Legal Document Updates in English (18/2012)

THE NATIONAL ASSEMBLY OFFICIALLY APPROVED THE LAW ON CIPHER
 

On November 26, 2012, the National Assembly issued the Law on Cipher No. 05/2011/QH13 providing for cipher activities; tasks, powers, principles of organizations and operation of the cipher force, regimes and policies applicable to persons working in cipher organizations; rights, obligations and responsibilities of agencies, organizations and individuals involved in cipher activities.

Cipher activities mean especially confidential activities in the field of national security, involving the use of coding skills and techniques and relevant solutions for protecting state secret information, which are carried out by a specialized force,

The cipher force is a specialized force to protect state secrets, functioning to advise the Party and the State on cipher work and conduct cipher activities; contributing to ensuring absolute confidentiality, safety, accuracy and timeliness of information in all circumstances; take the initiative in preventing and combating code-spying activities which harm the national security, the interests of the State or the rights and legitimate interests of agencies, organizations or individuals.

The cipher force is placed under the absolute and direct leadership in all aspects of the Communist Party of Vietnam and the unified management of the State; to comply with the Constitution and law; to ensure absolute confidentially, safety, accuracy and timeliness; to be closely and uniformly organized according to the requirements of the Party’s leadership and the State’s management, the direction and command of the people’s armed forces and the requirements of protecting state secret information.
The Government performs the unified state management of cipher and the Minister of National Defense shall take responsibility before the Government for performing the state management of cipher and personally direct the operation of the Government Cipher Commission. The Government Cipher Commission is the national code agency performing the specialized management of cipher and having the responsibility to assist the Minister of National Defense in performing the state management of cipher.
This Law takes effect on February 01, 2012; Cipher Ordinance No. 33/2001/PL-UBTVQH10 ceases to be effective on the effective date of this Law.

LAWYER, LEGAL AID OFFICERS HAVE RIGHTS TO PARTICIPATE
IN THE COMPLAINT SETTLEMENT
 

The XIII National Assembly passed the Law on Complaints No. 02/2011/QH13 and this Law shall take effect from July 01, 2012. Under this Law, there are many new points compared with the previous regulations. Of which, the most significant point is the regulations on cases many persons jointly make a complaint about the same content and the participation of a lawyer or legal aid officer.

Specifically, for verbal complaint, the competent agency shall receive and guide these complainants in appointing a representative to present the complaint contents; the complaint recipient shall record in writing the complaint, clearly stating the contents as regulated.For a written complaint, such complaint must clearly state the contents as specified and bear the signature of all complainants, who shall appoint a representative to present their opinions when the complaint

settler requests.

he complainant has rights to make a complaint by him/herself or asks a legal counsel or authorizes a lawyer to make a complaint to protect his/ her rights and legitimate interests. The lawyer or legal aid officer participating in the complaint settlement has the obligations to produce his/her lawyer or legal aid officer card and a decision on assignment to provide legal aid, written request for legal aid or power of attorney of the complainant.
The provisions on complaints and settlement of complaints of Law No. 09/1998/QH10 on Complaints and Denunciations, which were amended and supplemented under Law No. 26/2004/QH11 and Law No. 58/2005/QH11, cease to be effective on the effective date of this Law.

COMMUNE PEOPLE'S COMMITTEE HAS NO RIGHTS FOR REGISTRATION
OF A MORTGAGE USING A LAND USE RIGHT
 

On February 02, 2012, the Government issued the Decree No. 05/2012/ND-CP amending and supplementing a number of articles of the Decrees on secured transaction registration, legal aid, lawyers and legal counseling.

The Decree annuls Point b, Clause 2, Article 31 of the Government’s Decree No. 84/2007/ND-CP stipulating registration of a mortgage using a land use right and assets attached to land applicable to a household or individual at the commune people's committee.

Accordingly, from April 01, 2012, the commune people's committee has no rights to deal with the application files for registration of a mortgage using a land use right

and assets attached to land. Instead, these procedures are under the authority of the district land use right registration office; such office shall conduct registration procedures on the same day as it receives a complete and valid application file or on the next working day at the latest if the file is received after 3 p.m.

Under this Decree, time limit for dealing with the application file for a single member limited liability law firm being transformed into a limited liability law firm with two or more members or vice versa is reduced to 05 working days after receiving a complete transformation dossier instead of 07 working days as before.

