JOINT CIRCULAR No. 28TT/LB REGULATING THE SYSTEM OF COLLECTION, PAYMENT AND MANAGEMENT OF FEES FOR BUSINESS ADVERTISING LICENSES

JOINT CIRCULAR

Regulations on the collection, payment, and management of usage fees for advertising license issuance

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 Pursuant to Article 14 of Decree No. 194/CP dated December 31, 1994 of the Government on advertising activities within the territory of Vietnam;

Pursuant to Decision No. 276/CT dated July 28, 1992, of the Chairman of the Council of Ministers (now the Prime Minister) on the unified management of various types of fees and charges;

The Ministry of Finance and the Ministry of Culture and Information jointly promulgate regulations on the collection, payment, and management of usage fees for advertising license issuance as follows:

I. PAYERS:

Organizations and individuals submitting applications and obtaining licenses for advertising business services (hereinafter referred to collectively as practice licenses) and advertising licenses (for each advertisement) in accordance with Article 10 of Decree No. 194/CP dated December 31, 1994 of the Government must pay the fee as stipulated in this Circular.

II. AMOUNT OF COLLECTION:

The levels of collection for advertising practice license and advertising license fees are specified as follows:

1. Advertising practice license fee:

a. For State-owned enterprises, private enterprises, joint-stock companies, limited liability companies: 300,000 dong/license.

b. For individual businesses operating under capital below the statutory limit as stipulated in Decree No. 66/HĐBT dated March 2, 1992 of the Council of Ministers (now the Government): 100,000 dong/license.

In cases of extending the validity period of certificates, the fee shall be half of the amount prescribed in this point.

2. Advertising practice license fee for operating outside the place of registration:

- For periods over 24 months up to 36 months: 300,000 dong,

- For periods over 12 months up to 24 months: 150,000 dong,

- For periods of 12 months or less: 100,000 dong

3. Advertising license fee for each advertisement, including advertisements in supplementary editions of printed newspapers, radio and television broadcasts. For advertisements in sponsorship, artistic performance, sports competitions, and other forms of activities, the fee shall be 1% of the advertising service revenue recorded in the contract between the advertiser and the advertising service provider, but the maximum fee shall not exceed 3,000,000 (Three million) dong per advertising license.

III. ORGANIZATION OF COLLECTION, PAYMENT AND USE OF FEES:

1. The Department of Culture and Information shall be responsible for organizing the collection of advertising license fees according to the following provisions:

- Organizations and individuals when submitting applications for advertising practice licenses or advertising licenses must temporarily pay 50% of the advertising fee according to the level of collection prescribed in Section II of this Circular.

- Organizations and individuals when receiving advertising practice licenses or advertising licenses must pay the remaining 50% of the fee according to the level of collection prescribed in Section II of this Circular.

In cases where organizations and individuals submit applications for licenses but do not meet the conditions and standards and therefore do not obtain advertising licenses, the temporarily paid fee (50%) will be used to cover the costs of examination and will not be refunded to the payer.

- When collecting advertising license fees (including the temporary collection of 50%), a receipt issued by the Ministry of Finance (General Tax Department) must be provided to the payer, ensuring that the amount recorded on the receipt matches the amount collected from the payer. The fee collection agency must hand over the receipt to the local tax office where the entity is registered and is responsible for managing, using, and settling the receipt in accordance with the stamp management system of the Ministry of Finance.

- Register and declare the collection, payment of advertising fees to the local tax office where the entity is registered at least five days before the start of the fee collection process, maintain accounting records to track the collection, payment, and use of advertising license fees in accordance with the Accounting and Statistics Law.

2. Management and use of the collected advertising license fees:

a. The advertising fee collection agency may temporarily retain 50% of the collected fees for the following purposes:

- Printing application forms, declaration forms, various types of licenses to issue to applicants;

- Paying remuneration to organizations cooperating in the examination and confirmation of meeting the conditions and standards for advertising activities;

- Supporting state management functions related to advertising such as training, inspection;

- Awarding bonuses to civil servants and employees who complete their tasks well and achieve results in state management of advertising, with the average maximum bonus per person per year not exceeding three months' basic salary according to the current salary system.

All funds retained according to the above provisions must be balanced in the annual financial plan of the unit, used for the intended purpose, managed according to financial regulations, and settled with the same-level finance authority. If unused, the remaining amount must be fully deposited into the state budget.

b. The remaining 50% of the advertising license fees after temporarily retaining the amount as stipulated in paragraph a, point 22, the advertising license fee collection agency under the Ministry of Culture and Information must deposit all into the central budget, while agencies under provincial culture and information departments must deposit into the local budget. The deadline for depositing must comply with the local tax department's regulations but must be completed by the tenth day of the month following the previous month's due amount.

IV. IMPLEMENTATION ORGANIZATION:

1. Tax authorities at all levels within their functional scope are responsible for inspecting and urging the advertising license fee collection agencies to strictly adhere to the management system for receipts and stamps, and to report and settle accounts in accordance with regulations.

2. The authority to issue certificates confirming eligibility for advertising practice and advertising licenses shall be carried out in accordance with Circular No. 37-VHTT dated July 1, 1995 of the Ministry of Culture and Information guiding the implementation of Decree No. 194/CP dated December 31, 1994 of the Government on advertising activities within the territory of Vietnam.

3. This Circular takes effect from the date of signature. Any previous regulations contrary to the provisions of this Circular are hereby abolished.

During the implementation process, if there are any difficulties, they should be promptly reported to the Ministry of Finance and the Ministry of Culture and Information for research and resolution.