amend and supplement a number of articles of the Regulation on financial management of prize game business, promulgated together with the Finance Ministers Decision No. 91/2005/QD-BTC of December 8, 2005, as follows:

1. To amend and supplement Article 6 as follows:

Article 6. Accounting applicable to prize game business establishments

Business establishments permitted to conduct prize game business activities shall account turnovers, expenses and incomes of prize game business separately.

2. To amend and supplement Article 8 as follows:

1. Prize game business establishments shall pay value added tax, special consumption tax, enterprise income tax and other taxes in accordance with current regulations.

2. Prize game business establishments which pay taxes under specific decisions of the Finance Minister shall comply with the mode of payment specified in those decisions.

3. To amend Article 15 as follows:

Article 15.- Conditions for conducting prize game business

A business establishment may procure gaming machines and conduct prize game business only when it fully meets the following conditions:

a/ Having been granted an investment license, investment certificate or prize game business registration certificate by a competent agency;

b/ Having completed principal investment items specified in its investment license, investment certificate or business registration certificate, and facilities of its prize game entertainment center;

c/ Having elaborated prize game rules which specify sizes and types of gaming machines, gaming machine control systems, modes of organizing each game, prize percentages and modes, invoices, vouchers, specimens and the value of token money and token money boxes.

4. To amend Article 16 as follows:

Article 16.- Quantity and types of gaming machines and operation conditions

1. For electronic prize game business establishments

a/ Regarding the quantity of machines: The number of machines must not exceed:

- 100 machines, for tourist accommodation establishments of 5-star or higher grades

- 75 machines, for 4-star tourist accommodation establishments

- 50 machines, for 3-star tourist accommodation establishments.

b/ Regarding types of machines: Establishments may import and operate machines of the types specified in Appendix 1 to this Decision.

2. Operation conditions

a/ Each machine must have a complete dossier supplied by the manufacturer, certifying its name, type and technical specifications (operation principles, playing modes and prize percentage).

b/ Gaming machines must have their quality, software and other properties accredited by the manufacturer or an independent organization functioned to accredit gaming machines.

3. For other prize-game business activities establishments

The quantity and types of gaming machines (including electronic gaming machines and other gaming machines) must comply with the investment license, business certificate or business registration certificate.

5. To amend and supplement Article 17 as follows:

Article 17.- On the import of machines and commencement of business activities

1. After having satisfied the conditions specified in Article 15 of this Regulation, business establishments may import gaming machines of proper types in proper quantity as specified in Article 16 of this Regulation.

2. The import of gaming machines complies with current import regulations.

6. To amend and supplement Article 19 as follows:

1. Violating current legal provisions on tax and finance;

2. Violating the provisions on the quantity and type of machines;

3. Violating other provisions of this Regulation.

7. To amend and supplement Clause 2, Article 20 as follows:

To terminate the operation of prize game business establishments which repeat their violations and withdraw their investment licenses or business registration certificates.

Article 2. This Decision takes effect 15days after its publication in CONG BAO. Particularly, the provisions of Clause 2, Article 1 of this Decision shall be applied from January 1, 2008. Heads of units under the Finance Ministry and directors of provincial/municipal Finance Services and Tax Departments shall, within the ambit of their functions and powers, implement and organize the implementation of this Decision. Business establishments and representatives of parties to business cooperation contracts that are licensed to conduct prize game business shall implement this Decision.

APPENDIX 1:

LIST OF ELECTRONIC PRIZE-GAME MACHINES
(Promulgated together with the Finance Ministers Decision No. 84/2007/QD-BTC of October 17, 2007)

The above machines must conform with the provisions of Article 2 of the Regulation on financial management of prize game business promulgated together with the Finance Ministers Decision No. 91/2005/QD-BTC of December 8, 2005.