Legal Document Updates in English (22/2021)

* From January 2010, LuatVietnam deploys and supplies the section English translations for Vietnam legal documents which are issued from 1986 to this moment with the desire to support individual and units for learning about Vietnamese Law in English. By the certified quality of Vietnam Law and Legal Forum’ s translations in many years, LuatVietnam hopes to give the best searching address for English translations in Vietnam.

* For further details, please visit: english.luatvietnam.vn

#

 

NUMBER

TITLE

 

In This Updates:

ENTERPRISE

 

ENTERPRISE

1

47/2021/ND-CP

Decree No. 47/2021/ND-CP dated April 01, 2021 of the Government detailing a number of articles of the Law on Enterprises

 

3 cases of cross-ownership amongst companies in a corporate group

Page 2

TAX – FEE – CHARGE

 

TAX – FEE – CHARGE

2

43/2021/TT-BTC

Circular No. 43/2021/TT-BTC dated June 11, 2016 of the Ministry of Finance amending and supplementing Clause 11, Article 10 of the Ministry of Finance’s Circular No. 219/2013/TT-BTC of December 31, 2013, guiding the implementation of the Law on Value-Added Tax and the Government’s Decree No. 209/2013/ND-CP of December 18, 2013, detailing and guiding a number of articles of the Law on Value-Added Tax (amended and supplemented by the Ministry of Finance’s Circular No. 26/2015/TT-BTC of February 27, 2015)

 

Medical equipment with an import license shall be entitled to 5% VAT rate

Page 2

3

57/2021/ND-CP

Decree No. 57/2021/ND-CP dated June 04, 2021 of the Government supplementing Point g, Clause 2, Article 20 of the Decree No. 218/2013/ND-CP (amended and supplemented by the Decree No. 12/2015/ND-CP) regarding enterprise income tax incentives for projects manufacturing supporting industry products

 

Enterprises investing in manufacturing supporting industry products before 2015 shall be entitled to EIT incentives

Page 3

4

53/2021/ND-CP

Decree No. 53/2021/ND-CP dated May 21, 2021 of the Government on the Preferential Export Tariff, the Special Preferential Import Tariff of Vietnam for implementation of the Free Trade Agreement between the Socialist Republic of Vietnam and the United Kingdom of Great Britain and Northern Ireland in the period of 2021-2022

 

Special Preferential Import Tariff under the UKVFTA in the 2021-2022 period

Page 3

NATURAL RESOURCES - ENVIRONMENT

 

NATURAL RESOURCES - ENVIRONMENT

5

54/2021/ND-CP

Decree No. 54/2021/ND-CP dated May 21, 2021 of the Government promulgating regulations on preliminary environmental impact assessment

 

4 subjects of preliminary environmental impact assessment

Page 3

6

553/QD-TTg

Decision No. 553/QD-TTg dated April 06, 2021 of the Prime Minister approving the “Project for community awareness raising and community-based natural disaster risk management, with a vision toward 2030”

 

By 2030, 100% of households shall receive information on natural disasters

Page 4

MEDICAL – HEALTH

 

MEDICAL – HEALTH

7

2787/QD-BYT

Decision No. 2787/QD-BYT dated June 05, 2021 of the Ministry of Health on the promulgation of “the guidance for pandemic prevention and control plans when COVID-19 cases are recorded at the production and business establishments or industrial parks”

 

Employees in production and business establishments shall be screened for COVID-19

Page 4

POLICY

 

POLICY

8

55/NQ-CP

Resolution No. 55/NQ-CP dated June 02, 2021 of the Government on the plan on support for electricity customers through reduction (the third time) in electricity prices and electricity bills

 

To support for reduction in electricity prices and bills due to COVID-19

Page 4

 

SUMMARY:

 

Ü  ENTERPRISE

3 CASES OF CROSS-OWNERSHIP AMONGST COMPANIES IN A CORPORATE GROUP

The Decree No. 47/2021/ND-CP detailing a number of articles of the Law on Enterprises is promulgated by the Government on April 01, 2021.

