Legal Document Updates in English (28/2020)

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NUMBER

TITLE

 

In This Updates:

TAX – FEE – CHARGE

 

TAX – FEE – CHARGE

1

65/2020/TT-BTC

Circular No. 65/2020/TT-BTC dated July 09, 2020 of the Ministry of Finance on amending and supplementing a number of articles of the Circular No. 302/2016/TT-BTC dated November 15, 2016 of the Minister of Finance on providing guidance on business license fee

 

To exempt 3 years of business license fees for SMEs transformed from business households

Page 2

2

64/2020/TT-BTC

Circular No. 64/2020/TT-BTC dated July 08, 2020 of the Ministry of Finance on providing for charges in medical sector, and the remittance thereof

 

To reduce 30% of the appraisal charge for conditions of practicing in medical sector

Page 2

3

116/2020/QH14

Resolution No. 116/2020/QH14 dated June 19, 2020 of the National Assembly on deduction of enterprise income tax payable in 2020 for enterprises, cooperatives, non-business units and other organizations

 

To reduce 30% of enterprise income tax in 2020 for enterprises with total turnover up to VND 200 billion

Page 2

INVESTMENT

 

INVESTMENT

4

80/2020/ND-CP

Decree No. 80/2020/ND-CP dated July 08, 2020 of the Government on managing and using Non-ODA Grant Aid provided by foreign agencies, organizations, individuals for Vietnam

 

The time limit for grant aid evaluation is 20 days

Page 3

SECURITIES

 

SECURITIES

5

81/2020/ND-CP

Decree No. 81/2020/ND-CP dated July 09, 2020 of the Government on amending and supplementing a number of articles of the Government’s Decree No. 163/2018/ND-CP of December 04, 2018, on the issuance of corporate bonds

 

Bond-issuing corporation may disclose information only 3 days in advance from September 01

Page 3

POLICY

 

POLICY

6

30/NQ-CP

Resolution No. 30/NQ-CP dated March 12, 2020 of the Government promulgating the Government’s Action Program for implementation of the Political Bureau’s Resolution No. 39-NQ/TW of January 15, 2019, on raising the efficiency of management, exploitation, use and promotion of resources of the economy

 

Strive to 2045, the ratio of agricultural, forestry and fisheries labor shall be less than 15%

Page 3

 

SUMMARY:

 

Ü  TAX – FEE – CHARGE

TO EXEMPT 3 YEARS OF BUSINESS LICENSE FEES
FOR SMES TRANSFORMED FROM BUSINESS HOUSEHOLDS
 

This content is supplemented in the Circular No. 65/2020/TT-BTC dated July 09, 2020 of the Ministry of Finance on amending and supplementing a number of articles of the Circular No. 302/2016/TT-BTC dated November 15, 2016 of the Minister of Finance on providing guidance on business license fee.

According to the new supplementing provision, cases of exemption from business license fees include: Cooperatives, unions of cooperatives operating in agricultural sector; People's credit funds; branches, representative offices; Public general education and early childhood education institutions.

Newly established organizations; households, individuals and groups of individuals conducting production and business activities for the first time shall be entitled to business license fee exemption for the first year of establishment or conducting production and business activities.

 

Small and medium-sized enterprises (hereinafter referred to as SMEs) transformed from business households shall be exempted from business license fees for 03 years from the date of issuing the enterprise registration certificate. Branches and representative offices of SMEs established in this period shall be entitled to business license fee exemption.

Business license fee rates for individuals, groups of individuals and households conducting goods and service production and business still remain the same. In case the annual turnover is over VND 500,000,000, the business license fee rate shall be VND 1,000,000/year; if the annual turnover is between over VND 300,000,000 and VND 500,000,000, the business license fee rate shall be VND 500,000/year and VND 300,000/year if the annual turnover is between over VND 100,000,000 and VND 300,000,000.

This Circular takes effect on August 23, 2020.


TO REDUCE 30% OF THE APPRAISAL CHARGE FOR CONDITIONS
OF PRACTICING IN MEDICAL SECTOR

On July 08, 2020, the Ministry of Finance issues the Circular No. 64/2020/TT-BTC on providing for charges in medical sector, and the remittance thereof.

To be specific: The charge rate for processing applications for license to receive/import/export insecticidal, germicidal chemicals and preparations for household and medical use, and certificates thereof and the charge rate for verifying operating conditions, standards and conditions for practicing in medical sector to be remitted shall be equal 70% of the charge rate specified in Article 1 of the Circular No. 11/2020/TT-BTC.

 

Besides, the charge rate for processing applications for license to sell/import/manufacture/declare medical equipment; charge rate for processing applications for certificate of eligibility to conduct business activities in medical equipment and the charge rate for verifying the satisfaction of eligibility requirements to grant certificate of bio-safety laboratory, etc. shall be equal to 70% of the charge rate provided in the Circular No. 278/2016/TT-BTC.

