Circular No. 61/2021/TT-BTC guiding the preparation of the State budget estimate for 2022 and the three-year financial-plan-budget plan from 2022 to 2024.

Y...1.01.2021
CIRCULAR
Guidelines for preparing the state budget estimate for 2022 and the three-year financial-plan-budget plan from 2022 to 2024

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

Pursuant to Decree No. 163/2016/NĐ-CP dated December 21, 2016 of the Government detailing and guiding the implementation of the Law on State Budget;

Pursuant to Decree No. 45/2017/ND-CP dated April 21, 2017 of the Government detailing the preparation of five-year financial plans and three-year state budget financial plans;

Pursuant to Decree No. 31/2017/ND-CP dated March 23, 2017 of the Government promulgating the regulations on the establishment, examination, decision-making of five-year local financial plans, five-year medium-term public investment plans at the local level, three-year local financial-budget plans, local budget estimates and allocations, and annual approval of local budget final accounts;

Pursuant to Decree No. 87/2017/NĐ-CP dated July 26, 2017, issued by the Government, stipulating the functions, tasks, powers, and organizational structure of the Ministry of Finance;

Implementing Directive No. 20/CT-TTg dated July 23, 2021 of the Prime Minister on building the socio-economic development plan and the state budget estimate for 2022;

Pursuant to the proposal of the Director of the State Budget Department;

The Minister of Finance issues this Circular guiding the preparation of the state budget estimate for 2022 and the three-year financial-budget plan from 2022 to 2024.

PART I
EVALUATION OF THE IMPLEMENTATION OF STATE BUDGET TASKS IN 2025
STATE BUDGET IN 2021

Article 1. Basis for assessment

1. Resolutions of the National Assembly, the Government, People's Councils at all levels, and management documents of competent authorities regarding the state budget (SB) estimate for 2021:

a) Resolutions of the National Assembly No. 124/2020/QH14 dated November 11, 2020 on the Socio-Economic Development Plan for 2021, No. 128/2020/QH14 dated November 12, 2020 on the SB estimate for 2021, No. 129/2020/QH14 dated November 14, 2020 on the allocation of the central government budget (CGB) for 2021.

b) Decisions of the Prime Minister and Chairmen of People's Committees at all levels on allocating the SB estimate and capital investment plans from the SB; decisions on additional budgets during the implementation of the SB for 2021.

c) Resolutions of the Government: No. 01/NQ-CP dated January 1, 2021 on major tasks and solutions to implement the socio-economic development plan and the SB estimate for 2021 (Resolution No. 01/NQ-CP), No. 02/NQ-CP dated January 1, 2021 on continuing to implement major tasks and solutions to improve the business environment and enhance national competitiveness in 2021 (Resolution No. 02/NQ-CP), No. 58/NQ-CP dated June 8, 2021 on the regular meeting of the Government in May 2021, No. 68/NQ-CP dated July 1, 2021 on some support policies for workers and employers affected by the COVID-19 pandemic, No. 30/NQ-CP dated March 12, 2020 promulgating the Action Program of the Government to implement Resolution No. 39-NQ/TW dated January 15, 2019 of the Politburo on enhancing the efficiency of management, exploitation, utilization, and promotion of economic resources and resolutions of regular monthly meetings of the Government.

d) Resolutions of People's Councils, Decisions of People's Committees, and Directives of Chairmen of People's Committees at all levels on major tasks and solutions to guide the implementation of the socio-economic development plan and the local budget (LB) estimate for 2021.

đ) Circular No. 109/2020/TT-BTC dated December 25, 2020 of the Ministry of Finance on organizing the implementation of the SB estimate for 2021.

2. Other documents:

a) Documents of competent authorities on tax, fee, and surcharge collection systems; policies on tax, fee, and surcharge deferral, exemption, reduction, and measures to increase revenue and resolve difficulties for businesses and people, and budget spending to prevent and control the COVID-19 pandemic and support workers and employers affected by the pandemic; provisions on reducing and saving regular expenditures affecting the implementation of revenue and expenditure tasks of the SB in 2021.

b) Conclusions and recommendations of auditing, inspection, and administrative reform agencies, complaint resolution, thrift, waste prevention, and anti-corruption agencies related to SB revenue and expenditure activities.

Article 2. Evaluation of the implementation of revenue collection in 2021

1. Principles for evaluation:

Conduct in accordance with the provisions of the State Budget Law, tax, fee, and service charge laws, and directives and management documents on state budget issued by competent authorities; do not evaluate national budget revenue from fees that have been transferred to service prices under the Law on Fees and Service Charges, deductions for state agencies, or retained fees collected from service activities carried out by public service organizations and entities assigned by competent state authorities.

Based on the results of economic and social development and national budget revenue in the first six months of the year, forecast the possibility of implementation in the last six months, focusing on clarifying favorable and unfavorable factors, especially the impact of the COVID-19 pandemic, climate change, natural disasters, and new trends in investment migration, trade, digital transformation changing production methods and business models of enterprises, affecting production and business operations, import and export activities; ministries, central agencies, and localities shall review and assess factors affecting the ability to implement national budget revenue in 2021, propose solutions to strive to complete the highest possible budget revenue estimate decided by the National Assembly and People's Councils at all levels.

2. Content of evaluation:

a) Evaluate and analyze the reasons for the increase or decrease in national budget revenue in 2021, paying particular attention to:

Factors affecting enterprise and economic organization production, business, and service activities, import and export activities in each sector, and the situation and recovery trend of production and business activities after the COVID-19 pandemic (if applicable); the potential to implement expansion and new investment projects; projects that have completed their tax incentive period; production volume, consumption, selling price, profit of key goods and services in the locality; retail sales growth rate and service revenue; market trends.

The impact of crude oil price fluctuations, input material prices, rice, and other agricultural product prices in the world and domestic markets; the impact of implementing international economic integration commitments, including new-generation free trade agreements; monetary policies, credit, trade, investment, pricing policies, administrative reform, and other factors affecting the economy and national budget revenue in the first six months of the year.

Specifically calculate factors increasing or decreasing revenue due to changes in tax and fee laws; extension, exemption, reduction of taxes, fees, and charges; measures to collect national budget revenue to address difficulties caused by the COVID-19 pandemic and the implementation of tax reduction schedules to fulfill international economic integration commitments, such as:

+ Resolution No. 954/2020/UBTVQH14 dated June 2, 2020 of the Standing Committee of the National Assembly on adjusting the personal income tax deduction limit;

+ Decree No. 114/2020/NĐ-CP dated September 25, 2020 of the Government detailing the implementation of Resolution No. 116/2020/QH14 of the National Assembly on reducing corporate income tax payable in 2020 for businesses, cooperatives, public service units, and other organizations;

+ Decree No. 126/2020/NĐ-CP dated October 19, 2020 of the Government detailing some provisions of the Tax Administration Law;

+ Decree No. 52/2021/NĐ-CP dated April 19, 2021 of the Government on extending the deadline for paying value-added tax, corporate income tax, personal income tax, and land lease payments in 2021;

+ Decree No. 18/2021/NĐ-CP dated March 11, 2021 of the Government amending and supplementing some articles of Decree No. 134/2016/NĐ-CP dated September 1, 2016 of the Government detailing some provisions and enforcement measures of the Export Tax and Import Tax Law;

+ Decree No. 41/2021/NĐ-CP dated March 30, 2021 of the Government amending and supplementing some articles of Decree No. 82/2017/NĐ-CP dated July 17, 2017 of the Government on the method of calculating and the level of water resource exploitation rights payment;

+ Decree No. 44/2021/NĐ-CP dated March 31, 2021 of the Government guiding the implementation of deductible expenses when determining corporate income tax for donations and sponsorships made by businesses and organizations for COVID-19 prevention and control activities;

+ Decrees on Preferential Export Tariff Lists and Special Preferential Import Tariff Lists of Vietnam to implement Free Trade Agreements and Trade Agreements;

+ Other tax, fee, and charge-related documents, policies affecting the implementation of national budget revenue tasks in 2021 (if any).

b) Evaluate the situation and results of implementing measures for managing national budget revenue according to Resolution No. 01/NQ-CP; results of inspection, examination, and recovery of overdue tax debts:

Evaluate the work of urging, enforcing, and recovering overdue tax debts in the first six months of 2021; forecast the amount of tax debt to be processed in the last six months of 2021 (compared to the assigned target - if applicable) and the outstanding tax debt balance as of December 31, 2021.

Results of implementing the recommendations of the State Audit Agency, supervisory bodies, and tax authority decisions on additional tax collection when performing inspection and examination tasks to enforce tax laws.

c) Evaluate the situation of VAT refund:

Forecast the amount of funds for VAT refunds to be implemented in 2021 based on policy and regulations and in line with actual occurrences.

Strengthen supervision, inspection, and post-VAT refund audit, promptly recover improperly refunded VAT;

Propose adjustments to the VAT refund management mechanism, if necessary, suggest adjustments to the VAT refund fund source (supplement, advance payment, reduction) to align with socio-economic development in the last months of the year, ensuring strict and lawful refunds.

d) Evaluate the implementation of refunds of tax amounts, late payment penalties, and fines paid in accordance with the law (excluding VAT refunds):

Evaluate the situation based on criteria including: the amount refunded, the number of files reviewed for refund, the number of decisions made to refund according to regulations, difficulties encountered, suggestions for solutions regarding policy mechanisms, management technology, organizational coordination during implementation (if applicable).

d) Evaluate the revenue from state budget collected from the disposal of state assets as stipulated in Decree No. 151/2017/ND-CP dated December 26, 2017 detailing certain provisions of the Law on Management and Use of State Assets (Decree No. 151/2017/ND-CP); land revenue (land use fees, land lease fees) under the laws on land; revenue from the disposal and arrangement of houses and lands as stipulated in Government Decree No. 167/2017/ND-CP dated December 31, 2017 on the reorganization and disposal of state assets (Decree No. 167/2017/ND-CP), Government Decree No. 67/2021/ND-CP dated July 15, 2021 amending and supplementing certain articles of Government Decree No. 167/2017/ND-CP, Government Decree No. 69/2019/ND-CP dated August 15, 2019 on the use of state assets to pay investors when implementing construction-transfer projects under the Build-Transfer Contract (Decree No. 69/2019/ND-CP) and other relevant laws; revenue from leasing rights to exploit, transferring rights to exploit infrastructure assets and water surfaces (after deducting related costs).

Additionally, continue to evaluate the situation of land use fee collection when reducing the target group of households and individuals who are allowed to defer payment of land use fees and abolishing the provision of a 2% annual reduction on deferred land use fees paid ahead of schedule as stipulated in Government Decree No. 79/2019/ND-CP dated October 26, 2019 amending Article 16 of Government Decree No. 45/2014/ND-CP dated May 15, 2014 on the collection of land use fees.

e) Report on the results of cooperation between ministries, central agencies, and localities in managing, resolving difficulties and obstacles in state budget revenue collection, public auctioning of state assets, land auctions, and organizing inspections, audits, and recovery of tax arrears, preventing revenue loss, and combating transfer pricing; existing issues, difficulties, and solutions to overcome them.

g) Evaluate the collection of fees and charges as prescribed by the Law on Fees and Charges (evaluate the amount of fees and charges collected as prescribed; the amount of fees submitted to the state budget); revenue from administrative violations fines, penalties, confiscations, and other payments to the state budget in 2021 as prescribed by the Law on Administrative Violation Penalties and related legal documents.

h) Evaluate the retained revenues for 2021 for administrative agencies enjoying special financial mechanisms as prescribed by competent authorities, detailing sources of retained fees, revenues specified in other specialized laws or legal documents not specifically defined as state budget revenues (hereinafter referred to as business revenues), lawful revenues as prescribed (if any), and the projected cumulative balance remaining at the end of 2021.

i) Evaluate the revenues of public service units (outside the state budget), thereby determining the degree of autonomy of each unit; evaluate the retained fees as prescribed by law for state management agencies and public service units.

