Pursuant to the Prime Minister�s Decision No. 105/2000/QD-TTg of August 25, 2000 on non-payment of agricultural land use tax arrears and housing/land tax; the Ministry of Finance hereby guides the implementation thereof as follows:

I. SUBJECTS ENTITLED TO NON-PAYMENT OF AGRICULTURAL LAND USE TAX ARREARS AND HOUSING/LAND TAX OF 1999 AND BEFORE INCLUDE:

1. Agricultural land use tax arrears and housing/land tax of households in highland, mountainous, remote and deep-lying areas, new economic zones, households of ethnic minorities, social policy beneficiaries (households of war invalids, fallen combatants, Heroic Vietnamese Mothers, people with meritorious services to the revolution...); families of soldiers, youth volunteers, resistance war activists and households with children affected by aftermath of the war.

2. Tax arrears of households in localities (districts, communes) frequented by natural disasters in 1997, 1998 and 1999, which are categorized as poor families, being unable to pay their outstanding tax amounts.

3. Tax arrears of households in other localities not mentioned at Points 1 and 2 above, which are categorized as hungry or poor families. Households hit by natural disasters, accidents, or chronic diseases which require long-term treatment, meeting with difficulties, thus being unable to pay their outstanding tax amounts.

4. Tax arrears of enterprises, cooperatives, production groups and other organizations which have been dissolved or bankrupted, whose land has been transferred to other organizations or households, and such subjects are directly named in the agricultural land use tax and housing/land tax books.

5. Tax arrears of enterprises, cooperatives, production groups and other economic organizations, which have not yet been dissolved or bankrupted, but suffered from business loss for the past few years, or met with unexpected natural disasters, fires or accidents, thus being unable to pay tax even now.

6. Tax arrears of households which have moved to other localities without addresses, or died.

II SUBJECTS NOT ENTITLED TO NON-PAYMENT OF AGRICULTURAL LAND USE TAX ARREARS AND HOUSING/LAND TAX OF 1999 AND BEFORE

1. Organizations, individuals or households that have paid tax but such tax amounts were appropriated, spent or embezzled by organizations or individuals, and still recorded as debts in the tax books.

2. Enterprises, organizations, cooperatives, production groups and households, that are directly named in the tax books and pay tax to the State, but appropriate the tax amounts and have tax arrears.

For cases mentioned at Points 1 and 2 of this Section, the provincial/municipal Tax Departments shall make lists thereof according to their causes and suggest handling measures, then submit them to the provincial/municipal People�s Committees for the latter to direct and guide the tax-divisions in the implementation thereof.

III. REQUIREMENTS AND ORDER FOR THE INSPECTION, CLASSIFICATION AND HANDLING OF TAX ARREARS

1. Requirements for classification of agricultural land use tax arrears and housing/land tax of 1999 and before

- The classification of tax arrears must be done in compliance with the outstanding tax amounts recorded in the final settlement of agricultural land use tax and housing/land tax of 1999 and before of such subjects, and according to the causes stated in Sections I and II of this Circular.

- Agricultural land use tax arrears and housing/land tax of 1999 and before must be inspected in a close manner, for proper subjects; the approval thereof must follow the order, from villages to communes, districts and provinces as hereafter prescribed.

2. Order for handling of tax arrears:

Step 1: At the level of commune, ward or district township (hereafter referred collectively to as communes), based on the tax books, annual final settlement of tax collection results and tax arrears collection results (according to tax arrears collection receipts), by the time of non-payment of tax arrears, to make lists of subjects according to causes of tax arrears, as prescribed in Section I of this Circular. The commune-level tax groups shall coordinate with functional branches to inspect and concretely determine the amounts of agricultural land use tax arrears or housing/land tax calculated to the end of 1999 of each of the above-said units and households. The lists of subjects entitled to non-payment of agricultural land use tax arrears and housing/land tax shall be made and publicly posted up at convenient places in the communes so that the people know, supervise them and make suggestions. Within 15 days from the date the lists are posted up, commune tax agencies shall study and accept the people�s opinions, then synthesize and make amendments and/or supplements to the lists (if any), and send them to the commune tax consultancy councils; Basing themselves on the results of tax arrears inspection and classification by the commune tax agencies and the opinions of commune tax consultancy councils, the commune People�s Committees shall make lists of households entitled to tax arrears non-payment and lists of households with tax arrears to be collected or handled, then send them to the tax divisions.

