Circular No. 101/2017 guiding a number of provisions of the Government's Decree No. 06/2017/ND-CP of January 24, 2017, on horse racing, greyhound racing and international football betting business

01-10-2020 |  

Circular No. 101/2017 guiding a number of provisions of the Government's Decree No. 06/2017/ND-CP of January 24, 2017 on horse racing, greyhound racing and international football betting business – issued on October 4, 2017

<table "788"=""><td "223"="">MINISTRY OF FINANCE
——–<td "449"="">SOCIALIST REPUBLIC OF VIETNAM
Independence – Freedom – Happiness
—————<td "223"="">No. 101/2017/TT-BTC<td "449"="">Hanoi, October 04, 2017

GUIDING A NUMBER OF PROVISIONS OF THE GOVERNMENT'S DECREE NO. 06/2017/ND-CP OF JANUARY 24, 2017 ON HORSE RACING, GREYHOUND RACING AND INTERNATIONAL FOOTBALL BETTING BUSINESS

Pursuant to the Government's Decree No. 06/2017/ND-CP of January 24, 2017, on the business of betting on horse racing, greyhound racing and international football;

Pursuant to the Government's Decree No. 87/2017/ND-CP of July 26, 2017, specifying the functions, tasks, powers and organizational structure of the Ministry of Finance;

At the request of the Director of The Finance Department of banks and financial institutions;

The Minister of Finance shall promulgate a Circular guiding a number of provisions of the Government's Decree No. 06/2017/ND-CP of January 24, 2017 on the business of betting on horse racing, greyhound racing and international football.</td></td></td></td></table>

Chapter I

GENERAL PROVISIONS

Article 1. Scope of adjustment

This Circular guides a number of provisions of the Government's Decree No. 06/2017/ND-CP of January 24, 2017 on betting business on horse racing, greyhound racing and international football (herein addition to Decree No. 06/2017/ND-CP).

Article 2. Object of Application

1. Businesses that bet on horse racing, greyhound racing betting and international football betting (here's a betting business for short).
2. The subjects are allowed to participate in the bet.
3. State management agencies have functions related to the licensing, management, supervision, inspection, inspection and sanctioning of administrative violations in betting business activities in accordance with the provisions of law.
4. Other organizations and individuals involved in the betting business.

Article 3. Application for issuance, re-issuance, adjustment, renewal of Betting Business Eligibility Certificate and Betting Business Eligibility Certificate

1. Application for certificate of eligibility for betting trading according to the form specified in Appendix 01 issued with this Circular.
2. Application for re-issuance, adjustment and renewal of the Certificate of eligibility for betting business according to the form specified in Appendix 02 issued with this Circular.
3. The certificate of eligibility for betting business shall be issued by the Ministry of Finance according to the form provided in Appendix 03 to this Circular.

