Joint Circular No. 03/TK-TC/TT of the General Statistics Office and the Ministry of Finance guiding certain points on accounting, statistics, and calculation methods to implement regulatory indicators aimed at ensuring the autonomy in production and business operations of state-owned economic units.

JOINT CIRCULAR

Guidelines on Accounting, Statistics, and Calculation Methods to Implement Legal Indicators Ensuring Production and Business Autonomy for State-Owned Basic Economic Units

Implementing Directive No. 155/CT dated June 26, 1986 of the Chairman of the Council of Ministers regarding "Ensuring Production and Business Autonomy for Basic Economic Units," the General Statistics Office and the Ministry of Finance, after coordinating with the State Planning Commission, provide guidelines on accounting, statistics, and calculation methods to implement legal indicators ensuring production and business autonomy for state-owned basic economic units as follows:business

of state-owned basic economic units

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Implementing Directive No. 155/CT dated June 26, 1986, of the Chairman of the Council of Ministers on "Ensuring the Right to Autonomous Production and Business Operations of Basic Economic Units," the General Statistics Office and the Ministry of Finance, after coordinating with the State Planning Commission, provide guidance on certain points regarding accounting, statistical work, and calculation methods for implementing legal decree indicators to ensure the right to autonomous production and business operations of state-owned basic economic units as follows:

Part One

GENERAL PROVISIONS ON ACCOUNTING AND STATISTICAL WORK IN STATE-OWNED BASIC ECONOMIC UNITS

STATISTICAL WORK AT STATE-OWNED BASIC ECONOMIC UNITS

1. Accounting and statistics are two operational tasks with the common mission of recording, calculating, reflecting, inventorying, and supervising the process and results of production and business activities, primarily the production and distribution of social products; they are the main tools serving economic management and planning within the scope of basic units as well as the entire national economy.

2. Accounting and statistical data in official reports serve as legal grounds for evaluating the results and effectiveness of production and business activities of basic economic units, sectors, and regions; they also serve as grounds for assessing the current economic and social situation of the country, thereby enabling the State to manage, oversee the budget, inspect, allocate, and settle financial accounts, and check the implementation of policies of the Party and the State.

3. All basic economic units must strictly adhere to the accounting and statistical system, including initial accounting and periodic statistical reporting. Violations of periodic accounting and statistical reporting systems are considered breaches of socialist economic and social management regulations.

4. Each basic economic unit must have an accounting and statistical organizational structure, which is a prerequisite for conducting production and business activities. Units have the right to independently organize their accounting and statistical structures in accordance with their scale, organizational level, technical equipment, and nature of operations, based on principles established in the Decree on Organizational Structure of Accounting and Statistics for State-Owned Industrial Enterprises issued on October 29, 1977, by the Council of Ministers.

5. Under conditions of expanding production and business autonomy, enterprises must truly strengthen internal economic accounting; they must conduct detailed accounting for each type of production and business activity, each product, order, crop, work, project, workshop, team, store, station, and individual worker; they must implement transparent financial systems; and they must regularly inspect internal accounting, particularly initial accounting.

6. Basic economic units must strictly comply with the system of accounting vouchers and books issued by the State; when necessary, they may open additional summary intermediate vouchers and books to serve internal accounting and information needs. It is strictly prohibited to create false vouchers and books to legitimize improper economic management practices.

7. The Chief Accountant, together with the Factory Director, is responsible to the State for the authenticity of the vouchers, books, and statistical and accounting reports of their units. All data in official statistical and accounting reports must be compiled from legitimate vouchers and books and must ensure clarity and rapid verifiability when necessary.

8. Based on management requirements, production and business directives, and the dispersed conditions of units across different areas, enterprises (basic economic units) have the right to issue reporting systems applicable to units under their management.

9. In accordance with Resolution No. 306/TLHN (draft) of the Politburo dated April 8, 1986, and Decision No. 76/HDBT dated June 26, 1986 of the Council of Ministers, the General Statistics Office is working closely with the Ministry of Finance to urgently study improvements and perfect initial accounting systems and periodic statistical and accounting reporting systems for basic units, aiming to streamline indicators and forms for application in 1987.

State financial and statistical agencies at all levels and superior management agencies of enterprises need to guide, support, and create favorable conditions for enterprises to perform accounting work well: providing sufficient pre-printed vouchers and forms, guiding procedures, training accounting and statistical staff, and conducting regular accounting inspections of subordinate units according to the State's accounting and statistical systems.