Article 3. Evaluation of the Implementation of Investment Development Expenditure Tasks in 2021

1. Evaluation of the Deployment and Organization of Investment Development Expenditure (IDE) Budget for 2021

a) The situation of allocation and assignment, adjustment, and supplementation of IDE budget from the State Budget (SB) in 2021, detailed by each expenditure area:

Deadline for allocation and plan assignment to project owners;

Results of budget arrangement to recover pre-funded state budget capital and settle construction debts under the SB;

Adjustments and supplements to IDE budgets of ministries, sectors, and localities in 2021 (if any);

Difficulties, obstacles, and recommendations for adjusting mechanisms and policies; recommendations on implementation organization.

b) The situation of implementing the IDE budget of the SB in 2021, detailed by each expenditure area, including:

IDE from the balanced SB expenditure (including transfers from previous years to 2021 according to regulations): Evaluation of disbursement status up to June 2021, forecasted completion by December 31, 2021; detailed by each source of funds (including: for IDE of the Local State Budget (LSB), detail LSB funds; central state budget support funds from foreign and domestic sources); with attached detailed tables for each project, total investment amount approved, cumulative payment until the end of 2020, 2021 funding plan - including supplementary and adjusted funds and estimated 2021 execution, accompanied by explanations).

For IDE from proceeds of land asset sales, land rights transfer, and land use change: report on revenue collection and budget submission, and implementation of the IDE budget for 2021 from these revenues.

Evaluation of handling of accumulated construction debts from the SB and recovery of pre-funded capital as of December 31, 2020; estimated handling in 2021; forecasted construction debt and unrecovered pre-funded capital as of December 31, 2021 (detailed by each project).

IDE through Public-Private Partnership (PPP) form: Evaluation of the implementation of using public assets to pay investors for construction projects under the Build-Transfer Contract according to Government Decree No. 69/2019/NĐ-CP; difficulties, obstacles, causes, and recommendations.

Evaluation of the conversion of PPP tasks and projects to direct state investment of 100% and its impact on the SB (if applicable), and supplementation of the SB IDE budget for 2021 (if applicable).

Situation of finalizing completed investment projects, specifying: number of projects approved for finalization and remaining funds not allocated for payment compared to the approved finalization value; number of completed projects but not finalized by the end of June 2021, forecasted by the end of 2021; reasons and solutions.

c) Evaluation of the implementation of IDE tasks in 2021 by administrative agencies enjoying special financial mechanisms, detailed by each project and funding source (SB, retained fees, business income, other lawful sources).

d) For non-balanced SB sources of public institutions: evaluation of approval, allocation, and results of implementing IDE tasks in 2021 according to regulations (detailed retained service fees and income, development fund, borrowing and other lawful sources of the unit) by each expenditure area.

2. Evaluation of the Implementation of Other IDE Tasks of the SB in 2021:

Situation of implementing preferential state investment credit plans and policy credit for six months and estimated full-year 2021 (funding mobilization, issuance of government-guaranteed bonds; credit growth, disbursement, principal repayment, outstanding loans; SB subsidy for interest rate differential and management fee,...); administrative reform in loan approval procedures.

3. Socialization Implementation Situation in 2021:

Evaluation of the implementation in 2021 regarding total socialized investment resources and resource structure by sector and field; number of facilities invested from socialized resources; achievements; existing issues, causes, and recommendations (if any).

Article 4. Evaluation of the implementation of regular expenditure tasks in 2021

1. Evaluate the situation of allocation, assignment, and execution of regular expenditure budgets for the first six months of the year, and forecast the possibility of completing the entire year 2021 in detail according to each assigned spending area, including not only evaluating budgeted spending tasks but also clarifying emerging spending tasks to respond to the COVID-19 pandemic, natural disasters, national defense, security, and social welfare.

2. Evaluate the results of implementing targets, tasks, major programs, and projects funded from regular expenditures of the State Budget in the first six months of the year, and forecast the entire year 2021; difficulties, obstacles, and proposed measures to address mechanisms and policies in the organization and implementation, specifically:

a) Review and determine tasks, policies, and systems that have ended; propose supplements and amendments to tasks, policies, and systems that are inconsistent with reality.

b) Evaluate the implementation of reductions and savings in regular expenditures pursuant to Resolution No. 58/NQ-CP dated June 8, 2021 of the Government.

c) The situation of streamlining the establishment, reforming, and reorganizing organizational structures: Achievements in the first six months of the year, estimated for the entire year 2021, and cumulative implementation during the period 2016-2021, detailed according to each target and task in Resolution No. 18-NQ/TW, Resolution No. 39-NQ/TW dated April 17, 2015 of the Politburo (Resolution No. 39-NQ/TW) and related documents of the Government and Prime Minister; specifically:

Number of reduced positions, number of reduced organizational units;

Amount of state budget funds saved due to reduction in positions and organizational units, including the amount used for salary reform;

Amount of state budget funds required to implement the streamlining policy according to Decrees of the Government: Decree No. 108/2014/NĐ-CP dated November 20, 2014 on the streamlining policy (Decree No. 108/2014/NĐ-CP), Decree No. 113/2018/NĐ-CP dated August 31, 2018 amending and supplementing certain articles of Decree No. 108/2014/NĐ-CP on the streamlining policy (Decree No. 113/2018/NĐ-CP), Decree No. 143/2020/NĐ-CP dated December 10, 2020 amending and supplementing certain articles of Decree No. 108/2014/NĐ-CP and Decree No. 113/2018/NĐ-CP (Decree No. 143/2020/NĐ-CP), Decree No. 26/2015/NĐ-CP dated March 9, 2015 stipulating the system and policies for cadres who do not meet the age criteria for re-election or re-appointment to positions or posts within terms in Party organizations, state agencies, and political-social organizations.

d) Implementation of reform in the public service sector:

Results of restructuring, reforming systems, management, improving quality, and efficiency of activities of public service units according to Resolution No. 19-NQ/TW, Decree No. 16/2015/NĐ-CP dated February 14, 2015 of the Government on the autonomy mechanism of public service units (Decree No. 16/2015/NĐ-CP) and other Decrees of the Government on the autonomy mechanism in specific public service sectors in the first six months of the year, estimated for the entire year 2021, and cumulative up to the end of 2021, detailed according to each target, including reporting specifically the expected number and degree of autonomy of each unit; financial resources and spending tasks of the unit, detailed according to state budget sources, service revenue sources for each public service sector, each unit; total staffing and number of staff receiving state budget salaries according to each public service sector at the time of 2021.

Evaluate the impact of restructuring, reform, and enhancing the ability of public service units to be autonomous on state budget allocation according to each sector in 2021 and cumulatively up to 2021, including: evaluate the reduction in state budget spending for public service units according to each sector (health services, education and training services, vocational education...) and the use of state budget funds allocated from enhancing the autonomy of public service units; difficulties, obstacles, and proposals.

e) Evaluate the implementation of regular expenditure tasks in 2021 by state administrative agencies currently enjoying special financial mechanisms according to current regulations, detailed: salary fund (including grade-based salary, contributions based on salary, and additional salary under the special mechanism if applicable); professional and operational expenses, detailed according to each source of funding (state budget source, retained fee source, operational income source, other lawful sources).

f) Evaluate the results of implementing regular expenditure tasks in 2021 from retained fees and public service revenues; other lawful sources of agencies and units according to regulations, detailed by each spending area.

Article 5. Evaluation of the implementation of the national reserve budget plan and tasks for 2021

Ministries and sectors managing national reserve goods shall evaluate the situation of implementing the national reserve budget plan and tasks for the first six months of the year, the possibility of completing the entire year 2021, detailing each content of purchase, sale, import, export, rotation of goods, and national reserve business activities, forecast the level of national reserve inventory at the end of 2021; the establishment, amendment, and supplementation of economic and technical norms for national reserve goods; advantages, difficulties, and issues arising during the organization and implementation of the 2021 plan.

Article 6. Evaluation of the Implementation of National Target Programs and Other Programs and Projects Using Foreign Sources of Funds in 2021

1. For National Target Programs

a) Ministries and central agencies responsible for National Target Programs from 2021 to 2025 shall report specifically on the process of development; determine objectives, tasks, and estimated funding according to each spending area for the entire period and each year within the period (detailing state budget funds, local budget funds; investment capital, regular expenses; integrated funds from other programs and projects; loan capital, other raised capital - if applicable); among which, report specifically on completed tasks, new tasks, restructured tasks, transferred from two National Target Programs of New Rural Development and Sustainable Poverty Reduction from 2016 to 2020, integrated into the National Target Program for Socio-Economic Development in Ethnic Minority Mountainous Areas from 2021 to 2025 and funding according to each content.

b) Based on the proposed tasks for implementation in 2021, ministries responsible for National Target Programs from 2021 to 2025 shall report on the implementation in 2021 (supplemented with funding/estimated supplementary funding for 2021 - if applicable), accompanied by a full explanation of legal basis, implementation capability (including policies and systems already issued by the Government and Prime Minister, still in effect, proposed to be integrated into National Target Programs from 2021 to 2025 - if applicable).

c) For ongoing tasks under National Target Programs from 2016 to 2020, which are policies and systems already issued by the Government and Prime Minister, still in effect, not integrated into National Target Programs from 2021 to 2025, supplemented with funding for 2021, ministries and central agencies shall report on the implementation according to each spending area as regular tasks of their agencies and units.

In cases where foreign sources of funds are used, report on the allocation and disbursement situation (detailed according to ODA aid, ODA loans, preferential loans, and non-refundable aid not included in official development assistance) for specific goals and tasks, along with proposals and recommendations (if applicable).

2. For Other Programs and Projects Using Foreign Sources of Funds:

a) Ministries, central agencies, and localities shall evaluate the situation of allocating, assigning, and implementing the 2021 budget estimate, adjustments, and supplements in 2021 (if applicable) according to signed Agreements and Memorandums of Understanding, detailed by each source of funds (ODA aid, ODA loans, preferential loans, non-refundable aid not included in official development assistance); financial mechanisms, difficulties, issues, and proposals and recommendations (if applicable).

b) Evaluate the results of disbursing foreign funds, compare with the allocated budget, clarify the reasons for delayed disbursements, responsibilities of ministries, sectors, and localities as investment management agencies, responsibilities of Project Management Boards and related agencies.

Article 7. Evaluation of the implementation of salary policies and sources for salary reform in 2021

Ministries, central agencies, and localities shall evaluate the implementation of salary policies and sources for salary reform expenses linked to organizational restructuring, reduction of staff establishments, and enhancement of financial autonomy of public service units in accordance with Article 4 of Circular No. 109/2020/TT-BTC dated December 25, 2020, issued by the Ministry of Finance on the organization of implementing the State Budget estimate for 2021.

Article 8. Evaluation of the performance of provinces and centrally-administered cities in 2021

In addition to the requirements stipulated from Article 2 to Article 7 of this Circular, provinces and centrally-administered cities shall supplement the following evaluation contents:

1. Financial resource mobilization activities at the local level to fulfill the tasks of economic and social development, difficulties encountered, obstacles, and recommendations (if any).

