New legal documents come into effect as from September 2016
08:45 09/09/2016
There are a range of legal documents issued by the National Assembly, the Standing Committee of the National Assembly, the Government, ministries and ministerial level agencies taking effect as from September 2016, as follows:
1. The Law on the Export and Import Tax (amended) has been passed by the National Assembly and shall take effect from 1 September 2016.
This amendment includes new tax regulations. Preferential tax rates are separated into preferential tax rates, special tax rates and ordinary tax rates. At the same time, to comply with the tax reduction commitments in the framework of export taxes under several Free Trade Agreements (FTAs), such as TPP and Vietnam- EU Trade Agreement, the amendment also stipulates: "Goods exported to countries, groups of countries or territories with preferential tax agreement in trade relations with Vietnam comply with these agreements." Thus, the provisions of the Tax Law (as amended) is sorted clearly in line with the trend of the international integration and the commitments relating to export duty to create conditions for the implementation of tariff commitments in which Vietnam is participating.
The Import and Export Tax Law (amended) adds provisions on the tax rates applied to goods imported from non-tariff zones into the domestic market on the principle of goods to meet the conditions of origin shall apply tariffs interest corresponding to that origin.
Article 12 of the Law on Export and Import Tax regulated that the National Assembly Standing Committee promulgated the Export Tariff according to the list of taxable commodity groups and the duty rate bracket for each commodity group, preferential import tariff groups by category taxable goods and preferential tax bracket for each commodity group, including minimum and maximum levels.
2. The Ordinance on Market Management passed on 3 March 2016 by the Standing Committee of the National Assembly took effect as from 1 September 2016.
This Ordinance prescribes the standing, organization, examination activities and specialist inspection activities of market management units, the regulations on cooperation and responsibilities of authorities and entities concerned, and the maintenance of market management units’ activities, benefits and policies.
Accordingly, market management units shall be the Government's force specialized in precluding, combating and handling the trading of contraband, production and sale of counterfeit goods, prohibited merchandise, and commodities of unknown origin, infringement of intellectual property, commercial frauds and breach of laws on quality, measurement, food safety and protection of customers' rights.
Scope of examination of market management units is prescribed as follows: (i) the legal compliance of entities trading goods and commercial services in the market shall be examined. Market management officers, when inspecting goods and detecting infractions, shall be entitled to examine production facilities and implement actions as per the laws on settlement of administrative infractions; (ii) production facilities operating in sectors under the management of the Ministry of Industry and Trade shall be examined, and (iii) other entities' adherence to laws shall be examined according to the Government's authorization of market surveillance officers' examination and actions against administrative infractions.
3. Decree No. 115/2016/NĐ-CP dated 8 July 2016 of the Government will take effect as from 15 September 2016.
According to the Decree, individuals and organizations will be fined VND 10-15 million for not having a plan or measures in place to prevent and respond to chemical-related incidents during the production, trading, use or storage of hazardous chemicals.
The same fine will also be imposed on those who do not comply with conditions for producing and trading chemicals, insecticides and antiseptic products used at home and in medical establishments.
4. Decree No. 116/2016/ND-CP dated 18 July 2016 of the Government on supporting poor pupils and schools in communes and villages ridden by extreme difficulties.
According to the Decree, a pupil of elementary or junior high school in extremely impoverished regions will be provided with 15 kilos of rice per month for no more than nine months per year.
5. Decree No. 117/2016/ND-CP dated 21 July 2016 of the Government amending and supplementing some articles of Decree No. 204/2004/ND-CP dated 14/12/2004 of the Government on the salary regime for officials and public servants shall take effect from September 15, 2016.
Accordingly, the Decree added to the notes of the application object payrolls professional services for officials and employees in the business units of the State (Table 3), issued together with Decree No. 204/2004/ND-CP.
Specifically, for officials in positions are salaried senior lecturer appointed professor title shall be made wage ratings as follows: Where no final grade ratings of senior faculty positions are classified 1 adjacent to level on the date of appointment of professors, time for the next wage from the date of holding the former wage; the case was classified last grade of senior lecturer titles shall be added 3 years (36 months) for calculating allowances seniority after signing decision appointment of professors.
Where are allowances leadership positions with higher difference between the system of allowances has enjoyed leadership versus allowance coefficient leading positions in the above provisions shall continue to receive consular allowances religion has been enjoying for the rest of the time served has been appointed. Where had served under the term was appointed less than 6 months, they are entitled to reserve the position allowance has been awarded full 6 months.
