Legal Document Updates in English (24/2012)

BY 2015, THE TOTAL EXPORT VALUE OF VINATEX WILL REACH $3,865 MILLION
 

This is one of the main objectives promulgated by the Prime Minister for Vietnam National Textile Corporation (Vinatex) under the Decision No. 429/QD-TTg dated April 12, 2012 on approving the five-year plan of production and trading, investment and development of the Vietnam National Textile and Garment Group for the period of 2011-2015.

In order to achieve the objectives by 2015 that the export turnover will reach $ 3,865 million US dollars, the industrial production value will reach over $28,000 billion, non VAT turnover is equivalent to $ 54,000 billion….The Prime Minister requested Vinatex to implement some measures such as: to expand the areas of raw material

plantation for textile industry; strengthen assessment, examination of production and business efficiency of investment projects and of the affiliates; build appropriate development strategies for domestic and international market; enhancing the efficient use of capital, reduce capital turnover.

Member Council of Vietnam Textile and Garment Group is responsible for implementation and ensuring the completion of the approved plan. To annually report on the plan implementation and the encumberments and difficulties arising in the implementation process.

DEPOSITING 50% OF THE AUCTION-WINNING AMOUNT
WHEN MAKING AUCTION ON USE RADIO FREQUENCY
 

On March 08, 2012, the Prime Minister issued the Decision No. 16/2012/QD-TTg stipulating the auction and transfer of the right to use radio frequency.

Accordingly, deposit is stated in the bidding dossier and must not be lower than 01 % and higher than 15% of the reserve price of band blocks and frequency channels. Auction winners will have their paid deposits deducted from their auctioning- winning amounts in the account designated by the Ministry of Information and Communications as regulated under the bidding dossier.

Under this Decision, within 90 days after being announced by the Ministry of Information and Communications, an auction winner shall pay 50% of the auction-winning amount; Within 18 months after the date of announcement of the auction result, paying 25% of the auction-winning amount; Within 19 and 36 months after the date of announcement of the auction result, paying 25% of the auction-winning amount into the account designated by the Ministry of Information and Communications.
This Decision shall take effect on May 01, 2012.

INVESTMENT PROJECT TO BUILD RADIATION APPLICATION INSTITUTES
DURING 2011 – 2015
 

This is one of the projects to develop the Vietnam Atomic Energy Institute under the Decision No. 265/QD-TTg dated March 05, 2012 of the Prime Minister on building research and development and technical assistance capacity for atomic energy development and utilization and safety and security assurance.

The roadmap during 2011 - 2015 is to formulate and implement an investment project to build radiation application institutes in Hanoi, Da Nang and Ho Chi Minh City. Besides, the Prime Minister requests to focus on some following contents: to implement the project to build a nuclear science and technology center under the

 Inter-Governmental Agreement between the Socialist Republic of Vietnam and the Russian Federation on the construction of a nuclear power plant in the Vietnamese territory;

implement the master plan on the national environmental radioactivity observation and warning network and formulate and implement an investment project to build an operational center, regional stations and a national data center within the framework of the Comprehensive Nuclear Test Ban Treat…

AT LEAST 7% OF THE ANNUAL MONETARY BENEFIT FOR INNOVATION REMUNERATION
 

The Government issued the Decree No. 13/2012/ND-CP on the Regulation on innovations.

Accordingly, in case an innovation investor is an economic institution or a non-business unit that generates revenues and practices independent accounting, if there is no agreement between the innovator and the investor, the payment of remuneration to the innovator shall be made according to the following provisions:

The remuneration is paid annually for the first three years of application of the innovation within one month after the end of each year of application and at the level equal to at least 7% of the annual monetary benefit amount resulting from the application. In case it is impossible to calculate such amount, the annual

remuneration must be at least five times the common minimum wage prescribed by the Slate at the time of remuneration payment; The remuneration is paid for three years after the innovation is recognized each time of transfer of the innovation to another institution or individual, within one month after the payment for each time of transfer is received and at the level equal to at least 15% of the transfer price.

This Decree replaces the provisions on innovations of the Regulation on innovations, technical improvements for production rationalization and inventions, promulgated together with Decree No. 31 -CP of January 23, 1981, which was amended and supplemented by Decree No. 84/HDBT of March 20, 1990 and takes effect on April 25, 2012.

THE IMPORT TAX ON GAS INCREASES BY 5%
 

On June 20, 2012, the Ministry of Finance issued the Circular No. 100/2012/TT-BTC guiding the implementation of preferential import tax rate for some commodities of the group 2711 at the preferential import tariff.

Accordingly, in order to balance the benefits of consumers, exporting companies and the State; since June 20, 2012, the import tax for oil gas and fluidization will

officially increase from 0% to 5%.

Besides, the import tax imposed on natural gas, gas for engine fuel and other hydrocarbon is still at 0%.

This Circular shall replace the Circular 37/2012/TT-BTC dated March 02, 2012 and take effect on June 20, 2012.