2. The ability to implement the budget for investment in development in 2021, by each spending category (including adjustments and supplements during the year as prescribed), detailed as follows: state domestic budget (investment in construction, investment from land use fees and lottery revenues, investment from the excess of the state domestic budget deficit); supplementary targeted funds from the state budget for the domestic budget from domestic capital and foreign capital (including loans and non-repayable aid); specifically:

a) Allocation of the budget estimate, handling of arrears in basic construction and recovery of advance payments in 2021; forecast of remaining amounts at the end of 2021 (if any); recommendations for handling.

b) Implementation and disbursement of investment development funds from the state domestic budget in the first six months and evaluation for the whole year of 2021.

c) Situation of allocation, implementation, and disbursement of investment development funds from supplementary targeted funds from the state budget for the locality in the first six months, evaluation for the whole year of 2021.

d) Excess of the state domestic budget deficit in 2021 and the situation of investment from this excess (if any).

d) Increase in revenue and expenditure savings of the state domestic budget (if any).

e) Situation of approval, allocation, implementation, and disbursement of investment funds from retained revenues according to regulations: revenue from fees, retained public service revenue, and other lawful revenues, detailed by each spending category.

g) Use of surplus funds from salary reform to invest in development projects in accordance with Resolution No. 128/2020/QH14 of the National Assembly (if any).

3. Evaluation of the implementation of social welfare policies on the territory in 2021 for each policy, with specific reports on beneficiaries, funding needs for policy implementation (with explanations on the basis for determination and calculation methods) and discrepancies compared to the allocated state budget funds; in cases where there are changes in beneficiaries due to adjustments in special difficult socio-economic areas according to Decision No. 861/QĐ-TTg dated June 4, 2021, of the Prime Minister and Decision No. 433/QĐ-UBDT dated June 18, 2021, of the Ethnic Minority Committee, provide detailed explanations on increased or decreased funding needs.

4. Implementation of support policies for people affected by the COVID-19 pandemic according to Government Resolutions: No. 42/NQ-CP dated April 9, 2020, on measures to support people affected by the COVID-19 pandemic, No. 154/NQ-CP dated October 19, 2020, No. 16/NQ-CP dated February 8, 2021, on costs for quarantine, medical examination, treatment, and special regimes in preventing and controlling the COVID-19 pandemic, No. 17/NQ-CP dated February 9, 2021, on food support and anti-pandemic allowances for the five-day Tet holiday in 2021, No. 68/NQ-CP dated July 1, 2021, on some support policies for workers and employers affected by the COVID-19 pandemic; implementation of Resolution No. 21/NQ-CP dated February 26, 2021, on purchasing and using vaccines against the COVID-19 pandemic and supporting funds for disaster prevention and control (if any).

Allocation of the budget (including targeted supplementary funds from the state budget for the domestic budget if applicable) and use of the domestic budget reserve to fulfill security and defense tasks; prevention, mitigation, and aftermath management of natural disasters and epidemics.

Situation of use of the domestic budget reserve and financial reserve fund up to June 30, 2021, forecasted use in the last six months of 2021, including details on support for disaster prevention and aftermath management, support for people and workers affected by the COVID-19 pandemic, special support in preventing and controlling the COVID-19 pandemic, and vaccine purchase funds against the COVID-19 pandemic (if any).

5. For additional education and health service staff positions approved by competent authorities, localities must proactively allocate domestic budget expenditures to ensure funding for the additional staff positions; simultaneously, compile and report specific needs and sources for implementing current salary policies (at the base salary rate of 1,490,000 VND/month).

For localities with surplus funds from salary reform, after ensuring sufficient funding for salary policies in 2021, such surplus should be used to finance social welfare policies issued by the central government (correspondingly reducing the required state budget support according to the regime), support for workers and employers affected by the COVID-19 pandemic as prescribed; separately, localities with state budget transfers may use surplus salary reform funds to supplement investment in development projects in accordance with Resolution No. 128/2020/QH14 dated November 12, 2020, of the National Assembly.

6. Situation of allocation and transfer of state budget expenditures from land use fees for local projects and works; implementation of land surveying, establishment of land ownership records, and issuance of land use right certificates.

7. Situation of collection, expenditure, management, and use of lottery revenues for important social welfare projects in 2021.

8. Situation of borrowing and repayment of domestic budget debts, including:

a) The beginning-of-year debt balance, debt balance as of June 30, estimated debt balance as of December 31, 2021, detailed by debt sources (local government bond issuance source; source of repaid foreign loans from the Government according to each sponsor and program/project; state credit for investment capital source; remaining loan balance at the State Treasury; other loans).

b) Amount raised up to June 30 and estimated for the whole year 2021, detailed by purpose of raising funds (principal repayment, deficit coverage) and by each funding source (ODA loan for onward lending, local government bond issuance, remaining loan balance at the State Treasury, other lawful financial sources).

c) Situation of interest and fee repayment up to June 30 and estimated for the whole year 2021, detailed interest and fee repayment on domestic borrowing, repaid foreign loan source from the Government, detailed by each program/project.

d) Principal repayment situation of borrowings up to June 30 and estimated for the whole year 2021, detailed principal repayment on domestic borrowings, repaid foreign loan source from the Government, detailed by each program/project; specifically by each repayment source (new borrowing to repay old debts, from surplus revenue, increased revenue, expenditure savings).

9. For provinces and centrally-administered cities that have been authorized to issue special fiscal and budget mechanisms, provide a specific assessment of the results of implementing such special fiscal and budget mechanisms at the locality (the local mechanisms and policies issued; impact assessment on the results of revenue and expenditure of the State Budget in the locality).

10. Implementation status of recommendations made by the State Audit Agency and the Inspectorate in the field of finance - State Budget management, public asset management.

Article 9. Evaluation of the financial plan of national funds outside the State Budget for 2021

Ministries, central agencies, and local agencies responsible for managing national funds outside the State Budget shall report on the review, restructuring, merging, suspending operations, or dissolving ineffective funds that do not comply with their purposes, overlap in objectives, tasks, service targets, or lack independent financial capacity, overlap in revenue sources, and budgetary expenditures with the State Budget; evaluate the implementation of the revenue-expenditure plan and assigned tasks for six months and projected for the whole year 2021; difficulties and obstacles arising and proposed solutions.

Chapter II

BUILDING THE STATE BUDGET ESTIMATE FOR 2022

Article 10. Requirements

In 2022, which is the second year of implementing the Resolution of the XIIIth National Congress of the Party, the Socio-Economic Development Strategy for the 2021-2030 period, and the Socio-Economic Development Plan for the 2021-2025 period, it is also the first year of the new stable State Budget period, therefore, it is very important for achieving socio-economic development goals for the 2021-2025 period and strategic financial goals by 2025. The construction of the State Budget estimate for 2022 must meet the following requirements:

1. The State Budget estimate for 2022 shall be prepared in accordance with the provisions of the State Budget Law and guiding documents; it must include a full explanation of the legal basis and calculation grounds; it must be consistent with the Resolution of the XIIIth National Congress of the Party, the Resolution of the Provincial Party Congresses for the 2020-2025 term, the Socio-Economic Development Strategy for the 2021-2030 period, and the orientation of the Socio-Economic Development Plan for the 2021-2025 period; it must align with the goals of State Budget restructuring and public debt management as stipulated in Resolution No. 07-NQ/TW; the goals set out in Resolutions No. 18-NQ/TW, No. 19-NQ/TW, No. 27-NQ/TW, and No. 28-NQ/TW of the 6th and 7th Plenary Sessions (Term XII); special development mechanisms for certain regions as prescribed, relevant laws, and directives of competent authorities.

2. Based on the evaluation of the implementation in 2021; contents submitted for approval regarding the socio-economic development goals, financial plans, and public investment plans for the 2021-2025 period at both national and local levels; socio-economic development goals and tasks for 2022 as per the Prime Minister's Directive; orientations for sectoral, industry, and local development plans for the 2021-2025 period; ministries, central agencies, and localities should determine key tasks to implement in 2022, proactively arrange expenditures and prioritize the implementation of tasks, programs, projects, and proposals approved by competent authorities based on their urgency, importance, and feasibility in 2022 within the available resources (including other lawful sources as prescribed); thoroughly economize and prevent waste right from the budget preparation stage.

3. When preparing the budget estimate, ministries and central agencies managing sectors and industries need to consider reviewing comprehensively all systems and policies (especially social welfare policies) to abolish, or integrate according to their authority, or submit to competent authorities for abolition or integration of overlapping, redundant, and inefficient policies; only propose the issuance of policies increasing State Budget spending when truly necessary and with guaranteed funding sources; proactively forecast fully the funding needs and mobilize corresponding resources for newly decided policies, systems, and tasks; do not allocate budget estimates for unissued policies. Allocate budget estimates to recover advance payments for State Budget expenditures due for recovery in the year as stipulated in Article 50 of the State Budget Law.

4. Focus on directing, handling, and resolving existing financial and budget management violations detected and recommended by auditing and inspection agencies in accordance with the law, starting from the budget preparation stage.

Article 11. Construction of the 2022 State Budget Revenue Estimate

1. General principles

The 2022 State Budget Revenue Estimate must be constructed at an active, feasible level in accordance with the provisions of the Laws on taxes, fees, and charges, and related legal documents.

The construction of the 2022 revenue estimate must closely follow economic and social conditions, both globally and domestically, in the context of continuing to face many risks and difficulties, especially challenges and impacts from epidemics, climate change, natural disasters, and new trends in investment migration, trade, digital transformation, and specific calculations for factors that increase or decrease and shift sources of revenue due to changes in tax and fee policies, extension of tax payment deadlines, reduction of fees and charges, and implementation of tax reduction schedules to fulfill international economic integration commitments; implementing administrative reform measures, modernizing revenue management work; strengthening revenue management, preventing revenue loss, combating transfer pricing, trade fraud, tax evasion, and strictly managing taxable prices; continuing to promote shareholding and divestment at state-owned enterprises; intensifying tax inspection and review activities; resolutely addressing the reduction of tax arrears and strictly controlling tax refunds.

Strive for the domestic revenue estimate for 2022, excluding land use fee revenues, lottery revenues, proceeds from state capital sales at enterprises, dividends, post-tax profits, and the difference between income and expenditure of the State Bank, to increase nationwide by approximately 6-8% compared to the estimated actual performance in 2021 (excluding factors affecting revenue increases or decreases due to policy changes); the specific rate of revenue increase will vary according to local conditions, characteristics, and be consistent with the economic growth rate in each locality. The revenue estimate from import and export activities in 2022 should increase by approximately 4-6% compared to the estimated actual performance in 2021.

2. Building the Domestic Revenue Estimate:

a) Localities must ensure the targets and requirements stipulated in Clause 1 of this Article when constructing the 2022 domestic revenue estimate, while fully consolidating all sources of revenue within the scope of State Budget revenues generated in their respective areas (including revenue from communes, towns, districts, foreign contractor taxes, domestic contractor taxes when implementing investment projects, taxes from newly operational projects, and projects ending tax incentives); simultaneously excluding items not included in the State Budget revenue balance according to regulations, based on a comprehensive assessment of actual performance in 2021, the unique features of 2022, and the preliminary revenue estimate for 2022 announced by the competent authority.

b) The 2022 State Budget Revenue Estimate must be built based on a database of taxpayers; ensuring the accuracy and completeness of each revenue item, tax type, and revenue sector for each area, detailing revenue from newly operational factories with significant revenue according to current tax, fee, and non-State Budget revenue regulations; adjustments to policies following the schedule that continue to impact State Budget revenue in 2022, and anticipated amendments and supplements to be applied in 2022 (including changes in the allocation of tax obligations as stipulated in the Law on Tax Administration No. 38/2019/QH14).

c) In constructing the 2022 State Budget Revenue Estimate, temporarily allocate some revenue items between the Central State Budget and Local State Budget (the specific ratio will be submitted to the National Assembly for decision later) as follows:

Environmental protection tax revenue from gasoline and diesel products: Allocate 37.2% of the revenue as shared revenue between the Central State Budget and Local State Budget; 62.8% of the revenue is centrally allocated to the Central State Budget.