PART TWO

CONTENT AND METHODS OF CALCULATION FOR IMPLEMENTATION OF LEGAL INDICATORS APPLICABLE TO STATE-OWNED ENTERPRISES

LEGAL DECREES APPLICABLE TO STATE ENTERPRISES

I. LEGAL INDICATORS IN MANAGEMENT AND PLANNING WORK

Within the planning indicator system, the State selects and approves certain key indicators to assign plans and obligate basic economic units (referred to as enterprises) to implement them, known as legal indicators.

Depending on management requirements and national economic planning needs during specific periods, and considering the nature of production and business activities, the State specifies certain indicators as legal standards for different types of enterprises. Essentially, these legal indicators reflect the core economic relationships between the State and basic economic units. Using these indicators to assign and monitor plans enhances the autonomy and creativity of basic units in production and business while demonstrating the central role of planning in State economic management, linking plans with economic accounting and socialist business operations.

To enhance the effectiveness of management and accounting work for grassroots economic units, higher-level management agencies require the use of a system of reporting indicators that fully reflect the reproduction process in the national economy and each grassroots economic unit in the planning, settlement, and inspection of state plan implementation.

Therefore, the State requires grassroots economic units not only to accurately, timely, and comprehensively account for and report statutory indicators but also strictly adhere to the accounting and statistical reporting systems periodically issued by the State for such units.

II. GUIDANCE ON THE CONTENT AND METHODS OF CALCULATING CURRENT STATUTORY INDICATORS CURRENT LEGAL DECREE INDICATORS

A. For industrial enterprises:

Based on the number of statutory indicators assigned to each type of enterprise, industrial enterprises are reviewed for one to three of the following indicators:

- The value of goods production achieved (including export turnover if applicable)

- The quantity of main products with specified specifications and quality, consumed according to plans and contracts (including parts allocated to defense and exports if applicable)

- Tax payments (including profits and other revenues)

1. The value of goods production achieved is the value of the volume of goods produced and sold during the reporting period, i.e., goods that have been shipped out and paid for or accepted for payment in writing by customers.

The value of goods production achieved is calculated based on the wholesale price of industry (or selling price) when setting the plan.

The value of goods production achieved includes:

- Finished product values, semi-finished products, including products outside the design of the enterprise, produced using raw materials of the enterprise, including raw materials self-balanced under economic contracts.

- Value of processing and manufacturing products using customer raw materials.

- Value of industrial works done for external parties.

The following cases shall not be included in the value of goods production achieved by the enterprise in the reporting period:

- Values of products purchased and resold through exchange, collaboration, etc., without processing or manufacturing by the enterprise, including outsourced processed products.

- Values of material consumption, waste, and non-industrial activity revenue.

- Advance payments from customers that have not yet received products.

The value of products produced and sold but not meeting contractual specifications and quality standards, returned by customers in the reporting period, must be deducted from the value of goods achieved in that period.

For electricity enterprises (power plants, electricity distribution enterprises), water enterprises (including water supply enterprises), the value of electricity and water production achieved is calculated based on the recorded consumption of electricity and water by customers' meters.

2. Quantity of main products with specified specifications and quality consumed according to plans and contracts.

The quantity of main products consumed counted includes various types of products listed in the main product directory assigned by higher-level management agencies, which meet the specified specifications and quality standards and have been consumed according to plans and contracts signed with customers, regardless of the source of raw materials used to produce these products.

The following main products shall not be included in the quantity of products consumed by the enterprise in the reporting period:

- Products that have been shipped out but not yet paid for or accepted for payment in writing by customers.

- Products that have been consumed but do not meet contractual specifications and quality standards and were returned by customers.

- Products that have been consumed but do not comply with approved upper-level plans and signed economic contracts.

For electricity and water enterprises, the quantity of electricity and water consumed is calculated based on the recorded consumption by customers' meters.

Completion of the plan for the quantity of main products consumed is considered achieved when all main products listed in the approved consumption plan of the enterprise are completed, and one product cannot substitute another.

