1. The last paragraph of Item b, Point 3, Section II of Circular No.54/1999/TT-BTC on the competence to promulgate regulations on charge and fee collection, payment and use is amended as follows: "The provincial People�s Committees, after the issuance of resolutions on charge and fee collection by the provincial People�s Councils, shall prescribe the collection levels and the management and use of sources of collected charges and fees in their respective localities..."

2. Item b, Point 5, Section III of Circular No.54/1999/TT-BTC on managing the use of charge and fee money is superseded by the following new one:

b/ Under Clause 2, Article 12 of Decree No.04/1999/ND-CP, the collected State budget charge and fee money must be fully reflected into the State budget. However, to suit the current financial management regimes and to create conditions for organizations to take initiative in performing their assigned tasks, the charge and fee-collecting organizations are entitled to retain part of the collected charge and fee amounts before remitting them into the State budget to cover the expenses for organizing the charge and fee collection. The amount left for each collecting organization shall be prescribed by the body competent to promulgate documents on the regime of collection, payment and use of each kind of charge or fee, but must not exceed 90% of the actually collected amount of such kind of charge or fee (except otherwise prescribed by the Government and the Finance Ministry).

The retained charge and/or fee amount shall be used for the following spending contents:

b1. For State enterprises and public-utility State enterprises that collect charges and/or fees, the charge and/or fee amounts retained according to the competent bodies� regulations shall be accounted into their turnover. For public-utility enterprises, the management of their use shall comply with the provisions of the Finance Ministry�s Circular No.06/TC-TCDN of February 24, 1997 guiding the implementation of the Government�s Decree No.56/CP of October 2, 1996 on the financial management regime applicable to public-utility State enterprises and the Finance Ministry�s Circulars prescribing financial management regimes applicable exclusively to peculiar branches (if any).

b2. For charge and/or fee-collecting organizations other than the charge and/or fee-collecting enterprises mentioned at Point b1 above, the distinction of expenses covered by the retained charge and/or fee amounts shall be as follows:

b2.1. In cases where such charge and/or fee-collecting organizations are allocated by the State budget regular funding for charge and/or fee collecting activities, the retained charge and/or fee amount shall be used to cover the following spending contents:

- Payment of remuneration to public servants and employees who take up the charge and/or fee collection as extra work beyond their assigned functions and tasks (including extra-hour pays);

- Payment of remuneration and allowances (if any) to laborers hired from outside (including experts, consultants and staff members not on the units� payrolls). The heads of charge and/or fee-collecting units shall base themselves on the charge and fee-collecting capability and the characteristics and complexity of the collection work to decide appropriate spending levels;

- Expenses for repair of machinery and equipment in direct service of charge and/or fee collection work;

- Other expenses directly related to charge and/or fee collection;

- Deductions for setting up funds for rewarding officials and employees who are directly engaged in organizing the charge and/or fee collection. The annual per-head average level of deductions for setting up the reward fund shall not exceed 3 (three) months� actually paid wage amount.

b.2.2. In cases where such charge and/or fee-collecting organizations are not allocated by the State budget regular funding for charge and fee collecting activities, the retained charge and/or fee amount shall be used to cover the following spending contents:

- Payment of wages and allowances according to the prescribed regimes;

- Payment of employees� prescribed contributions, which the employers are liable to;

- Payment of toxicity and hazard allowance to laborers according to the prescribed regime;

- Payment of public service charges;

- Expenses for office supplies, information, propaganda and communications;

- Expenses for conferences, symposiums, professional trainings in service of the charge and/or fee collection;

- Working mission allowances;

- Expenses for regular repairs and overhauls of fixed assets;

- Expenses for printing (purchase) of declaration forms, permits and stamps of various kinds in service of charge and fee collection;

- Expenses for specialized professional operations in service of the charge and fee collection, such as dealing in chemicals, supplies, petrol and oil, etc.

- Expenses for labor protection devices and attires according to the prescribed regime applicable to the charge and/or fee collecting organizations, whose employees must be equipped with labor protection devices and attires.

- Expenses for procurement of working equipment, supplies and facilities in direct service of the charge and fee collection according to the estimates already approved by the competent bodies.

- Other regular expenditures in direct service of the charge and fee collection according to the prescribed regime.

- Deductions for setting up funds for rewarding officials and employees who are directly engaged in organizing the charge and/or fee collection. The annual per-head average level of deductions for setting up the reward fund shall not exceed 3 (three) months� actually paid wage amount.

b2.3. In cases where the collection of a certain charge or fee entails expense(s) other than those specified above, such charge or fee-collecting organization shall request in writing the competent body to provide for particular expenses for such kind of charge or fee.

3. The last paragraph of the first em rule, Point 1, Section V of Circular No.54/1999/TT-BTC is amended as follows: "If the complaining organizations or individuals disagree with the complaint settling decisions issued by the charge and/or fee-collecting bodies and organizations, they may lodge their complaints to the bodies with higher complaint-settling competence or initiate lawsuits at court according to the provisions of law." At the same time, Paragraph e, Point 2, Section V of Circular No.54/1999/TT-BTC prescribing the complaint-settling competence of the superior bodies of the charge and/or fee-collecting bodies, is now annulled.

4. Paragraph a, Point 5, Section V of Circular No.54/1999/TT-BTC is amended as follows:

a/ Those charge and fee-collecting officials who, due to their irresponsibility or wrong handling, cause damage to charge and fee payers shall have to make compensations for such damage according to the provisions of law and, depending on the nature and seriousness of their violations, may be disciplined or examined for penal liability according to the provisions of law.

5. To promulgate together with this Circular new appendices 1 and 2 in replacement of those promulgated together with above-said Circular No.54/1999/TT-BTC of May 10, 1999 of the Finance Ministry.

This Circular takes effect 15 days after its signing. Other contents not mentioned in this Circular shall still comply with Circular No.54/1999/TT-BTC of May 10, 1999 of the Ministry of Finance guiding the implementation of the Government�s Decree No.04/1999/ND-CP of January 30, 1999.

For the Finance Minister
Vice Minister
VU VAN NINH