Circular No. 04/2013/TT-BTC guiding the regime of collection, payment, management, and use of ferry fees

CIRCULAR

Guidelines for the Collection, Submission, Management, and Use of Ferry Crossing Fees

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Based on the Ordinance on Fees and Charges No. 38/2001/PL-UBTVQH10 dated August 28, 2001;

Pursuant to Decree No. 57/2002/NĐ-CP dated June 3, 2002 of the Government detailing the implementation of the Ordinance on Fees and Charges; and Decree No. 24/2006/NĐ-CP dated March 6, 2006 amending and supplementing certain provisions of Decree No. 57/2002/NĐ-CP dated June 3, 2002 of the Government detailing the implementation of the Ordinance on Fees and Charges.

Pursuant to the Decree No. 118/2008/NĐ-CP dated November 27, 2008 of the Government stipulating the functions, tasks, powers, and organizational structure of the Ministry of Finance;

Considering the proposal of the Director of the Tax Policy Department.

The Minister of Finance issues this Circular to guide the regime for the collection, submission, management, and use of ferry fees, as follows:

PART I

GENERAL PROVISIONS

Article 1. Scope of Regulation

These Circulars provide guidelines for the collection, submission, management, and use of ferry crossing fees for ferry terminals funded by the state budget.

Article 2. Subjects Subject to Fees and Persons Submitting Ferry Crossing Fees

1. Objects subject to ferry fees include: pedestrians, non-motorized road transport vehicles, motorized road transport vehicles, and similar vehicles.

2. Persons paying ferry fees include: pedestrians; drivers of non-motorized road transport vehicles, motorized road transport vehicles, and similar vehicles.

Article 3. Exemption and reduction of ferry fees

The exemption and reduction of ferry crossing fees shall be implemented in accordance with Clause 6, Article 1 of Decree No. 24/2006/NĐ-CP dated March 6, 2006 amending and supplementing certain provisions of Decree No. 57/2002/NĐ-CP dated June 3, 2002 of the Government detailing the implementation of the Ordinance on Fees and Charges.

Article 4. Conditions for applying ferry fees

1. For ferry terminals that must have a decision on establishment, operation of the ferry terminal, and a decision on fee collection issued by the competent state agency (for centrally-managed ferry terminals, such decisions must be made by the Minister of Transport regarding the establishment and operation of the ferry terminal and the regulations on ferry crossing fees issued by the Ministry of Finance; for locally-managed ferry terminals, such decisions must be made by the Chairman of the People's Committee of the province where the ferry terminal is located and the Provincial People's Council passing a resolution on fee collection).

2. The specific collection rate for each ferry terminal shall be decided by the Ministry of Finance (for centrally-managed ferry terminals) or by the Provincial People's Council (for locally-managed ferry terminals).

Chapter II

MANAGEMENT AND USE OF FERRY FEES

Article 5. Management and use of ferry crossing fees

1. Ferry crossing fees are revenue collected by the state budget used to cover the costs of organizing the transportation of people and vehicles across rivers. In cases:

a) If the revenue does not cover the approved expenditure budget (including both regular and non-regular expenses), the Central Road Maintenance Fund (hereinafter referred to as the Central Fund) will compensate the shortfall for centrally-managed ferry terminals; the Local Road Maintenance Fund (hereinafter referred to as the Local Fund) will compensate the shortfall for locally-managed ferry terminals. In cases where the locality has not established a Road Maintenance Fund, the state budget will compensate the shortfall from the road usage fee revenue based on vehicle ownership.

b) If the revenue exceeds the approved expenditure budget, the excess amount must be remitted to the state budget.

