CIRCULAR guiding the implementation of Decree No. 124/2004/ND-CP dated 18/5/2004 by the Government on a number of financial mechanisms specific budget for Ho Chi Minh City _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ the State budget pursuant to the law No. 15/2002/QH11 on 16 December 2002 and Decree No. 60/2003/ND-CP dated 6 June 2003 from the Government detailing and guiding the implementation of the law The State budget;
Pursuant to Decree No. 124/2004/ND-CP dated 18 May 2004 by the Government on a number of financial mechanisms specific budget for Ho Chi Minh City;
Pursuant to Decree No. 77/2003/ND-CP dated 20/7/2003 of government functions, duties, and powers on the organizational structure of the Ministry of finance;
The Ministry of Finance shall guide the implementation of the financial mechanisms specific budget for Ho Chi Minh City as follows: A-GENERAL PROVISIONS: 1. This circular guides the regulations on financial mechanism specific budget for Ho Chi Minh City (below referred to as the city) including: budget management mechanism and the mechanism of mobilization of financial resources for investment in development of the city.
2. In addition to the financial mechanism specific budget provisions in Decree No. 124/2004/ND-CP dated 18 May 2004 from the Government and the guidance in this circular, the city made the General provisions on the financial management of the budget provisions in the law on the State budget, of Decree 60/2003/NĐ-CP on 6 June 2003 by the Government , Circular No. 59/2003/TT-BTC dated 23 June 2003 of the Ministry of finance and other legal documents on financial budget.
B. SPECIFIC RULES: i. on the MANAGEMENT of the BUDGET of the CITY of 1. On the hierarchy of sources of revenue: the base regulations on income divisions for provinces and cities under central Government are specified in article 32 state budget Law, article 22 of Decree 60/2003/ND-CP dated 6 June 2003, the Government of the people's Committee of the City Council of the city decided the specific divisions of the revenue budget for the levels in the City (city, County, district, Ward, communes) to suit the actual situation, requested the economic and social development, ensure national defense and security, social order and safety of the city. Budget for own communes are entitled to a minimum of 70% of the revenues to: transfer tax land use; taxes, land; tax revenue from individual article subjects, business households; agricultural land use tax collected from households; stamp fee, land.
2. Percentage (%) divided the revenues be divided between the central budget and the budget of the city by the Thưường Committee of the National Assembly decided; stable time in percentage (%) of this Division by the Congress decision.
3. task hierarchies: expenditure mission base of local budgets is regulated in article 33 on State budget Law, article 24 of Decree 60/2003/NĐ-CP on 6 June 2003 by the Government, the specific task divisions between the budget levels in the city by the city people's Committee of the City Council decided on the principle of making sure protect line with decentralized management of social economic, defense, security and economic, geographical characteristics, each region and population level, the capacity of the staff, ensure effective.
4. Every year, based on the estimation of the city budget to be delivered by the Prime Minister and the instructions of the Ministry of finance, the people's Committee of the City Council decided: estimation of incomes and expenses budget of the city; the task of collecting, for each agency units of city level budget; additional numbers from the city budget to the budget level below consistent with the requirements of socio-economic development of the city and guarantee the execution-oriented of the State budget.
5. In order to effectively use the Land Fund by the City Manager, the city people's Committee đưược advance from the city budget or resources from the sources as specified in Section 1.2 1 part III of this circular for projects in infrastructure construction investment mission of city budget to organize auctions of land use , after the implementation of land use rights auctions will refund recovery budget or repay capital sources. The implementation must ensure the following rules:-the planning base on the use of land by the City Manager and the project tưư in infrastructure investment of the mission budget was đưược competent authority approval;
-City people's Committee decided to advance from the city budget or the source from source capital độngư for the project. The level of capital for projects that advance the base volume of progress made, the maximum level of financing was approved by the authority; the management, follow the mode of capital management of State budget;
-The proceeds from the auction of land use made to refund the advance source from the city budget or from the source, the rest filed 100% into the city budget (money land use) to use for the beginning of tưư development in infrastructure investment of the mission budget as a rule;
-Implementation of the budget of incomes and expenses accounting for the task on the right regulatory regime.
II. On the MECHANISM of REWARDS and SUPPORT TARGETED FROM SOURCES BEYOND the CENTRAL BUDGET ESTIMATION ARISES in the city: 1. About the reward currency beyond budgeting: every year, in trưường cases have increased budget revenues of Central ưương compared to Its Government Affairs tưướng estimation from the revenues split between the central budget and the budget of the city ưương the provisions in clause 2 Article 30 nưước House budget Law, the city budget đưược the central budget bonus 30% of this revenue increase, but not to exceed the increase in comparison with the level of implementation of the previous year. The method of determining the purpose, use and budget accounting for this bonus amount made under the provisions of Section 17-part IV circular No. 59/2003/TT-BTC dated June 23, 2003 of the Ministry of finance.
2. Budget execution ưương supplements that target for the city budget respectively 70% of increase the central budget revenues compared with estimates was the prime delivery for the revenues split between the central budget and the rest of the city budget (after performance rewards beyond the currency as defined in section 1 of part II of this circular) and respectively 30% the number of rising currency than the estimation was the Prime Minister of the central budget revenues ưương enjoy 100%, minus the revenues specified in 2.2 section 2 part II of this circular.
2.1. The identification of increased currency for the accounts receivable Division is calculated according to the principles of total revenues divided beyond estimation, not calculated separately for each account currency Division.
