Legal Document Updates in English (38/2013)

PILOT APPLICATION OF 20% FOR ENTERPRISE INCOME TAX RATE TOWARDS MICRO-FINANCE ORGANIZATIONS

On September 27, 2013, the Ministry of Finance issued Circular No. 135/2013/TT-BTC on guiding the pilot application of policy on enterprise income tax (EIT) towards micro-finance organizations.
As regulated in this Circular, from November 11, 2013 to December 31, 2015, the pilot application of the EIT rate will be 20% during the operating time for income obtaining from implementation of micro-finance operation, which was licensed for the establishment before January 1, 2014 by the State bank but not eligible to be applied EIT incentive policies for enterprises established newly from investment projects in localities with special difficult economic-social conditions.  From January 01, 2016, the EIT rate specified in this Clause shall be turned into 17%.
The Tinh Thuong one-member limited-liability micro-finance institution alone shall continue implementing the EIT incentive policy guided in Circular No. 116/2012/TT-BTC dated July 18, 2012 by the the Ministry

of Finance until December 31, 2015.

According to this Circular, micro- finance institutions are eligible for EIT exemption for 2 years, reduction of 50% of the payable tax for 4 successive years applicable to income obtaining from implementation of micro-finance operation. Time of tax exemption, tax reduction specified in Clause 2 of this Article is calculated continuously from the first year since micro-finance organizations obtain taxable income from implementation of micro-finance operation. In case, a micro-finance organization has no taxable income for the 3 first years, from the first year of obtaining turnover from implementation of micro-finance operation; time of tax exemption and tax reduction is calculated from the fourth year.

The circular take effect on November 11, 2013.

DIPLOMATIC OFFICERS ARE ELIGIBLE TO TEMPORARILY IMPORT DUTY-FREE AUTOMOBILES

Decision No. 53/2013/QD-TTg of September 13, 2013, on temporary import, re-export, destruction and transfer of automobiles and motorbikes of entities eligible for privileges and immunities in Vietnam.
According to the Decision, those who have worked in a Vietnam-based diplomatic mission, consular office or representative office of an international organization which is eligible for privileges and immunities to temporarily import duty-free one automobile (particularly, the head of a diplomatic mission may temporarily import duty-free two automobiles) and one motorbike, for at least 18 (eighteen) months counting from the date he/she is granted an identity card by the Ministry of Foreign Affairs, and still work in Vietnam for at least 12 (twelve) months (based on the duration of working in Vietnam stated in the identity card granted by the Ministry of Foreign Affairs).
Similarly, a technical administrative officer may temporarily import duty-free one automobile and one motorbike if he/she has worked in a Vietnam-based diplomatic mission, consular office or representative

TO PROMULGATE QUANTITIES OF IMPORTED- EXPORTED DRUGS THROUGH NON- COMMERCIAL CHANNEL

Decision No. 42/2013/QD-TTg of July 15, 2013, providing the management of drugs for human use which are imported and exported through non-commercial channel, and amending and supplementing a number of articles of the Regulation on import of drugs without registration numbers in Vietnam promulgated together with the Prime Minister’s Decision No. 151/2007/QD-TTg of September 12, 2007.
According to the Decision, the quantities of finished addictive drugs being carry-on baggage of persons on entry or exit must not exceed the quantities written in enclosed doctor prescriptions or the dose indicated for 7 days; the quantities of finished psychotropic drugs and pre-substances used for drug production which are imported and exported through non-commercial channel must not exceed the quantities written in the enclosed doctor prescriptions or the dose indicated for 10 days...
Competent state agencies’ import or export licenses are required for non-commercial import or export of

drugs with quantities exceeding the limits specified.

Imported- exported drugs though non- commercial channel includes: Donations and gifts which are given by overseas organizations and individuals to organizations and individuals in Vietnam and vice versa; goods of diplomatic missions and international organizations in Vietnam and employees of these missions and organizations; personal luggage of persons on entry or exit which are consigned with bills of lading and carry-on baggage of persons on entry.

The Decision supersedes Decision No. 71/2002/QĐ-TTg dated June 7, 2012 and take effects from January 1, 2014.

LIST OF MILK PRODUCT FOR CHILDREN UNDER 6 YEARS OLD PERTAINS TO GOODS SUBJECT TO PRICE STABILIZATION

On October 4, 2013, the Ministry of Health issued Circular No. 30/2013/TT-BYT on promulgating the list of milk products for children under 6 years old, which pertain to goods subject to price stabilization.
The list of milk products for children under 6 years old, which pertain to goods subject to price stabilization includes: Nutritional formula products for children aged up to 36 months stipulated at the National Technical Regulations issued by the Ministry of Health; milk and nutrition products containing the animal nutrition in form of milk powder or milk liquid published to use for children under 6 years old but do not comply with the National Technical Regulations.
Price stabilization means the State shall apply suitable measures to regulate supply and demand,

TO FORMULATE CIRCULAR GUIDING ON THE FINDING OF SUBSTITUTE FAMILY FOR DISABLED CHILDREN

This is one of the responsibilities set for Ministries and relevant agencies in the Directive No. 19/CT-TTg dated September 20, 2013 of the Prime Minister on raising awareness of the Law on Adoption and strengthening measures to ensure execution of Hague Convention on Protection of Children and Co-operation in Respect of Inter-country Adoption.
Apart from asking Ministry of Justice to formulate and promulgate Circular guiding on finding substitute family for disabled children, children suffering serious diseases; the model regulation on inter-sector coordination among local agencies in inter- country adoption; to formulate and promulgate the Joint Circular on coordinate regulations in monitoring the development of Vietnamese children who are adopted