Circular No. 10/2021/TT-BKHCN provides detailed measures for implementing certain provisions of Decree No. 13/2019/NĐ-CP dated February 1, 2019 of the Government on science and technology enterprises.

CIRCULAR

REGULATION stipulates measures to implement certain articles of Decree No. 13/2019/NĐ-CP dated February 1, 2019 of the Government on science and technology enterprises năm 2019 của Chính phủ về doanh nghiệp khoa học và công nghệ ||| 2019 Government Decree on science and technology enterprises

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Pursuant to Decree No. 95/2017/NĐ-CP dated August 16, 2017 of the Government on the functions, tasks, powers, and organizational structure of the Ministry of Science and Technology;

Pursuant to Decree No. 13/2019/NĐ-CP dated February 1, 2019 of the Government on science and technology enterprises;

At the proposal of the Director of the Market Development and Science and Technology Enterprise Department and the Legal Affairs Department;

The Minister of Science and Technology promulgates this Circular stipulating measures to implement certain articles of Decree No. 13/2019/NĐ-CP dated February 1, 2019 of the Government on science and technology enterprises.

Article 1. Scope of Regulation

This Circular stipulates measures to implement certain articles of Decree No. 13/2019/NĐ-CP dated February 1, 2019 of the Government on science and technology enterprises (hereinafter referred to as Decree No. 13/2019/NĐ-CP), including:

1. Scientific and technological results specified in point c, d and đ Clause 2 Article 3 of Decree No. 13/2019/NĐ-CP.

2. Conditions regarding revenue ratio specified in point c Clause 1 Article 6 of Decree No. 13/2019/NĐ-CP.

3. Issuing certificates for science and technology enterprises for cases where enterprises have branches or production and business establishments in the territory of multiple provinces and centrally-run cities as specified in point d Clause 2 Article 5 of Decree No. 13/2019/NĐ-CP.

4. Revocation and cancellation of effect of the Certificate for science and technology enterprises as specified in Article 10 of Decree No. 13/2019/NĐ-CP.

5. Criteria for determining new services applying scientific and technological results in the field of information technology as specified in Clause 2 Article 12 of Decree No. 13/2019/NĐ-CP.

6. Responsibilities for providing information of science and technology enterprises as specified in Article 18 of Decree No. 13/2019/NĐ-CP.

Article 2. Applicability

This Circular applies to the objects specified in Clause 2 Article 1 of Decree No. 13/2019/NĐ-CP.

Article 3. Scientific and technological results recognized through the form of Science and Technology Awards

Scientific and technological results recognized by competent authorities through the form of winning science and technology awards as specified in point c Clause 2 Article 3 of Decree No. 13/2019/NĐ-CP include:

1. Ho Chi Minh Award and State Prize for Science and Technology;

2. Tạ Quang Bửu Award;

3. Trần Đại Nghĩa Award;

4. Vietnam Creativity in Science and Technology Award;

5. Kovalevskaia Award;

6. Other science and technology awards as prescribed in Decree No. 78/2014/NĐ-CP dated July 30, 2014 of the Government on Ho Chi Minh Award, State Prize and other science and technology awards, amended and supplemented by Decree No. 60/2019/NĐ-CP dated July 5, 2019 of the Government.

Article 4. Scientific and technological results confirmed and recognized by competent authorities

Scientific and technological results confirmed and recognized by competent authorities as specified in point d Clause 2 Article 3 of Decree No. 13/2019/NĐ-CP include:

1. Scientific and technological results creating products that are licensed for production and circulation in Vietnam, including:

a) Plant varieties, fertilizers, veterinary drugs, plant protection chemicals produced in Vietnam are granted Decision on recognition of circulation of plant varieties, Decision on recognition of circulation of fertilizers, Veterinary Drug Circulation Certificate, Registration Certificate for Plant Protection Chemicals in Vietnam;

b) Drugs and drug ingredients, medical devices produced in Vietnam are granted Registration Certificate for circulation in Vietnam;

c) Biological preparations in the environmental sector produced in Vietnam are granted Circulation Certificate in Vietnam.

2. Results of implementing science and technology tasks funded by state budget are granted Decision on recognition of results of implementing science and technology tasks funded by state budget or Registration Certificate for results of implementing science and technology tasks funded by state budget by competent state agencies.