Article 6. Content of Expenditure

1. Regular operational expenditure for fee collection and river crossing activities, including:

a) Wages, salaries, allowances, and contributions based on salary (excluding salary costs for officials and civil servants who already receive salary from the state budget): social insurance, health insurance, trade union fees, unemployment insurance according to current regulations;

b) Administrative expenses: travel expenses, conference fees, communication and information services, public utilities (electricity for lighting and clean water for the ferry terminal office), office supplies, office materials, meeting and training expenses, business trip expenses according to current standards and norms;

c) Labor protection expenses or uniforms according to prescribed regulations (if applicable);

d) Expenses for hiring functional forces to maintain security at the ferry terminal (if applicable);

e) Expenses for tickets and stamps for fee collection purposes;

g) Expenses for purchasing spare parts, equipment with small value, and other tools directly serving fee collection and river-crossing operations;

h) Fuel expenses for river-crossing operations;

i) Insurance expenses for vehicles and passengers during river crossings;

k) Registration and inspection fees for river-crossing vehicles;

l) Other expenses serving the organization of fee collection at the ferry terminal, subject to approval by the competent authority (if applicable).

2. Irregular expenditures, including:

a) Major upgrades and repairs of river-crossing vessels, terminals, parking areas, buildings, access roads; dredging of channels;

b) Expenses for disaster recovery from typhoons, floods, enemy attacks, accidents that damage facilities, bridges, vehicles, and equipment at the ferry terminal after insurance compensation has been received (if applicable);

c) Transportation expenses for ferries and boats transferred between ferry terminals according to decisions of competent state agencies.

d) Minor and medium repairs of buildings, river-crossing vessels, auxiliary equipment for river-crossing operations, parking areas, and office equipment of the ferry terminal.

3. Deductions and expenditures for rewards and welfare for staff directly involved in work, services, and fee collection within the unit shall follow the principle of a maximum of three months' average salary per year if this year's revenue is higher than last year's, and a maximum of two months' average salary per year if this year's revenue is lower or equal to last year's, after ensuring the expenses stipulated in Clauses 1 and 2 of this Article.

Chapter III

PREPARATION, ALLOCATION, AND IMPLEMENTATION OF THE BUDGET FOR FERRY CROSSING FEES

 IMPLEMENTATION OF THE BUDGET FOR FERRY CROSSING FEES

Article 7. Budget Preparation

Each year, units operating ferry terminals shall base their preparation of the budget for revenue and expenditure of ferry crossing fees on the objects of collection, the rates of fees for different types of vehicles, the number of vehicles participating in traffic in the planned year, current financial expenditure standards and regulations, following the guidelines of the Ministry of Finance on the分级分类预算、分配和执行渡口费用收支预算，具体如下：

1. For ferry terminals managed by the central government

a) Units directly managing ferry terminals under the Highway Administration Zone shall prepare the annual budget for revenue and expenditure of ferry crossing fees, submit it to the Highway Administration Zone for review and consolidation, then send it to the General Department of Roads of Vietnam.

b) Units directly managing ferry terminals under the Department of Transport for national highways entrusted with management shall prepare the annual budget for revenue and expenditure of ferry crossing fees, submit it to the Department of Transport for review and consolidation, then send it to the General Department of Roads of Vietnam.

c) The General Department of Roads of Vietnam shall review and consolidate the budget for revenue and expenditure of ferry crossing fees and submit it to the Management Board of the Central Fund. The Management Board of the Central Fund shall incorporate the budget for revenue and expenditure of ferry crossing fees into the plan of the fund and submit it to the Ministry of Transport. The Ministry of Transport shall consolidate it together with the annual budget of the ministry and submit it to the Ministry of Finance as prescribed.

2. For ferry terminals managed by local governments

Units directly managing ferry terminals shall prepare the budget for revenue and expenditure of ferry crossing fees and submit it to the Management Board of the Local Fund. The Management Board of the Local Fund shall incorporate the budget for revenue and expenditure of ferry crossing fees into the plan for revenue and expenditure of the fund and submit it to the Department of Transport. The Department of Transport shall consolidate it together with the annual budget of the department and submit it to the Department of Finance as prescribed.

3. Detailed budgets for income and expenses prepared by units include:

a) Detailed budget for revenue and expenditure by category.

b) Expenditure budget ensuring compliance with the expenditure items specified in Article 6 of this Circular.

