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On November 14, 2015, the Government issued Decree No. 122/2015/NĐ-CP regulating regional minimum wage applied from January 01, 2016. Accordingly, regional minimum wage level is as follows:
- Region 1: 3,500,000 VND/month (increase 400,000 VND in comparison with 2015)
- Region 2: 3,100,000 VND/month (increase 350,000 VND in comparison with 2015)
- Region 3: 2,700,000 VND/month (increase 300,000 VND in comparison with 2015)
- Region 4: 2.400.000 VND/month (increase 250,000 VND in comparison with 2015)
Mentioned above wage level is applied for enterprises, cooperatives, farms, households, individuals and organizations in Vietnam; agencies; foreign organizations, international organizations and foreigners in Vietnam recruit laborers under labor contracts.
On October 19, 2015, the Government issued the Decree No. 96/2015/NĐ-CP providing guidelines some articles on Law on Enterprises related social enterprises; enterprise’s seals and restriction on cross-ownership among companies. The guidance on enterprise’s seals is the outstanding content and gets many enterprises interested in. Enterprise’s seals are managed and used as follows:
The Decree 96/2015/NĐ-CP comes into force from December 08, 2015 and replaces the Decree No. 102/2010/NĐ-CP of the Government.
On July 30, 2015, Tax Department of Bac Ninh province issued Official Letter No. 1559/CT-TTHT providing guidance on determination of permanent resident establishment. Accordingly, in case, Company A is the resident permanent establishment in Korea, signs contracts with Company B in Vietnam, and authorizes B to deliver/receive goods to/from enterprises in Vietnam under on-sport imports and exports. A is considered to have a resident establishment in Vietnam, and not exempted from FCT under double tax avoidance agreement between Viet Nam and Korea. The income received from A for providing goods to other company in Vietnam must be imposed on FCT.
On August 03, 2015, the General Department of Taxation issued Official Letter No. 3114/TCT-HTQT guiding on authorization procedures of FCT refund claim. Accordingly,
There are 2 cases submitting FCT refund claim:
If the contractor authorizes the company to conduct refund procedures, and the refunded FCT will be transfered to Contractor account, then contractor does not need to conduct consular legalization procedures (if the authorization is conducted abroad) or notarized (if authorization is conducted in Viet Nam) under regulations.
If the contractor authorizes the company to conduct refund procedures and the refunded FCT will be transferred account of other entity, then, the contractor must conduct consular legalization procedures (if the authorization is conducted abroad) or notarized (if authorization is conducted in Viet Nam) under regulations.