THE MINISTRY OF FINANCE
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SOCIALIST REPUBLIC OF VIET NAM
Independence - Freedom - Happiness
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No: 46/2006/TT-BTC
Hanoi, May 26, 2006
 CIRCULAR
GUIDING THE FINANCIAL REGIME AND CUSTOMS PROCEDURES APPLICABLE TO CHAN MAY-LANG CO ECONOMIC ZONE, THUA THIEN HUE PROVINCE
Pursuant to the State Budget Law;
Pursuant to the Laws and Ordinances on taxes, charges and fees;
Pursuant to the Prime Minister's Decision No. 04/2006/QD-TTg of January 5, 2006, on the establishment of Chan May-Lang Co Economic Zone, Thua Thien Hue province, and the promulgation of the Regulation on its operation;
The Finance Ministry hereby guides the financial regime and customs procedures applicable to Chan May-Lang Co economic zone as follows:
I. GENERAL PROVISIONS
1. Scope of regulation
The financial regime and customs procedures provided for in this Circular (hereinafter called the financial regime for short) shall apply in Chan May-Lang Co Economic Zone, Thua Thien Hue province (hereinafter called Chan May-Lang Co EZ for short).
The financial regime provided for in this Circular shall only apply to business activities conducted in Chan May-Lang Co EZ. Where organizations or individuals conduct business activities in both Chan May-Lang Co EZ and inland Vietnam, they shall have to account separately business activities in Chan May-Lang Co EZ so as to have a ground for determination of the applicable financial regime.
Foreign-invested enterprises and foreign parties to business cooperation contracts, that have been granted investment licenses; domestic business establishments that have been granted investment preference certificates in Chan May-Lang Co EZ before the effective date of the Prime Minister's Decision No. 04/2006/QD-TTg of January 5, 2006 (hereinafter called Decision No. 04/2006/QD-TTg for short), but have not fully enjoyed preferences shall enjoy the preferential policies provided for in this Circular for the remaining preferential period. Where projects are eligible for preferences higher than those prescribed in this Circular, they shall continue enjoying such preferences for the remaining durations according to the investment licenses.
2. Subjects of application
Subject to this Circular are:
a/ Domestic investors of various economic sectors operating under the provisions of the State Enterprise Law, the Enterprise Law or the Cooperative Law, individual business households and independent practitioners.
b/ Foreign organizations and individuals, including foreign-invested enterprises, foreign investors to business cooperation contracts, overseas Vietnamese operating in the forms provided for in the Law on Foreign Investment in Vietnam and foreign investors doing business not under the Law on Foreign Investment in Vietnam.
3. Interpretation of terms
In this Circular, the terms below shall be construed as follows:
- The non-tariff zone means the geographical area separated by solid fences from other functional zones in Chan May-Lang Co EZ according to the provisions of Articles 7, 8 and 9 of Decision No. 04/2006/QD-TTg.
- The functional zones include the industrial park, the port and port logistic service area, the tourist and entertainment service area, the population quarter and the administrative quarter within Chan May-Lang Co EZ (excluding the export-processing zone), which are defined in the general planning on Chan May-Lang Co EZ approved by the Prime Minister.
- Inland Vietnam means functional zones within Chan May-Lang Co EZ and the remaining part of the Vietnamese territory (except the zones similar to the non-tariff zone specified in Clause 1, Article 5 of the 2005 Import Tax and Export Tax Law (amended) and the export-processing zone).
- Customs control gate: The non-tariff zone shall have two customs control gates: one at the junction between the non-tariff port and the tariff port and the overseas area, called gate A for short; and the other at the junction between the non-tariff port and the inland, called gate B for short.
- List of goods originating from the non-tariff zone means the list of goods promulgated by the Management Board of Chan May-Lang Co EZ (called the Management Board for short) for a certain period, which includes commodities produced, processed, recycled or assembled in the non-tariff zone without the use of raw materials or components imported from abroad.
4. Conditions for application of the financial regime related to the non-tariff zone
The financial mechanisms provided for the non-tariff zone in Chan May-Lang Co EZ shall apply only when the non-tariff zone fully meets the following conditions:
- Having a solid fence to ensure the isolation of activities within it from those in other functional zones in Chan May-Lang Co EZ;
- Having no population quarter, no permanent or temporary residents (including foreigners);
- Having customs offices to supervise and check people, goods and means of transport entering or leaving the zone.
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