Circular No. 27/2010/TT-BTC stipulates the level of collection, payment procedures, management, and use of securities trading activity fees applicable at the Stock Exchanges and the Securities Depository Center of Vietnam.

CIRCULAR

Regulations on the level of collection, payment procedures, management, and use of securities fees applicable at stock exchanges and the Vietnam Securities Depository Centerinternal control activities

securities shall be applied at the Stock Exchanges and

the Vietnam Securities Depository

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Pursuant to Decree No. 14/2007/NĐ-CP dated January 19, 2007 of the Government detailing certain provisions of the Securities Law;

Pursuant to Decrees No. 57/2002/NĐ-CP dated June 3, 2002 and No. 24/2006/NĐ-CP dated March 6, 2006 of the Government detailing the implementation of the Ordinance on Fees and Charges;

Pursuant to Decree No. 75/2008/NĐ-CP of the Government amending and supplementing some articles of Decree No. 170/2003/NĐ-CP dated December 25, 2003 of the Government detailing the implementation of certain provisions of the Ordinance on Prices;

Pursuant to Decree No. 14/2007/NĐ-CP dated January 19, 2007 of the Government detailing the implementation of certain provisions of the Securities Law;

Amending Point 10.1 of Section II of the Fee Schedule issued together with Circular No. 27/2010/TT-BTC as follows:

Pursuant to Decree No. 75/2008/NĐ-CP of the Government amending and supplementing some articles of Decree No. 170/2003/NĐ-CP dated December 25, 2003 of the Government detailing the implementation of certain provisions of the Price Regulation Ordinance;

Pursuant to Decree No. 118/2008/NĐ-CP dated November 27, 2008, of the Government stipulating the functions, tasks, powers, and organizational structure of the Ministry of Finance;

The Ministry of Finance hereby stipulates the level of collection, payment procedures, management, and use of securities activity fees applicable at stock exchanges and the Vietnam Securities Depository Center as follows:

Article 1. Scope of application

1. The securities activity fees prescribed in this Circular apply to activities related to the implementation of securities activities at stock exchanges and the Vietnam Securities Depository Center.

2. The organizations entitled to collect the securities activity fees prescribed in this Circular are the Ho Chi Minh City Stock Exchange, the Hanoi Stock Exchange, and the Vietnam Securities Depository Center.

Article 2. Persons Paying Fees

The fee payers are organizations and individuals implementing activities related to securities trading operations as specified in the Fee Collection Table attached to this Circular.

Article 3. Fee Collection Table

1. The level of collection of securities fees applicable at stock exchanges and the Vietnam Securities Depository Center shall be implemented according to the Fee Collection Table attached to this Circular.

2. The initial listing registration fee shall be collected upon approval of the listing of securities and shall not be collected in cases of transferring listing registration between stock exchanges.

3. The annual membership management fee for trading members and depositary members shall be calculated for a full year of twelve months, with the calculation period starting from the first day of the month following the month in which approval as a trading member or depositary member was granted.

Example: Organization A registers as a trading member or depositary member from February 10, 2009, then the annual membership management fee for trading members or depositary members will be calculated from March 1, 2009.

4. Securities companies that implement online trading activities shall pay the initial connection fee immediately upon being approved by the stock exchange to become an online trading member.

5. The periodic maintenance fee for a full year shall be calculated for a full year of twelve months, with the calculation period starting from the first day of the month following the month of connection. For example: Organization B registers for online trading from February 10, 2009, then the connection fee will be calculated from March 1, 2009.

6. The transaction fee for buying and selling government bonds (repo transactions) shall only be charged once when the transaction is confirmed.

7. The listing registration fee prescribed in Point 2 of the Fee Collection Table issued by this Circular does not apply to government bonds.

8. The securities registration fee prescribed in Point 9 of the Fee Collection Table issued by this Circular does not apply to government bonds.

9. The transaction value in cases of transferring ownership of securities prescribed in Point 14 of the Fee Collection Table issued by this Circular shall be determined as follows:

- For listed/shares traded: according to the price recorded in the transfer contract but not lower than the reference price of the shares on the day the Vietnam Securities Depository Center implements the transfer of ownership or according to the price approved by the competent state authority multiplied by the number of shares transferred. In cases of gift, inheritance, or contracts without a transfer price, it shall be based on the reference price of the shares on the day the Vietnam Securities Depository Center implements the transfer of ownership multiplied by the number of shares transferred.

- For unlisted shares: equal to the par value of the shares multiplied by the number of shares transferred.

- The securities transfer fee prescribed in Point 14.1 of the Fee Collection Table applies to both the transferor and the transferee.

- The securities ownership transfer fee prescribed in Point 14.2 of the Fee Collection Table applies only to the transferee.

Article 4. Collection, payment, management and use

1. Fees in the securities sector as prescribed in this Circular are not included in the state budget. The fee-collecting entity has the obligation to pay taxes according to the provisions of the law on the amount of fees collected and the right to manage and use the collected fees after paying taxes as prescribed by law.

2. The revenue from transaction fees for transferring securities as stipulated at Point 14.1 of the Fee Schedule issued together with this Circular shall be allocated to the Securities Exchange at a ratio of 50% of the collected fees.

3. Other regulations regarding collection, payment, management, use, receipt, and publicizing the fee collection system shall be implemented in accordance with the guidance provided in Circular No. 60/2007/TT-BTC dated June 14, 2007, and Circular No. 157/2009/TT-BTC dated August 6, 2009, amending and supplementing Circular No. 60/2007/TT-BTC of the Ministry of Finance guiding the implementation of certain provisions of the Law on Tax Administration and guiding the implementation of Decree No. 85/2007/NĐ-CP dated May 25, 2007 of the Government detailing the implementation of certain provisions of the Law on Tax Administration.

4. Securities activity fees shall be collected in Vietnamese Dong.

5. In cases where government bond auction fees are collected in foreign currency, they must be converted into Vietnamese Dong based on the inter-bank foreign exchange rate on the last issuance date of each issuance period; Government bond transaction fees in foreign currency shall be calculated in Vietnamese Dong based on the inter-bank exchange rate published by the State Bank of Vietnam on the transaction date.

6. In cases where principal and interest settlement agency fees for government bonds are collected in foreign currency, they must be converted into Vietnamese Dong based on the average exchange rate in the month when principal and interest settlements occur.

Article 5. Implementation Provisions

1. This Circular takes effect 45 days from the date of signature. Repealed: The provisions on securities activity fees in Circular No. 110/2002/TT-BTC dated December 12, 2002; Circular No. 11/2006/TT-BTC dated February 21, 2006, amending and supplementing Circular No. 110/2002/TT-BTC dated December 12, 2002 of the Ministry of Finance guiding the collection, payment, management, and use of fees and charges in the banking, securities, and insurance sectors; Decision No. 1351/QĐ-BTC dated June 13, 2008 of the Minister of Finance adjusting the reduction in transaction fees for stocks and fund certificates and the guidance of the Ministry of Finance on government bond issuance and trading fees contrary to the provisions of this Circular.

During implementation, if any difficulties arise, organizations and individuals are requested to promptly reflect them to the Ministry of Finance for study and supplementary guidance./.