Decree No. 172/2016/ND-CP Amending Decree No. 67/2014/ND-CP dated July 7, 2014 of the Government on certain policies for developing fisheries

DECREE

Amending Decree No. 67/2014/NĐ-CP dated July 7, 2014
of the Government on certain policies for developing fisheries

Pursuant to the Law on Government Organization dated June 19, 2015;

Pursuant to the Law on State Budget Management dated December 16, 2002;

Pursuant to the Fisheries Law dated November 26, 2003;

Pursuant to the Law on the State Bank of Vietnam dated June 16, 2010;

Pursuant to the Law on Credit Institutions dated June 16, 2010;

Pursuant to the Law on Value Added Tax dated June 3, 2008 and the Law Amending and Supplementing Certain Provisions of the Law on Value Added Tax dated June 19, 2013; the Law Amending and Supplementing Certain Provisions of Laws on Taxation dated November 26, 2014;

At the proposal of the Minister of Finance;

The Government promulgates this Decree amending Decree No. 67/2014/NĐ-CP dated July 7, 2014 of the Government on certain policies for developing fisheries.

Article 1. Repeal Clause 6, Article 6 of Decree No. 67/2014/NĐ-CP dated July 7, 2014 of the Government on certain policies for developing fisheries.

Article 2. Transitional Provisions

1. For new construction and upgrade contracts of distant-water fishing vessels with total main engine power of 400 CV or more signed and completed, handed over in reality before January 1, 2015, the vessel owner shall be entitled to refund value added tax according to the provisions of the Law on Value Added Tax at the time of signing the contract.

In cases where the vessel owner constructs or upgrades distant-water fishing vessels with total main engine power of 400 CV or more arising before January 1, 2015 (without signing a contract), they shall be entitled to refund value added tax for invoices for goods and services serving shipbuilding activities (including both new construction and upgrade) from August 25, 2014 to before January 1, 2015.

2. For new construction and upgrade contracts of distant-water fishing vessels with total main engine power of 400 CV or more signed before January 1, 2015 but completed, accepted, and handed over from January 1, 2015 onwards, and for cases of new construction and upgrade of distant-water fishing vessels signed from January 1, 2015, implement the provisions of Clause 1, Article 3 of the Law Amending and Supplementing Certain Provisions of Laws on Taxation No. 71/2014/QH13 dated November 26, 2014 of the National Assembly and Article 1 of this Decree. Input VAT on goods, services, and fixed assets serving new construction and upgrade of distant-water fishing vessels shall not be refunded but included in deductible costs when determining corporate income tax. The vessel owner shall be supported by the State to borrow preferential loans according to point c, Clause 1, Article 4 of Decree No. 67/2014/NĐ-CP dated July 7, 2014 of the Government on certain policies for developing fisheries (amended and supplemented by Clause 3, Article 1 of Decree No. 89/2015/NĐ-CP dated October 2, 2015 of the Government on amending and supplementing certain provisions of Decree No. 67/2014/NĐ-CP); the value of newly constructed or upgraded vessels eligible for preferential borrowing includes all input VAT amounts (if any).

Article 3. Effectiveness

1. This Decree takes effect from February 15, 2017.

2. Ministers, Heads of ministerial-level agencies, Heads of agencies under the Government, Chairpersons of provincial People's Committees directly under the central government, and Chairpersons of industry associations in their respective functions and duties are responsible for implementing this Decree./.