Revenue from water resource exploitation rights and mineral extraction rights: For cases where the exploitation permit is issued by central authorities, allocate 70% of the revenue to the Central State Budget and 30% to the Local State Budget; for cases where the exploitation permit is issued by provincial People's Committees, retain 100% of the revenue for the Local State Budget.

d) Fully prepare the revenue estimate for the reorganization and disposal of public assets (including real estate), revenue from leasing and transferring the right to exploit infrastructure assets for a limited time, and revenue from land and water exploitation (after deducting related costs); revenue from the conversion of ownership of state-owned enterprises holding 100% of charter capital, public service units, and the transfer of state capital and the difference in capital surplus greater than charter capital at enterprises currently held 100% by the state (if applicable) must be fully prepared and submitted to the State Budget in accordance with legal regulations.

đ) The construction of the revenue estimate must be linked to the strengthening of revenue management, urging and enforcing tax recovery, conducting audits, inspections, combating transfer pricing, smuggling, trade fraud, supervising VAT refunds, and preventing revenue loss from businesses and individuals operating in the trade and service sectors, and revenue from urging the implementation of audit recommendations and inspection reports.

e) Actively and specifically estimate revenue from fees and charges (as specified in the Law on Fees and Charges) according to each revenue item as prescribed.

g) For revenue from service fees, public service fees, tuition fees, medical service fees, and other lawful revenues retained by agencies and units for their own use according to regulations, they are not consolidated into the State Budget revenue estimates of central ministries, agencies, and localities, but these agencies and units must prepare separate estimates, explain the basis for calculation, and develop usage plans to submit to higher-level management agencies and report to the same-level financial agencies as required.

3. Building the State Budget Revenue Estimate from Import and Export Activities:

a) Base the construction of the revenue estimate on forecasts of the growth in the value of goods and services subject to taxes in the context of integration, promoting trade promotion activities, consolidating and expanding export markets; shifting the structure of goods, particularly traditional main revenue-generating goods and newly emerging goods.

b) Considering factors such as: anticipated domestic price fluctuations and international market prices for goods with significant state budget revenue; exchange rates between the Vietnamese dong and the currencies of strategic trading partners; reduced revenue from implementing tariff reduction schedules under signed and enforced free trade agreements in 2022; levels of trade facilitation and the impact of technical barriers; scale and progress of key investment projects involving imported raw materials and equipment; production plans of domestic oil refineries.

4. Building the Value Added Tax Refund Estimate in accordance with the Value Added Tax Law:

Based on actual conditions and socio-economic development goals at the locality; production and business plans of export enterprises, total number of new approved projects and investment capital, progress of ongoing investment projects and new projects, and investment projects ending their investment phase and transitioning to operational phases within the locality to accurately and timely calculate the expected VAT refunds for 2022 according to current policies and newly effective regulations. Establishing the budget for VAT refunds linked to strengthening management, monitoring, inspection, and audit after VAT refunds to ensure accuracy and compliance with policies.

5. The budgeted revenue of the State Budget (including domestic revenue and revenue from import and export activities) needs to predict the portion of tax refunds, late payment penalties, and excess payments that reduce State Budget revenue as stipulated by law.

6. Prepare the budget for non-repayable aid receipts:

Based on ODA agreements and non-reimbursable aid agreements not falling under official development assistance that have been and are being implemented; agreements to be signed and implemented from 2022; central ministries, agencies, and localities establish the budget for non-reimbursable aid receipts for 2022 for their respective ministries, agencies, and localities (including projects specified in Decree No. 50/2020/NĐ-CP dated April 20, 2020 of the Government on receiving, managing, and using emergency international aid for disaster relief and recovery). For received aid (from 2021 and earlier) without allocated budgets, central ministries, agencies, and localities include them in the 2022 budget for accounting and settlement according to prescribed regulations.

Article 12. Building the 2022 State Budget Expenditure Budget

1. General principles

Building the 2022 State Budget Expenditure Budget in accordance with the provisions of the State Budget Law, Public Investment Law, and related laws; legal provisions on principles, criteria, and standards for allocating development investment funds and regular State Budget expenditures; meeting requirements for restructuring the budget as per Resolution No. 07-NQ/TW of the Politburo, linked to the implementation of organizational restructuring, streamlining staffing, and reducing public service units as per Resolutions No. 18-NQ/TW and No. 19-NQ/TW; ensuring consistency with the five-year financial plan, medium-term public investment plan for 2021-2025. Prioritizing and concentrating resources to implement salary reform, social insurance policies as per Resolutions No. 27-NQ/TW and No. 28-NQ/TW of the 7th Plenum (12th Term), social welfare spending, development investment, and ensuring national defense, security, and climate change response. Emphasizing administrative reform towards modernization, innovating the one-stop-shop mechanism, and reducing costs. Strengthening measures and policies to accelerate the progress of national digital transformation, building an electronic government towards a digital government, digital economy, and digital society, and ensuring cybersecurity.

Continuing to strictly adhere to transparency and anti-waste principles from the outset of task determination; proactively reviewing overlapping policies and tasks, prioritizing expenditure items based on urgency, importance, and feasibility of implementation in 2022 to complete tasks, programs, projects, and proposals approved by competent authorities based on allocated state budget resources and other legitimate sources.

2. Preparation of the Public Investment Expenditure Budget:

a) The public investment budget from the state budget (including ODA funds, preferential loans, non-reimbursable aid not falling under official development assistance, land use revenue, lottery revenue, revenue from ownership transfer of state-owned enterprises holding 100% of charter capital, public institutions, state asset transfers, and surplus capital exceeding charter capital in state-owned enterprises holding 100% of charter capital) is established in accordance with the State Budget Law, Public Investment Law, State Asset Management and Utilization Law, Public Debt Management Law, State Capital Investment Management and Utilization Law in Business Enterprises, Decision No. 26/2020/QĐ-TTg dated September 14, 2020 of the Prime Minister detailing the implementation of certain provisions of Decision No. 973/2020/UBTVQH14 dated July 8, 2020 of the Standing Committee of the National Assembly on principles, criteria, and standards for allocating development investment funds from the state budget for the 2021-2025 period, and the ability to balance the state budget in the year; simultaneously, it must align with the medium-term public investment plan allocation scheme for the 2021-2025 period; socio-economic development plans and the state budget estimate for 2022.

b) Prioritize the budget allocation for 2022 to settle construction debts according to Clause 4, Article 101 of the Investment Law, recover pre-paid State budget capital; projects that have been completed but not fully funded; ongoing projects to be completed in 2022; counterpart funds for projects using ODA and preferential loans from foreign donors; allocate State budget capital to implement key infrastructure development projects with wide-ranging impacts, driving economic and social development, and breakthroughs in attracting private sector investment both domestically and internationally through Public-Private Partnership (PPP) models; provide subsidized interest rate compensation and management fees; allocate registered capital for policy banks. The level of budget allocation for each task must be consistent with the implementation progress and disbursement in 2022.

Implement in accordance with the provisions of the State Budget Law regarding the total amount of support capital for annual investment planning provided by the central state budget to local budgets to implement certain major and particularly important programs and projects with significant impact on local economic and social development, not exceeding 30% of the central state budget's total investment construction expenditure.

c) For foreign capital, the plan allocation must be consistent with the content of the agreed agreements committed with the donor; prioritize full funding for projects ending in 2022.

Based on the collected and spent investment planning funds from the restructured and disposed state-owned property but not yet settled; the amounts already paid into the State budget in previous years but not utilized and the projected revenue from the restructured and disposed state-owned property in 2022, ministries, central agencies, and local agencies shall prepare the budget expenditure for investment planning from this source according to regulations, including clearly stating projects that have been completed but not settled due to lack of budget allocation; projects approved to use proceeds from the sale of assets on land and transfer of land use rights paid into the budget but not utilized; projects expected to use these revenues generated in 2022; consolidate in the investment planning expenditure budget of ministries, central agencies, and local agencies and submit to the Planning and Investment Department and the Finance Department at the same level for consolidation and submission to the competent authority for decision.

In addition, ministries and central agencies shall prepare separate reports detailing the implementation of the restructuring and disposal of state-owned property plans, revenue collection and expenditure from this source up to 2021; along with the plan to implement the restructuring and disposal of state-owned property in 2022, the projected revenue and expenditure from the State budget in 2022 from this source, and send them to the Ministry of Finance and the Ministry of Planning and Investment for consolidation and reporting to the competent authority as prescribed.

d) For the budget allocation for subsidized interest rate compensation and management fees; registered capital for policy banks;

investment support for other policy beneficiaries as decided by the Prime Minister; based on the actual implementation in 2021, Directive No. 20/CT-TTg dated July 23, 2021 of the Prime Minister on building the socio-economic development plan and the State budget estimate for 2022 (Directive No. 20/CT-TTg), regulations of the competent authority on investment credit policies and credit for the poor and other policy beneficiaries, forecast changes in target groups, policies, tasks, credit growth, loan balances, capital mobilization, deposit rates, lending rates, etc., to build the State budget expenditure estimate for 2022 in accordance with the State Budget Law, the Investment Law, and implementing guidelines.

e) Regarding the preparation of master plans:

Implement the budget preparation according to the Master Plan Law dated November 24, 2017, Resolution No. 11/NQ-CP dated February 5, 2018 of the Government on implementing the Master Plan Law, Decree No. 37/2019/NĐ-CP dated May 7, 2019 of the Government detailing the implementation of certain provisions of the Master Plan Law, and Resolution No. 69/NQ-CP dated September 13, 2019 of the Government on implementing the contents of Resolution No. 751/2019/UBTVQH14 dated August 16, 2019 of the Standing Committee of the National Assembly explaining certain provisions of the Master Plan Law.

g) For sources outside the State budget balance of public service units:

Prepare detailed budgets for investment planning tasks according to current regulations (specifying sources of fee income, retained business income, development fund, and other lawful sources of the unit) by each spending category; submit to the superior management agency for consolidation and reporting to the investment and finance departments at the same level.

3. Develop plans and State budget estimates for national reserve tasks:

Based on the provisions of the National Reserve Law and implementing guidelines; based on the goals and directions of national reserves in the new phase for each industry and field under their responsibility. Ministries and sectors managing national reserve goods shall develop plans and national reserve expenditure budgets for 2022, focusing on strategic and essential items; prioritize national reserve items serving disaster prevention, mitigation, and response, epidemic control, and national defense and security.

4. Develop regular expenditure budget estimates:

a) Based on the State Budget Law, the Law on Management and Use of Public Assets, and related guiding documents; Resolution No. 07-NQ/TW of the Politburo on restructuring the State budget, managing government debt, and resolutions of the 6th and 7th Plenary Sessions of the 12th Central Committee; content submitted for the socio-economic development plan, five-year national financial plan for 2021-2025; principles, criteria, and standards for allocating regular expenditure State budget estimates for 2022; socio-economic development plan for 2022 as directed by the Prime Minister and the review of the 2022 budget revenue and expenditure estimates; State budget expenditure policies, systems, and standards; approved projects and tasks, ministries, central agencies, and localities shall prepare detailed regular expenditure budgets by each spending category, ensuring the fulfillment of important political tasks, fully implementing State policies and systems already issued, especially those for human resources, social welfare, and policies for people in difficult circumstances due to natural disasters and epidemics.

The budget for purchasing, maintaining, and repairing assets must be based on current standards, norms, and management and usage regulations for state assets; repair and maintenance funds for material infrastructure shall be in accordance with the provisions. Regular expenses shall not be allocated for new tasks related to renovation, upgrading, and expansion as stipulated in Clause 1, Article 6 of the Law on Public Investment and guiding documents (including tasks specified in Clause 12, Article 3 of Resolution No. 973/2020/UBTVQH14 dated July 8, 2020 of the Standing Committee of the National Assembly regarding principles, criteria, and norms for allocating public investment capital from the State budget for the period of 2021-2025), except for defense and security areas which shall be implemented according to Decree No. 01/2020/NĐ-CP dated May 14, 2020 amending and supplementing Decree No. 165/2016/NĐ-CP dated December 24, 2016 on management and use of the State budget for certain activities in the field of defense and security.