According to the Decree, the contribution of capital to, or purchase of shares of another enterprise, or establishment of a new enterprise includes the following cases: Together contribute capital to establish a new enterprise; Together purchase contributed capital amounts, purchase shares of established enterprises; Together receive the transfer of shares or contributed capital amounts from members or shareholders of established enterprises.

The business registration agency shall refuse application dossier for change of members or shareholders of a company if, during the processing of the dossier, it

 

discovers that the contribution of capital, purchase of shares to establish a new enterprise or the transfer of shares or related contributed capital amounts is in contravention of law provisions.

In addition, information of an enterprise shall be publicly provided on the Business Portal. Reports on information disclosure must be kept on the website of the enterprise, the portal or website of the agency representing the owner and the Business Portal for at least 05 years. Enterprises disclosing information shall preserve and archive reported and announced information in accordance with the law provisions.

This Decree takes effect on the signing date.

Ü  TAX – FEE – CHARGE

MEDICAL EQUIPMENT WITH AN IMPORT LICENSE SHALL BE ENTITLED TO 5% VAT RATE

On June 11, 2016, the Ministry of Finance issues the Circular No. 43/2021/TT-BTC amending and supplementing Clause 11, Article 10 of the Ministry of Finance’s Circular No. 219/2013/TT-BTC of December 31, 2013, guiding the implementation of the Law on Value-Added Tax and the Government’s Decree No. 209/2013/ND-CP of December 18, 2013, detailing and guiding a number of articles of the Law on Value-Added Tax (amended and supplemented by the Ministry of Finance’s Circular No. 26/2015/TT-BTC of February 27, 2015).

Accordingly, the VAT rate of 5% shall be applied to medical equipment and instruments, such as scanners and radiography machines of all kinds for medical examination and treatment; devices and instruments used exclusively in

 

surgery and wound treatment; ambulances; blood-pressure, cardiac and vascular meters; blood transfusion instruments; syringes and needles; contraceptive devices.

In addition, the Circular also adds medical equipment and instruments eligible for the VAT rate of 5%, including medical equipment and instruments with an import license or certificate of registration for circulation or receipt note of the declaration of applicable standard in accordance with the law on health or the List of medical equipment under the specialized management of the Ministry of Health as prescribed.

This Circular takes effect on August 01, 2021.

ENTERPRISES INVESTING IN MANUFACTURING SUPPORTING INDUSTRY PRODUCTS
BEFORE 2015 SHALL BE ENTITLED TO EIT INCENTIVES

The Decree No. 57/2021/ND-CP supplementing Point g, Clause 2, Article 20 of the Decree No. 218/2013/ND-CP (amended and supplemented by the Decree No. 12/2015/ND-CP) regarding enterprise income tax (EIT) incentives for projects manufacturing supporting industry products is issued on June 04, 2021 by the Government.

Specifically, enterprises that have projects manufacturing supporting industry products before January 01, 2015 but have not yet enjoyed enterprise income tax incentives for the income generated from such projects, shall be entitled to enterprise income tax incentives under the conditions for projects manufacturing supporting industry products from the tax period during which they are granted the incentive certificate for manufacture of supporting industry products by a competent agency.

Besides, enterprises that have fully enjoyed enterprise income tax incentives for the income generated from such projects

 

under other incentive conditions shall be entitled to enterprise income tax incentives under the conditions for projects manufacturing supporting industry products for the remaining period, from the tax period during which they are granted the incentive certificate for manufacture of supporting industry products by a competent agency.

The remaining incentive period shall be equal to the duration of enjoyment of enterprise income tax incentives under the conditions for projects manufacturing supporting industry products minus (-) the duration of tax exemption (number of years), the duration of tax reduction (number of years), the duration of enjoyment of tax rate incentives (number of years) that the enterprise has already enjoyed under the other incentive conditions.

This Decree takes effect from the signing date.

SPECIAL PREFERENTIAL IMPORT TARIFF UNDER THE UKVFTA IN THE 2021-2022 PERIOD

The Decree No. 53/2021/ND-CP on the Preferential Export Tariff, the Special Preferential Import Tariff of Vietnam for implementation of the Free Trade Agreement between the Socialist Republic of Vietnam and the United Kingdom of Great Britain and Northern Ireland in the period of 2021-2022 is issued by the Government on May 21, 2021.

