Urgently issuing new document on charges and fees prior to November 1

This requirement aims at implementing the Directive no. 14/CT-TTG by the Prime Minister on providing enforcement of the Law on charges and fees.

Photo illustration. Source: internet

In this dispatch, The Minister of Finance has repeated that, all the current legal documents on charges and fees will become invalid after January 1, 2017. In order to implement the current law properly, all the legal documents on charges and fees must be issued by November 1, 2016.

Therefore, the Ministry of Finance proposes all ministries to urgently review and propose a scheme for collecting charges and fees; at the same time cooperate with the Ministry of Finance to review, evaluate, consult others for advice, and complete the required procedure; submit for signing and launching relevant documents on charges and fees regarding the provisions specified in the Law on charges and fees before November 1, 2016.

In addition, the localities have to urgently direct the specialized organizations to give recommendation and submit documents to the provincial People’s Committee for further submitting to People’s Council at the same level. Thereby regulations on charges and fees under its jurisdiction can be issued before the deadline mentioned above.

Especially, the Ministry of Finance has emphasized that, based on the current regulations, from January 1, 2017, the total charges and fees collected for services invested by the State are revenues belonging to the State budget. Where collecting organizations are provided with the State budget funding for their operating activities, that amount will be credited and they must remit all remaining funds into the State budget; all the revenue from charges must be remitted to the State budget as well.

The expenses spend on collecting charges and fees will be covered by State budget as clarified in the expenditure estimate under the regime of its own, and under the estimated State budget expenditure by the Law.

Some regulations on retaining part of the collected fees and charges that are not compatible with the Law on charges and fees any more must be amended or replaced. Where charges and fees are collected by the organization, the total amount must be remitted into the State budget according to the provisions of Law on charges and fees. The collecting organization must base on the estimate of annually collected charges and fees to develop an estimate of necessary expenses for collecting charges and fees; thereby to combine with the estimates for 2017 of the ministries, branches and localities (within July – August 2016) then finally submit for the approval by the competent authorities. It would be done greatly to avoid amending the estimate after its being approved, which is much more complicated due to the lack of timely expense for the activities of the charges and fees collecting organizations.

From January 1, 2017 onward, charges clarified on the List of charges and fees that is issued together with the ordinance on charges and fees will be converted to a new service rate quoted by the State. These charges and fees will be collected under the promulgation of the legislation on prices instead of the law on charges.