6. Decree No. 118/2016/ND-CP dated 22 July 2016 of the Government which adjusts or supplements some articles of Decree No. 56/2008/ND-CP on the organization and operation of tissue banks and the National Coordination Centre for Human Organ Transplantation, necessary conditions for ensuring the operation of the tissue bank, including projected personnel, payroll, operating fund, working office, professional equipment and facilities and other necessary equipment of the tissue bank are also stated in the Decree.
Tissue banks have the legal status, functions, tasks and personnel as regulated in Article 35 of the Law on Donation, Removal and Transplantation of Human Tissues and Organs and Donation and Recovery of Cadavers.
7. Decision No. 32/2016/QD-TTg dated 8 August 2016 of the Prime Minister promulgating the policy on provision of legal aid for the poor and ethnic minority people in poor districts and communes and particularly difficulty-hit hamlets and villages during 2016-2020 and support for those engaged in complicated or typical cases will take effect as from 22 September 2016.
8. Circular 04/2016/TT-BNG dated 30 June 2016 of the Ministry of Foreign Affairs took effect as from 1 September 2016.
Accordingly, foreigners holding NG3 visas are eligible to apply for temporary residence cards with validation periods of up to five years. The validation period should expire at least 30 days prior to the expiration of their passport. NG3 visa holders are members of diplomatic missions, consular offices, representative offices of intergovernmental bodies, their spouses and children under 18, and their domestic helpers.
Holders of NG1, NG2 and NG4 visas who want to extend their stay permits should ask the bodies or organizations that sponsored them to enter Viet Nam to submit applications for extending their temporary residence cards. The extension period is for a maximum of 12 months and must also expire at least 30 days prior to the expiration of their passport.
9. Circular 128/2016/TT-BTC dated 9 August 2016 of the Minister of Finance on export tariff exemption for environmentally-friendly products shall take effect on 23 September 2016.
Under the Circular, products that are in the export tax tables of Decree No. 19/2015/ND-CP issued on 14 February 2015, and have Viet Nam's green label certificate, will join the export tax exemption. Meanwhile, export tax on products from recycling and waste treatment activities located in the export tax table of Decree No. 19 will be cut by half.
10. Circular No. 23/2016/TT-BLDTBXH dated 15 July 2016 of the Labor-War Invalids and Social Affairs guiding the adjustment of pensions, social insurance allowances and monthly allowances according to the Decree No. 55/2016/ND-CP dated 15 June 2016 of the Government took effect as from 1 September 2016.
In accordance with the regulations in this Circular, to increase by 8% of pensions, monthly allowances for subjects for officers receiving allowances from 1 January 2015 to before 1 May 2016. Therefore, new pensions, monthly allowances equal current pensions, monthly allowances multiplied by 1.08. Nursery teachers working in nursery schools before 1 January 2016 whose pensions are lower than base wage rate. Nursery teachers that work in nursery schools before 1 January 2015 and enjoy pension before 1 January 2016 or start enjoying pensions from 1 January 2016 to 31 December 2016, if pension rate after adjustment is lower than 1,150,000 VND, it shall be adjusted to 1,150,000 VND for the period from 1 January 2016 to 30 April 2016. If it is lower than 1,210,000 VND/month, it shall be adjusted to 1,210,000 VND/month for the period from 1 May 2016.
11. Circular No. 10/2016/TT-BKHDT dated 22 July 2016 of the Ministry of Planning and Investment on guidelines for supervision and inspection of bidding.
This Circular provides for competence to, procedures for inspection of bidding, regular and irregular inspections of bidding and training in bidding.
Accordingly, the agencies that are competent to conduct the inspections of bidding are the Services of Planning and Investment and agencies that are charged with the inspection affiliated to Ministries, Ministerial-level agencies, Governmental agencies, other agencies of central Government.
Methods of inspection include direct inspection, which is conducted at enterprises’ premises by setting up an inspectorate, and inspection through the request for making report.
This Circular shall take effect from 9 September 2016 and replaces Circular No. 01/2011/TT-BKHDT dated 4 January 2011.
