New regulations take effect from December 2015

New regulations on company seal, encouraging the establishment of social enterprises.

From December 8th, 2015, Decree No. 96/2015/ND-CP issued by the Government on October 19th 2015 detailing a number of articles of the Law on Enterprises takes effect.

Thus, the authority deciding on the form, content and quantity of the seals in the enterprise shall belong to:

• Owner of the private enterprise for private enterprises.
• The associative council for partnered companies.
• The associative council or Company president for limited liability companies.
• The administrative council for joint stock companies.

The Company regulations or Decision on seals must include the following contents:

• Seal sample, including: form, size, content, and ink color;
• Quantity of seal;
• Regulations regarding the management and usage of seal samples.

The form of seal samples must take a specific shape such as a circle, polygon or others, while a seal unified in content, form and size is obligatory.

The Enterprise can amend other words, characters, signs and images into the content of the seal except for the cases listed in Article 14 of this Decree.

In addition, the State shall encourage and create conditions for organizations and individuals to establish social enterprises to operate for the purpose of solving social and environmental issues in the interest of the community.

Decree No. 96/2015/NĐ-CP replaces Decree No. 102/2010/NĐ-CP

House ownership duration of foreign organization

The foreign organizations mentioned in Point b Clause 1 Article 159 of the Law on Housing may own a quantity of housing not exceeding the limit written on their investment registration certificates. When the house ownership period written on the Certificate expires, if the owner wishes to have this period extended, the State shall consider granting an extension according to Article 77 of this Decree. If the investment registration certificate has an indefinite term, the Certificate granted to the owner will also have an indefinite term.

Clause 1 Article 8 of this Decree shall apply to the case a foreign organization goes bankrupt, is dissolved or shut down before the term of home-ownership expires, or has its certificate of investment or license to operate in Vietnam revoked by Vietnam’s government. During the house ownership period, if the foreign organization is converted into a domestic organization through acquisition or capital transfer, it may acquire a long-term house ownership.

State enterprises shall not be allowed to contribute their capital to or invest in real estate, or contribute their capital or buy shares of banks

From December 1st, 2015, State enterprises shall not be allowed to contribute their capital to or invest in real estate (except those whose main businesses are types of real estate stipulated in the Law on Real Estate Business), or contribute their capital or buy shares of banks, insurance companies, securities companies, venture investment funds, securities investment funds or securities investment companies, except for special cases decided by the Prime Minister

It is clearly stated in Decree 91/2015/NĐ-CP, dated Octorber 13th, 2015 of the Prime Minister about State capital investment in enterprises, use and management of capital and assets in enterprises.

Power of environmental police forces

According to Decree 105/2015/NĐ-CP dated October 20^th, 2015 guiding for some article of ordinance on environmental police force which takes effect from December 5^th, 2015, provision of advice, guidance on prevention and fight against crimes and administrative violations pertaining to environmental protection, natural resources, and food safety; implementation of practical measures for prevention and fight against crimes and administrative violations pertaining to environmental protection, natural resources, and food safety.

Specific provisions for industrial parks, export processing zones, and economic zones

To be effective in December 25th, 2015, Decree 114/2015/NĐ-CP dated Novermber 09th, 2015  amendmending to Article 21 of Decree No. 29/2008/ND-CP dated March 14, 2008 by the Government on industrial parks, export processing zones, and economic zones that has been amended and supplemented in Decree No. 164/2013/ND-CP dated November 12, 2013. Specifically, Decree 114/2015/NĐ-CP amended and supplemented to specific provisions applied to industrial parks, export processing zones, and economic zones.

Maximum loan of 80% of the value of the social housing purchase

Pursuant to Decree 100/2015/NĐ-CP dated October 20th, 2015 on development and management of social houses which takes effect from December 10th, 2015, In case of purchase, lease, or lease purchase of social housing, the maximum loan is 80% of the value of the purchase, lease, or lease purchase contract; In case of construction, renovation, or repair of a house, the maximum loan is 70% of the estimate or loaning plan and must not exceed 70% of the collateral value.

Guidelines for procument pricing in contractor selection plan

Circular 10/2015/TT-BKHĐT guiding the planning contractor selection as follow:

The procurement price is determined on the basis of total investment in the project.

If a cost estimate has been approved before the contractor selection plan is made, the cost estimate shall be the basis for determination of the procurement price.

The procurement price must be sufficient to cover the expenses of the procurement including cost contingency (against inflation, additional works, and other temporary amounts (if any)), fees, charges, and taxes.