Units prepare detailed budgets for income and expenses for each ferry terminal, providing detailed explanations of the calculation bases according to the income and expenditure items specified in this Circular.

Article 8. Allocation of Budget Estimates

1. For ferry terminals managed by the central government

BASED ON THE BUDGET ESTIMATE OF REVENUE AND EXPENSES FOR BRIDGE TOLL FEES FOR THE YEAR ISSUED BY THE AUTHORIZED BODY AND ANNOUNCED BY THE MINISTRY OF TRANSPORT, THE CENTRAL FUNDS MANAGEMENT BOARD SHALL APPROVE THE DETAILED BUDGET ESTIMATE OF REVENUE AND EXPENSES FOR EACH FERRY PORT BASED ON CURRENT STANDARDS AND FINANCIAL REGULATIONS, TO BE SUBMITTED TO THE MINISTRY OF TRANSPORT FOR REVIEW. AFTER RECEIVING THE MINISTRY OF FINANCE'S OPINION, THE MINISTRY OF TRANSPORT SHALL APPROVE THE PLAN FOR REVENUE AND EXPENSES FOR BRIDGE TOLL FEES. THE CENTRAL FUNDS MANAGEMENT BOARD SHALL ASSIGN THE BUDGET ESTIMATE OF REVENUE AND EXPENSES FOR BRIDGE TOLL FEES TO THE VIETNAM HIGHWAY ADMINISTRATION, SPECIFICALLY FOR EACH FERRY PORT: THE BUDGET ESTIMATE OF REVENUE AND EXPENSES FOR BRIDGE TOLL FEES; THE BUDGET ESTIMATE OF SUPPLEMENTARY NATIONAL BUDGET FUNDS (IF ANY).

2. For ferry terminals managed by local governments

BASED ON THE BUDGET ESTIMATE OF REVENUE AND EXPENSES FOR BRIDGE TOLL FEES FOR THE YEAR ISSUED BY THE AUTHORIZED BODY, THE DEPARTMENT OF TRANSPORTATION SHALL APPROVE THE DETAILED BUDGET ESTIMATE OF REVENUE AND EXPENSES FOR BRIDGE TOLL FEES. THE LOCAL FUNDS MANAGEMENT BOARD SHALL ASSIGN THE PLAN FOR REVENUE AND EXPENSES FOR BRIDGE TOLL FEES TO EACH UNIT DIRECTLY MANAGING THE FERRY PORT INCLUDING: THE BUDGET ESTIMATE OF REVENUE AND EXPENSES FOR BRIDGE TOLL FEES; THE BUDGET ESTIMATE OF SUPPLEMENTARY NATIONAL BUDGET FUNDS (IF ANY).

BASED ON THE ASSIGNED BUDGET ESTIMATE, THE HIGHWAY MANAGEMENT ZONES AND THE DEPARTMENTS OF TRANSPORTATION SHALL IMPLEMENT ORDER PLACEMENT OR ASSIGN PLANS FOR THE TASKS OF COLLECTING BRIDGE TOLL FEES AND REGULAR EXPENSES FOR THE MANAGEMENT AND COLLECTION UNITS AT FERRY PORTS; CONDUCT TENDERING OR ORDER PLACEMENT FOR NON-REGULAR EXPENSES IN ACCORDANCE WITH THE LAWS ON INVESTMENT AND CONSTRUCTION.

Article 9. Implementation of Budget Estimates

1. FOR UNITS DIRECTLY MANAGING AND COLLECTING BRIDGE TOLL FEES

THE AMOUNT OF BRIDGE TOLL FEES COLLECTED DAILY BY THE UNITS MUST BE DEPOSITED INTO A BANK ACCOUNT OPENED AT THE STATE TREASURY WHERE THE FERRY PORT IS LOCATED TO BE USED FOR REGULAR AND NON-REGULAR EXPENSES AS PER THE ORDER PLACEMENT CONTRACT OR PLAN ASSIGNMENT. THE REMAINING AMOUNT MUST BE TIMELY DEPOSITED INTO THE NATIONAL BUDGET QUARTERLY.