Agencies and units tasked with inspecting, testing, and handling the destruction of unsafe food products, inspection and anti-smuggling, fraud, counterfeit goods, substandard goods, and goods violating labeling regulations in the field of food safety hygiene should pay attention to building budgets to ensure these activities and reward funds for organizations and individuals who have achieved success in food safety management work.

b) The regular expenditure budget for the year 2022 from the State budget of state administrative agencies, the Party, and mass organizations shall be built in conjunction with the objectives of Resolution No. 18-NQ/TW; to improve organizational structure, reduce levels, reduce deputy positions, implement兼任职务，按照第653/2019/UBTVQH14号2019年12月14日的常务委员会决议进行县级和乡级行政单位的调整。其中，工资基金按分配的编制或经有审批权的机关批准的方案计算，据此确定2022年与2021年相比工资基金的增减情况。

To achieve at least a 10% reduction in regular expenditures (excluding salaries, contributions made according to salary regulations, and human resource costs) compared to the 2021 budget, based on minimizing the purchase of official vehicles and expensive equipment, implementing the allocation of official vehicle usage costs as prescribed, reducing non-critical spending tasks such as outbound and inbound delegations, ceremonial events, seminars, conferences, etc., increasing spending from proceeds of public services; reserving additional funding for development investment, salary reform, poverty standards, and social assistance.

c) The operational budget for the year 2022 from the State budget of public institutions shall be built based on the goals of transforming public institutions according to Resolution No. 19-NQ/TW and the provisions of Government Decree No. 60/2021/NĐ-CP dated June 21, 2021 on the financial autonomy mechanism of public institutions (Government Decree No. 60/2021/NĐ-CP). Among them:

Public institutions that fully self-fund their investment and regular expenditures, and those that self-fund their regular expenditures: The State budget will not support regular expenditures. Institutions must report comprehensively on current and projected revenue and expenditure tasks for the planning year; submit these reports to higher-level management authorities for consolidation, and send them to the Ministry of Finance simultaneously with the annual State budget preparation.

Public institutions under central ministries and agencies that partially self-fund their regular expenditures shall build the State budget expenditure plan for the period of 2022-2025, reducing by at least 15% compared to the State budget expenditure plan for the period of 2017-2021, with the 2022 budget reducing by at least 2.5% in direct State budget support, and reducing the number of personnel funded by the State budget corresponding to the reduction in regular expenditures from the budget.

Public institutions under central ministries and agencies whose regular expenditures are fully covered by the State budget: Continue to reduce direct State budget expenditures by an average of 10% compared to the period of 2016-2020, with the 2022 budget reducing by at least 2% in direct State budget support, excluding essential public services guaranteed by the State budget.

It is anticipated that economic public institutions and other public institutions meeting the conditions will be converted into joint-stock companies.

d) Additional notes when building the 2022 State budget:

Expenditure on science and technology affairs: Build the expenditure budget based on the approval of the competent authority for national, ministry, provincial, and grassroots level scientific and technological tasks, regular tasks according to functions, public services using the State budget, and other tasks; align with the direction, goals, and strategy for the development of science and technology during the period of 2021-2025 and Conclusion No. 50-KL/TW dated May 30, 2019 of the Politburo on continuing to implement the Central Resolution No. 6 of the 11th Congress on developing science and technology to serve the cause of industrialization and modernization under socialist-oriented market economy and international integration.

Expenditure on education and training affairs and vocational training: Explain the basis for building the budget for implementing policies on free and reduced tuition fees and supporting educational expenses; funds for improving the qualification standards of kindergarten, primary, and secondary school teachers according to Government Decree No. 71/2020/NĐ-CP dated June 30, 2020; funds for implementing policies towards student teachers according to Government Decree No. 116/2020/NĐ-CP dated September 25, 2020; funds for supporting vocational training for young people completing military service, police service, and voluntary service according to Government Decree No. 61/2015/NĐ-CP dated July 9, 2015; funds for implementing the reform of the general education curriculum and textbooks according to the roadmap set out in Resolution No. 51/2017/QH14 dated November 21, 2017 of the National Assembly;...

Regarding public health, population, and family affairs: Elaborate specifically on the basis for calculating the funding needs to implement approved healthcare programs and projects; estimate the reduction in regular funding for healthcare public institutions according to the schedule for adjusting medical service fees and prices; determine the state budget support needed due to insufficient cost coverage in public healthcare institutions that partially self-fund their regular expenses or those fully funded by the state for regular expenses.

For economic activities: Establish based on the volume of tasks assigned by authorized authorities and the prescribed state budget expenditure regulations; prioritize funding for important tasks assigned by authorized authorities: maintenance and repair of critical economic infrastructure systems (transportation, water management, dikes, and disaster prevention works) to extend usage time and investment efficiency; ensure traffic safety; search and rescue operations; national reserve business operations; implementation of agricultural, forestry, fisheries, and industry promotion tasks. Prepare the state budget for ordering and assigning tasks to public economic institutions according to Decree No. 60/2021/NĐ-CP and laws on task assignment, procurement, or tendering for public goods and services using state funds from regular expenditure budgets.

Specifically, for preparing the state budget expenditure plan from road usage fees, base on the criteria for allocating funds approved by the competent authority, the Ministry of Transport proposes a fund allocation plan for localities, to be submitted to the Ministry of Finance at the same time as proposing the state budget expenditure plan for 2022 and the financial plan for the 2022-2024 period of the Ministry of Transport.

For the operation of state administrative agencies, the Party, and mass organizations: Propose clarifications:

+ The number of positions allocated for 2022 (if not yet allocated, temporarily build based on the number of positions allocated in 2021), including the actual number of positions present as of June 1, 2021, and the number of unfilled positions according to the 2022 staffing quota.

+ Determine the salary fund based on rank and grade, allowances, and contributions according to regulations at the basic salary level of 1,490,000 VND/month (for a full year) guaranteed by the state budget: (i) The salary fund based on the allocated staffing quota for 2022, including the salary fund for the actual number of positions present as of June 1, 2021, determined based on the salary scale by rank, grade, and position; allowances and contributions according to regulations; the salary fund for unfilled positions (but still within the total staffing quota), calculated based on a monthly salary of 1,490,000 VND and the pay scale coefficient for Grade 1 of Class A1 civil servants, allowances, and contributions according to regulations; (ii) Reduce the salary fund in conjunction with staff reduction.

+ Elaborate on the basis for building the budget for special expense items (legal basis, content of expenses, expense levels, other related contents) in 2022 in the spirit of thrift and effectiveness.

+ Ministries, central agencies, and localities direct subordinate agencies and units to prepare the budget to ensure work on lawmaking, perfecting laws, implementing laws, and monitoring law enforcement as stipulated (including clearly defining the budget for lawmaking and perfecting laws as basic investment for legal infrastructure according to Decision No. 04/QĐ-TTg dated January 7, 2021, issued by the Prime Minister to implement Resolution No. 83-KL/TW dated July 29, 2020, of the Politburo on the summary of the implementation of Resolution No. 48-NQ/TW dated May 24, 2005, of the Ninth Politburo on the strategy for building and perfecting Vietnam's legal system until 2010, with a vision to 2020) and prioritize within the allocated budget to ensure this work is carried out.

For political and social-professional organizations, social organizations, and social-professional organizations:

+ In cases where authorized authorities have assigned staffing quotas: Implement budget allocations based on the assigned staffing quotas, applying principles for regular state budget expenditures in the field of state administration and supporting assigned tasks.

+ For other people's associations ensuring voluntarism, self-management, self-financing, operating according to charters, and complying with laws; the state budget supports assigned tasks.

5. For agencies and units currently applying financial mechanisms as prescribed in Article 5 of the State Budget Law or approved by authorized authorities:

a) Report comprehensively on sources of revenue (detailing state budget revenues, retained fees, business income, and other lawful sources), expenditure tasks (detailing investment expenditure, regular expenditure including salary funds based on rank and grade, allowances, contributions according to regulations, special salary funds, administrative operation costs, professional costs, and other task-related costs – if applicable) for 2021 and projected for 2022, to be submitted to the Ministry of Finance for consolidation and reporting to the Government at the same time as preparing the annual state budget, serving as the basis for implementation.

b) The level of budget allocation for investment expenditure in 2022 shall be implemented according to the provisions of the Public Investment Law, progress in implementing tasks, and resource availability.

c) The level of budget allocation for regular expenditure in 2022 shall be based on the financial mechanism regulations, evaluation of the 2021 budget execution, and the requirement to reduce regular expenditure (excluding salary funds, contributions according to regulations, and human-related costs) by at least 15% compared to the 2021 budget.

d) The agencies and units currently applying special financial mechanisms according to the approval of the competent authority shall report on the implementation of the conclusions of the 43rd session of the Standing Committee of the National Assembly as notified in Notification No. 3530/TB-TTKQH dated March 30, 2020 of the Secretary-General of the National Assembly and Resolution No. 129/2020/QH14 of the National Assembly on the allocation of the State budget estimate for 2021; specifically, they shall report on the progress and content of building financial management and income mechanisms that are consistent, comprehensive, and unified, and shall report to the Government, the National Assembly, and the Standing Committee of the National Assembly for consideration and decision in accordance with the provisions of the law.

6. Ministries managing sectors and fields, while preparing the State budget expenditure estimate for 2022 (the part directly implemented by the ministry), need to calculate and determine the total funding requirements to implement the mechanisms and policies issued by the competent authority and effective throughout the country in 2022, accompanied by detailed explanations of the basis for calculation.

7. Prepare the State budget expenditure estimate from revenue collected into the State budget from the disposal of public assets (excluding revenue from the restructuring and disposal of real estate); revenue from the transfer of ownership of state-owned enterprises holding 100% of charter capital, public service units, the transfer of state-owned shares, and revenue from the difference between the equity capital and the charter capital at state-owned enterprises holding 100% of the charter capital (if any); the expenditure estimate for implementing the task of selling and liquidating public assets from the State budget (if any):

Along with compiling the report on these revenue estimates; the agency or unit assigned to manage and implement shall compile the report on the expenditure estimate for development investment and regular expenses for tasks approved by the competent authority from these revenues in accordance with regulations, detailed by sector.

In cases where the expenditure estimate exceeds the revenue obtained from the disposal of public assets, the agency or unit assigned to manage and consolidate shall report the expenditure estimate for 2022 for the shortfall from the State budget, detailing the revenue, funding needs for each task as prescribed.

8. Develop the expenditure estimate for national target programs and regular tasks under previous national target programs by expenditure category:

a) Ministries and central agencies responsible for the programs shall prepare the State budget expenditure estimate for 2022 (detailed by each expenditure category) for each program based on the approval in the Resolution of the National Assembly, the Decision of the Prime Minister, the ability to balance the State budget in 2022, and compliance with laws on the State budget and public investment. In cases not yet approved by the competent authority as prescribed, they shall prepare the expenditure estimate for systems, policies, and expenditures already issued by the Government and the Prime Minister and being submitted to the competent authorities for continued implementation during the 2021-2025 period.

b) For regular tasks under previous national target programs, which are systems and policies already issued by the Government and the Prime Minister and still in effect, but not integrated into national target programs for the 2021-2025 period, ministries and central agencies shall implement them as part of their regular tasks and prepare the expenditure estimate, consolidating it into the regular expenditure estimate for 2022 detailed by expenditure category in accordance with State budget management regulations.