If the contract duration is short without risks or inflation, cost contingency is zero. Cost contingency shall be determined by the investor depending on the characteristics of the procurement within the limits prescribed by law.

The procurement price shall be updated 28 days before the bid opening date if necessary.

– With regard to the procurement of consultancy services for making the pre-feasibility study report or feasibility study report, the procurement price is determined according to information about average price according to statistics of completed projects over a certain period of time; total investment shall be determined according to investment rates and preliminary total investment;

– If the procurement is divided into smaller parts, the value of each part must be estimated.

Circular 10/2015/TT-BKHĐT takes effect from December 10th, 2015 and replaces Decree 02/2009/TT-BKH.

New provision on restriction on use of foreign currencies in Vietnam

Circular 16/2015/TT-NHNN takes effect from December 3rd, 2015 on restriction on use of foreign currencies in Vietnam has some new provisions:

In cases that involve National defense and security, petroleum, and other necessary cases, foreign currencies may be used in Vietnam after the State bank of Vietnam grants a written permission.

Rules for making and sending the application for permission to use foreign currencies in Vietnam:

– The application must be made in Vietnamese language.

If some documents of the application is translated from a foreign language, the applying organization may choose between submitting documents bearing the translator’s signatures or submitting documents bearing the certification of the organization’s legal representative;

For documents being copies, the applicant may choose between:

+ Submitting certified true copies, copies from the master register, or copies bearing the organization’s authentication.

+ If the application is submitted directly at the State bank of Vietnam (Foreign Exchange Department) and the copies are not certified true copies, copies from the master register, or copies bearing the organization’s authentication, the originals must be presented for comparison.

The person who compares documents must sign the copies and take responsibility for the consistency between the copies and the originals

Approval on contractor selection result

Circular 39/2015/TT-BNNPTNT, procedures on appraisal, approval of contractor selection result of projects using state bugdet under Ministry of Agriculture and Rural Development’s management are stated as follow:

– Tender submit 02 proposals directly to clerical office or one-stop service section or via post to the project owner.

– Documentation must be complied with Point a, Term 2,3,4, Article 106 of Decree 63/2014/NĐ-CP.

– The Project owner assigns a downline organization or individual or selects a competent consultant firm for appraising, preparing appraisal reports and approval decision draft:

+ Evaluation results of interested bidding documents, pre-qualified bidding documents.

+ Shortlist of technical-qualified contractors.

+ Result of contractor selection must be complied with Point b,c Term 2,3,4 Article 106 of Decree 63/2014/NĐ-CP.

– Processing time must be complied with Point g,h,k Term 1 Article 12 of Law on Bidding.

– Approval decisions shall be sent to the tenders and stakeholders directly or via post.

Monthly salaries payment for compulsory social insurance

According to Decision 959/QD-BHXH was issued on December 9, 2015 the salary paid for social insurance (SI) required for salaries by employers unit decided to implement the following:

Monthly wage paid for social insurance is the salary stated in the labor contract.

+ From January 1^st,2016 monthly wage paid  social insurance is the wage and bonus in accordance with labor laws

+ From January 1^st, 2018 onwards, social insurance monthly wage is the wage, salary allowances and other additional payments under the labor laws.

Monthly salaries paid for social insurance as regulation is not less than the minimum wage at the same time of payment.

Workers who passed the vocational training course, the compulsory social insurance wage must be at least 7% higher than the regional minimum wage, if doing heavy work, harmful, dangerous or extremely heavy, hazardous, danger, the addition of 5%.

Decision 959 / QD-BHXH take effect from December 1^st, 2015.

Regulation for drivers using entry and exit mean of transportation

According to Circular 39/2015/TT-BGTVT guide Agreement and Protocol implementation  Agreement on trucking between Vietnam and Cambodia, the provisions applicable to the driver, who went on the means of entry and exit as follows:

– Drive controller who went on means of entry and exit through the border gate must have a passport or valid travel documents to relevant international treaties to which both countries are members and visa issued by competent agencies (unless the case of  exempt from visa).

– For drive control means of transportation entry and exit through the border gate must have an International or national driving license suitable with the type of car drivers.

At the same time, drivers, people use the means of  transportation to entry and exit through the border gate must be managed and controlled , control and supervision by the specialized State management agencies  in gate under the law of each Contracting Party.

