Decree 128/2024/ND-CP amend Decree 81/2018/ND-CP detailing the Commercial Law on trade promotion

DECREE

Amending and supplementing a number of articles of the Government’s Decree No. 81/2018/ND-CP dated May 22, 2018, detailing the Commercial Law’s provisions on trade promotion

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Pursuant to the Law on Organization of the Government dated June 19, 2015; the Law Amending and Supplementing a Number of Articles of the Law on Organization of the Government and the Law on Organization of Local Administration dated November 22, 2019;

Pursuant to the Commercial Law dated June 14, 2005;

At the proposal of the Minister of Industry and Trade;

The Government hereby promulgates the Decree amending and supplementing a number of articles of the Government’s Decree No. 81/2018/ND-CP dated May 22, 2018, detailing the Commercial Law’s provisions on trade promotion.

Article 1. Amending and supplementing a number of articles of the Government’s Decree No. 81/2018/ND-CP dated May 22, 2018, detailing the Commercial Law’s provisions on trade promotion

1. To amend Clause 1, Clause 2, Clause 4 and Point a Clause 5 Article 6 as follows:

a) To amend Clause 1 as follows:

“1. The promotional material value of a unit of promoted goods or service must not exceed 50% of the price of such promoted unit immediately before the promotion time, except sales promotion in the forms prescribed in Clause 8 and Clause 9 Article 92 of the Commercial Law, Article 8, Clause 2 Article 9, and Articles 12, 13 and 14, of this Decree.”.

b) To amend Clause 2 as follows:

“2. The total value of promotional goods or services under a sales promotion program offered by traders must not exceed 50% of the total value of promoted goods or services, except sales promotion in the forms prescribed in Clause 8 and Clause 9 Article 92 of the Commercial Law, and Article 8, and Clause 2 of Article 9, of this Decree.”.

c) To amend Clause 4 as follows:

“4. For time-limited sales promotion programs, the limit is 100% of the value of the promotional goods or services.  Such limit shall also be applied to sales promotion activities within sales promotion programs or activities decided by the Prime Minister.”.

d) To amend Point a Clause 5 as follows:

“a) Time-limited sales promotion programs organized and implemented under decisions issued by (central and provincial) State agencies for the purpose of implementing targeted economic development policies of the country or localities. The State shall adopt incentive policies for time-limited sales promotion programs. All traders are entitled to participate in these programs;”.

2. To amend Clause 2 Article 7 as follows:

“2. For time-limited promotion programs prescribed in Clause 5 of Article 6, the maximum discount rate is 100%.  This rate shall also be applied to sales promotion activities within sales promotion programs or activities decided by the Prime Minister.”.

3. To amend Clause 1, Clause 2 and Point d Clause 3 Article 17 as follows:

a) To amend Clause 1 as follows:

“1. Traders shall carry out the administrative procedure of notifying sales promotion to all provincial-level Departments of Industry and Trade of the places where they intend to implement the sales promotion program before implementing the program in the forms prescribed in Articles 12 and 14 of this Decree, except for the cases specified at Points b and c Clause 2 of this Article. The notification dossier shall be sent to the provincial-level Departments of Industry and Trade at least 3 working days before the sales promotion program is implemented (according to the receipt date written on the delivery note or a form of equivalent validity if the dossier is sent by post, according to the date written on the dossier receipt if the dossier is submitted directly, or according to the date recorded in the system if the dossier is sent via the public online service system).”.

b) To amend Clause 2 as follows:

“2. Traders that are not required to carry out the administrative procedure of notifying sales promotion if:

a) Conducting sales promotion in the forms prescribed in Clause 8 Article 92 of the Commercial Law and in Articles 8, 9, 10, and 11 of this Decree;

b) Conducting sales promotion in the forms prescribed in Articles 12 and 14 of this Decree, of which the total prizes or gifts are valued at under VND 100 million;

c) Only conducting sales promotion programs in the forms specified in Articles 12 and 14 of this Decree for goods and services sold or provided via e-commerce floors, e-commerce floor applications, promotional websites or online promotional applications.”.

c) To amend Point d Clause 3 as follows:

“d) Submitting one notification dossier via the National Public Service Portal or provincial information system for handling administrative procedures.”.

4. To amend Point d Clause 2 Article 18 as follows:

“d) Submitting one notification dossier via the National Public Service Portal or provincial information system for handling administrative procedures.”.

5. To amend Point c Clause 3 Article 19 as follows:

“c) Submitting one registration dossier via the information system for handling administrative procedures of the Ministry of Industry and Trade (in case of conducting sales promotion in two provinces or centrally run cities or more), or the provincial information system for handling administrative procedures (in case of conducting sales promotions within one province or centrally run city).”.