Chapter II

RACE SUPERVISORY BOARD

Article 4. Establishment of a Race Supervisory Council

1. Before organizing betting business activities, business enterprises betting on horse racing and betting on greyhound racing have written to the Department of Finance of the province or centrally run city (hereably referred to as the Department of Finance) where the racecourse and greyhound racingcourse is located, requesting the establishment of a Race Supervision Council with the following contents. :
2. a) Members of the Race Supervision Council as prescribed in Clause 2 Article 29 of the Decree No. 06/2017/ND-CP. Business enterprises betting on horse racing, betting on greyhound racing recommend the composition of the Race Supervisory Council in accordance with the size of the horse racing betting business, greyhound racing betting and the actual local conditions where the betting business is held;
3. b) Draft operation regulation of the Race Supervisory Council;
4. c) Principles for determining the remuneration regime to participate in the Race Supervision Council as prescribed in Clause 5 Article 29 of the Decree No. 06/2017/ND-CP and Clause 2, Article 8 of this Circular.
5. On the basis of the proposal of the business enterprise to place horse racing bets and greyhound racing bets, within 15 days from the date of receiving the written request of the business enterprise to place horse racing bets, betting on greyhound racing in Clause 1 of this Article, the Department of Finance will request the People's Committee of the province or centrally run city (heremly referred to as the provincial People's Committee) where the racecourse is located. horses, greyhound racing:
6. a) Decide on the establishment of the Race Supervision Council as prescribed in Clause 1, Clause 2 Article 29 of the Decree No. 06/2017/ND-CP and Clause 3 of this Article;
7. b) Approve the Operation Regulation of the Race Supervision Council as prescribed in Clause 4 Article 29 of the Decree No. 06/2017/ND-CP.
8. The composition of the Race Supervisory Council includes:
9. a) The chairperson of the race supervision council is the representative of the Department of Finance;
10. b) The members of the Race Supervision Council are representatives of the Department of Culture, Sports and Tourism (or the Department of Culture and Sports), the Provincial Department of Justice, the provincial Public Security Agency, the Department of Agriculture and Rural Development;
11. c) The secretary and member of the Race Supervisory Council are representatives of the business enterprise that bets on horse racing and greyhound racing bets.
12. When there is a change of members of the Race Supervision Council, the Department of Finance shall report to the provincial-level People's Committee for consideration and decision on change of personnel of the Race Supervision Council in the following cases:
13. a) Transferring other work;
14. b) Disciplinary violations at working agencies;
15. c) Violating discipline in the course of performing the tasks of the Race Supervision Council;
16. d) Quit or quit under the prescribed regime;

dd) Other cases as prescribed by law.

Article 5. Duties and powers of the Chairman of the Race Supervisory Council

1. Duties of the Chairman of the Race Supervisory Council:
2. a) Take responsibility for the performance of tasks and powers of the Race Supervision Council as prescribed in Clauses 3 and 4, Article 29 of decree No. 06/2017/ND-CP and operation regulations of the Race Supervision Council;
3. b/ To assign specific tasks, coordinate and direct members of the Race Supervision Council to perform well their assigned duties and tasks;
4. c/ To make regular and unexpected reports on the activities of the Race Supervision Council to provincial-level People's Committees and take measures to strengthen the organization and operation of the Race Supervision Council to ensure compliance with the provisions of law, the provisions of this Circular and the Operation Regulation of the Race Supervision Council.
5. Powers of the Chairman of the Race Supervisory Council:
6. a) Request the betting business enterprise and the members of the Race Supervisory Council to comply with the provisions of law, the provisions of this Circular, the Operation Regulation of the Race Supervisory Council and the published race charter;
7. b) Other rights as prescribed in this Circular and the Operation Regulation of the Race Supervision Council.

Article 6. Duties and powers of race supervisory board members

1. Duties of race supervisory board members:
2. a) Comply with regulations when performing tasks in accordance with regulations, operation regulations of the Race Supervision Council and the assigned of the Chairman of the Race Supervision Council;
3. b/ To perform tasks assigned by the Chairperson of the Race Supervision Council and take responsibility for the results of the assigned tasks;
4. c/ To promptly report to the Chairperson of the Race Supervision Council for violations or questionable manifestations in the course of performing their tasks for the Chairperson of the Race Supervision Council to consider and decide on timely signing measures.
5. Powers of race supervisory board members:

Members of the Race Supervision Council are entitled to reserves personal opinions during the performance of their assigned tasks.

Article 7. Duties and powers of the Race Supervisory Council

1. Duties of the Race Supervisory Council:
2. a) Check the conditions for organization of horse racing and greyhound racing as prescribed in Article 24 of the Decree No. 06/2017/ND-CP;
3. b/ To directly supervise the process of organizing horse and greyhound races in accordance with the published race charter. All information related to each race must be recorded in the Race Tracking Minutes after the race ends. The race supervisory board is responsible for signing the Minutes confirming the supervised results and race results immediately after the end of the race to form the basis for the business of betting on horse racing, betting on greyhound racing publicly for players. The minutes of track of the race must have the following contents:

– Race date and time;

– Number of racehorses and dogs participating in the race;

– Number, full name of members of the Arbitration Committee;

– Full name and number of horse riding certificates (for horse racing bets);

– Start time and race end time;

– Results of the race;

– Problems arise in the race.