12. Beside the documents mentioned as above, other legal normative documents also come into effect as from September 2016, including:
- Circular No. 17/2016/TT-BXD dated 30 June 2016 of the Ministry of Construction providing for instructions capacity organizations individuals involved construction activities took effect as from 1 September 2016;
- Circular No. 121/2016/TT-BTC dated 19 July 2016 of the Ministry of Finance on the amount, collection, payment, management and spending of road toll(s) obtained by the toll booth at Km2123+250 on National route 1 in Soc Trang province took effect as from 3 September 2016;
- Circular No. 122/2016/TT-BTC dated 19 July 2016 of the Ministry of Finance on the amount, collection, payment, management and spending of road toll(s) obtained by the toll booth at Km2171+200 on National route 1 in Bac Lieu province took effect as from 3 September 2016;
- Circular No. 123/2016/TT-BTC dated 19 July 2016 of the Ministry of Finance on the amount, collection, payment, management and spending of road toll(s) obtained by the toll booth at Yen Lenh Bridge on National route 38 took effect as from 3 September 2016;
- Circular No. 18/2016/TT-BTNMT dated 25 July 2016 of the Ministry of Natural Resources and Environment detailing dossiers of island resources and guiding the formulation and management of dossiers of island resources shall take effect as from 9 September 2016;
- Circular No. 28/2016/TT-BNNPTNT dated 27 June 2016 of the Ministry of Agriculture and Rural Development promulgating the additional list of plant varieties permitted for production and trading in Vietnam shall take effect as from 10 September 2016;
- Circular No. 124/2016/TT-BTC dated 3 August 2016 of the Ministry of Finance guiding management of proceeds from lease, lease-purchase and sale of state-owned dwellings; payment of monetary differences in renting public housing and management of proceeds from lease of public housing under the Government’s Decree No. 99/2015/ND-CP dated 20 October 2015, specifying and guiding implementation of several articles of the Law on Housing shall take effect from 19 September 2016;
- Circular No. 14/2016/TT-BCT dated 5 August 2016 of the Ministry of Industry and Trade amending and supplementing the Ministry of Industry and Trade’s Circular No. 36/2010/TT-BCT of November 15, 2010, on implementation of the rules and procedures for grant and verification of modified certificates of origin and the specific rules for commodities according to the 2007-version Harmonized System under the Trade in Goods Agreement within the Framework Agreement on Comprehensive Economic Cooperation between the Association of Southeast Asian Nations and the People’s Republic of China will take effect as from 20 September 2016;
- Circular No. 06/2016/TT-BKHDT dated 28 June 2016 of the Ministry of Planning and Investment guiding Decree 15/2015/ND-CP investment form of public private partnerships (PPP) shall take effect as from 20 September 2016;
- Decision No. 03/2016/QD-KTNN dated 28 July 2016 of the State Audit Office of Vietnam promulgating the Regulation on settlement of complaints of audited units shall take effect as from 11 September 2016;
- Decision No. 02/2016/QD-KTNN dated 15 July 2016 of the State Audit Office of Vietnam promulgating the system of state auditing standards shall take effect as from 15 September 2016./.
This amendment includes new tax regulations. Preferential tax rates are separated into preferential tax rates, special tax rates and ordinary tax rates. At the same time, to comply with the tax reduction commitments in the framework of export taxes under several Free Trade Agreements (FTAs), such as TPP and Vietnam- EU Trade Agreement, the amendment also stipulates: "Goods exported to countries, groups of countries or territories with preferential tax agreement in trade relations with Vietnam comply with these agreements." Thus, the provisions of the Tax Law (as amended) is sorted clearly in line with the trend of the international integration and the commitments relating to export duty to create conditions for the implementation of tariff commitments in which Vietnam is participating.
The Import and Export Tax Law (amended) adds provisions on the tax rates applied to goods imported from non-tariff zones into the domestic market on the principle of goods to meet the conditions of origin shall apply tariffs interest corresponding to that origin.
Article 12 of the Law on Export and Import Tax regulated that the National Assembly Standing Committee promulgated the Export Tariff according to the list of taxable commodity groups and the duty rate bracket for each commodity group, preferential import tariff groups by category taxable goods and preferential tax bracket for each commodity group, including minimum and maximum levels.
2. The Ordinance on Market Management passed on 3 March 2016 by the Standing Committee of the National Assembly took effect as from 1 September 2016.
This Ordinance prescribes the standing, organization, examination activities and specialist inspection activities of market management units, the regulations on cooperation and responsibilities of authorities and entities concerned, and the maintenance of market management units’ activities, benefits and policies.
Accordingly, market management units shall be the Government's force specialized in precluding, combating and handling the trading of contraband, production and sale of counterfeit goods, prohibited merchandise, and commodities of unknown origin, infringement of intellectual property, commercial frauds and breach of laws on quality, measurement, food safety and protection of customers' rights.
Scope of examination of market management units is prescribed as follows: (i) the legal compliance of entities trading goods and commercial services in the market shall be examined. Market management officers, when inspecting goods and detecting infractions, shall be entitled to examine production facilities and implement actions as per the laws on settlement of administrative infractions; (ii) production facilities operating in sectors under the management of the Ministry of Industry and Trade shall be examined, and (iii) other entities' adherence to laws shall be examined according to the Government's authorization of market surveillance officers' examination and actions against administrative infractions.