Step 2: At urban and rural districts, as well as provincial towns and cities (hereafter referred collectively to as districts), based on the tax books, annual final settlement of tax collection, the situation on tax collection management in the localities and lists proposed by communes regarding agricultural land use tax arrears or housing/land tax, the tax divisions shall inspect and consider subjects entitled to non-payment of tax arrears on a case-by-case basis, then send them to the tax consultancy councils for reference, and submit to the district People�s Committees for approval, so that the latter report thereon to the provincial/municipal Tax Departments.

Step 3: In the provinces and centrally-run cities (hereafter referred collectively to as provinces), the Tax Departments shall base themselves on the tax books, annual final settlement of tax collection, the situation on tax collection management in their respective localities and dossiers proposed by districts to inspect and synthesize; then consult with the tax consultancy councils and suggest the provincial/municipal People�s Committees to issue non-payment decisions. The decisions on the non-payment of tax arrears shall be made on the yearly basis; for agricultural land use tax arrears, type of crops must be classified (annual trees, perennial trees).

For the tax arrears of subjects entitled to non-payment, only after the subjects are closely inspected and classified into cases prescribed in Section I of this Circular, shall the provincial/municipal People�s Committees issue decisions on non-payment of tax arrears of 1999 and before, which can not be collected, as proposed by the Tax Departments.

Decisions on non-payment of tax arrears for localities must be executed before March 31, 2001. Such decisions shall be sent to every district, and at the same time, to the Ministry of Finance (the General Department of Tax) for sum-up.

After obtaining decisions of the provincial/municipal People�s Committees, the district People�s Committees shall have to notify every commune the total amount of tax arrears not to be paid; together with list of organizations and individuals with their outstanding tax amounts not to be paid, the commune People�s Committees shall have to notify such to households entitled to non-payment of tax arrears in strict accordance with the decisions of the district People�s Committees, and publicly post up lists of households entitled to non-payment of tax arrears at the commune People�s Committees� offices.

For the agricultural land use tax arrears and housing/land tax of 1999 and before of subjects not entitled to non-payment, mentioned in Section II of this Circular, local tax agencies shall have to continue to oversee and urge such subjects to pay their outstanding tax amounts to the State budget.

For cases where subjects who have tax arrears of 1999 and before, and now are entitled to non-payment, but have paid such tax arrears in 2000, the paid amounts shall be deducted to the payable amounts of 2000 and 2001.

IV. IMPLEMENTATION ORGANIZATION

1 The provincial/municipal People�s Committees shall direct the Tax Departments and concerned functional branches in localities to guide and organize the handling of agricultural land use tax arrears and housing/land tax of 1999 and before in strict accordance with Decision No. 105/2000/QD-TTg and guidance in this Circular.

2. Tax agencies of various levels shall have to assist administrations of various levels in directing tax agencies, concerned branches and People�s Committees of lower levels in conducting the inspection, classification and handling of agricultural land use tax arrears and housing/land tax of 1999 and before in their respective localities, then report them to the People�s Committees of the same level for approval. The provincial/municipal Tax Departments shall inspect and synthesize the non-payment of agricultural land use tax arrears and housing/land tax of 1999 and before, then report them to the tax consultancy councils for the latter to consider and submit them to the provincial/municipal People�s Committees for decision.

3. The policy on non-payment of agricultural land use tax arrears and housing/land tax of 1999 and before is a great policy of the Party and Government, which aims to alleviate difficulties for those that owed the agricultural land use tax and/or housing/land tax, but are unable to pay. The provincial/municipal People�s Committees shall direct mass media (local newspapers, radio stations) in organizing the widespread propagation among organizations and individuals, so that they know and oversee the implementation thereof.

This Circular takes effect after its signing. In the course of implementation, if any problems arise, localities should report them to the Ministry of Finance for guidance in the settlement thereof.

For the Minister of Finance
Vice-Minister
VU VAN NINH