1. c) Supervise the compliance with regulations on the frequency of betting organization, the time of start and end of receiving bets of each race as prescribed in Article 15 of Decree No. 06/2017/ND-CP;
2. d) Immediately after the end of receiving bets as prescribed at Point a, Clause 2, Article 15 of Decree No. 06/2017/ND-CP, the Race Supervisory Council supervises the business of betting on horse racing and greyhound racing bets to stop selling betting tickets throughout the system to ensure that the entire system cannot issue bet tickets immediately after this time.
3. Powers of the Race Supervisory Council:
4. a) Request and design designe for inspection of any racehorses or dogs participating in the race if necessary or detecting signs of fraud;
5. b/ To decide on the exclusion from the list of participants in races for racehorses, racing dogs and horses when having sufficient accurate information to confirm that racehorses, race dogs and horses do not fully meet the conditions prescribed by law and the race charter;
6. c/ To request the suspension of the organization of horse and greyhound races of enterprises for reporting to competent state management agencies for consideration and handling in the following cases:

– The starting equipment and cameras identifying racehorses and dogs finishing incompletely and not ensuring accuracy and honesty in organizing the race and determining the race results;

– Organizing horse racing, greyhound racing, including horse racing betting business, improper greyhound racing betting and the venue of announced betting events;

– Cheating in organizing the race;

– The server system, terminal is stopped continuously for thirty (30) minutes during the betting ticket sales period announced in the Betting Rules;

– Weather or surface of horse racing or greyhound racing in a state of inappropriate organization of horse racing and greyhound racing;

– The system constantly issued betting tickets before the end of receiving bets as prescribed at Point a, Clause 2, Article 15 of Decree No. 06/2017/ND-CP.

1. d/ To request disciplinary action or request competent agencies to investigate and handle cases of violations or fraudulent acts in organizing the race in accordance with the provisions of law;

dd) Request the business enterprise to place horse racing bets, bet on newly equipped dog racing, additional equipment, upgrade, repair, remove and replace the starting equipment and cameras identifying racehorses and race dogs finishing instability to serve the race;

1. e) Request business enterprises to place horse racing bets, dog racing bets to periodically inspect and maintain facilities and equipment at racecourses and greyhound races in accordance with the provisions of law in order to ensure the organization of horse races, greyhound racing, including horse racing betting business. , betting on greyhound racing in accordance with the law.

Article 8. Remuneration regime for participation in the Race Supervisory Council

1. The Chairman and members of the Race Supervisory Council are entitled to remuneration to participate in the Race Supervisory Council.
2. The remuneration regime for participation in the Race Supervision Council shall be wagered by the business enterprise betting on horse racing, betting on greyhound racing on the principle of conformity with the work content, time of participation in supervision and raising the responsibilities of the members of the Race Supervisory Council in performing the supervision tasks. Business enterprises betting on horse racing and greyhound racing bets shall have to promulgate regulations on remuneration for the Race Supervisory Council.
3. Business enterprises betting on horse racing, betting on greyhound racing are accounted into the operating expenses of the remuneration regime for the members of the Race Supervisory Council.

Chapter III

FINANCIAL MANAGEMENT, ACCOUNTING, AUDITING AND REPORTING REGIME

Article 9. Principles of accounting and management of revenue and expenses

1. The betting business must separately account for the revenues, expenses and profits associated with the betting business and must separately monitor these items on the system of accounting books and financial statements.
2. In case the revenues and expenses related to the betting business activities associated with other business activities of the enterprise are carried out as follows:
3. a) In case the betting enterprise cannot separately account the revenue from the betting business with revenue from other business activities, the entire unseparable turnover is the revenue used to calculate the excise tax on the betting business;
4. b) In case the expenses are both related to the betting business and associated with other business activities of the enterprise, the trading enterprise bets to allocate expenses as a percentage (%) between the revenue from the betting business compared to the total revenue of the business.
5. Wagering enterprises shall account for revenues and expenses in accordance with accounting standards and guidelines in this Circular.
6. The determination of revenues and expenses for tax declaration and calculation for betting business activities shall comply with the provisions of current tax law.