3. Decree No. 115/2016/NĐ-CP dated 8 July 2016 of the Government will take effect as from 15 September 2016.
According to the Decree, individuals and organizations will be fined VND 10-15 million for not having a plan or measures in place to prevent and respond to chemical-related incidents during the production, trading, use or storage of hazardous chemicals.
The same fine will also be imposed on those who do not comply with conditions for producing and trading chemicals, insecticides and antiseptic products used at home and in medical establishments.
4. Decree No. 116/2016/ND-CP dated 18 July 2016 of the Government on supporting poor pupils and schools in communes and villages ridden by extreme difficulties.
According to the Decree, a pupil of elementary or junior high school in extremely impoverished regions will be provided with 15 kilos of rice per month for no more than nine months per year.
5. Decree No. 117/2016/ND-CP dated 21 July 2016 of the Government amending and supplementing some articles of Decree No. 204/2004/ND-CP dated 14/12/2004 of the Government on the salary regime for officials and public servants shall take effect from September 15, 2016.
Accordingly, the Decree added to the notes of the application object payrolls professional services for officials and employees in the business units of the State (Table 3), issued together with Decree No. 204/2004/ND-CP.
Specifically, for officials in positions are salaried senior lecturer appointed professor title shall be made wage ratings as follows: Where no final grade ratings of senior faculty positions are classified 1 adjacent to level on the date of appointment of professors, time for the next wage from the date of holding the former wage; the case was classified last grade of senior lecturer titles shall be added 3 years (36 months) for calculating allowances seniority after signing decision appointment of professors.
Where are allowances leadership positions with higher difference between the system of allowances has enjoyed leadership versus allowance coefficient leading positions in the above provisions shall continue to receive consular allowances religion has been enjoying for the rest of the time served has been appointed. Where had served under the term was appointed less than 6 months, they are entitled to reserve the position allowance has been awarded full 6 months.
6. Decree No. 118/2016/ND-CP dated 22 July 2016 of the Government which adjusts or supplements some articles of Decree No. 56/2008/ND-CP on the organization and operation of tissue banks and the National Coordination Centre for Human Organ Transplantation, necessary conditions for ensuring the operation of the tissue bank, including projected personnel, payroll, operating fund, working office, professional equipment and facilities and other necessary equipment of the tissue bank are also stated in the Decree.
Tissue banks have the legal status, functions, tasks and personnel as regulated in Article 35 of the Law on Donation, Removal and Transplantation of Human Tissues and Organs and Donation and Recovery of Cadavers.
7. Decision No. 32/2016/QD-TTg dated 8 August 2016 of the Prime Minister promulgating the policy on provision of legal aid for the poor and ethnic minority people in poor districts and communes and particularly difficulty-hit hamlets and villages during 2016-2020 and support for those engaged in complicated or typical cases will take effect as from 22 September 2016.
8. Circular 04/2016/TT-BNG dated 30 June 2016 of the Ministry of Foreign Affairs took effect as from 1 September 2016.
Accordingly, foreigners holding NG3 visas are eligible to apply for temporary residence cards with validation periods of up to five years. The validation period should expire at least 30 days prior to the expiration of their passport. NG3 visa holders are members of diplomatic missions, consular offices, representative offices of intergovernmental bodies, their spouses and children under 18, and their domestic helpers.
Holders of NG1, NG2 and NG4 visas who want to extend their stay permits should ask the bodies or organizations that sponsored them to enter Viet Nam to submit applications for extending their temporary residence cards. The extension period is for a maximum of 12 months and must also expire at least 30 days prior to the expiration of their passport.
9. Circular 128/2016/TT-BTC dated 9 August 2016 of the Minister of Finance on export tariff exemption for environmentally-friendly products shall take effect on 23 September 2016.
Under the Circular, products that are in the export tax tables of Decree No. 19/2015/ND-CP issued on 14 February 2015, and have Viet Nam's green label certificate, will join the export tax exemption. Meanwhile, export tax on products from recycling and waste treatment activities located in the export tax table of Decree No. 19 will be cut by half.
10. Circular No. 23/2016/TT-BLDTBXH dated 15 July 2016 of the Labor-War Invalids and Social Affairs guiding the adjustment of pensions, social insurance allowances and monthly allowances according to the Decree No. 55/2016/ND-CP dated 15 June 2016 of the Government took effect as from 1 September 2016.