To comprehensively assess the degree of plan completion, the main products consumed are calculated as follows:

Wholesale price of Product A = 100đ, Product B = 70đ, Product C = 40đ

(100x100đ)+(60x70)+(40x40đ)

Degree of Plan Completion:=--------------------------------------x100%=97%

(100x100đ)+(60x70)+(50x40đ)

3. Tax payments include:

- Profit remittance

- State revenue collection

- Basic depreciation payments

- Other tax payments listed in the tax payment plan

- Profit tax payment for the reporting year includes profit tax payment from the previous year carried over and profit tax generated and paid within the year, calculated according to the regulations of the Ministry of Finance.

- State revenue is calculated according to the revenue collection system prescribed by the Ministry of Finance.

- Basic depreciation tax payment is the amount of basic depreciation set aside after deducting the portion retained by the enterprise to replenish its own capital for basic construction investment or to repay bank loans, as stipulated by the Ministry of Finance.

- Other tax payments such as price difference payments, etc.

When calculating the degree of plan completion, actual payments made during the year must be adjusted for price fluctuations compared to the planned amount due.

B. For agricultural and forestry enterprises:

Agricultural enterprises, including agricultural technical service enterprises and forestry enterprises, are reviewed for one to three of the following indicators:

- The value of goods production achieved (including export turnover if applicable)

- The quantity of main products with specified specifications and quality consumed according to plans and contracts

- Tax payments (including profits and other revenues)

1. The value of agricultural and forestry goods production achieved is the value of the volume of agricultural and forestry products produced by the enterprise and the value of agricultural services consumed, calculated based on the selling price or payment price with customers within the framework of the authorized authority's regulations when setting the plan.

The following cases shall not be included in the value of goods production achieved in the reporting period of agricultural and forestry enterprises:

- The value of agricultural and forestry products that have been withdrawn from storage but not yet settled and not yet accepted for payment in writing by the customer.

- The value of agricultural and forestry products that have been consumed but do not meet the specifications and quality stipulated in the contract or agreement between both parties and were returned by the customer.

- The value of products produced for internal circulation and retained for use (seeds, seedlings, breeding stock, animal feed, etc., retained for use).

2. The quantity of main agricultural and forestry products consumed consists of agricultural and forestry products within the main product category assigned by superiors, produced by the enterprise, meeting the specified specifications and quality standards, and sold according to plans and contracts signed with customers.

The following cases shall not be included in the quantity of main products consumed reported by agricultural and forestry enterprises:

- Products that have been produced and stored but not yet settled and not yet accepted for payment in writing by the customer.

- Products that have been consumed but do not meet the specifications and quality stipulated in the contract and were returned by the customer.

- Products consumed not in accordance with approved plans and contracts already signed.

3. Payments to the state budget include profit payments, basic depreciation payments, forest maintenance funds, and other payments listed in the plan (details and calculation methods see this index section for industrial enterprises).

C. For construction enterprises

Construction enterprises, surveying, exploration, design, and construction enterprises review one to three of the following indices:

- The value of completed construction work that has been inspected and accepted.

- The list of completed projects and project components handed over.

- Tax payments (including profits and other revenues)

1. The value of completed construction work that has been inspected and accepted is the value of construction products completed entirely or up to a reasonable technical stage or construction work items recorded in the approved plan according to the design specifications of projects and project components calculated based on the estimated price when the plan was assigned, undertaken by the construction enterprise according to the contract confirmed by Party A and the bank through the acceptance certificate, including the volume of construction work that has been paid for and unpaid.

The calculation of the value of completed construction work must comply with the standards, contents, and methods prescribed in Circular No. 02/TCTK-XDCB dated December 15, 1985, issued by the General Statistics Office, and specific guidance documents from relevant ministries.

2. The list of completed projects and project components handed over includes projects, project components, or construction work items that have completed all work according to the economic contract between the tenderer and contractor, in accordance with the approved design estimate, and handed over to the tenderer in accordance with the acceptance regulations.

3. Payments to the state budget include profit payments, basic depreciation payments, and other payments listed in the plan (details and calculation methods see this index section for industrial enterprises).

D. For trading and material supply enterprises:

Trading enterprises (including food trading, public catering, pharmaceuticals, book distribution) and material supply enterprises review one to three of the following indices:

- Purchase and sales turnover (including export and import turnover if applicable).

- Quantity of major goods purchased and sold according to the plan and contract (including the quantity of major goods exported and imported if applicable).

- Payments to the state budget (including profits and other revenues, including foreign currency payments to the state budget if applicable).

1. Purchases are counted when the buyer has made payment or accepted payment in writing and received the goods. Sales are counted when the seller has shipped the goods and received payment or accepted payment in writing by the customer. Purchase and sales turnover are calculated based on the purchase and sale prices at the time of planning.

