Circular No. 335/2016/TT-BTC Prescribes the level of collection, collection system, payment, management, and use of auction fees for assets and participation fees for asset auctions.

CIRCULAR

REGULATIONS ON THE LEVEL OF COLLECTION, SYSTEM OF COLLECTION, PAYMENT, MANAGEMENT AND USE OF FEES FOR AUCTIONING ASSETS AND PARTICIPATION FEES IN AUCTIONING ASSETS

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

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

Pursuant to the Auction Law dated November 17, 2016;

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;

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, system of collection, payment, management and use of fees for auctioning assets and participation fees in auctioning assets.

Article 1. Scope of Regulation and Applicability

1. This Circular regulates the level of collection, system of collection, payment, management and use of fees for auctioning assets and participation fees in auctioning assets.

2. Organizations and individuals having assets to be auctioned according to Decree No. 17/2010/NĐ-CP dated March 4, 2010 of the Government on Auctioning Assets must pay the auction fee for professional auction organizations, except in cases where land use rights are auctioned for transferring land with land use fee payments or leasing land, and other cases carried out by the Auction Committee.

3. Organizations and individuals participating in auctions according to Decree No. 17/2010/NĐ-CP dated March 4, 2010 of the Government.

Article 2. Level of Collection of Fees and Taxes

1. Level of Collection of Auction Fees:

a) In the case of successful asset auction, the level of collection shall be calculated based on the value of the auctioned asset from one auction session, as follows:

b) In the case of unsuccessful asset auction, within seven days from the end of the auction session, the person with the auctioned asset, enforcement agency, financial authority shall settle actual and reasonable expenses as stipulated in Article 43 of Decree No. 17/2010/NĐ-CP dated March 4, 2010 to the auction organization or the Auction Committee, except in cases where the parties have agreed otherwise or there are different legal provisions.

2. Level of Collection of Participation Fees in Auctions

The level of collection of participation fees in auctions is determined corresponding to the initial price of the auctioned asset as follows:

3. Depending on the specific characteristics and conditions of each locality, the People's Council of provinces and centrally-administered cities shall decide specifically on the level of collection of auction fees and participation fees in auctions applicable to local conditions but not exceeding the levels set forth in Clause 1 and Clause 2 of this Article.

Article 3. Management and Use of Fees

The management and use of fees shall be carried out as follows:

1. The Auction Committee may use the collected fees to cover costs for the Auction Committee, and if there is any surplus, it must be paid into the State budget.

2. The Service Center for Auctioning Assets manages and uses the collected auction fees and participation fees as follows:

If the Service Center for Auctioning Assets has been guaranteed funding from the State budget for auctioning activities, it must pay all collected fees into the State budget in accordance with current laws.

If the Service Center for Auctioning Assets has not been guaranteed funding from the State budget for organizing auctions, it may retain part of the collected fees to cover auctioning and fee collection costs as stipulated by law; the remaining fees must be paid into the State budget.

Based on the level of collection of auction fees and participation fees applied in the locality and the operational situation of the Service Center for Auctioning Assets, the People's Council of provinces and centrally-administered cities shall decide the percentage of retained funds from the collected auction fees and participation fees for the fee collecting unit to cover auctioning and fee collection costs.

3. For fee collecting units that are asset auction companies (excluding land use rights auctions): Auction fees and participation fees collected are not included in the State budget. The fee collecting unit has the obligation to pay taxes on the collected fees in accordance with tax laws and has the right to manage and use the collected fees after paying taxes in accordance with current tax laws. Annually, the fee collecting unit must settle taxes on the collected fees with the tax authority in accordance with current tax laws.

4. Other matters related to collection, payment, management, use, receipt vouchers, and publicizing the fee collection system 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; Circular No. 156/2013/TT-BTC dated November 6, 2013 of the Minister of Finance guiding the implementation of certain articles of the Law on Tax Administration, the Law Amending and Supplementing Certain Articles of the Law on Tax Administration, and Decree No. 83/2013/NĐ-CP dated July 22, 2013 of the Government; Circular of the Minister of Finance regulating printing, issuance, management, and use of various types of fee and charge receipts belonging to the State budget and any amendments, supplements, or replacements (if any).

Article 4. Organization of Implementation

1. This Circular takes effect from February 12, 2017 until July 1, 2017.

2. For localities where the People's Council of provinces and centrally-administered cities have issued fee collection regulations for auctioning and participation fees in auctions according to Circular No. 03/2012/TT-BTC dated January 5, 2012 of the Ministry of Finance before the issuance of this Circular, they shall continue to implement these regulations until the People's Council of provinces and centrally-administered cities issue new replacement regulations.

3. The level of collection, system of collection, payment, management and use of auction fees and participation fees in auctions stipulated in this Circular shall be implemented from the date specified in Clause 2 of Article 81 of the Auction Law (January 1, 2017).

4. During the implementation period, if there are any difficulties, organizations and individuals are requested to promptly report them to the Ministry of Finance for research and supplementary guidance.