Decree No. 24/1998/ND-CP On Amending and Supplementing the Turnover Tax Rate for Certain Products and Business Sectors

DECREE

Regarding amendments and supplements to the tax rates for certain products and business sectors

THE GOVERNMENT

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

Pursuant to the Law on Business Tax dated June 30, 1990; the Law Amending and Supplementing Certain Provisions of the Law on Business Tax dated July 5, 1993;

Pursuant to Resolution No. 47/1998/NQ-UBTVQH10 dated March 25, 1998 of the Standing Committee of the National Assembly regarding amendments and supplements to the tax rates for certain products and business sectors;

Pursuant to Decree No. 96/CP dated December 27, 1995 of the Government detailing the implementation of the Business Income Tax Law and the Law Amending and Supplementing Certain Provisions of the Business Income Tax Law;

At the proposal of the Minister of Finance,

DECREE:

Article 1. Amend and supplement some tax rates in the Business Tax Table issued together with Decree No. 96/CP dated December 27, 1995 of the Government detailing the implementation of the Law on Business Tax and the Law Amending and Supplementing Certain Provisions of the Law on Business Tax as follows:

1. In Section 1 - Manufacturing Industry, amend and supplement Points 4, 5, 6, 12, 13, and 15 as follows:

"4. Smelting, rolling, drawing of metals and coke production: 2%"

"5. Production and assembly of mechanical products: 2%

Specifically:

Machinery, equipment, tools, transportation vehicles and spare parts thereof; detailed components of machinery, equipment, and transportation vehicles; steel products such as power poles, traffic bridges, complete frame structures 1%

Washing machines, air conditioners, refrigerators, vacuum cleaners, dehumidifiers, water heaters, gas stoves, cars up to 24 seats 4%"

"6. Production and assembly of electronic products 4%"

"12. Grinding, milling, processing of food grains: 2%

Instant noodles specifically 4%"

"13. Food production and processing (including tobacco leaves, cigarette threads, chewing tobacco, alcohol, monosodium glutamate, sugar, candies...) 6%

Specifically:

Salt 0.5%

Ice used for fishing; dried peanut cake and oil recovered from production processes 2%

Raw sugar, honey sugar, and refined sugar produced from raw sugar and honey sugar 4%

Seasonings, various sauces, vegetable oils, tea, milk products 4%

Soft drinks, beverages 8%"

Point 15:

"a) Various types of yarn (including carpet wool yarn, rattan yarn, silk, rush yarn, synthetic yarn), thread 2%

Wool yarn specifically 4%"

2. In Section II - Construction Industry, amend and supplement Point 1 as follows:

"1. Construction installation activities; surveying, design, and other construction-related activities 4%

Construction activities not including materials and raw materials specifically 6%"

3. In Section III - Transportation Industry, amend and supplement Point 2 as follows:

"2. Passenger and baggage transportation; air cargo transportation (including passengers, baggage, and goods) 4%

Specifically urban and city bus passenger transportation 0%"

4. In Section IV - Service Industry, supplement Subpoint k under Point 16 as follows:

"k) Operation of electronic game businesses 10%"

Article 2. This Decree takes effect from April 1, 1998. All previous regulations contrary to this Decree are abolished.

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

Ministers, Heads of ministerial-level agencies, and Chairpersons of provincial and centrally-administered city People's Committees are responsible for enforcing this Decree.