9. For programs and projects using ODA funds (including loans and grants), preferential loans, and non-reimbursable grants not included in official development assistance:

a) Based on the provisions of the State Budget Law, the Public Investment Law, the Public Debt Management Law, Decree No. 56/2020/NĐ-CP dated May 25, 2020 of the Government on the management and use of official development assistance (ODA) and preferential loans from foreign donors, Decree No. 50/2020/NĐ-CP dated April 20, 2020 of the Government on receiving, managing, and using emergency international aid for disaster relief and recovery, Decree No. 80/2020/NĐ-CP dated July 8, 2020 of the Government on the management and use of non-reimbursable grants not included in official development assistance provided by foreign organizations and individuals to Vietnam, and guiding documents, based on agreements and memoranda already signed or to be signed with donors, the progress of project documents or grants, and approved financial mechanisms (if any), ministries, central agencies, and localities shall prepare the expenditure estimate for each program, project, grant, and counterpart fund (if any); classify according to development investment expenditure and public service expenditure, detailed by expenditure category; for localities, specifically classify these sources of funds into the local budget and supplementary State budget funds for the locality. Do not prepare the State budget expenditure estimate for 2022 for foreign funds directly managed by donors, but organize implementation and management in accordance with Decrees No. 56/2020/NĐ-CP and No. 80/2020/NĐ-CP of the Government.

b) For mixed programs and projects funded from the State budget and re-lent loans, the agency assigned to manage the programs and projects shall guide the preparation and consolidation of the expenditure estimate for each portion of the funds.

c) For programs and projects involving participation by some ministries, central agencies, and localities, ministries, central agencies, and localities shall prepare the expenditure estimate from external funds and provide detailed explanations of the basis for allocation to the Ministry of Finance and the Ministry of Planning and Investment for consolidation and submission to the competent authority for decision, and send to the main managing agency of the program or project for consolidation and monitoring.

10. Expenditure estimate for salary reform, pension adjustment, social insurance benefits, monthly allowances (part guaranteed by the State budget), and preferential allowances for persons with meritorious service:

In 2022, continue to implement the policy of generating resources for salary reform, combining thorough cost savings with organizational restructuring, reducing redundant staffing, and increasing the degree of financial autonomy of public service units in accordance with Resolution No. 27-NQ/TW of the 7th Plenary Session (12th Term) of the Central Committee on implementing salary policy reforms and Decree No. 60/2021/NĐ-CP of the Government; including:

Ministries and central agencies shall prepare budgets for expenditures to create sources for salary reform from surplus funds from implementing salary reform up to the end of 2021 transferred to 2022 (if any); retained revenue according to regulations; saving 10% of additional regular expenditure budget (excluding salaries, allowances based on salary, items with the nature of salary, and expenditures for human resources according to the system). For central administrative agencies currently applying special financial mechanisms approved by competent authorities, they shall balance their own sources to implement salary reform according to Resolution No. 27-NQ/TW, and the State Budget will not provide support.

Publicly-owned事业单位继续实施根据第27号中央决议和第60/2021号政府法令制定的创造工资改革资金的措施，其中必须自行确保与单位经常性经费自筹比例相适应的增加工资部分。

Localities shall aggregate and report the budget for expenditures to create sources for implementing salary reform according to Resolution 27-NQ/TW of the 7th Plenary Session of the 12th Central Committee, including: saving 10% of regular expenditures (excluding salaries, allowances based on salary, items with the nature of salary, and expenditures for human resources according to the system) and cumulative sources for salary reform up to the end of 2021 transferred for implementation (including the 70% increase in revenue realized in the 2021 State Budget that has not been fully utilized - if any); using part of the revenue of public institutions according to Decree No. 60/2021/NĐ-CP.

For pension adjustment funds, social insurance benefits, monthly allowances (the portion guaranteed by the State Budget), preferential allowances for persons with meritorious service, ministries and agencies shall base their budget preparation for these expenditures according to the state regulations based on their assigned tasks and functions.

11. Prepare the budget for implementing the policy of streamlining the workforce:

The preparation of the budget for implementing the policy of streamlining the workforce in 2022 shall be carried out in accordance with Decree No. 108/2014/NĐ-CP, Decree No. 113/2018/NĐ-CP, Decree No. 143/2020/NĐ-CP, Decree No. 26/2015/NĐ-CP, and Circular No. 31/2019/TT-BTC dated June 5, 2019, issued by the Ministry of Finance, guiding the determination of funding sources and the preparation, management, use, and settlement of the budget for implementing the policy of streamlining the workforce.

12. Allocate contingency reserves for the State Budget:

The State Budget at all levels shall allocate contingency reserves in accordance with the provisions of the Law on State Budget.

13. Regarding the budget for public services from retained revenue according to regulations: Ministries and central agencies and localities shall prepare the budget for expenditures from retained revenue and report to the competent authority according to the form prescribed in Circular No. 342/2016/TT-BTC dated December 30, 2016, issued by the Ministry of Finance, detailing and guiding the implementation of certain provisions of Decree No. 163/2016/NĐ-CP, but shall not aggregate it into the State Budget expenditure budget of ministries, central agencies, and localities.

14. Based on the audit of revenue and expenditure of the State Budget in 2022, ministries, central agencies, and localities shall build detailed budgets for expenditures in each field specified in the Law on State Budget, for each task, and for each subordinate budget-using unit; after working with the Ministry of Finance and the Ministry of Planning and Investment, ministries, central agencies, and centrally-administered provinces and cities shall immediately proceed with the work of preparing plans for allocating the 2022 State Budget for their respective ministries, agencies, and localities, so that immediately after the National Assembly decides and the Prime Minister assigns the budget, they can proactively submit to the competent authority for approval of allocation by field and assignment of the State Budget to budget-using units before December 31, 2021, in accordance with the Law on State Budget.

Article 13. Building Financial Plans for State Financial Funds Outside the State Budget

Based on the results of reviewing and evaluating state financial funds outside the state budget, ministries, central agencies, and local agencies and units responsible for managing these state financial funds outside the state budget shall propose plans to restructure, merge, suspend, or dissolve ineffective funds that do not comply with legal regulations in 2022; prepare revenue and expenditure plans for state financial funds outside the state budget that continue to operate within their management scope according to the State Budget Law and related laws, attaching the draft state budget estimates for 2022 of their own agencies and units to the same-level finance agency (including detailed explanations about the beginning balance; new income from the state budget level, from fundraising, sponsorship, etc., during the year; expenditures for tasks in the year; changes in registered capital and operating capital of these funds).

Article 14. Building the State Development Plan Estimate

2022 is the first year of the new stable budget period according to the State Budget Law. The preparation of the revenue and expenditure estimate for the state development plan must closely follow the goals and tasks of economic and social development in 2022 and the 2021-2025 period at the national and local levels as stipulated in the resolutions of the Party, National Assembly, and People's Councils at all levels.

Based on the balanced state budget expenditure level for local budgets calculated according to principles, criteria, and allocation standards for public investment capital from the state budget (according to Resolution No. 973/2020/UBTVQH14 dated July 8, 2020, of the Standing Committee of the National Assembly and Decision No. 26/2020/QĐ-TTg dated September 14, 2020, of the Prime Minister) and the 2022 state budget regular expenditure estimate (decided by the Standing Committee of the National Assembly and the Prime Minister), provincial People's Committees shall establish systems of allocation standards for local budgets in 2022, determine the ratio of shared revenue sources between different levels of local government and the amount of supplementary budget for lower-level budgets to be submitted to the Provincial People's Council for decision-making in accordance with the State Budget Law and related guiding documents.

In addition to general guidelines on the preparation of state budget estimates according to current legal regulations and this Circular, the preparation and construction of the state development plan estimate need to pay attention to the following main contents:

1. Construction of the State Revenue Estimate:

Localities shall build estimates based on the total revenues from taxes, fees, and other revenues on their territories as stipulated in Article 7 of the State Budget Law and related legal provisions.

Provincial People's Committees shall direct financial, tax, customs agencies, and coordinate with relevant agencies to strictly implement the preparation of the state budget revenue estimate for 2022 in accordance with legal regulations.

It is required to actively prepare the state budget revenue estimate, accurately reflecting reality, comprehensively incorporating newly generated revenues on the territory to ensure correct and full calculation of revenue sources, without reserving excess room for localities to self-determine revenue targets; analyze and evaluate specific impacts affecting the state budget revenue estimate for 2022 by region, sector, revenue item, tax type, focusing on assessing the impact of revenue due to the influence of epidemics, natural disasters, and the impact on the budget due to the implementation of the Law on Tax Administration No. 38/2019/QH14 and policies on tax deferral, exemption, and reduction.

Based on the ratio of shared revenue sources between the Central State Treasury and local budgets submitted to the National Assembly and Provincial People's Councils for approval, determine the state budget revenue estimate for each level of local government in 2022 in accordance with the State Budget Law and related guiding documents.

2. On building the state budget expenditure estimate for local budgets:

The state budget expenditure estimate for local budgets is built based on the shared state budget revenue estimate, the goals of the economic and social development plan for 2022 and the 2021-2025 period as stipulated in the resolutions of the Party, National Assembly, and People's Councils at all levels, and the principles, criteria, and allocation standards for the state budget expenditure estimate for 2022 decided by the People's Committees and submitted to the Provincial People's Council for decision-making in accordance with the State Budget Law and related guiding documents.

At the same time, implement the following main contents:

a) For the state budget expenditure estimate for public investment: Based on the provisions of the Public Investment Law; evaluation of implementation in 2021 and the proposed medium-term public investment plan for 2021-2025; build the state budget expenditure estimate for public investment in 2022, detailing the balanced local budget sources (including basic construction investment, land use fee investment, lottery proceeds investment, investment from ownership conversion for wholly state-owned enterprises, public service units, state share transfer, and surplus equity value exceeding the registered capital in wholly state-owned enterprises (if applicable), investment from local budget surplus (if applicable); the state budget expenditure estimate for projects using foreign capital (loans, aid), based on which allocate sufficient counterpart funds under the responsibility of the locality.

b) Allocate funds to fully and promptly repay local budget debts when they become due; prioritize fully repaying principal local budget debts borrowed from the Vietnam Development Bank under the zero-interest credit program.

c) Allocate the state budget expenditure estimate for public investment from land use fees to invest in socio-economic infrastructure projects, the National Target Program on New Rural Development; reserve at least 10% of the total land use fees and land rental fees to implement land surveying, registration, establishment of land registry databases, and issuance of land use right certificates according to the Prime Minister's Directive No. 1474/CT-TTg dated August 24, 2011, and Decision No. 191/QĐ-TTg dated February 8, 2018.

d) Regarding the proceeds from lottery sales:

Localities shall prepare budgets closely reflecting lottery revenues (including revenues from lottery computer games) and continue to use all lottery revenues for investment and development, prioritizing investments in education and vocational training (including investments in purchasing teaching equipment to support the new general education curriculum) and healthcare; the remainder shall be prioritized for funding projects and works related to disaster prevention and mitigation, climate change adaptation,新农村建设 and other important investment tasks within the scope of local government budgets.

d) Regarding the use of ticket revenue from participating in casino games

Localities permitted by competent authorities to pilot allowing Vietnamese citizens to play at casino business establishments may use the revenue from tickets for playing at such establishments to fund development investments aimed at social welfare, community service, ensuring public security and social order, with at least 60% allocated to education, training, vocational training, and healthcare according to Clause 3, Article 5 of Circular No. 102/2017/TT-BTC dated October 5, 2017 issued by the Ministry of Finance guiding certain provisions of Government Decree No. 03/2017/NĐ-CP dated January 16, 2017 on casino operations.

e) Regarding regular expenditure budgets, reductions shall be made to state agencies and public institutions based on staff reduction plans, organizational restructuring, and reforms of public institutions in 2022, determined based on cumulative results up to 2021, the objectives of Resolution No. 18-NQ/TW, Resolution No. 19-NQ/TW, and Decree No. 60/2021/NĐ-CP, with the level of staff reduction determined according to the staffing allocation decision of the competent authority (if applicable).

Localities shall develop plans for using the reduced regular expenditure funds directly allocated to health and education-training public institutions according to the actual adjustment of service prices for health, education, and vocational training in 2022 following the prescribed schedule.

g) For localities permitted to adjust and supplement staffing for education and healthcare institutions according to decisions of competent authorities, they shall continue to proactively allocate budget expenditures to ensure funding for additional staffing; for increased salary needs due to salary reform, these shall be aggregated into the local salary reform requirements and processed according to current regulations.