3 STEPS FOR COMPENSATION, SUPPORT AND GROUND CLEARANCE
FOR RAILWAY LAND
 

On January 19, 2012, the Government issued the Decree No. 03/2012/ND-CP amending and supplemen­ting a number of articles of the Government's Decree No. 109/2006/ ND-CP of September 22, 2006, detailing and guiding the implementation of a number of articles of the Railway Law.

Accordingly, the Decree amended 3 steps for compensation, support and ground clearance for railway land upon upgrading and renovation of railways currently in operation or construction of new ones after January 1, 2006 if funds are inadequate for immediate ground clearance.Specifically, step 1 must proceed with the compensation, support and ground clearance for land lying within the protection scope of railway works prescribed by

the Railway Law. Step 2 must proceed with the compensation, support and ground clearance for land lying within the safety corridors of railway transport but outside the protection scope of railway works. And step 3 must proceed with the compensation, support and ground clearance for land lying within the protection scope of railway works and safety corridors of railway transport under the Railway Law.

Under this Decree, at the level crossings between railways and roads where there are no watch persons, it is forbidden to build works within the angle blocking the visibility of road vehicle or train operators.
All these amendments and supplements shall take effect on March 2. 2012.

STAYING IN VIETNAM MORE THAN 90 DAYS IS EXEMPTED
FROM RE-GRANTING A CERTIFICATE OF VISA
 

From April 15, 2012, a person entering Vietnam with a visa exemption certificate may stay in Vietnam for up to 90 days following each entry. If wishing to stay longer, being guaranteed by an agency, organization or individual in Vietnam and having plausible reasons, he/she may be considered for extension of his/her stay for another 90 days at most.

This is regulated in the Decision No. 10/2012/QD-TTg dated February 10, 2012, amending and supplementing a number of articles of the Regulation on visa exemption for overseas Vietnamese promulgated together with the Prime Minister’s Decision No. 135/2007/QD-TTg of August 17, 2007.A person wishing to extend his/her temporary residence must carry out procedures  5 days before the visa

exemption certificate expires; A dossier of application for temporary residence extension comprises passport of the applicant and application for visa grant or modification or temporary residence extension (made according to a set form) certified by the police of the commune or ward in which he/she temporarily resides.

Under this Decision, time limit of granting visa exemption for overseas Vietnamese is within 5 working days after receiving a complete and valid dossier instead of 07 days as before.

BUSINESS IS ALLOWED  TO HAVE CONSULTATION
ON INTERNATIONAL TRADE AGREEMENTS
 

The Prime Minister issued the Decision No. 06/2012/QD-TTg dated 20/01/2012 on on consultation with the business community on international trade agreements.

Upon receiving proposals of the business community, the agency responsible for negotiation shall confirm the receipt of opinions via email or on its website and receive, process and study the proposals.

Agencies responsible for negotiation shall also provide information upon completion of the feasibility study; information on initiation of negotiations and other relevant information such as Typical treaties and agreements on market opening signed between the negotiating partner and third parties; typical treaties and agreements

on market opening; other documents which the agency responsible for negotiation finds possible and necessary as additional information for the business community; the schedule, time, venues and agendas of conferences and workshops.
The business community may give opinions and proposals related to the negotiation plans and contents or requirements to be set for partners or taken into account in the process of negotiation. The business community may send its opinions directly or via the Vietnam Chamber of Commerce and Industry to the agency responsible for negotiation.

This Decision takes effect on March 15, 2012.

TO 2015, PLAN TO DISBURSE CAPITAL OF USD 14-16 BILLION
 

On 19/01/2012, the Prime Minister issued the Decision No.  106/QD-TTg approving the scheme on orientations for attraction, management and use of official development assistance and other preferential loans of donors during 2011-2015.

ODA and preferential loans of donors in the 2011-2015 period are estimated to include committed capital of around USD 32-34 billion and disbursed capital of USD 14-16 billion (equal to some 6% of total social investment), of which around 50% will be disbursed from programs and projects signed during 2006-2010.
One of the first preferential loans is to support the achievement of the development objectives of the 2011 -2015 five-year socio-economic development plan, prioritizing the realization of the three major breakthroughs set forth in the 2011 -2020 socio­economic development strategy; the implementation of the scheme on building of a complete infrastructure system. In parallel with the development of technical infrastructure facilities, the Government attaches importance to the development of policies and institutions for management of the infrastructure sector so that this sector can sustainably develop in the market economy and provide to the society quality public services at competitive prices.