2.2. for the central budget revenues are entitled to 100% according to the provisions in clause 1, article 20, Decree No. 60/2003/NĐ-CP on 6 June 2003 by the Government, does not include:-value added Tax imported goods;
-The revenues not delivered the city to manage currency, does not arise in the city that just filed accounting in the city;
-The account record ceasing in accordance with the law; the revenues are leaving the unit spent the past management of the budget in accordance with the law.
Defining additional number have objectives based the result of the total Central Government budget revenues to enjoy 100% beyond the expected; not calculated separately for each account currency.
3. The base specified in Item 1 and item 2 of part II of this circular, and annually after the end of the budget year, the city people's Committee reports the Finance Ministry about the State budget revenue results on city revenues related to the reward and additional goals for the city before 31 January the following year to General reports The Government, the Standing Committee of the National Assembly.

4. bonus number and base number of targeted supplements from the central budget to increase sources specified in Item 1 and item 2 of part II of this circular, the people's Committee of the City Council of the city decided to use to tưưưư head of infrastructure works the terms of repayment, mobilize, perform important tasks aimed at socio-economic development, ensure national defense, security, order, the city's social security and the budget level for dưưới according to the prescribed regimes.
III. On the MOBILIZATION of FINANCIAL RESOURCES for INVESTMENT in DEVELOPMENT of cities: 1. About the mobilization of private capital for projects subject to the investment of the city budget.
1.1. for the official development assistance (ODA):-the annual budget estimates based on ODA loan sources and content have committed with the donor; on the basis of the proposal of the city people's Committee, the Ministry of planning and investment, Ministry of Finance building projects allocated expenditure estimation from ODA projects for investment in the task of the Government budget to the Congress decision, which ưưu first ODA to layout the top tưư the chưương process , project to build technical infrastructure, environment and public welfare in the city.
-The layout is inherently bad for the ODA projects follow the principle: + for the project, by the Ministry of works, the Central ưương agency master project, works by high ưương budget guarantees.
+ For the project, works by the city people's Committee of the master project, the trìnhư, the city is responsible for the layout from the city budget to make.
-The management of ODA investment made under the provisions of the law on the management of the ODA loan.
1.2. About the mobilization of capital: 1.2.1. Domestic capital mobilization: a. the city mobilized tưư capital through issuing Government bonds phưương as stipulated in Decree No. 142/2003/ND-CP dated 20 November 2003 by the Government, and other mobilization forms prescribed by law; the city budget is responsible for payment of principal, interest and related costs.
b. When there is the need to mobilize private capital, the city people's Committee plans the city councils decision according to the instructions in point 1.3.4 1.3 weather Item 1 part II of circular No. 59/2003/TT-BTC dated 23/6/2003 of the Ministry of finance.
1.2.2. domestic capital mobilization: đưược city nưước loan financing for infrastructure development tưư in the task of the city budget in principle: the city people's Committee building options, find the source of the loan, the Finance Ministry poll, the Ministry of planning and investment The State Bank of Vietnam, before the Player tưướng the Government to review the decision under the mechanism the Government loans to the city loans to public works projects as proposed by the city people's Committee. The city is responsible for the layout from the budget level to the original repayment, interest as prescribed by law.
2. The total outstanding level of mobilization in the forms specified in point 1.2.1 and 1.2.2 weather point 1.2 Item 1 part III of this circular may not exceed 100% of the total basic construction investment of the city budget according to the estimation of the city councils decision of the current budget year (not including capital investment from mobilized and invested capital investment projects from additional sources have the objective not stable from the central budget to the budget of the city-if available).
3. The mobilization of capital investment in the construction of infrastructure in the city budget range specified in point 1.2.1 and 1.2.2 weather point 1.2 of part II of section 1 of this circular must comply with the provisions of article 6 of the Decree 124/2004/ND-CP dated 18/5/2004 of the Government.
4. The aforesaid mobilized are accounting currency of the budget level to the specified targets and are arranged in the city-level budget balance to proactively repay when due.
5. Mobilize investment capital for the project is likely to revoke capital:-based on the socio-economic situation and the actual conditions of the needs of developing the technical infrastructure of the city, for the capable project payback, the city people's Committee decision or competent authority decision according to the provisions of the law. The mobilization of investments according to the form: the BOT (build-operate-transfer), BTO (build-transfer-operate), BT (build-transfer) and other forms. Implementation of financial solutions to support investment, loan interest rates offset a portion of the difference between the cost and price of services according to the provisions of the law.
-Mobilizing and organizing the implementation of the investment project: BOT (build-operate-transfer), BTO (build-transfer-operate), BT (build-transfer) and other forms are made according to the provisions of the law, the city people's Committee building estimating annual spending on interest rate support , make up a portion of the difference between the cost and price of services the city people's Council to decide the layout in the estimation of the city budget to make.
C. IMPLEMENTATION of this circular have the effect after 15 days from the date The report. The base specified in this circular, the city people's Committee directed the Department of finance to coordinate related agencies held; in the process if there are obstacles to suggest reflection on the Ministry of finance to consider the settlement.
Note: on 16/6/2004 the Ministry of Finance issued no. 6617 TC/GOVERNMENT EXCESSIVE about the revised circular No. 52/2004/TT-BTC on 9/6/2004 as follows:-remove the title section I point 1: hierarchy of revenues, the mission spent the budget levels of Government in the city.
1.1, 1.2-1.3, 1.4, 1.5, edit the corresponding points 1, 2, 3, 4, 5.
The Ministry of finance please attach key to the people's Committee of Ho Chi Minh City and organizations make./.