Joint Circular No. 68-TT-LB stipulates the collection, use, and management of service fees for foreign economic contract services for Vietnamese trade offices and commercial delegations abroad.

CIRCULAR

JOINT MINISTRY OF FINANCE - TRADE DECREE NO. 68 TT-LB DATED OCTOBER 31, 1992 REGULATING THE COLLECTION, USE, AND MANAGEMENT OF THE "SERVICE FEE FOR FOREIGN ECONOMIC CONTRACTS" FOR VIETNAMESE COMMERCIAL MISSIONS AND BUSINESS DELEGATIONS ABROAD

IN THE YEAR 1992 REGULATING THE COLLECTION, USE, MANAGEMENT
OF THE "SERVICE FEE FOR FOREIGN ECONOMIC CONTRACTS" FOR
FOREIGN TRADE AGENCIES, VIETNAMESE BUSINESS DELEGATIONS
ABROAD

To serve the business activities of import and export effectively, reduce the cost of imported and exported goods, while ensuring the rights of Vietnamese commercial missions and business delegations abroad (collectively referred to as representative agencies) in assisting domestic economic organizations in performing tasks such as searching for trading partners, negotiating and signing foreign economic contracts... with foreign economic organizations, in accordance with Vietnamese laws, the laws of the host country, and international practices.  to assist domestic economic organizations in performing tasks such as searching for business partners, negotiating and concluding economic contracts... with foreign economic organizations, in accordance with Vietnamese law - the law of the host country and international practices.

The Joint Ministry of Finance - Trade temporarily regulates the collection, use, and management of the "service fee for foreign economic contracts" as follows:

1. PRINCIPLES:

All Vietnamese economic organizations (including all types of economic entities) that agree through Vietnamese representative agencies abroad to promote trade and sign foreign economic contracts, and urge the implementation of signed foreign economic contracts with foreign economic organizations must pay a certain amount of money called the "service fee for foreign economic contracts" to the delegation or the commercial agency. The entrustment of representative agencies to perform contract services must be based on the signing of economic contracts in compliance with the Ordinance and current economic contracts.

2. RATE OF "SERVICE FEE FOR FOREIGN ECONOMIC CONTRACT":

If the representative agency performs all matters from transaction search for trading partners, negotiation, signing of foreign economic contracts, urging the completion of signed contracts, they will collect a full package service fee of 0.8%, calculated based on the value (FOB) for both exported and imported goods.

The rate of the "service fee for foreign economic contracts" is calculated based on the value of the executed foreign economic contract, not the value of the signed contract.

Economic organizations must prepay an amount not exceeding 500 USD for transaction costs. When the contract is executed, the prepaid amount will be included in the service fee. In cases where a contract cannot be signed, both parties will settle accounts according to actual expenses.

3. USE AND MANAGEMENT:

a. The amount of "service fee for foreign economic contracts" collected, the business delegation uses to offset transaction costs and other related costs for contract signing and urging contract implementation, the content and level of expenditure according to the management regulations of the host country.

b. After deducting the costs mentioned in point (a) above, the remaining portion of the "service fee for foreign economic contracts" will be distributed as follows:

- For representative agencies funded by the State:

+ 50% submitted to the State Budget (into a temporary fund at the Vietnamese Embassy in the host country).

+ 50% retained by the unit to establish a reward, welfare fund, and equipment and repair of the office, of which the equipment and repair fund for the office is at least 1/3.

- For representative agencies not funded by the State:

+ 30% submitted to the State Budget (into a temporary fund at the Vietnamese Embassy in the host country).

+ 70% retained by the unit to establish a reward, welfare fund, and equipment and repair of the office.

c. Representative agencies must maintain timely, complete, and accurate records of income and expenditures and distribution of revenue from this activity. Prepare quarterly and annual settlement reports to send to the Ministry of Trade and the Ministry of Finance.

This Circular takes effect from the date of issuance and applies to all State representative agencies abroad, economic organizations, and enterprises. During the implementation process, if there are new issues or difficulties, report them for the Joint Ministries to review and make amendments or supplements.