The funds for implementing multi-dimensional poverty standards approved by competent authorities and the Government's resolutions, detailing for each type of multi-dimensional poverty standard, specifically the number of beneficiaries and the financial needs arising in 2022.

Interest payments, fees, and other expenses: Budget estimates should be established as a separate expense item in the balanced budget, ensuring timely and full payment of debts due; accompanied by detailed explanations of the payment levels according to each source of borrowing (if applicable), including foreign government loans transferred to localities, development credit, and issuance of local government bonds.

3. Prepare the budget surplus/deficit, borrowing plan, and repayment plan for principal and interest of the local budget:

The preparation of the budget surplus/deficit, borrowing plan, and repayment plan for principal and interest of the local budget shall comply with the provisions of the State Budget Law and guiding documents; attention should be paid to the following matters:

a) Provincial budgets can only incur deficits if they meet the provisions and conditions stipulated in the State Budget Law and its implementing regulations.

Based on the debt limit, domestic borrowing capacity, and debt repayment arrangements, localities propose their total borrowing needs for 2022, including borrowing to cover provincial budget deficits (if any) and to repay principal, prioritizing external loans that have been signed and planned for disbursement in 2022. On this basis, the Ministry of Finance will aggregate and forecast the overall budget deficit, including the central government deficit and local government deficit, and the deficit of each locality (if any), to be submitted to the competent authority for consideration and decision.

b) Based on the estimated local budget debt balance as of December 31, 2021, the need for borrowing for investment in 2022, and the local budget's medium-term debt repayment capacity, localities must fully assess the impact of local budget debt before proposing new borrowings, ensuring that the local borrowing debt does not exceed the maximum allowable debt level as prescribed.

If the estimated local budget debt balance as of December 31, 2021 exceeds the prescribed limit, then in the 2022 budget, localities must allocate part of the local budget revenue received under the revenue-sharing system (local budget surplus) and previous year's budget surplus to increase debt principal repayment, ensuring that the debt level does not exceed the local debt limit as prescribed.

In cases where foreign government loans transferred to localities or other loans with usage constraints are involved, localities must proactively coordinate with central ministries, agencies, or relevant units to complete loan agreement procedures to have a basis for planning loan disbursements in the 2022 budget, forecasting the disbursement capacity of each loan to build the borrowing and deficit plans for the local budget appropriately.

In cases where localities have plans to borrow to repay principal (the locality has no deficit or the amount borrowed is greater than the deficit), but the new loan has usage constraints, the locality must develop plans to reduce investment spending accordingly and/or utilize other lawful financial resources of the locality as stipulated in Clause 1, Article 5 of Decree No. 163/2016/NĐ-CP to repay maturing principal and use the new loan to fund investment spending in 2022.

In cases where the total plan for disbursing foreign government loans transferred to localities according to signed loan agreements causes the local budget debt level to exceed the prescribed limit, the locality must develop plans to increase principal repayment for other debts to ensure the disbursement of foreign loans according to signed agreements, while also ensuring that the local budget deficit, total borrowing, and debt level remain within the prescribed limits.

c) Localities shall proactively arrange payments for principal debt from sources as prescribed in Clause 1, Article 5 of Decree No. 163/2016/NĐ-CP of the Government, ensuring timely and full repayment of maturing debts, especially foreign loans borrowed by the Government and relented to localities, while maintaining total outstanding domestic public debt within the prescribed limits; accompanying this with detailed explanations of principal debt payments according to the borrowing sources specified in Point 1, Clause 2 of this Article (if applicable) and payment sources such as new borrowings to repay old debts, surplus revenues, increased revenues, and savings in the State budget.

Chapter III
ESTABLISHING THE FINANCIAL PLAN - STATE BUDGET FOR THE PERIOD 2022-2024

Article 15. Basis and requirements for establishing the plan

1. In accordance with the State Budget Law, Decree No. 45/2017/NĐ-CP of the Government detailing the establishment of five-year financial plans and three-year financial-State budget plans, Circular No. 69/2017/TT-BTC dated July 7, 2017 of the Ministry of Finance guiding the establishment of five-year financial plans and three-year financial-State budget plans (Circular No. 69/2017/TT-BTC), laws on taxes and tax administration, laws on fees and charges, laws on public investment, laws on public debt management, laws on state asset management, related legal documents; economic and social development goals for the period 2021-2030, five-year socio-economic development plans for 2021-2025; Central Committee Resolutions XII on streamlining the organizational structure, reducing staff establishments, reforming public service units, and resolutions on salary reform and social insurance; five-year financial plans, medium-term public investment plans for the period 2021-2025, principles, criteria, and standards for regular spending in 2022; principles, criteria, and standards for developmental investment spending during the period 2021-2025; based on the three-year State budget financial plan 2021-2023 that has been reviewed and updated as of March 31, 2021; based on loan agreements, aid agreements, and other external financing agreements already signed or to be signed and implemented in the years 2022-2024; provisions regarding the stabilization period of the State budget; based on expenditure ceilings for the period 2022-2024 announced by financial, planning, and investment agencies and the 2022 State budget draft prepared in accordance with Chapter II of this Circular, ministries, agencies, central-level units, and provincial-level units shall establish the three-year State budget financial plan 2022-2024 in accordance with regulations.

Where the demand for expenditures of central ministries, agencies, and provincial-level units in the years 2022-2024 increases or decreases significantly compared to the budget estimates (including supplementary budgets within the year) and the estimated actual expenditures in 2021, exceeding the financial-State budget resources that have been updated and announced for the period 2022-2024 by financial and investment agencies; these ministries, agencies, and provincial-level units shall provide explanations and justifications, along with measures to mobilize additional non-budgetary financial resources, ensuring that all expenditure needs can be balanced with available resources.

The budget for expenditures in 2022-2024 shall be established at a basic wage level of 1,490,000 VND per month. Based on the decision of the competent authority regarding the implementation plan for salary reform pursuant to Resolution No. 27-NQ/TW dated May 21, 2018 of the Seventh Plenary Session of the 12th Central Committee on salary policy reform for cadres, civil servants, public officials, armed forces personnel, and workers in enterprises, the Ministry of Finance will subsequently announce and guide.

3. The process of establishing, reporting, consolidating, and submitting the three-year State budget financial plan 2022-2024 shall be carried out concurrently with the preparation of the 2022 State budget draft.

Article 16. Establishing the State Budget Revenue Plan

1. The State budget revenue plan for the three-year period 2022-2024 shall be established according to the requirements stipulated in Article 15 of this Circular, while:

a) Assessing the impact of natural disasters, epidemics, especially the ongoing unpredictable evolution of the COVID-19 pandemic.

b) The potential for economic development nationwide, by industry, sector, and locality during 2022-2024, consistent with the ten-year socio-economic development goals and strategies from 2021-2030, the content of the socio-economic development plan and the five-year financial plan from 2021-2025; factors affecting investment capacity, labor productivity, competitiveness, business environment improvement, support for production and business operations of enterprises, and trade activities including import and export for each year; factors influenced by the process of international integration.

c) Factors expected to increase, decrease, or shift sources of revenue due to adjustments in tax policies, expanding tax bases, strengthening tax management pursuant to Resolution No. 07-NQ/TW; implementing guiding documents for the Law on Tax Administration No. 38/2019/QH14; implementing the schedule for reducing tariffs under commitments of international integration; certain corporate income tax policies aimed at supporting and developing businesses; mobilizing from the informal economy sector.

d) The impact on state budget revenues from adjusting prices and fees for public services according to the schedule for incorporating sufficient costs into the prices of public services as prescribed by law.

During the period 2022-2024, efforts should aim for an average annual growth rate of domestic revenue excluding land use fee revenue, lottery revenue, proceeds from selling state-owned shares in enterprises, dividends, post-tax profits, and the difference between revenue and expenditure of the State Bank of Vietnam at approximately 8-9% per year; an average annual growth rate of revenue from import and export activities at approximately 5-6% per year. The specific growth rates of revenue for each locality may be higher or lower than the national average, depending on local conditions, characteristics, and consistency with the economic growth rate in each locality.

2. The draft budget for fees and charges for the years 2022-2024 should be positive and detailed for each type of fee and charge as prescribed (revenue amount, amount remitted to the State budget) and only the portion of fees and charges remitted to the State budget should be consolidated into the State budget revenue draft.

3. For retained revenue, tuition fees, healthcare service prices, non-fee and charge revenue from public services, and revenue transferred to a pricing mechanism: plans for collecting such revenue should be established separately in accordance with regulations and proposals for their use should be submitted to supervisory authorities and continued implementation of mechanisms to generate funds from these revenues for salary reform as prescribed; and submitted to the same-level finance authority as prescribed.

Article 17. Establishing the State Budget Expenditure Plan for the Three-Year Period 2022-2024 for Ministries, Central Agencies, and Provincial Agencies

1. The State budget expenditure plan for the three-year period 2022-2024 for ministries, central agencies, and provincial agencies shall be established according to the requirements stipulated in Article 15 of this Circular; the 2022 budget draft is set out in Chapter II of this Circular; it includes detailed descriptions of objectives, tasks, programs, projects (including national target programs), policies, and systems that have expired or newly been approved by competent authorities, particularly noting the implementation of Resolutions No. 18-NQ/TW, No. 19-NQ/TW, and generating funds for salary reform as prescribed by Resolution No. 27-NQ/TW and Decree No. 60/2021/NĐ-CP.

2. During the process of drafting the State budget expenditure plan for 2022, ministries, central agencies, and provincial agencies must simultaneously determine detailed basic expenditures and new expenditures for their respective units in the 2022 budget draft according to Articles 5 and 6 of Circular No. 69/2017/TT-BTC of the Ministry of Finance, serving as the basis for determining basic expenditures, new expenditures, and aggregating needs for investment and maintenance and operation expenses in the 2022-2024 expenditure plan.

For ministries managing industries and sectors, while establishing the annual State budget revenue and expenditure plans for the period 2022-2024 (the part directly implemented by the ministry), it is necessary to calculate and determine the total funding requirements for mechanisms, policies, and tasks issued annually by the competent authority for the period 2022-2024 nationwide, accompanied by detailed explanations of the calculation basis, paying particular attention to:

a) Establishing the investment and construction expenditure plan for the period 2022-2024 based on the medium-term public investment plan for the period 2021-2025, taking into account the progress of implementing programs, projects, and investment tasks carried over (if any)/approved investment decisions; the content of the medium-term plan; aligning with socio-economic development goals and industry and sector development strategies.

b) Establishing the expenditure plan from ODA, preferential loans, and non-reimbursable aid not included in official development assistance for the period 2022-2024 for each project according to the implementation progress of signed agreements and ongoing projects, and commitments and negotiations for newly signed agreements, approved investment decisions, and ongoing negotiations.

c) Establishing detailed regular expenditure plans for implementing ongoing objectives, tasks, policies, and systems still in effect/ceased to be effective; new objectives, tasks, policies, and systems approved by the competent authority.

Regarding Resolution No. 18-NQ/TW, based on the assessment of results up to the end of 2021, specifically forecasting objectives and tasks related to organizational structure improvement and reduction in staffing levels for each year 2022-2024, and the budgetary impacts according to each objective and task (budget savings due to reduced organizational levels and staffing reductions; increased budget spending due to the implementation of staff reduction policies).