In accordance with the regulations in this Circular, to increase by 8% of pensions, monthly allowances for subjects for officers receiving allowances from 1 January 2015 to before 1 May 2016. Therefore, new pensions, monthly allowances equal current pensions, monthly allowances multiplied by 1.08. Nursery teachers working in nursery schools before 1 January 2016 whose pensions are lower than base wage rate. Nursery teachers that work in nursery schools before 1 January 2015 and enjoy pension before 1 January 2016 or start enjoying pensions from 1 January 2016 to 31 December 2016, if pension rate after adjustment is lower than 1,150,000 VND, it shall be adjusted to 1,150,000 VND for the period from 1 January 2016 to 30 April 2016. If it is lower than 1,210,000 VND/month, it shall be adjusted to 1,210,000 VND/month for the period from 1 May 2016.
11. Circular No. 10/2016/TT-BKHDT dated 22 July 2016 of the Ministry of Planning and Investment on guidelines for supervision and inspection of bidding.
This Circular provides for competence to, procedures for inspection of bidding, regular and irregular inspections of bidding and training in bidding.
Accordingly, the agencies that are competent to conduct the inspections of bidding are the Services of Planning and Investment and agencies that are charged with the inspection affiliated to Ministries, Ministerial-level agencies, Governmental agencies, other agencies of central Government.
Methods of inspection include direct inspection, which is conducted at enterprises’ premises by setting up an inspectorate, and inspection through the request for making report.
This Circular shall take effect from 9 September 2016 and replaces Circular No. 01/2011/TT-BKHDT dated 4 January 2011.
12. Beside the documents mentioned as above, other legal normative documents also come into effect as from September 2016, including:
- Circular No. 17/2016/TT-BXD dated 30 June 2016 of the Ministry of Construction providing for instructions capacity organizations individuals involved construction activities took effect as from 1 September 2016;
- Circular No. 121/2016/TT-BTC dated 19 July 2016 of the Ministry of Finance on the amount, collection, payment, management and spending of road toll(s) obtained by the toll booth at Km2123+250 on National route 1 in Soc Trang province took effect as from 3 September 2016;
- Circular No. 122/2016/TT-BTC dated 19 July 2016 of the Ministry of Finance on the amount, collection, payment, management and spending of road toll(s) obtained by the toll booth at Km2171+200 on National route 1 in Bac Lieu province took effect as from 3 September 2016;
- Circular No. 123/2016/TT-BTC dated 19 July 2016 of the Ministry of Finance on the amount, collection, payment, management and spending of road toll(s) obtained by the toll booth at Yen Lenh Bridge on National route 38 took effect as from 3 September 2016;
- Circular No. 18/2016/TT-BTNMT dated 25 July 2016 of the Ministry of Natural Resources and Environment detailing dossiers of island resources and guiding the formulation and management of dossiers of island resources shall take effect as from 9 September 2016;
- Circular No. 28/2016/TT-BNNPTNT dated 27 June 2016 of the Ministry of Agriculture and Rural Development promulgating the additional list of plant varieties permitted for production and trading in Vietnam shall take effect as from 10 September 2016;
- Circular No. 124/2016/TT-BTC dated 3 August 2016 of the Ministry of Finance guiding management of proceeds from lease, lease-purchase and sale of state-owned dwellings; payment of monetary differences in renting public housing and management of proceeds from lease of public housing under the Government’s Decree No. 99/2015/ND-CP dated 20 October 2015, specifying and guiding implementation of several articles of the Law on Housing shall take effect from 19 September 2016;
- Circular No. 14/2016/TT-BCT dated 5 August 2016 of the Ministry of Industry and Trade amending and supplementing the Ministry of Industry and Trade’s Circular No. 36/2010/TT-BCT of November 15, 2010, on implementation of the rules and procedures for grant and verification of modified certificates of origin and the specific rules for commodities according to the 2007-version Harmonized System under the Trade in Goods Agreement within the Framework Agreement on Comprehensive Economic Cooperation between the Association of Southeast Asian Nations and the People’s Republic of China will take effect as from 20 September 2016;
- Circular No. 06/2016/TT-BKHDT dated 28 June 2016 of the Ministry of Planning and Investment guiding Decree 15/2015/ND-CP investment form of public private partnerships (PPP) shall take effect as from 20 September 2016;
- Decision No. 03/2016/QD-KTNN dated 28 July 2016 of the State Audit Office of Vietnam promulgating the Regulation on settlement of complaints of audited units shall take effect as from 11 September 2016;
- Decision No. 02/2016/QD-KTNN dated 15 July 2016 of the State Audit Office of Vietnam promulgating the system of state auditing standards shall take effect as from 15 September 2016./.