Circular No. 01/2000/TT-BTC guides the payment of commission in transactions and export brokerage for direct exporting enterprises or those acting as agents. This circular stipulates the beneficiaries of the commission, the amount of commission based on the economic efficiency of export activities, the authority to decide on the payment of commission, and the accounting method for such expenses.
Scope of application
Direct exporting enterprises or enterprises acting as export agents (referred to as enterprises).
Key points
- Enterprises are permitted to pay commissions to foreigners who have helped sell goods and increase export turnover.
- The amount of commission is based on the economic efficiency of each export contract.
- The regulation on the payment of commission is established and approved by the enterprise, and made public within the enterprise.
- Commission can only be paid for regular exported goods, not for aid goods, barter trade, small-scale exports, or re-exports.
- Commission costs must be reflected in the contract and accounted for as part of the enterprise's cost of goods.
🌐 Social impact of this document
- Positive impact: Encourages enterprises to seek new markets and increase export turnover.
- Negative impact: May lead to waste if the level of commission payments is not strictly managed.
❓ Frequently asked questions
Who is eligible to receive commission?
Foreigners who have assisted enterprises in selling goods and increasing export turnover through finding new customers or new markets.
What is the specific amount of commission?
The amount of commission is determined by the enterprise based on the economic efficiency of each transaction or export brokerage activity.
How is the regulation on the payment of commission structured?
Enterprises establish a regulation on the payment of commission, which is publicly disclosed within the enterprise, including the applicable subjects, contracts, or confirmation documents regarding transaction and export brokerage activities.
Can commission be paid for aid goods?
No, commission can only be paid for regular exported goods, not for aid goods, barter trade, small-scale exports, or re-exports.
How are commission costs accounted for?
Commission costs are accounted for as part of the enterprise's cost of goods and implemented according to current financial transparency regulations.
Full text
CIRCULAR
Guidelines for paying commission in export transactions and brokerage
Implementing Resolution No. 08/1999/NQ-CP dated July 9, 1999 of the Government on solutions to manage and implement tasks for the last six months of 1999; to encourage and promote exports, the Ministry of Finance guides the payment of commissions in export transactions and brokerage as follows: 1. The commission payment system for export transactions and brokerage stipulated in this Circular applies to enterprises directly exporting or exporting on behalf of others (hereinafter referred to as enterprises).
I. GENERAL PROVISIONS
2. Commissions for export transactions and brokerage under this Circular apply to payments made to foreigners who have helped enterprises sell goods, increase export turnover by finding new customers and markets for effective exports (specifically provided in Point 2, Section II of this Circular).
3. Foreigners referred to in this Circular are foreign organizations or individuals acting as brokers for export enterprises, or directly importing goods from enterprises, requesting commission payments. 4. Export transaction commissions shall be paid when enterprises have signed export contracts and exported effectively.
5. The level of commission for export transactions and brokerage is determined based on the economic efficiency of each export contract brought about by such transactions and brokerage activities.
6. Depending on their specific conditions and characteristics, enterprises shall establish a commission payment regulation applicable uniformly and publicly within the enterprise. The basic content of the regulation must reflect the following elements: Scope of application, contracts or confirmation documents regarding export transaction and brokerage activities, principles for concluding and settling contracts... This regulation shall be approved by the Board of Directors or the General Director (for enterprises without a Board of Directors).
7. Based on the approved regulation, the General Director of the enterprise shall decide on the payment of commissions for transaction and brokerage activities according to each specific export contract.
8. Vietnamese individuals or entities engaged in export transaction and brokerage activities shall enjoy brokerage fees as prescribed in Circular No. 01/1998/TT-BTC dated January 3, 1998 guiding the implementation of service fees and brokerage commissions in state-owned enterprises issued by the Ministry of Finance.
1. The recipients of export transaction and brokerage commissions are organizations or individuals who are foreigners engaging in transactions and brokerage to enable enterprises to export goods, bringing about the specified effects as provided in Point 2 of this Section.
6.Organ 2. The payment of export transaction and brokerage commissions does not apply to the following cases:
II. SPECIFIC PROVISIONS
Exported goods provided as aid to other countries;
Exported goods through barter trade, informal trade, re-exported goods.
2. The level of export transaction and brokerage commissions.
Specific levels are decided by enterprises based on agreements with partners and depend on the effectiveness of each transaction and brokerage activity, ensuring principles of thrift, transparency, and accountability.
The effectiveness of export transaction and brokerage activities includes:
Assisting enterprises to export products that are difficult to market (especially those in surplus) by finding new markets and customers.
Assisting enterprises to export goods at higher prices than the prevailing export prices at the same time.
3. Authority to decide on the payment of export transaction and brokerage commissions.
3.1 For goods exported under government agreements, the Minister of Finance decides. 3.2 For commercial goods exported by enterprises: Based on the approved regulations and the economic benefits of each export due to transactions and brokerage, the General Directors of enterprises negotiate with partners and decide on the payment levels.
4. Transaction and brokerage expenses for exports must be reflected in contracts or annexes attached to contracts and must be supported by legal documentation. If, for special reasons, the recipient of transaction and brokerage payments cannot sign the annex or does not agree to be reflected in the contract or annex, the payment documentation must bear the signatures of the enterprise's General Director, Chief Accountant, and Cashier.
5. The person directly transferring money to the recipient of export transaction and brokerage commissions shall be personally responsible to the enterprise and the law. 6. Export transaction and brokerage commissions shall be recorded as part of the enterprise's cost of sales (foreign currency commissions shall be converted into Vietnamese Dong based on the actual average inter-bank foreign exchange buying rate published by the State Bank at the time of commission payment) and implemented according to current financial disclosure regulations.
In all cases, the proposer and decision-maker of export transaction and brokerage commissions shall be responsible for their decisions.
If the system is abused to pay incorrectly or to the wrong recipients, the person making the payment decision shall be held legally accountable.
1. This Circular takes effect fifteen days from the date of signing.
2. During implementation, if there are difficulties, enterprises are requested to report to the Ministry of Finance for research and resolution./.
In all cases, the applicant and the person deciding to pay transaction commissions, new export intermediaries shall be responsible for their own decisions.
If the system is abused to pay for improper purposes or to incorrect recipients, the person making the payment decision shall bear legal responsibility.
III. IMPLEMENTATION PROVISIONS
1. This Circular shall take effect fifteen days from the date of signature.
2. During implementation, if there are difficulties or obstacles, businesses are requested to report to the Ministry of Finance for study and resolution. Finance ./
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