2. FOR AUTHORITIES ENTERING INTO CONTRACTS WITH UNITS MANAGING AND COLLECTING BRIDGE TOLL FEES AT FERRY PORTS

FOR FERRY PORTS UNDER CENTRAL MANAGEMENT: THE HIGHWAY MANAGEMENT ZONES AND THE DEPARTMENTS OF TRANSPORTATION (FOR FERRY PORTS UNDER CENTRAL MANAGEMENT) SHALL IMPLEMENT PAYMENTS TO UNITS THAT HAVE ENTERED INTO CONTRACTS TO PERFORM NON-REGULAR TASKS AT FERRY PORTS.

FOR FERRY PORTS UNDER LOCAL MANAGEMENT: THE DEPARTMENTS OF TRANSPORTATION (FOR FERRY PORTS UNDER LOCAL MANAGEMENT) SHALL IMPLEMENT PAYMENTS TO UNITS THAT HAVE ENTERED INTO CONTRACTS TO PERFORM NON-REGULAR TASKS AT FERRY PORTS.

3. STATE TREASURY EXPENSE CONTROL

BASED ON THE EXPENSE BUDGET ESTIMATE ISSUED BY THE AUTHORIZED BODY; THE ORDER PLACEMENT CONTRACT OR DECISION TO ASSIGN THE PLAN FOR BRIDGE TOLL FEE REVENUE AND EXPENSES; THE ACTUAL REVENUE DEPOSITED INTO THE STATE TREASURY; THE SPENDING AUTHORIZATION FROM THE HEAD OF THE UNIT AND LEGAL DOCUMENTS IN ACCORDANCE WITH THE REGULATIONS, THE STATE TREASURY SHALL IMPLEMENT EXPENSE CONTROL, ISSUE TEMPORARY ADVANCES OR MAKE PAYMENTS TO UNITS IN ACCORDANCE WITH CIRCULAR NO. 161/2012/TT-BTC OF THE MINISTRY OF FINANCE DATED OCTOBER 2, 2012 ON THE SYSTEM OF EXPENSE CONTROL AND PAYMENT OF NATIONAL BUDGET EXPENSES THROUGH THE STATE TREASURY FOR REGULAR EXPENSES AND CIRCULAR NO. 86/2011/TT-BTC OF THE MINISTRY OF FINANCE DATED JUNE 17, 2011 ON THE MANAGEMENT AND PAYMENT OF INVESTMENT CAPITAL AND OPERATIONAL CAPITAL WITH AN INVESTMENT NATURE FROM THE NATIONAL BUDGET FOR NON-REGULAR EXPENSES.

Article 10. Settlement of revenue and expenditure through ferries

1. UNITS COLLECTING BRIDGE TOLL FEES MUST IMPLEMENT ACCOUNTING AND SETTLEMENT OF BRIDGE TOLL FEE REVENUE AND EXPENSES IN ACCORDANCE WITH THE CURRENT ACCOUNTING REGULATIONS. AT THE END OF EACH QUARTER AND YEAR, THE UNITS MUST PREPARE A SETTLEMENT REPORT ON THE SITUATION OF BRIDGE TOLL FEE REVENUE AND EXPENSES AFTER SETTLING WITH THE TAX AUTHORITY AS REQUIRED.

THE HIGHWAY MANAGEMENT ZONES AND THE DEPARTMENTS OF TRANSPORTATION ARE RESPONSIBLE FOR COMBINED SETTLEMENT OF BRIDGE TOLL FEE REVENUE AND EXPENSES AND PREPARATION OF SETTLEMENT REPORTS IN ACCORDANCE WITH THE FORMS AND REQUIREMENTS OF THE NATIONAL BUDGET LAW AND CURRENT GUIDING DOCUMENTS.