The following cases shall not be included in the purchase and sales turnover reported during the period:

- The value of goods that have been withdrawn from storage but not yet settled or not yet accepted for payment in writing by the customer.

- The value of goods that have been consumed but do not meet the specifications and quality stipulated in the contract or agreement between both parties and were returned by the customer.

- The value of goods purchased not for resale or processing but for internal use.

- The value of goods purchased for packaging or packing materials.

- Advance payments to customers for purchasing goods or advance payments received from customers for selling goods.

Goods received for consignment are only counted in sales turnover for the commission earned by the enterprise.

2. The quantity of major goods purchased and sold according to the plan and contract refers to the quantity of goods within the main goods category assigned by superiors, purchased and sold by the enterprise.

For material supply enterprises, sales turnover in the reporting period includes the value of materials temporarily advanced to customers under the next year's target. The quantity of major goods sold in the reporting year is also calculated in this manner.

3. Payments to the state budget include profit payments, basic depreciation payments, price differential payments, and other payments listed in the plan (details and calculation methods see this index section for industrial enterprises).

G. For enterprises engaged in import and export trade:

Import and export trading enterprises review one to three of the following indices:

- Total export and import turnover (calculated in rubles or dollars).

- Quantity of major goods exported and imported.

- Payments to the state budget (including foreign currency payments if applicable).

1. Total export turnover is calculated based on the FOB price. It is considered exported when the goods have been fully loaded onto the transport means and confirmed by the carrier on the bill of lading.

Foreign trade enterprises may add favorable foreign currency discounts for certain goods popular in the world market and additional payments from foreign customers to the export turnover, and deduct foreign currency compensation to customers due to non-compliance with specifications and quality from the export turnover.

Total export turnover is calculated based on the CIF price. Import turnover is calculated based on the date recorded on the import declaration form and confirmed by customs.

2. The volume of major export and import items is the quantity of major imported and exported goods assigned in the plan by superiors. The time of import and export is calculated as specified in the total export and import turnover indicator.

3. Tax payments include foreign trade surplus payments, basic depreciation payments, foreign currency tax payments, and other payments listed in the plan (content, methods, calculations, see this indicator for industrial enterprises).

H. For transportation and handling enterprises:

Transportation enterprises (automobiles, rivers, seas, railways, aviation) include cargo transportation and passenger transportation, handling enterprises, review one to three indicators as follows:

1. Volume of cargo transportation and circulation (or passengers or volume of goods passing through).

2. Volume of major cargo transportation according to the plan and contracts (or volume of passenger transportation on main routes or volume of passenger transportation on main routes or volume of major goods handled).

3. Tax payments (including profits and other revenues).

The content and scope of calculation of indicators one and two must be consistent with the approved plan, the calculation method must comply with the provisions issued in Decision No. 611/TCTK-PPCĐ dated November 1, 1978 of the General Statistics Office. For indicator three, see the section on industrial enterprises.

I. For postal enterprises:

Postal enterprises review one to three indicators as follows:

1. Value of postal services

2. Main volume of postal services

3. Tax payments (including profits and other revenues).

For indicators one and two, the content, scope, and pricing for calculation must be consistent with the approved plan, the calculation method must comply with the provisions issued in Decision No. 512/TCTK-PPCĐ dated November 22, 1984 of the General Statistics Office. For tax payment indicator three, see the section on industrial enterprises.

K. For service enterprises such as hotels, tourism, cinema, art, etc., review one to two indicators as follows:

1. Service revenue

2. Amounts paid to the State budget

1/ Service revenue is the amount that has been paid or accepted in writing by customers to pay for services, calculated according to the price approved by the competent authority when assigning the plan.

2/ Tax payments include interest payments, basic depreciation payments, and other payments listed in the plan.

III. IMPLEMENTATION

Any guidance documents on the content and methods of calculating these indicators that contradict this document are abolished.

Based on this circular, relevant Ministries, Provincial People's Committees shall issue specific guidance documents for implementation within their respective Ministries and localities. If any provisions conflict with this circular, they must consult with the General Statistics Office and the Ministry of Finance before issuance.

Statistical and Financial Departments of Ministries, sectors, and localities have the responsibility to provide business guidance.

During implementation, any difficulties should be reported to the General Statistics Office and the Ministry of Finance for resolution.