Decree No. 15/2000/NĐ-CP detailing the implementation of Resolution No. 90/1999/NQ-UBTVQH10 dated September 3, 1999 of the Standing Committee of the National Assembly on amending and supplementing certain lists of goods and services not subject to value-added tax and the tax rate for value-added tax on certain goods and services.

DECREE

Detailed Implementation Regulations

Resolution No. 90/1999/NQ-UBTVQH10 dated September 3, 1999 of the Standing Committee of the National Assembly on amending and supplementing certain lists of goods and services that are not subject to value-added tax and the rate of value-added tax for certain goods and services;

Amending and supplementing the list of certain goods and services that are exempt from value-added tax as stipulated in Article 4 of Decree No. 28/1998/NĐ-CP dated May 11, 1998 of the Government as follows:

1. Clause 4 is amended and supplemented as follows:

"4. Special equipment, machinery, and transportation means within production lines and construction materials that are not yet produced domestically and need to be imported to form fixed assets of enterprises; aircraft, drilling platforms, and ships leased from foreign countries that are not yet produced domestically and used for production and business. In cases where an enterprise imports a complete set of equipment and machinery that are exempt from value-added tax but the set includes equipment and machinery already produced domestically, value-added tax shall not be applied to the entire set. The Ministry of Planning and Investment shall take the lead in coordinating with relevant ministries and agencies to issue a list of special equipment, machinery, and transportation means and construction materials that are already produced domestically to serve as a basis for distinguishing them from special equipment, machinery, and transportation means within production lines and construction materials that are not yet produced domestically and need to be imported to form fixed assets of enterprises as specified in this clause."

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THE GOVERNMENT

Pursuant to the Government Organization Law dated September 30, 1992;

Pursuant to the Law on Value Added Tax No. 02/1997/QH9 dated May 10, 1997;

2. Clause 10 is amended and supplemented as follows:

At the proposal of the Minister of Finance,

DECREE:

Article 1. "10. Cultural activities, exhibitions, and mass sports and physical training events that are non-commercial and do not charge fees or only charge minimal fees without commercial purposes; artistic performances such as singing, dancing, music, drama, circus; other artistic performances and organizing artistic performances; film production of all types; Importation, distribution, and screening of films: for celluloid films regardless of the theme; for video tapes and discs, only documentary, news, and scientific films."

3. Clause 13 is amended and supplemented as follows:

"13. Printing, publishing, importing, and distributing: newspapers, magazines, specialized newsletters, political books, textbooks (including those recorded on audio or video tapes), teaching materials, legal texts, books printed in ethnic minority languages, paintings, photographs, propaganda posters; printing money."

4. Clause 20 is amended and supplemented as follows:

"20. Goods imported under the following circumstances: humanitarian aid, non-reimbursable aid; gifts to state agencies, political organizations, political-social organizations, social organizations, occupational associations, and people's armed forces units; personal effects of foreign organizations and individuals according to diplomatic exemptions; items carried by passengers within the duty-free baggage allowance; personal effects of overseas Vietnamese when returning to Vietnam. Goods imported under the above circumstances shall be determined according to the regulations of the State. Goods sold to international organizations and foreigners for humanitarian aid and non-reimbursable aid to Vietnam. For domestic organizations using foreign humanitarian aid and non-reimbursable aid to purchase goods in Vietnam, they shall be refunded the value-added tax paid as shown on the value-added tax invoice at the time of purchase."

Amending and supplementing the rate of value-added tax for certain goods and services as stipulated in Article 7 of Decree No. 28/1998/NĐ-CP dated May 11, 1998 of the Government as follows:

1. Moving the category of goods: coal, mechanical products (excluding consumer mechanical products), basic chemicals from the 10% tax rate group in Clause 3 of Article 7 to the 5% tax rate group in Clause 2 of Article 7.

2. Moving the category of services: hotels, tourism, and catering from the 20% tax rate group in Clause 4 of Article 7 to the 10% tax rate group in Clause 3 of Article 7. Goods and services mentioned in Clauses 1 and 2 of this Article, which were previously reduced by 50% of the value-added tax according to Clause 3 of Article 1 of Decree No. 78/1999/NĐ-CP dated August 20, 1999 of the Government, will now no longer be eligible for a 50% reduction but will instead apply the new tax rates specified above from the date this Decree takes effect.

This Decree shall take effect 15 days after its signing. Any provisions in Decrees No. 28/1998/NĐ-CP dated May 11, 1998, No. 102/1998/NĐ-CP dated December 21, 1998, and Decree No. 78/1999/NĐ-CP dated August 20, 1999 of the Government that conflict with this Decree shall be abolished.

Article 2. Amend and supplement the rates of value-added tax for certain goods and services specified in Article 7 of Decree No. 28/1998/NĐ-CP dated May 11, 1998 of the Government as follows:

1. Transfer the list of goods: coal, mechanical products (excluding consumer mechanical products), basic chemicals from the 10% tax rate group under Clause 3 of Article 7 to the 5% tax rate group under Clause 2 of Article 7.

2. Transfer the list of services: hotels, tourism, food and beverage from the 20% tax rate group under Clause 4 of Article 7 to the 10% tax rate group under Clause 3 of Article 7. Goods and services mentioned in Clauses 1 and 2 of this Article which were previously subject to a 50% reduction in value-added tax according to Clause 3 of Article 1 of Decree No. 78/1999/NĐ-CP dated August 20, 1999 of the Government shall now no longer be eligible for such a 50% reduction but instead shall apply the new tax rates prescribed above from the date this Decree takes effect.

Article 3. This Decree shall take effect fifteen days after the date of signature. Any provisions contrary to this Decree in previous Decrees No. 28/1998/NĐ-CP dated May 11, 1998, No. 102/1998/NĐ-CP dated December 21, 1998, and Decree No. 78/1999/NĐ-CP dated August 20, 1999 of the Government are hereby abolished.

Article 4. The Minister of Finance shall guide the implementation of this Decree.

The Ministers, Heads of ministerial-level agencies, Heads of government-affiliated agencies, Chairpersons of provincial people's committees under the central government shall be responsible for enforcing this Decree.