This Circular takes effect on July 08, 2020 to the end of December 31, 2020.


TO REDUCE 30% OF ENTERPRISE INCOME TAX IN 2020
FOR ENTERPRISES WITH TOTAL TURNOVER UP TO VND 200 BILLION

On June 19, 2020, the National Assembly adopts the Resolution No. 116/2020/QH14 on deduction of enterprise income tax payable in 2020 for enterprises, cooperatives, non-business units and other organizations.

Specifically, to reduce 30% of enterprise income tax amount payable in 2020 for enterprises having total turnover no more than VND 200 billion.

The Resolution shall apply to enterprise income taxpayers being goods and service production and business organizations which have taxable incomes under the

 

provisions of the Law on Enterprise Income Tax, including: enterprises established according to Vietnamese Law; organizations established according to the Law on Cooperatives; non-business units established according to Vietnamese law; other organizations established according to Vietnamese law and engaged in income-generating production and business activities.

This Resolution takes effect on August 03, 2020 and applies for the tax period of 2020.

Ü  INVESTMENT

THE TIME LIMIT FOR GRANT AID EVALUATION IS 20 DAYS

On July 08, 2020, the Government promulgates the Decree No. 80/2020/ND-CP on managing and using Non-ODA Grant Aid provided by foreign agencies, organizations, individuals for Vietnam.

Specifically, depending on the size, nature and content of aids, the evaluation agency shall organize the evaluation in the form of collecting opinions or organizing an evaluation conference. In cases where aids are not eligible for receipt, the governing body shall notify the aid donors of its decision not to accept aid. The time limit for evaluation is 20 days after receiving a complete and valid dossier.

In addition, the governing body may decide to apply one of three forms of program, project management organization as

 

follows: using affiliated specialized units which are qualified, capable of managing and implementing projects for projects with the scale of less than US $ 200,000; using an active Management Board Unit to manage new programs and projects; establishing its own Management Board Unit for each program or project.

Besides, in case of any dispute related to a contract during the process of implementing a program or project, the parties shall negotiate and settle it. In case no agreement is reached between the parties, the settlement of disputes shall be made through conciliation, arbitration or court.

This Decree takes effect on September 17, 2020.

Ü  SECURITIES

BOND-ISSUING CORPORATION MAY DISCLOSE INFORMATION
ONLY 3 DAYS IN ADVANCE FROM SEPTEMBER 01

The Government issues the Decree No. 81/2020/ND-CP on amending and supplementing a number of articles of the Government’s Decree No. 163/2018/ND-CP of December 04, 2018, on the issuance of corporate bonds on July 09, 2020.

According to new provisions, a bond-issuing corporation may carry out the information disclosure to investors that have registered to purchase bonds and send information contents to be disclosed to the related Stock Exchange at least 03 working days before the expected date of issuance of corporate bonds, instead of 10 working days as provided in previous provisions.

 

Besides, for the initial issuance and subsequent bond issuance, a corporation issuing bonds at multiple times is only required to carry out the information disclosure before at least 03 working days ( as in previous regulations, such period was 10 days).

The Government also adds 01 type of document required when submitting dossier of issuance of corporate bonds: A bond purchase contract, including the investor’s commitment on its/his/her full access to the disclosed information before the bond issuance, and clear understanding of risks of bond purchase.

This Decree takes effect on September 01, 2020.

Ü  POLICY

STRIVE TO 2045, THE RATIO OF AGRICULTURAL, FORESTRY
AND FISHERIES LABOR SHALL BE LESS THAN 15%

On March 12, 2020, the Government issues the Resolution No. 30/NQ-CP, promulgating the Government’s Action Program for implementation of the Political Bureau’s Resolution No. 39-NQ/TW of January 15, 2019, on raising the efficiency of management, exploitation, use and promotion of resources of the economy.

Specifically, the Program sets a goal that, by 2025, the ratio of agricultural, forestry and fisheries labor shall account for below 33% of the total national workforce.

Strive to 2045, the ratio of agricultural, forestry and fisheries labor shall represent less than 15% of the total national workforce. The HDI shall be high in the world (of 0.800 or greater).

 

To achieve the above goals, the Government requests the Ministry of Labor, War Invalids and Social Affairs to step up training to meet requirements of the Fourth Industrial Revolution.

Concurrently, ministries, branches and People’s Committees of provinces and centrally run cities shall step up the delegation of autonomy and self-accountability to public non-business units and organizations in the management and employment of human resources. In addition, to ensure that at least 1% of the total budget expenditure shall be allocated for non-business activities of environmental protection, etc.

This Resolution takes effect on the signing date.

 

 

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