Specifically, goods exported from Vietnam eligible for the preferential export duty rates as specified in this Decree must fully satisfy the following conditions: Being imported to the United Kingdom of Great Britain and Northern Ireland; Having the transport documents (copies) indicate that the destination is the United Kingdom of Great Britain and Northern Ireland; Having the import customs declaration proving the import of the goods lot exported from Vietnam into the United Kingdom of Great Britain and Northern Ireland (copies and translated copies in English or Vietnamese in case the language used on the declaration other than English).

Besides, when carrying out customs procedures, the customs declarant shall fill in an export declaration, apply the

 

export duty rate, calculate and pay tax according to the Decree No. 57/2020/ND-CP. Within the time limit of 01 year from the date of registration of the export declaration, the customs declarant shall submit all documents to demonstrate that the goods satisfy the conditions specified in this Decree and make additional declaration to apply the preferential export duty rate under the UKVFTA.

In addition, imported goods eligible for enjoyment of the special preferential import tariff of the UKVFTA must fully satisfy the following conditions: Being prescribed in the Special Preferential Import Tariff; Being imported into Vietnam from the United Kingdom of Great Britain and Northern Ireland or the Socialist Republic of Vietnam (Goods imported from non-tariff zones into the domestic market); Satisfying the regulations on origin of commodities and having documents proving the goods origin according to the UKVFTA.

This Decree takes effect on the signing date.

Ü  NATURAL RESOURCES - ENVIRONMENT

4 SUBJECTS OF PRELIMINARY ENVIRONMENTAL IMPACT ASSESSMENT

On May 21, 2021, the Government issues the Decree No. 54/2021/ND-CP promulgating regulations on preliminary environmental impact assessment.

According to this Decree, subjects of preliminary environmental impact assessment shall include investment projects subject to the preparation of environmental impact assessment reports as prescribed. Such projects consist of: Public investment projects (except several cases); Investment projects in the form of public-private partnership; Investment projects subject to approval of investment policies in accordance with the law on investment; Investment projects for which investment registration certificates are required, except for cases of granting investment registration certificates at the request of investors.

 

The preliminary environmental impact assessment shall be conducted with the following contents: Assessment on the suitability of the location of the investment project with the National environmental protection strategy, the National environmental protection master plan; Identifying and forecasting the main environmental impacts of the investment project on the environment based on the scale, production technology and location of such project; Analyzing, evaluating and selecting the plan on scale, production technology, waste treatment technology, location for implementation of the investment project and measures to minimize environmental impacts; etc.

The Decree takes effect from the signing date.

BY 2030, 100% OF HOUSEHOLDS SHALL RECEIVE INFORMATION ON NATURAL DISASTERS

The Decision No. 553/QD-TTg approving the “Project for community awareness raising and community-based natural disaster risk management, with a vision toward 2030” is issued on April 06, 2021 by the Prime Minister.

Specifically, the Program strives to achieve the following goals by 2030: 100% of general training levels shall include natural disaster risk mitigation and prevention in some subjects for teaching; 100% of the people in communes prone to frequent typhoon, flashflood, landslide, flood, inundation drought and seawater intrusion and at least 50% of the people in other areas shall be disseminated natural disaster- related knowledge; Striving for 100% of households to receive sufficient information on natural disasters and disaster prevention and control directions, etc.

Besides, the Project includes 03 components as follows: Completing mechanisms, policies and documents guiding

 

the implementation of community awareness raising and community-based natural disaster risk management; Capacity building for natural disaster prevention and control forces and government officials at all levels in managing and implementing community awareness raising and community-based natural disaster risk management activities; Strengthening propaganda, education to raise awareness; strengthening community capacity and skills in natural disaster risk mitigation.

The Project shall be implemented from 2021 to 2030 in all communes and rural-districts nationwide, in which priority is given for high-risk areas in communes and rural-districts frequently affected by natural disasters.

This Decision takes effect on the signing date.

