Circular No. 272/2016/TT-BTC stipulates the levels of collection, collection system, payment, management, and use of fees and charges in the securities sector.

CIRCULAR

REGULATIONS ON THE LEVEL OF COLLECTION, COLLECTION SYSTEM, PAYMENT, MANAGEMENT AND USE OF FEES AND CHARGES IN THE SECURITIES FIELD

Pursuant to the Law on Fees and Registration Fees dated November 25, 2015;

Pursuant to the State Budget Law dated June 25, 2015;

The Government issues this Decree amending and supplementing Clause 2, Article 12 of Decree No. 91/2015/NĐ-CP dated October 13, 2015 of the Government on state capital investment in enterprises and management and use of capital and assets in enterprises, which has been amended and supplemented at Clause 5, Article 1 of Decree No. 32/2018/NĐ-CP dated March 8, 2018 of the Government amending and supplementing some articles of Decree No. 91/2015/NĐ-CP.

Pursuant to Decree No. 58/2012/NĐ-CP dated July 20, 2012; Decree No. 60/2015/NĐ-CP dated June 26, 2015 of the Government detailing and guiding the implementation of certain provisions of the Securities Law and the Law Amending and Supplementing Certain Provisions of the Securities Law;

Pursuant to Decree No. 120/2016/NĐ-CP dated August 23, 2016 of the Government detailing and guiding the implementation of certain provisions of the Law on Fees and Charges;

Pursuant to Decree No. 215/2013/NĐ-CP dated December 23, 2013, promulgated by the Government stipulating the functions, tasks, powers, and organizational structure of the Ministry of Finance;

Pursuant to Decision No. 29/2009/QĐ-TTg dated February 20, 2009 of the Prime Minister on the self-management regime for staffing and operating funds of the State Securities Commission;

At the proposal of the Director of the Department of Tax Policy,

The Minister of Finance issues this Circular to regulate the level of collection, collection system, payment, management and use of fees and charges in the securities field.

Article 1. Scope of Regulation and Applicability

1. This Circular stipulates the rates of collection, the system of collection, payment, management, and use of fees for securities management and supervision activities; and stamp fees for issuing licenses and certificates for securities business activities applicable at the State Securities Commission.

2. This Circular applies to organizations and individuals paying fees and stamp fees; organizations collecting fees and stamp fees; and other organizations and individuals related to the collection and payment of fees and stamp fees.

Article 2. Organizations collecting fees and persons paying fees and charges

1. The organization collecting fees and charges is the State Securities Commission.

2. The payers of fees and stamp fees are organizations and individuals engaged in securities business activities as specified in the Table of Fee and Stamp Fee Rates issued together with this Circular. For the distribution of fund certificates, the payers of stamp fees are commercial banks and insurance companies registered to engage in the distribution of fund certificates.

Article 3. Level of fees and charges

The rates of fees for securities management and supervision activities; and stamp fees for issuing licenses and certificates for securities business activities shall be implemented according to the Table of Fee and Stamp Fee Rates issued together with this Circular.

Article 4. Declaration, Collection, Payment of Fees and Charges by Paying Persons

1. Fees and charges in the securities field shall be collected in Vietnamese dong.

2. Payment of stamp fees: Payers of stamp fees must pay the full amount of stamp fees when they are issued licenses or certificates for securities business activities.

3. Collection and payment of securities supervision fees: The Stock Exchange (hereinafter referred to as the SSE) and the Vietnam Securities Depository (hereinafter referred to as VSD) must pay securities supervision fees to the State Securities Commission quarterly, within the period from the first day to the thirtieth day of the first month of each quarter. The securities supervision fees paid to the State Securities Commission shall be recorded as deductible expenses when calculating corporate income tax for the SSE and VSD.

4. Collection and payment of management fees for public companies not listed or traded

a) Organizations whose registration applications for public companies have been approved must pay management fees for public companies not listed or traded, calculated according to the following formula:

Amount of fee payable = 10 million VND/12 months x Duration of fee calculation (months).

Duration of fee calculation: starts from the month following the month in which the application for registration of a public company is approved until the end of the month in which the SSE issues a Decision approving listing or trading registration, or the SSC issues a Notice revoking the registration of a public company.

b) The payment period for fees is from December 1 to December 31 each year.