2. THE REVIEW AND AUDIT OF ANNUAL SETTLEMENT REPORTS ON BRIDGE TOLL FEES SHALL BE CONDUCTED IN ACCORDANCE WITH THE CIRCULAR OF THE MINISTRY OF FINANCE GUIDING THE REVIEW, AUDIT, AND ANNOUNCEMENT OF ANNUAL SETTLEMENTS FOR ADMINISTRATIVE AUTHORITIES, PUBLIC SERVICE UNITS, ORGANIZATIONS SUPPORTED BY THE NATIONAL BUDGET, AND BUDGETS AT VARIOUS LEVELS, SPECIFICALLY AS FOLLOWS:

a) FOR FERRY PORTS UNDER CENTRAL MANAGEMENT: THE VIETNAM HIGHWAY ADMINISTRATION IS RESPONSIBLE FOR REVIEWING THE ANNUAL SETTLEMENTS OF FERRY PORTS UNDER THE HIGHWAY MANAGEMENT ZONES AND DEPARTMENTS OF TRANSPORTATION; AGGREGATING AND SUBMITTING TO THE CENTRAL FUNDS MANAGEMENT BOARD. THE CENTRAL FUNDS MANAGEMENT BOARD SHALL APPROVE THE SETTLEMENT OF FINANCIAL REVENUE AND EXPENSES OF THE FUND, SUBMITTING TO THE MINISTRY OF TRANSPORT FOR COMBINED SETTLEMENT OF THE MINISTRY, AND SUBMITTING TO THE MINISTRY OF FINANCE.

b) FOR FERRY PORTS UNDER LOCAL ROAD MANAGEMENT: THE LOCAL FUNDS MANAGEMENT BOARD SHALL APPROVE THE SETTLEMENT OF REVENUE AND EXPENSES OF FERRY PORTS UNDER LOCAL MANAGEMENT, SUBMITTING TO THE DEPARTMENT OF TRANSPORTATION FOR COMBINED SETTLEMENT, AND SUBMITTING TO THE DEPARTMENT OF FINANCE AS REQUIRED.

Article 11. Inspection Work

1. To ensure that ferry fees are used for their intended purpose and effectively, the Ministry of Transport, the Central Fund Management Board, the Local Fund Management Board, the Vietnam Highway Corporation, and the Department of Transport shall coordinate with the financial authorities at the same level to regularly and randomly inspect the management, use, settlement, and final accounting of ferry fees at subordinate units.

2. All expenditures not in accordance with regulations and expenses charged outside the prescribed content in this Circular must be accounted for and recovered and submitted to the state budget.

Article 12. Revenue Receipts

The collection receipts for ferry fees shall be implemented in accordance with Circular No. 153/2012/TT-BTC dated September 17, 2012, issued by the Ministry of Finance, guiding the printing, issuance, management, and use of various types of collection receipts for fees and charges under the state budget.

Chapter IV

IMPLEMENTATION

Article 13. Implementation Provisions

1. This Circular takes effect from February 25, 2013.

2. Repeal Circular Joint No. 62/TT-LB dated July 23, 1993, issued by the Inter-Ministry - Ministry of Finance - Ministry of Transport, guiding the organization of collection and management and use of ferry tolls and pontoon bridge fees.

3. Other contents related to the management, use, and collection receipts for ferry fees not mentioned in this Circular shall be carried out in accordance with Circular No. 63/2002/TT-BTC dated July 24, 2002, issued by the Ministry of Finance, guiding the implementation of laws on fees and charges; Circular No. 45/2006/TT-BTC dated May 25, 2006, amending and supplementing Circular No. 63/2002/TT-BTC dated July 24, 2002; and Circular No. 28/2011/TT-BTC dated February 28, 2011, issued by the Ministry of Finance, guiding the implementation of certain provisions of the Law on Tax Administration, guiding the implementation of Decree No. 85/2007/NĐ-CP dated May 25, 2007, and Decree No. 106/2010/NĐ-CP dated October 28, 2010, of the Government.

4. In the course of implementation, if there are any difficulties, please report them to the Ministry of Transport and the Ministry of Finance for timely amendment and supplementation./.