Regarding Resolution No. 19-NQ/TW, based on the assessment of results in 2021 and targets according to approved schemes (if any), similar budget drafts for 2022 as stipulated in Clause 4, Article 12 of this Circular should be prepared, with annual reductions in staffing levels receiving state budget salaries according to approved schemes (if any) or a minimum average reduction of 2% per year, and the content of proposals for principles, criteria, and standards for allocating regular state budget expenditures for 2022 applicable for the next budget stabilization period.

d) For sources outside the budget: prepare annual revenue and expenditure plans for 2022-2024 in accordance with current regulations, detailing each source of fees and retained proceeds from business operations, other sources; tasks for investment and recurrent expenditures by sector from retained fees and proceeds from business operations, the development fund for business operations, loans, and other lawful sources of the unit; submit to the higher-level management agency for consolidation and report to the financial and investment agencies at the same level simultaneously with the preparation of the State Budget estimate.

Article 18. Financial Plan - State Budget 03 years 2022-2024 of provinces and centrally governed cities

In addition to the relevant contents regarding the work of preparing the State Budget revenue and expenditure plan 03 years 2022-2024 as stipulated in Articles 15 and 16 of this Circular, the preparation of the Financial Plan - State Budget 03 years 2022-2024 of provinces and centrally governed cities must also pay attention to the following matters:

1. The People's Committee of the province shall direct the Department of Planning and Investment to forecast the economic and social development situation in the locality for 2022-2024, and send it to the Department of Finance as the basis for preparing the Financial Plan - State Budget 03 years 2022-2024.

2. Based on the revenue amount assigned, the scope of State Budget revenue as prescribed by the State Budget Law and guiding documents, the State Budget revenue estimate on the local territory for 2022 set out in Chapter II of this Circular, the People's Committee of the province shall direct the Department of Finance to take the lead and coordinate with the Tax Service, Customs Service of the locality and other related agencies in the locality to prepare the State Budget revenue plan for 2022-2024, including:

a) Analyze and evaluate specifically the impacts of increases and decreases, shifts in revenue sources due to adjustments in tax policies linked to economic and social development goals; assess the impact of revenue due to the influence of epidemics and natural disasters; implement guiding documents of the Law on Tax Administration No. 38/2019/QH14; implement the schedule for reducing import tariffs according to commitments under integration; adjust the personal income tax exemption threshold; some corporate income tax policies aimed at supporting and developing enterprises; anticipate the implementation of new revenue policies prescribed in Resolution No. 07-NQ/TW; require measures to prevent revenue loss, recover overdue payments, combat transfer pricing, and tax fraud.

b) For fee and charge revenues, the preparation of the revenue estimate shall be carried out in accordance with current regulations, linked to the schedule for increasing fees based on the principle of accurately and sufficiently covering service provision costs; consolidate the portion of fee revenue to be submitted to the State Budget for 2022-2024 into the State Budget revenue estimate; prepare a separate plan for retained revenue, school fees, healthcare service prices, public service prices, and other charges (not included in the fee list) for management, monitoring, and require the creation of sources for salary reform for these entities.

3. On the basis of the expected revenue on the local territory, the revenue of the locality under the current decentralization system, the anticipated supplementary amount from the Central Government Budget for the Local State Budget announced for the 03 years 2022-2024; the contents of the five-year plan 2021-2025 on economy and society, finance, and public investment in the locality; the People's Committee of the province shall direct the Department of Finance to take the lead and coordinate with the Department of Planning and Investment, the People's Committee of the district and other related agencies in the locality to prepare the Local State Budget expenditure plan for 2022-2024, ensuring priority allocation of sufficient funds to implement existing systems, policies, and tasks that have been issued and committed to (including special policies decided by the Provincial People's Council); determine the need for targeted supplementary funding from the Central Government Budget for central policies for each year of the 2022-2024 period; for new tasks of the locality in each year of the 2022-2024 period, allocate them in order of priority to achieve the main economic and social objectives of the locality within the scope of available resources in each year 2022-2024.

4. Prepare the plan for implementing salary reform: Implement in accordance with Clause 10, Article 12 of this Circular.

5. The preparation of the deficit/surplus, borrowing, and repayment plan of the Local State Budget for the years 2022-2024 shall be carried out in accordance with the provisions of the State Budget Law, Decree No. 45/2017/NĐ-CP of the Government, and Circular No. 69/2017/TT-BTC of the Ministry of Finance guiding the preparation of the five-year financial plan and the three-year financial plan - State Budget, and in accordance with the provisions on the preparation of the deficit/surplus, borrowing, and repayment plan of the Local State Budget for 2022 stipulated in Clause 3, Article 14 of this Circular, ensuring that the local debt stock at the end of each year does not exceed the limit prescribed (clearly specifying the sources: ODA loans transferred for re-lending, issuance of local government bonds, borrowing from the state treasury, and other lawful financial sources).

Chapter IV
IMPLEMENTATION

Article 19. Responsibilities of Ministries, Central Agencies and Localities

The responsibilities of ministries, central agencies, and People's Committees of provinces and centrally governed cities shall be implemented in accordance with the State Budget Law and guiding documents, as well as the provisions of Clauses 2, 3, 4, and 5 of Article 17 of Decree No. 45/2017/NĐ-CP dated April 21, 2017 of the Government and Directive No. 20/CT-TTg dated July 23, 2021 of the Prime Minister.

Article 20. Regarding the forms for preparing and reporting the 2022 State Budget Estimate and the Financial Plan - State Budget for the period 2022-2024

1. For the 2022 estimate: apply the forms prescribed in Circular No. 342/2016/TT-BTC dated December 30, 2016 of the Ministry of Finance detailing and guiding the implementation of certain provisions of Decree No. 163/2016/NĐ-CP (note that fields of public services apply forms No. 12.1 to 12.5) and forms No. 01, No. 02 (a, b, c, and d); No. 03 issued together with this Circular.

2. For the detailed estimate of State budget revenue and expenditure from the reorganization and disposal of real estate: apply forms No. 04 and No. 05 issued together with this Circular.

3. For the financial plan - State Budget for the period 2022-2024: apply forms No. 01 to No. 06 and forms No. 13 to No. 19 issued together with Circular No. 69/2017/TT-BTC of the Ministry of Finance guiding the preparation of a five-year financial plan and a three-year financial plan - State Budget.

Article 21. Implementation clause

1. This Circular takes effect from September 9, 2021 and applies to the construction of the 2022 State Budget estimate and the financial plan - State Budget for the period 2022-2024. The content, procedures, and time limits for preparing the 2022 State Budget estimate and the financial plan - State Budget for the period 2022-2024 shall be carried out in accordance with the State Budget Law and the guidance provided in this Circular.

2. During the process of constructing the 2022 State Budget estimate and the financial plan - State Budget for the period 2022-2024, if new policies and regulations are issued, the Ministry of Finance will issue supplementary notifications; if there are difficulties in implementing these plans, ministries, central agencies, localities, state-owned economic groups, and state-owned corporations should report to the Ministry of Finance for prompt resolution.

Prime Minister, Deputy Prime Ministers;

The Office of the Central Committee of the Communist Party of Vietnam and its Departments;

National Assembly Office;

THE SUPREME PEOPLE'S COURT:

Office of the General Secretary;

State Audit Agency;

Central agencies of mass organizations;

Prosecutor's Office, Supreme People's Court;

Ho Chi Minh National Academy of Politics;

Vietnam Fatherland Front Central Committee;

Central agencies of mass organizations;

Provincial People's Councils, Municipalities directly under the Central Government;

Provincial Department of Finance, Tax Collection Agency, Customs Office, Treasury Departments of provinces;

centrally-administered cities;

Economic Groups, State-Owned Corporations;

Inspection of Legal Documents Department - Ministry of Justice;

Official Gazette, Website: Government, Ministry of Finance

Government Electronic Portal;

To be filed: VT, Public Finance Department (351b)

Plan for disbursement of loans in 2022 for ODA projects and preferential loans from government borrowing (Issued together with Circular No. 61/2021/TT-BTC dated July 26, 2021 of the Minister of Finance)

..., date ..., month ..., year 2021 CHAIRMAN OF THE PROVINCE/CITY PEOPLE'S COMMITTEE (1) Only include allowances stipulated by the Central Government, excluding night shift pay, overtime pay, and absolute level allowances (2) Contribution rates for social insurance are 17.5%, health insurance is 3%, unemployment insurance is 1%, and housing provident fund is 2%

QUARTERLY REPORT ON SALARIES, ALLOWANCES, AND SUBSIDIES BASED ON FINALIZED 2019 DATA
(Issued together with Circular No. 61/2021/TT-BTC dated July 26, 2021 of the Minister of Finance)

..., date ..., month ..., year 2021
CHAIRMAN OF THE PROVINCE/CITY PEOPLE'S COMMITTEE ...
(Signature, stamp)

Note:

(2) Bring John's car down to the back room and bring some of the things you have been using.

PROVINCE/CITY PEOPLE'S COMMITTEE: ...

46
QUARTERLY REPORT ON PROJECTED SALARIES, ALLOWANCES, AND SUBSIDIES FOR 2021
(Accompanying Circular No. 61/2021/TT-BTC dated July 26, 2021 of the Minister of Finance)

..., date ..., month ..., year 2021
CHAIRMAN OF THE PROVINCE/CITY PEOPLE'S COMMITTEE...
(Signature, stamp)

(1) Only include allowances stipulated by the Central Government, excluding night shift pay, overtime pay, and absolute level allowances (2) Contribution rates for social insurance are 17.5%, health insurance is 3%, unemployment insurance is 1%, and housing provident fund is 2% (Issued together with Circular No. 61/2021/TT-BTC dated July 26, 2021 of the Minister of Finance)

REQUIREMENTS FOR IMPLEMENTING BASIC SALARY AT 1.49 MILLION VND IN 2020 AND PROJECTED REQUIREMENTS FOR 2021
REQUIREMENTS FOR THE YEAR 2021

Note: Localities should detail each type of allowance and subsidy separately and their corresponding requirements.

..., date ..., month ..., year 2021 CHAIRMAN OF THE PROVINCE/CITY PEOPLE'S COMMITTEE

(Signature, stamp)

Form No. 03

PROVINCE/CITY PEOPLE'S COMMITTEE: ...

SUMMARY OF EXPENSES FOR IMPLEMENTING POLICIES AND REGULATIONS IN 2020 AND 2021 AND PROJECTED REQUIREMENTS FOR 2022
(Issued together with Circular No. 61/2021/TT-BTC dated July 26, 2021 of the Minister of Finance)

Each policy should be accompanied by a detailed explanation form according to the target group and the amount allocated according to the established regulations (in cases where the number of target groups increases/decreases due to adjustments in the list of particularly difficult socio-economic areas as per Decision No. 861/QĐ-TTg dated June 4, 2021 of the Prime Minister regarding the approval of the list of communes in area III, II, and I in ethnic minority and mountainous regions and Decision No. 433/QĐ-UBDT dated June 18, 2021 of the Ethnic Minority Committee regarding the approval of the list of extremely difficult communes in ethnic minority and mountainous regions for the period 2021-2025, specific explanations of increased or decreased funding requirements are requested). The poverty-stricken households implementing policies are determined based on income criteria as stipulated in Document No. 9855/VPCP-KGVX dated November 16, 2016 of the Government Office.

..., date ..., month ..., year 2021 CHAIRMAN OF THE PROVINCE/CITY PEOPLE'S COMMITTEE

ATTACHMENT (Signature, Seal) (According to Notification No. 61/2021/TT-BTC dated July 26, 2021 of the Minister of Finance)

SUMMARY OF ESTIMATES FOR STATE BUDGET REVENUE FROM REAL ESTATE DISPOSAL
IN 2021 AND THE PERIOD 2022-2024

SUMMARY OF ESTIMATES FOR STATE BUDGET EXPENDITURE FROM REAL ESTATE DISPOSAL
IN 2021 AND THE PERIOD 2022-2024

(Issued together with Circular No. 61/2021/TT-BTC dated July 26, 2021 of the Minister of Finance)

Computer reference citation

Note: (1) Write units in full when they differ from their abbreviated forms such as names of people, places, organizations, or products