6. To amend Clause 1 and Point c Clause 2 Article 20 as follows:

a) To amend Clause 1 as follows:

“1. For changes in a registered sales promotion program, a trader shall carry out the administrative procedure for registering the changes with the competent state management agency at which it has registered the program before effecting such changes. A dossier for registration of changes must include a document made according to Form No. 06a in the Appendix to this Decree.”.

b) To amend Point c Clause 2 as follows:

“c) Submitting one registration dossier via the information system for handling administrative procedures of the Ministry of Industry and Trade (in case of conducting sales promotion in two provinces or centrally run cities or more), or the provincial information system for handling administrative procedures (in case of conducting sales promotions within one province or centrally run city).”.

7. To amend Clauses 1 and 2 Article 21 as follows:

a) To amend Clause 1 as follows:

“1. For sales promotion programs implemented in the forms prescribed in Articles 12 and 13 of this Decree and other forms prescribed in Clause 9 Article 92 of the Commercial Law, the time limit for announcing prize-winning results and awarding of prizes of a sales promotion program is 45 days from the date the sales promotion program ends, except for force majeure cases as prescribed by law.”.

b) To amend Clause 2 as follows:

“2. Reporting on implementation results of a sales promotion program:

a) Within 45 days from the expiration date of the prize-awarding period of the sales promotion program implemented in the form prescribed in Article 13 of this Decree or other forms prescribed in Clause 9 Article 92 of the Commercial Law, the trader implementing the program shall send a written report on the implementation results of the sales promotion program according to Form No. 07 in the Appendix to this Decree to competent state management agencies (which have received and certified the trader’s registration).  For the case in which 50% of the value of the prize without the winner is remitted into the state budget, within 7 working days after receiving the trader's report, the state management agency shall issue a decision to collect 50% of the announced value of such prize of the sales promotion program according to Form No. 08 in the Appendix to this Decree. Within 45 days after receiving such decision from the state management agency, the trader shall remit 50% of the announced value of the prize without the winner into the state budget as decided. The trader shall retain and take responsibility for documents related to the report on the sales promotion results, and sales program implementation in accordance with law for serving investigation, inspection and supervision work;

b) Traders conducting sales promotion in the forms prescribed in Clause 8 Article 92 of the Commercial Law, and Articles 8, 9, 10, 11, 12 and 14 of this Decree are not required to make a report on sales promotion results.”.

8. To amend and supplement Point c Clause 1 and Point d Clause 4 of Article 32 as follows:

a) To amend Point c Clause 1 as follows:

“c) Coordinating with the State Treasury of the place where the collected amount is collected, to compare the money amounts to be collected under decisions and the amounts remitted into the state budget which are equal to 50% of the announced value of the prizes without winners under sales promotion programs;”.

b) To amend Point d Clause 4 as follows:

“d) Provincial-level Departments of Industry and Trade shall assist their provincial-level People’s Committees in performing the management tasks prescribed at Points a, b and c of this Clause and report thereon to their provincial-level People’s Committees and the Ministry of Industry and Trade before December 20 every year according to Form No. 15 in the Appendix to this Decree;”.

Article 2. Supplementing, replacing and annulling a number of articles of the Government’s Decree No. 81/2018/ND-CP dated May 22, 2018, detailing the Commercial Law’s provisions on trade promotion

1. To replace phrases in some articles, clauses and points as follows:

a) To replace the phrase “by post” with the phrase “by postal service” at Point a Clause 3 Article 17, Point a Clause 2 Article 18, Point a Clause 3 and Clause 6 Article 19, Point a Clause 2 and Clause 3 Article 20, Point a Clause 3 and Clause 4 Article 29, and Point a Clause 2 Article 30;

b) To replace the phrase “delivery note” with the “postal service delivery note” in Clause 6 Article 19, Clause 3 Article 20 and Clause 4 Article 29.

2. To add and replace a number of forms in the Appendix as follows:

a) To add Form No. 06a - “Registration of changes in sales promotion programs” after Form No. 06;

b) To add Form No. 15 - “Report on state management of trade promotion”;

c) To replace Forms No. 01, 02, 03, 06, 07, 08, 10, 13 and 14.

3. To annul Point c Clause 3 Article 17, Point c Clause 2 Article 18, Point d Clause 4 Article 19, Point b Clause 5 Article 29, Clause 2 Article 32 and Form No. 09.

Article 3. Implementation provisions

1. This Decree takes effect from December 1, 2024.

2. Dossiers for carrying out administrative procedures submitted before the effective date of this Decree shall continue to comply with the order and procedures specified in the Government’s Decree No. 81/2018/ND-CP dated May 22, 2018. Dossiers for carrying out administrative procedures submitted from the effective date of this Decree shall be implemented in accordance with the order and procedures specified in this Decree.

3. Ministers, Heads of ministerial-level agencies, Heads of Government-attached agencies, chairpersons of People’s Committees of provinces and centrally run cities, and related agencies, organizations and individuals shall implement this Decree./.

* All Appendices are not translated herein.