Circular 39/2015 / TT-BGTVT takes effect from December 1^st,2015

To encourage the development of |Inland waterway transport

On 05/10/2015, the Prime Minister issued Decision 47/2015/QD-TTg on mechanisms and policies to encourage the development of transport inland waterway.

-Accordingly, the conditions for entitlement mechanisms and policies to encourage the development of transport inland waterway as follows:

– Enterprises must ensure that operating conditions in the field of inland waterways in accordance with the law.

– The investment  project of vehicles and inland waterway projects of waterways inland infrastructure investment project  must be planned and approved.

In case of same time, some of the contents are more policies support from the program, various projects, the beneficiaries are selected to apply a most profitable support policy.

In addition, this Decision also provides for mechanisms and policies to encourage investment, operators and services transport, supporting transport drivers.

Decision 47/2015 / QD-TTg takes effect on  December 1^st, 2015 from.

The cases are exempted from aviation security control

According to Circular 53/2015/TT-BGTVT revised Circular 28/2010/TT-BGTVT shall detail the assurance of special flights, the cases are exempt aviation security control is defined as follows:

– Exemption of aviation security control for people, baggage of subjects are offered special flights specified in Article 5 of Decree 03/2009 / ND-CP.

– Emxemption of aviation security control for senior officials of the Party, State and representatives of foreign diplomatic and host the person who was serviced on special flights, including:

+ Head of the Party under the Central Executive Committee and the equivalent or higher positions.

+  Ministers and higher positions equivalent.

+ Secretaries and provincial presidents and cities directly under the Central Government and the equivalent of higher positions.

+ The heads of overseas diplomatic missions in Vietnam.

Circular 53/2015 / TT-BGTVT effect from December 1^st, 2015.

Sample text perform abroad investment procedures

From December 8,2015 will apply the text sample implementedt the overseas investment procedures under Circular 09/2015/TT-BKHDT,including:

– The application form to grant the Certificate of registration investment ( apply for all foreign investment projects)

– Proposed oversea investment projects (applicable for projects must be decided in the abroad investment policy).

– The proposed adjustment of  investment registration Certificate, offshore license (applicable for all abroad investment projects).

– Explanation of adjustments investment registration Certificate (applicable for projects must be decided in the abroad investment policy).

– Text commit themselves to arrange foreign currency.

-Text committed to arrange foreign currency by credit institutions.

– Text confirm investors performing the tax obligation to the state.

– Form Investment registration certificate to abroad.

– Announcement of abroad investment activities .

– Quarterly reports, annual abroad project implementation situation .

– Sample of text extension, approved the extension of the transfer of profits to country….

Detaied regulation and guiding the implementation of the Investment Law

Decree 118/2015/ND-CP dated November 12, 2015 detailed regulations and guidelines for implementation of some articles of the Investment Law takes effect on December 7,2015, the Decree stipulates detailed and guiding the implementation of some articles of the investment law on the application, control, announced the business investment conditions; measures to ensure investment; investment incentives; operational deployment of investment projects; investment procedures; operational deployment of investment projects and state management for investment activities.

Especial Financial Supervisory for State owned Enterprises

Takes effect on December 1,2015,Decree No.87/2015 dated October 6, 2015 on monitoring of state capital investments in enterprises; financial monitoring, evaluating performance and disclosure of financial information of state enterprises and enterprises with the State capital could be particularly financial supervision when having signs Financial insecurity:

– For enterprises in the process of loss planning, with the losses incurred in reporting greater than 30% compared with a loss plans are approved by the competent authorities.

– For business after loss planning phase, with the losses incurred in the reporting year over 30% of capital of investor or accumulated losses over 50% of investment capital by the owner; The coefficient of liabilities on equity exceeds safe levels in accordance with the law on management and use of state capital investments in production and business in enterprise and regulatory agency representatives ownership (if any); The coefficient of solvency due debts of less than 0.5.

New regulations on renewal passport

Under Decree 94/2015/ND-CP dated October 16,2015 amending and supplementing some articles of Decree No. 136/2007 dated August 17, 2007 on the exit and entry of Vietnam citizens takes effect on December 1,2015, diplomatic passport, official passports are valid for 5 years from date of issue. Diplomatic passports, official passports valid under 1 year (6 months under  Decree 65/2012), it may be extended once, no more than 3 years; when it expires of date, it will be  new extention.

Ordinary passports are valid for 10 years from the date of issuance and shall not be extention. Ordinary passport will be renewed, if it was valid,  and make the new one procedures when its expire of date .