The 2011-2015 scheme contains policy orientations for improvement of the institutional environment and the organization, management and implementation of activities related to the attraction and use of ODA and preferential loans by Vietnamese management agencies at all levels and beneficiaries, aiming to attract to the utmost and raise the use effectiveness of these capital sources. This scheme serves as a basis for donors to make development cooperation policies; and formulate strategies and programs to provide ODA and preferential loans for Vietnam. It also publicizes the Vietnamese Government's policies on attraction, management and use of these capital sources to the public at home and abroad.
During 2006-2010, the total disbursed ODA capital reached USD 13.86 billion, equal to 67.25% of the signed ODA and 11 % higher than the target set forth in the 2006-2010 ODA scheme. Though the ODA disbursement level has seen certain improvements in the recent years, to some donors it is still low compared to-the regional and international average.

This Decision takes effect on the date of its signing.

EXPORT DUTY EXEMPTION FOR CONSTRUCTION MATERIALS IN NON-TARIFF AREAS
 

The Ministry of Finance issued the Circular No. 11/2012/TT-BTC guiding export duty exemption for construction materials brought from the domestic market into non-tariff areas for construction, repair and maintenance of common technical and social infrastructure in non-tariff areas.
Goods in non-tariff areas  must have owners of projects to build, repair and maintain common technical and social infrastructure in non-tariff areas shall register lists of duty-free exported goods. In case principal contractors or sub-contractors directly export duty-free goods, they shall use lists of duty-free goods and reconciliation monitoring slips which have been registered by project owners when registering duty-free goods export declaration forms with customs offices; The list of duty-free exported goods and reconciliation monitoring slip shall be made once for the whole project or each phase or each work item of the project if the investment license or certificates granted by a competent agency or the project's econo-technical studies or technical design documents shows/show that the project is implemented by phase or work item;

The list of duty-free exported goods shall be registered at a provincial-level Customs Department of the locality in which a non-tariff area is located. In case such provincial-level Customs Department performs customs management in some provinces, its director shall consider and decide to assign a district-level Customs Department performing customs management of the non-tariff area to register the list of duty-free goods for projects to construct, repair and maintain common technical and social infrastructure in such area.

When registering a list of duty-free exported goods with a customs office, the registering person shall submit and produce a dossier. The customs office may grant export duly exemption only in case a customs declaration form is registered after the list of duty-free exported goods is registered.

This Circular takes effect on March 20, 2012.

07 GOODS ARE NOT LIABLE TO EXCISE TAX
 

The Ministry of Finance issued the Circular No. 05/2012/TT-BTC dated 05/01/2012 guiding the implementation of the Government's Decree No. 26/2009/ND-CP of March 16,2009, detailing a number of articles of the law on excise tax, and Decree No. 113/2011/ND-CP of December 8, 2011, amending and supplementing a number of articles of Decree No. 26/ 2009/ND-CP.

Goods directly exported by producers or processors or sold or entrusted to other business establishments for export; humanitarian and non-refundable aid; gifts and donations; goods transited or transported through Vietnam’s border gates or borders and goods in border-gate transfer; goods temporarily imported for re-export and actually re-exported within the time limit; goods temporarily imported for display at fairs or exhibitions; personal effects of foreign organizations and individuals within diplomatic immunity quotas; personal effects within import duty-free luggage quotas of Vietnamese and foreigners upon entry or exit via Vietnam’s border gates; goods imported for duty-free sale at duty-free shops under law.

Besides, Goods imported from abroad into non-tariff areas, goods sold from inland Vietnam into non-tariff areas and used only in these areas, and goods traded between non-tariff areas, except under-24-seat cars. Aircraft and yachts used for commercial cargo or passenger transportation or tourism business. Aircraft or yachts not liable to excise tax which are used for purposes other than commercial cargo or passenger transportation or tourism business are liable to excise tax.
Air conditioners of a capacity of 90,000 BTU or less are not liable to excise tax in In case a business imports, entrusts the import of, or signs with a domestic contractor a contract on the supply of a central air-conditioning system of over 90,000 BTU which will be delivered according to work construction schedule.

This Circular takes effect on the effective date of Decree No. 113/2011/ND-CP (February 1, 2012) and replaces the Ministry of Finance’s Circular No. 64/2009/ND-CP of March 27, 2009.