Policy effective from October 2014
From 5-10, apply overtime pay for domestic workers
According to Circular 19/2014/TT-BLDTBXH (effective from October 5, 2014), the employer must pay overtime wages to the domestic worker when it is not possible to arrange weekly rest, at least equal to 200% of the salary calculated by working day. The Circular also stipulates the method of paying wages to domestic workers, including: monthly, weekly, daily, hourly wages (determined on the basis of daily wages divided by the number of normal working hours per day according to the labor contract).
* Reporting administrative violations is rewarded up to 10% of the value of the evidence.
This is a regulation in Circular 105/2014/TT-BTC, effective from October 1, 2014. Accordingly, the cost of purchasing administrative violation reports is calculated based on the value of the seized evidence submitted to the budget and the level of penalty for the violation instead of the previous level of penalty. However, the maximum payment limit for each report is still 5 million VND. For violations in the fields of environmental protection, smuggling, trade fraud and counterfeit goods, the maximum payment is 50 million VND.
Even in cases where no penalty decision is made or the evidence cannot be sold, payment for the purchase of information will still be made at the above level.
* Social networks must register for licensing
According to the provisions of Circular 09/2014/TT-BTTTT on the management, provision and use of information on electronic information pages and social networks (officially effective from October 3), general electronic information pages, social networks or internal electronic information pages, specialized applications when providing general information must request a license. Social networks that have been granted a certificate according to Circular 14/2010/TT-BTTTT, if they continue to operate, must request a new license within 180 days from October 3, 2014.
* Change in tax calculation for foreign contractors
Circular 103/2014/TT-BTC guiding the implementation of tax obligations applicable to foreign organizations and individuals doing business and earning income in Vietnam officially takes effect from October 1, 2014.
Accordingly, the method of calculating value added tax (VAT) payable based on added value as prescribed in Circular 60/2012/TT-BTC has been changed to calculating based on VAT taxable revenue, specifically as follows:
VAT payable = Revenue subject to value added tax x % rate for calculating VAT on revenue In which, the percentage to calculate VAT is specifically regulated from 2-5% depending on the business sector. |
* Rubber export tax reduced to 0%
Circular 111/2014/TT-BTC amending export tax rates for rubber in groups 40.01, 40.02, 40.05 officially took effect from October 2, 2014.
Accordingly, the tax rate of the following goods will be 0% (currently 1%): natural rubber, balata, gutta-percha, guayule, chicle and similar natural gums, in primary forms or in plates, sheets or strip, whether concentrated by centrifugation or otherwise; synthetic rubber and rubber substitutes derived from oils, in primary forms or in plates, sheets or strip; mixtures of any product of heading 40.01 with any product of this heading, in primary forms or in plates, sheets or strip; compounded rubber, unvulcanized, in primary forms or in plates, sheets or strip.
* Reform tax payment procedures for import and export goods
Circular 126/2014/TT-BTC, effective from October 1, 2014, has provided new guidance on the declaration and payment of taxes and fines for imported and exported goods. Some notable contents include: using a new form (No. 01/BKNT) instead of the form attached to Circular 128/2011/TT-BTC; when paying taxes and fines at credit institutions, the receiving place will query the information on the customs electronic payment portal and immediately transfer the amount to the state budget collection account. If the information does not match, the payer will be required to adjust the information before transferring. In case there is no payer information on the payment portal, the money will still be transferred based on the information on the form, then the information will be transferred to the customs authority for supplementation.
* Increase Urea import tax rate to 6%
From October 25, 2014, the import tax rate for Urea, HS code 3102.10.00 (with or without aqueous solution) will increase from 3% to 6%. This change is stipulated in Circular 131/2014/TT-BTC effective from October 25, 2014, amending the import tax rate for fertilizers in group 31.02.
Tax rates for other items in group 31.02 remain unchanged.
* Anti-dumping tax on cold-rolled stainless steel
Decision 7896/QD-BCT on applying anti-dumping measures officially takes effect from October 5, 2014.
Accordingly, tax is imposed on some cold-rolled stainless steel products, in coil or sheet form with a thickness of no more than 3.5mm, annealed or heat-treated by other methods and soaked or scraped to remove excess impurities on the surface of the steel.
These products have been clearly listed with HS codes in the above Decision and are imported into Vietnam from the following countries/territories: China, Indonesia, Malaysia, Taiwan.
According to SGGPonline