Ü  MEDICAL – HEALTH

EMPLOYEES IN PRODUCTION AND BUSINESS ESTABLISHMENTS
SHALL BE SCREENED FOR COVID-19

The Ministry of Health issues the Decision No. 2787/QD-BYT on the promulgation of “the guidance for pandemic prevention and control plans when COVID-19 cases are recorded at the production and business establishments or industrial parks” on June 05, 2021.

Accordingly, when no COVID-19 case is recorded, the production and business establishment must organize screening tests by rapid antigen testing or pooled RT-PCR testing of SARS-CoV-2, at least every 05-07 days for all employees providing close-contact services for employees at the production and business establishments and at least 20% of high-risk employees at the production and business establishment.

Where confirmed cases are recorded at 01 production and business establishment or industrial park, it is required to temporarily isolate the entire production and business establishment or industrial park, or each workshop/production line/production team/production area/working position where the confirmed cases

 

(F0 cases) are recorded, depending on the practical situation. To isolate the F0 cases on the spot at the production and business establishment or industrial park, and immediately notify the health agencies for quarantine as well as tracking down, making a list of F1 and F2 cases, and coordinate to collect specimens for testing from the employees based on their risk of being exposed to the virus.

After obtaining testing results, depending on each situation, the production and business establishments or industrial parks shall comply with the guidance. In addition, production and business establishments or industrial parks may only use employees who have been confirmed that the risk of pandemic infection on them were under control within 28 days before the expected working date and who have negative RT-PCR test results for two times within 14 days before the expected working time, and have no suspicious symptoms.

This Decision takes effect on the signing date.

Ü  POLICY

TO SUPPORT FOR REDUCTION IN ELECTRICITY PRICES AND BILLS DUE TO COVID-19

On June 02, 2021, the Government issues Resolution No. 55/NQ-CP on the plan on support for electricity customers through reduction (the third time) in electricity prices and electricity bills.

Accordingly, the Government agrees to the plan on support for electricity customers affected by the COVID-19 pandemic through reduction (the third time) in electricity prices and electricity bills as proposed by the Ministry of Industry and Trade in the Report No. 283/BC-BCT of May 27, 2021.

 

The Ministry of Industry and Trade is assigned to assume the prime responsibility for, and coordinate with the Ministry of Finance and related agencies in, organizing the implementation of the plan according to the law-specified order and procedures and relevant regulations, ensuring stringency, proper beneficiaries, and avoidance of abuse of the policy for personal gain; and take the entire responsibility for the reported and proposed contents and data.

This Resolution takes effect on the signing date.

 

 

Details of Legal Updates are posted fully on LuatVietnam Database. Customers will receive all contents of legal documents in Legal Updates when becoming subscribers of searching service for legal documents in English. All the requirements on legal documents in English, please contact: cskh@luatvietnam.vn. Customers can study all information on LuatVietnam service via address: english.luatvietnam.vn

Official translations (Available for English subscription): are supplied by the Vietnam Law and Legal Forum Magazine (directly under Vietnam News Agency). Its translations are often used as the comparison when having any differences among current unofficial translations. Vietnam Law and Legal Forum’s translations are considered as the best insurance (or the most credit one) for studying Vietnam State’s legal documents in English.

Reference translations (Available for Vietnamese and English subscription): are supplied in order to fulfill the richness and diversification among them (official and unofficial translations) in Vietnam.

We would like to show great thanks to you for reading our Legal Updates!

 

LUATVIETNAM CENTER - INCOM COMMUNICATIONS.,JSC
Hanoi:  
1A Floor, IC Building, No. 82, Duy Tan Street, Cau Giay District, Hanoi. Tel: 0938 36 1919
Ho Chi Minh:   No. 456 Phan Xich Long, Ward No. 02, Phu Nhuan District, Ho Chi Minh
Tel: (
028) 399 507 24 - Fax: (028) 399 507 27
Email:
cskh@luatvietnam.vn

 

Notice: The legal updates are designed for general information announcement only. Customers receiving this are encouraged to login the website to see and download full text. If you wish to unsubscribe, please follow the instructions in the email enclosed herewith https://luatvietnam.vn/huy-dang-ky-nhan-ban-tin.html . You will receive the final confirmation before un-list your email address in our system.