Consolidated Document number 45/VBHN-BTC stipulates the level of collection, the system of collection, submission, management, and use of concession fees for the exploitation of civil airports.

CIRCULAR[1]

REGULATIONS ON THE LEVEL OF COLLECTION, SYSTEM OF COLLECTION, PAYMENT, MANAGEMENT AND USE OF FEES FOR THE RIGHT TO EXPLOIT AIRPORTS AND AIRPORT TERMINALS

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 Civil Aviation Law of Vietnam dated June 29, 2006 and the Law Amending and Supplementing Certain Articles of the Civil Aviation Law of Vietnam dated November 21, 2014;

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. 102/2015/NĐ-CP dated October 20, 2015, promulgated by the Government on the management and operation of civil aviation airports;

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 the right to exploit airports and airport terminals.[2]

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 the right to exploit airports and airport terminals.

2. This Circular applies to organizations and individuals paying the fees; organizations collecting the fees; agencies, organizations and individuals related to the collection and payment of fees for the right to exploit airports and airport terminals.

Article 2. Fee Payers and Fee Collecting Organizations

1. The fee payers are organizations and individuals operating infrastructure at airports and airport terminals providing air traffic services and conducting business at airports.

2. The fee collectors are Civil Aviation Port Authorities (Civil Aviation Port Authority Northern Region, Civil Aviation Port Authority Central Region, Civil Aviation Port Authority Southern Region) under the Civil Aviation Administration of Vietnam.

Article 3. Cases Exempted from Fees

Fees shall be exempted in the following cases:

1. Special aircraft flights (excluding charter aircraft or chartered compartments for special aircraft purposes).

2. Flights of official aircraft.

3. Search and rescue flights, humanitarian aid transport, flood relief, disaster relief and other humanitarian missions.

Article 4. Fee Rates

In which: The fee level is calculated based on the volume of flights landing or taking off (volume counted per landing or takeoff) going to or coming from airports within the area managed by the Civil Aviation Port Authority.

Article 5. Declaration, Collection, and Payment of Fees

1. By the twentieth day of each month, the fee payer must submit the amount of fees due for flights taking off or landing at airports and airport terminals managed by the Civil Aviation Port Authority in the previous month. The fees are paid directly to the fee collector or deposited into the fee account awaiting submission to the state budget opened at the State Treasury.

2. On a weekly basis, no later than the second day of each week, the fee collector must deposit the fees collected in the previous week into the fee account awaiting submission to the state budget opened at the State Treasury.

3. The fee collector must declare and pay the collected fees monthly, settle accounts annually according to the provisions of Clause 3, Article 19 and Clause 2, Article 26 of Circular No. 156/2013/TT-BTC dated November 6, 2013 issued by the Minister of Finance guiding the implementation of certain articles of the Law on Tax Management; the Law Amending and Supplementing Certain Articles of the Law on Tax Management and Decree No. 83/2013/NĐ-CP dated July 22, 2013 of the Government; and submit the collected fees to the state budget according to the chapters, sections, sub-sections of the State Budget Manual as stipulated in Article 6 of this Circular.

Article 6. Management and Use of Fees

1. Civil Aviation Port Authority Northern Region: Retain 45% of the collected fees to cover operational costs for service provision and fee collection as prescribed; transfer 14% to the Civil Aviation Administration of Vietnam; and remit 41% to the state budget.

2. Civil Aviation Port Authority Central Region: Retain 52% of the collected fees to cover operational costs for service provision and fee collection as prescribed; transfer 4% to the Civil Aviation Administration of Vietnam; and remit 44% to the state budget.

3. Civil Aviation Port Authority Southern Region: Retain 43% of the collected fees to cover operational costs for service provision and fee collection as prescribed; transfer 18% to the Civil Aviation Administration of Vietnam; and remit 39% to the state budget.

4. The fee collector (the Civil Aviation Port Authorities) manages and uses the retained funds according to Article 5 of Decree No. 120/2016/NĐ-CP dated August 23, 2016 of the Government detailing the implementation of the Law on Fees and Charges; including expenses for: enhancing professional skills according to Decree No. 101/2017/NĐ-CP dated September 1, 2017 of the Government on training and professional development for civil servants, public officials, and civil servants; demarcation of military and civilian boundaries at airports and airport terminals (the portion managed by the port authorities); renting office space for Port Authority Representatives (if any).

5. The Civil Aviation Administration of Vietnam uses the fees for the right to exploit airports and airport terminals for state management activities according to the laws on the state budget; laws on fees and charges; and the special financial mechanism of the Civil Aviation Administration of Vietnam as stipulated by the Prime Minister.

Article 7. Implementation organization and enforcement provisions

1. This Circular shall take effect from January 1, 2017 and replace Circular No. 151/2013/TT-BTC dated October 29, 2013 of the Minister of Finance on the regime for collection, payment, management, and use of port and airport concession fees.

2. Other contents related to the collection, payment, management, use, revenue receipts, and publicizing the concession fee collection regime for ports and airports not mentioned in this Circular shall be implemented according to the provisions of the Law on Fees and Charges; Decree No. 120/2016/NĐ-CP dated August 23, 2016 of the Government detailing the implementation 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 articles 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 belonging to the state budget and any amended, supplemented, or replaced documents (if any).

3. In the course of implementation, if there are difficulties, agencies, organizations, and individuals are requested to promptly reflect them to the Ministry of Finance for research and guidance to amend and supplement appropriately.