3. Results of implementing science and technology tasks not funded by state budget are granted Confirmation Certificate or Appraisal Certificate for results of implementing science and technology tasks not funded by state budget by competent state agencies.

4. Other scientific and technological results are recognized and confirmed by ministries, ministerial-level agencies under their respective sectors and fields within their management authority or People's Committees of provinces and centrally-run cities (where scientific and technological results are transferred and applied) according to the provisions of the law.

In case it is necessary to determine scientific and technological results as prescribed in this clause, the specialized agency on science and technology under the People's Committee of provinces and centrally-run cities shall send a letter requesting support from the Department of Market Development and Science and Technology Enterprises.

Article 5. Scientific and technological results are technology transferred from abroad to Vietnam.

1. To determine scientific and technological results as technology transferred from abroad to Vietnam, the following criteria must be met:

a) Possess a Technology Transfer Registration Certificate;

b) Belong to the List of Encouraged Technology Transfers as stipulated in Clause 4, Article 39 of the Law on Technology Transfer and Appendix I of Decree No. 76/2018/NĐ-CP dated May 15, 2018 of the Government detailing and guiding the implementation of certain provisions of the Law on Technology Transfer.

2. Enterprises receiving technology transfers from abroad to Vietnam have the capacity to apply the transferred scientific and technological results (detailed in Item 6 of Model No. 02 under Decree No. 13/2019/NĐ-CP).

Article 6. Conditions for Revenue Ratio for Issuing a Scientific and Technological Enterprise Certification.

An enterprise must generate revenue from producing and trading products derived from scientific and technological results, meeting the condition that the revenue ratio reaches at least 30% of its total revenue over one of the three consecutive years prior to submitting the application for certification as a scientific and technological enterprise.

Article 7. Certification of Scientific and Technological Enterprises for Enterprises with Branches Engaged in Production and Business Operations in Multiple Provinces and Cities Directly Under the Central Government.

1. The authority issuing the Scientific and Technological Enterprise Certification shall fully record information about branches engaged in production and trading of products derived from scientific and technological results on the Scientific and Technological Enterprise Certification.

2. Branches engaged in production and trading of products derived from scientific and technological results recorded on the Certification shall enjoy state preferential policies and support as applied to scientific and technological enterprises (regarding preferences, support, and conditions for enjoying such benefits).

3. Determination of scientific and technological enterprises for independently accounting branches shall be based on financial reports or tax settlement declarations of the branches in accordance with the law.

Article 8. Revocation of Scientific and Technological Enterprise Certification.

1. Cases of revoking the Scientific and Technological Enterprise Certification are as specified in Clause 1, Article 10 of Decree No. 13/2019/NĐ-CP.

2. Case of revocation due to failure to maintain the required revenue ratio as stipulated in Point b, Clause 1, Article 10 of Decree No. 13/2019/NĐ-CP:

a) Only applicable to scientific and technological enterprises certified after the effective date of Decree No. 13/2019/NĐ-CP.

b) The five-year consecutive period for considering revocation of the Scientific and Technological Enterprise Certification is calculated as follows:

- For enterprises established for more than five years, starting from the first year they were issued the Scientific and Technological Enterprise Certification.

- For newly established enterprises under five years, starting from the sixth year after being issued the Scientific and Technological Enterprise Certification.

3. Case of revocation due to non-compliance with reporting requirements for three consecutive years as stipulated in Point c, Clause 1, Article 10 of Decree No. 13/2019/NĐ-CP:

a) The specialized agency on science and technology under the People's Committee of the province or centrally-administered city decides to revoke the Scientific and Technological Enterprise Certification.

b) In cases within the authority to revoke of the Market Development and Science and Technology Enterprise Department, the specialized agency on science and technology under the People's Committee of the province or centrally-administered city shall request the Market Development and Science and Technology Enterprise Department to revoke the Scientific and Technological Enterprise Certification.

4. The authority responsible for revoking the Scientific and Technological Enterprise Certification shall notify the revocation and publish the information in accordance with Clause 3, Article 10 of Decree No. 13/2019/NĐ-CP.

