Prominent regulations in force as of August 01, 2016

1. New guideline for import duty incentive

Ministry of Finance promulgated the Circular No. 83/2016/TT-BTC on guidelines for provision of tax incentives as defined in the Investment Law and the Decree No. 118/2015/ND-CP .

Investment projects under particular sectors eligible for investment incentives as defined in Part A of Appendix I or investment projects in regions facing extreme socioeconomic hardship as defined in Appendix II of the Decree No. 118/2015/ND-CP shall be entitled to import duty incentives, as follows:

- Import duty exemption on goods imported for establishment of fixed assets as per Clause 6 and Clause 8, Article 12 of the Decree No. 87/2010/ND-CP .

- Import duty exemption on ingredients, materials and components not domestically manufacturable and imported for investment projects’ manufacturing activities (except manufacturing projects ineligible for incentives at the discretion of the Prime Minister) in a period of 05 (five) years from the start of manufacturing activities.

Moreover, the Circular No. 83/2016/TT-BTC provides guidelines for incentives of corporate income tax and non-agricultural land use tax.

2. Lower fine for the loss of invoices

Decree No. 49/2016/ND-CP regulates lower fines for the loss of invoices than those defined in the current Decree No. 109/2013/ND-CP (from VND 10,000,000 to VND 20,000,000) As follows:

A fine of VND 4,000,000 to VND 8,000,000 is charged for the loss of invoices:

+ Printed but not yet issued;

+ Issued but not yet delivered to customers;

+ Issued according to the list of retail sale of goods and services.

(No fine is charged for the loss of invoices due to natural disasters, fire, unexpected incidents and force majeure).

Moreover, the Decree amends certain details of penalties for administrative violations regarding pricing and fee.

3. Temporary detention of documents as a guarantee for payment of penalties for administrative violations

Ministry of Transport promulgated the Circular No. 12/2016/TT-BGTVT on guidelines for the implementation of the Decree No. 132/2015/ND-CP on penalties for administration violations regarding inland water transport.

If an entity committing administrative violation(s) incurs solely (a) fine(s), individuals competent to impose such penalty shall be entitled to detain only the original of one of the following papers in the following order until that entity’s fulfillment of the penalty:

- Degree in or certificate of professional qualification of the captain, certificate of steering;

- Certificate of registration of the vessel or valid certificate by a credit institution if the vessel is on mortgage;

- Certificate of technical safety and environmental protection of the vessel;

- Degree in or certificate of professional qualification of the head mechanician;

- Documents in relation to the exhibits and other vessels.

4. More occupations bound by strict requirements for occupational safety and hygiene

On June 16, 2016, the Ministry of Labor - Invalids and Social affairs promulgated the list of 17 occupations bound by strict requirements for occupational safety and hygiene under the Circular No. 13/2016/TT-BLDTBXH .

Additional occupations bound by strict requirements for occupational safety and hygiene include:

- Working at height over 2 meters above the ground;

- Manufacturing, using, operating, maintaining and repairing of buildings, equipment, chemicals and solutions for the extraction of minerals, petroleum and petroleum products at sea and on land;

- Working in contact with ionizing radiation.

- Working in contact with electromagnetic currents at high frequency bands from 30 to 300 GHz.