Circular No. 140/1998/TT-BTC guides the amendment and supplementation of Circular No. 19-TC/TCT dated March 16, 1995, issued by the Ministry of Finance to guide the implementation of Decree No. 193/CP dated December 29, 1994, of the Government regarding stamp duty.

CIRCULAR

CIRCULAR NO. 140/1998/TT-BTC OF OCTOBER 24, 1998 GUIDING THE AMENDMENT AND SUPPLEMENTATION OF CIRCULAR NO. 19 TC/TCT OF MARCH 16, 1995 OF THE MINISTRY OF FINANCE GUIDING THE IMPLEMENTATION OF DECREE NO. 193/CP OF DECEMBER 29, 1994 OF THE GOVERNMENT ON STAMP DUTIES 

In implementing Decree No. 193/CP of December 29, 1994 of the Government on stamp duties, the Ministry of Finance issued Circular No. 19 TC/TCT of March 16, 1995 to guide its implementation.

To guide the management of stamp duty collection in accordance with the provisions of relevant ministries and sectors' documents, the Ministry of Finance supplements and amends Circular No. 19 TC/TCT of March 16, 1995 of the Ministry of Finance on stamp duties as follows:

1. Supplement and amend the content of Point 1, Section I of Circular No. 19 TC/TCT guiding the objects subject to stamp duty as follows:

- All types of automobiles, including dual engines, trailers, semi-trailers, and similar vehicles that must be registered for ownership or usage rights with state management agencies according to the law.

- Total engine assemblies, total frame assemblies (body shells) of assets such as automobiles, ships, boats, motorcycles that must be registered for ownership or usage rights with state management agencies when replaced.

2. Add the following content at the end of Point 2, Section I of Circular No. 19 TC/TCT:

Foreign organizations and individuals who are not entitled to diplomatic privileges and immunities but are exempted (or do not have to pay) stamp duties under agreements signed between the Government of Vietnam and the Government of foreign countries, when declaring stamp duties, must present to the local tax authority where they register ownership or usage rights of the asset the following documents and materials:

a) A letter from the program or project management agency requesting the tax authority to consider and resolve the matter of exemption or non-payment of stamp duties for the asset (name of organization or individual, type of asset, reason) for foreign organizations or individuals working or residing in Vietnam.

b) The agreement (certified copy in Vietnamese) signed between the Government of Vietnam and the Government of a foreign country regarding the program or project.

c) Documents proving the legitimate origin of the asset according to current regulations. For temporary imported and re-exported ships, boats, automobiles, motorcycles, in addition to the above documents, there must also be a copy of the temporary import and re-export permit for the asset issued by the competent Vietnamese state agency.

For special programs or projects for which the Government of Vietnam has separate documents specifying the exemption of stamp duties for assets registered by foreign organizations or individuals during their time working or residing in Vietnam, it is not necessary to implement Point 2b above.

3. Supplement and amend Point 1c, Section II of Circular No. 19 TC/TCT guiding the determination of the value of assets for stamp duties as follows:

a) Organizations or individuals acting as agents selling automobiles or motorcycles (types produced or assembled in Vietnam) to units permitted to produce or assemble automobiles or motorcycles within the country according to the principle of selling at the price set by the principal, the agent only receives commission (based on the agency contract), then the value for stamp duties is the price recorded on the sales invoice (type of invoice issued by the Ministry of Finance) issued by the agent to the direct declarant of stamp duties.

In this case, domestic production and assembly units of automobiles or motorcycles are responsible for notifying the local tax authority in writing the list of names and addresses of each agent; the number, date, month, year of the agency contract; the specified selling price of each type of vehicle during each period; if there is any change in any of the above contents, the production unit must notify the local tax authority in writing at least 15 days in advance; if the production unit does not notify or does not timely and fully notify the above contents to the tax authority, the value for collecting stamp duties will be implemented according to the guidance of Circular No. 19 TC/TCT of March 16, 1995 of the Ministry of Finance.

b) The value for collecting stamp duties on assets that are ships, boats, automobiles, motorcycles purchased through bidding according to the regulations of the State shall be the approved winning bid price.

c) The value for collecting stamp duties on total engine assemblies or total frame assemblies (body shells) of various types of automobiles, motorcycles, ships, boats registered for replacement shall be determined by the People's Committee of the province or centrally administered city (or the Director of the Provincial Tax Department if authorized) based on the local market prices or the stamp duty value of complete automobiles, motorcycles, ships, boats multiplied by (x) the percentage (%) of the value of the corresponding parts of the means of transport prescribed by the State (if available).

4. Amend Point 1b, Section III of Circular No. 19 TC/TCT as follows: For assets that are ships, boats, automobiles, motorcycles sold by organizations or individuals not engaged in business to declarants of stamp duties, and according to the current invoice and document management system of the Ministry of Finance, the seller does not need to issue a sales invoice, in the documents and materials proving the legitimate origin of the asset declared for stamp duties, there is no need to have a sales invoice, other types of documents of the asset still follow the current regulations.

This circular takes effect 15 days after the date of signature. Other contents not amended or supplemented in this circular continue to be implemented according to the current regulations.

During the implementation process, if there are difficulties or obstacles, please promptly report them to the Ministry of Finance for consideration and resolution.