5. Upon revocation of the Scientific and Technological Enterprise Certification, the enterprise will no longer be entitled to state preferential policies and support for scientific and technological enterprises. For benefits and support with a term exceeding 12 months (such as credit incentives, support for implementing state-funded science and technology tasks, or other benefits and support), the enterprise shall continue to implement them until the end of the loan agreement term, the state-funded science and technology task contract, or the agreement between the parties.

Article 9. Revocation of Effectiveness of the Science and Technology Enterprise Certificate

1. The act of infringing upon ownership rights or usage rights of scientific and technological results as stipulated in point a, Clause 2, Article 10 of Decree No. 13/2019/NĐ-CP shall be based on administrative violation penalty decisions of competent authorities or court judgments.

2. The act of falsifying content in the application for certification as a science and technology enterprise as stipulated in point b, Clause 2, Article 10 of Decree No. 13/2019/NĐ-CP includes:

a) The act of falsifying confirmation documents or recognition certificates of scientific and technological results issued by competent authorities as stipulated in point b, Clause 2, Article 7 of Decree No. 13/2019/NĐ-CP;

b) The intentional misreporting of revenue ratios to obtain the certificate for science and technology enterprises for businesses established for at least five years.

3. When the effectiveness of the science and technology enterprise certificate is revoked, the enterprise must repay all tax exemptions and reductions granted to science and technology enterprises and will be subject to legal proceedings as prescribed by law.

4. The competent authority revoking the effectiveness of the science and technology enterprise certificate is responsible for notifying the revocation and publishing information according to Clause 3, Article 10 of Decree No. 13/2019/NĐ-CP.

Article 10. Criteria and Authority to Determine New Services Applying Scientific and Technological Results in the Information Technology Field

1. To determine new services formed from the application of scientific and technological results in the information technology field, they must meet the following criteria:

a) The service is formed from research, application, transfer, and development activities based on high-tech platforms and key technologies of Industry 4.0 included in the Priority Investment Development Technology List and the Encouraged High-Tech Product Development List as decided in Decision No. 38/2020/QĐ-TTg dated December 30, 2020 by the Prime Minister; or the Priority Research, Development, and Application Technology List for Proactively Participating in the Fourth Industrial Revolution as decided in Decision No. 2117/QĐ-TTg dated December 16, 2020 by the Prime Minister;

b) There is a production and business model providing the service;

c) Describe the novelty of the service compared to existing services on the market.

2. Authority to Determine New Services Applying Scientific and Technological Results in the Information Technology Field:

The agency issuing the Science and Technology Enterprise Certificate bases its determination on the advisory opinions of the evaluation council experts to identify new services applying scientific and technological results in the information technology field and records the specific name of the new service on the Science and Technology Enterprise Certificate.

Article 11. Responsibility for Providing Information by Science and Technology Enterprises

1. Annually, science and technology enterprises report on the production and business situation of products derived from scientific and technological results according to the form prescribed in the Appendix attached to this Circular (with a copy of the tax settlement declaration submitted to the tax authority) to the specialized agency under the provincial People's Committee or the municipal People's Committee directly under the central government.

2. The deadline for reporting is before May 15 of the following year, after the enterprise has completed the previous year's tax settlement. In cases where an extension of the reporting period is required, the enterprise submits a written request to the specialized agency under the provincial People's Committee or the municipal People's Committee directly under the central government, clearly stating the reasons for the extension; the extended period (if approved) shall not exceed 45 days from the original reporting deadline.

3. For enterprises that fail to submit reports within the prescribed time frame (including any extension period if applicable), the specialized agency under the provincial People's Committee or the municipal People's Committee directly under the central government will notify the enterprise in writing about the legal consequences of non-reporting. If an enterprise fails to report for three consecutive years, the competent authority will revoke the certificate according to Clause 3, Article 8 of this Circular.

Article 12. Effective Date

This Circular takes effect from January 20, 2022.

Article 13. Implementation Organization

1. During implementation, if issues arise, agencies, organizations, and individuals are requested to provide written feedback to the Ministry of Science and Technology for guidance or to study amendments and supplements for compliance.

2. During implementation, if the legal normative documents cited for application in this Circular are amended, supplemented, or replaced by new documents, they will be applied according to the new documents.

3. The Minister, Head of a ministry equivalent to a ministry, Head of a government agency, Chairman of the provincial People's Committee or municipal People's Committee directly under the central government, and related organizations and individuals are responsible for implementing this Circular./.