Circular No. 83/2010/TT-BTC guiding interest rate support for bank loans to purchase temporary storage coffee for the 2009-2010 crop year

CIRCULAR

Guidelines for interest rate support for bank loans to purchase temporary storage coffee

temporary storage of coffee crop year 2009-2010

- Based on Decree No. 118/2008/NĐ-CP dated November 27, 2008 of the Government stipulating the functions, tasks, powers, and organizational structure of the Ministry of Finance; duties, powers, and organizational structure of the Ministry of Finance;

- Based on Decision No. 481/QĐ-TTg dated April 13, 2010 of the Prime Minister regarding support for purchasing temporary storage coffee for the 2009-2010 crop year;

After receiving comments from the Ministry of Agriculture and Rural Development (document No. 1358/BNN-KH dated May 10, 2010), the Ministry of Industry and Trade (document No. 4479/BCT-XNK dated May 10, 2010), and the State Bank of Vietnam (document No. 3529/NHNN-TD dated May 13, 2010), the Ministry of Finance issues guidelines for interest rate support for bank loans to purchase temporary storage coffee for the 2009-2010 crop year as follows:

Article 1. Scope of Regulation and Applicability:

This Circular applies to enterprises engaged in coffee trading assigned the task of temporarily storing coffee for the 2009-2010 crop year under Article 1 of Decision No. 1017/QĐ-BNN-CB dated April 21, 2010 of the Minister of Agriculture and Rural Development who borrow funds from the Vietnam Agro-Forestry-Fisheries Bank.

Article 2. Specific provisions:

1. The state budget will provide interest rate support for bank loans for enterprises falling within the scope defined in Article 1 of this Circular to purchase temporary storage coffee for the 2009-2010 crop year according to Decision No. 481/QĐ-TTg dated April 13, 2010.

a) The quantity of coffee eligible for interest rate support for each enterprise: As specified at the maximum quantity under Decision No. 1017/QĐ-BNN-CB dated April 21, 2010 of the Minister of Agriculture and Rural Development.

b) Purchase period: From April 15, 2010 to July 15, 2010.

c) Storage period: Is the actual storage time within the period from April 15, 2010 to October 15, 2010.

d) Period eligible for interest rate support for bank loans: Is the actual storage time from the date of coffee purchase to the date of sale of stored coffee but not exceeding the deadline of October 15, 2010.

đ) Price for calculating support: Is the actual purchase price based on market prices (excluding value-added tax).

The basis for determining the actual purchase price based on market prices is the purchase and sale contract, settlement contract, purchase invoice, payment transfer document, or other relevant documents presented by the enterprise.

e) Interest rate support level:

Enterprises assigned the task of temporarily storing coffee under Decision No. 481/QĐ-TTg dated April 13, 2010 of the Prime Minister may borrow funds from the Vietnam Agro-Forestry-Fisheries Bank to purchase coffee for temporary storage according to the guidance of the State Bank of Vietnam in document No. 2978/NHNN-TD dated April 21, 2010 and are entitled to state budget interest rate support for bank loans at a rate of 6% per annum.

2. Documents for consideration of interest rate support for bank loans:

a) Enterprise's letter requesting state budget interest rate support for bank loans for purchasing temporary storage coffee.

b) Loan agreement with the Vietnam Agro-Forestry-Fisheries Bank for purchasing temporary storage coffee for the 2009-2010 crop year as stipulated in Decision No. 481/QĐ-TTg dated April 13, 2010 of the Prime Minister.

c) Inventory sheet of coffee purchased for temporary storage. The inventory sheet must be confirmed by the Department of Agriculture and Rural Development of the province where the enterprise has a temporary storage warehouse (according to Model Form No. 1 attached to this Circular).

d) Inventory sheet of loan balance and interest paid on bank loans for purchasing temporary storage coffee from the purchase date to the sale date but not exceeding the deadline of October 15, 2010, confirmed by the Vietnam Agro-Forestry-Fisheries Bank where the enterprise borrowed funds (according to Model Form No. 2 attached to this Circular).

đ) Calculation table of interest on bank loans for purchasing temporary storage coffee requesting support (according to Model Form No. 3 attached to this Circular).

Within ten working days after receiving complete documents as stipulated in this clause, the Ministry of Finance shall review the documents and process interest rate support for the enterprise.

3. Responsibilities of ministries and sectors in implementing coffee purchases for temporary storage:

a) The Ministry of Agriculture and Rural Development, in coordination with the Ministry of Industry and Trade, People's Committees of Dak Lak, Lam Dong, Giai Lai, Kon Tum, Dong Nai provinces, and the Vietnam Coffee Cocoa Association, are responsible for supervising enterprises implementing coffee purchases for temporary storage as directed by the Prime Minister.

b) People's Committees of Dak Lak, Lam Dong, Giai Lai, Kon Tum, Dong Nai provinces direct the Departments of Agriculture and Rural Development to inspect and confirm the inventory sheets of coffee purchased for temporary storage at warehouses located in their respective provinces of enterprises assigned the task of temporary storage (including cases where the enterprise does not have a headquarters in the province).

4. Responsibilities of enterprises implementing coffee purchases for temporary storage:

a) Implement coffee purchases for temporary storage as directed by the Prime Minister in Decision No. 481/QĐ-TTg dated April 13, 2010, under the supervision of the Ministry of Agriculture and Rural Development, the Ministry of Industry and Trade, local People's Committees, and the Vietnam Coffee Cocoa Association.

b) Bear responsibility for the authenticity of the inventory of coffee purchased for temporary storage and credit contracts for purchasing coffee for temporary storage, and also bear responsibility for the accuracy of the data reported in the application for interest rate support.

c) Retain purchase and sale documents, bank loan documents, and maintain separate accounting records for the purchase of coffee for temporary storage as directed by the Prime Minister in Decision No. 481/QĐ-TTg dated April 13, 2010.

d) Strictly prohibit the misuse of temporary storage purchases to manipulate inventory or include coffee purchased outside the temporary storage purchase period to benefit from support.

đ) Bear responsibility for the business efficiency of temporary storage coffee purchases.

e) Be liable under the law if they violate regulations on temporary storage coffee purchases.

5. Accounting for the support amount:

The interest support from the state budget for bank loans for coffee purchased for temporary storage as directed by the Prime Minister shall be recorded as other income and subject to corporate income tax according to current regulations.

Article 3. Implementation organization:

1. The Director of the Finance and Planning Department is responsible for guiding and supervising the implementation of this Circular.

During the implementation process, if there are difficulties or obstacles, units are requested to promptly reflect them to the Ministry of Finance for guidance on handling./.