Example 1, Company A was approved to register as a public company from June 15, 2016. By December 2016 (from December 1 to December 31), Company A must pay the following fee: = 10 million VND/12 months x 6 months (from July to December) = 5 million VND. From the following year onwards, Company A must pay management fees annually in December with an annual fee of 10 million VND.

In cases where a public company is issued a Decision approving listing or trading registration by the SSE or a Notice revoking the registration of a public company by the SSC differs from the specified payment period (December each year), the company must pay the fees for the unpaid period according to the regulations. The deadline for payment is within thirty days from the date of issuance of the Decision or Notice.

Example 2, Company B was approved to register as a public company from April 15, 2016. On October 20, 2016, Company B was officially approved for listing (or its registration revoked), the amount of fee payable is: 10/12 x 6 months = 5 million VND.

Example 3, Company C was approved to register as a public company from March 15, 2016. On March 15, 2017, Company C was officially approved for listing (or its registration revoked). The company pays the fee as follows:

Year 2016: 10/12 x 9 months = 7.5 million VND (paid in December 2016)

Year 2017: 10/12 x 3 months = 2.5 million VND. The payment period is from March 15, 2017 to April 15, 2017. If the fee for 2016 has not been paid, Company C must pay 10 million VND.

5. Management fee for open-ended funds

a) Within thirty days from the date of issuance of the certificate for open-ended fund operations, the fund management company must pay management fees as follows:

- In cases where the certificate is issued from January 1 to June 30 each year, the fee payable is 10 million VND/fund;

- In cases where the certificate is issued from July 1 to December 31 each year, the fee payable is 5 million VND/fund;

b) In subsequent years, the fund management company must pay a fee of 10 million VND/fund, with the payment period from December 1 to December 31 each year.

Article 5. Declaration, payment of fees and charges by the fee collection organization

1. At the latest by the second working day of each week, the organization collecting fees must transfer the collected fees from the previous week into the account for pending budget payments opened at the National Treasury.

2. Organizations collecting fees and stamp fees must declare, pay collected fees and stamp fees monthly, and settle accounts annually in accordance with the guidance provided in Clause 3 Article 19 and Clause 2 Article 26 of Circular No. 156/2013/TT-BTC dated November 6, 2013 of the Minister of Finance guiding the implementation of certain provisions of the Tax Administration Law; the Law Amending and Supplementing Certain Provisions of the Tax Administration Law, and Decree No. 83/2013/NĐ-CP dated July 22, 2013 of the Government. Organizations collecting fees must remit 5% of the collected fees and 100% of the collected stamp fees into the state budget according to the chapters, sections, and sub-sections of the State Budget Classification.

Article 6. Management and Use of Fees

Organizations collecting fees and stamp fees may retain 95% of the collected fees for use in accordance with Decision No. 29/2009/QĐ-TTg dated February 20, 2009 of the Prime Minister on the self-management regime for staffing and operating funds of the State Securities Commission and implementing documents.

Article 7. Implementation organization and enforcement provisions

1. This Circular takes effect from January 1, 2017 and replaces Circular No. 67/2014/TT-BTC dated May 21, 2014 of the Minister of Finance stipulating the rates of collection, the system of collection, payment, management, and use of fees and stamp fees in the securities sector applicable at the State Securities Commission.

2. Other contents related to collection, payment, management, use, revenue receipts, publicizing the fee and charge system in the securities sector not mentioned in this Circular shall be implemented in accordance with the Law on Fees and Charges; Decree No. 120/2016/NĐ-CP dated August 23, 2016 of the Government detailing and guiding the implementation of certain provisions of the Law on Fees and Charges; Circular No. 156/2013/TT-BTC dated November 6, 2013 of the Minister of Finance guiding the implementation of certain provisions of the Law on Tax Administration; the Law amending and supplementing certain provisions of the Law on Tax Administration and Decree No. 83/2013/NĐ-CP dated July 22, 2013 of the Government; Circular No. 153/2012/TT-BTC dated September 17, 2012 of the Minister of Finance guiding the printing, issuance, management, and use of various types of revenue receipts for fees and charges under the State budget and any amended, supplemented, or replaced documents (if any).

3. During the implementation process, if there are any difficulties, organizations and individuals are requested to promptly report them to the Ministry of Finance for further study and supplementary guidance.

SCHEDULE OF FEES AND CHARGES IN THE SECURITIES SECTOR

(Attached to Circular No. 272/2016/TT-BTC dated November 14, 2016 of the Minister of Finance)