Article 10. Revenue and other income

Other revenue and income of the betting business include:

1. Revenue from the betting business.
2. Revenue from business activities other than betting business activities as prescribed by law.
3. Financial revenue.
4. Other income (if any).

Article 11. Costs

The cost of betting business is the entire cost of betting business determined in accordance with the law, in which some costs of betting business are specified as follows:

1. The cost of the bonus is the actual amount paid by the business enterprise to the winning player when participating in the bet in accordance with the Betting Rules and the provisions of tax law.
2. Ticketing agent commissions:
3. a) The level of agent commission shall be determined by the trading enterprise and must be specified in the contract of the betting ticketing agent signed between the betting business and the betting ticketing agent;
4. b) The betting business only pays the agent commission to the betting ticketing agent after completing the confirmation of the number of bets sold and the betting ticketing agent has fulfilled all the obligations specified in the signed betting ticketing agent contract;
5. c) The betting business is responsible for deducting the payable personal income tax of individuals who act as betting ticketing agents before paying money to the betting ticketing agent in accordance with the tax law.
6. Pay remuneration to members of the Race Supervision Council as prescribed in Article 8 of this Circular.
7. Payment authorization costs:
8. a) The authorization for award must be shown in the contract of agent signed between the betting business and the betting ticketing agent;
9. b) The fee for author awarding to the betting ticketing agent is determined by the trading enterprise but must not exceed 0.2% of the total prize value paid by the ticketing agent as authorized.
10. Other expenditures as prescribed by law.

Article 12. Accounting, auditing and publicity of financial statements

1. The betting business shall implement the accounting regime in accordance with the Law on Accounting and the current laws on accounting.
2. The annual financial statements of the betting business must be audited by an independent auditing organization permitted to operate legally in Vietnam.
3. Within 120 days from the end of the annual accounting period, the betting business must publicize the financial statements in accordance with the provisions of law.
4. Enterprises betting on the implementation of the regime of storing financial statements as prescribed in the Accounting Law and guiding documents.

Article 13. Reporting mode

1. For financial statements:
2. a) At the end of the quarterly accounting period, the betting business enterprise must make and send financial statements to the local Tax Department no later than 30 days from the end of the quarterly accounting period;
3. b) The betting enterprise shall send its annual financial statements to the Ministry of Finance, the Department of Finance and the local Tax Department at least 90 days after the end of the fiscal year;
4. c) The legal representative of the betting enterprise shall take responsibility before law for the accuracy and honesty of these reports.
5. For business report:

Every 06 months, at the end of the year, the betting business enterprise must make and send a report on the business operation according to the form specified in Appendix 04 and Appendix 05 issued together with this Circular to the Ministry of Finance and the Department of Finance no later than 30 days from the end of the accounting period in accordance with the law on accounting. The legal representative of the betting business is responsible before law for the accuracy and honesty of these reports.

3. In case the Ministry of Finance and provincial-level People's Committees request the implementation of unexpected reports, betting enterprises must make and send reports upon request.

Chapter IV

RESPONSIBILITIES OF ORGANIZATIONS

Article 14. Responsibilities of the Department of Finance

1. To advise provincial-level People's Committees in managing, supervising and inspecting betting business activities in their localities as prescribed in Article 77 of decree No. 06/2017/ND-CP, provided for in this Circular and relevant laws.
2. To the provincial-level People's Committees for promulgating legal documents as the basis for the operation of the Race Supervision Council, including:
3. a) Decide on the establishment of the Race Supervision Council;
4. b/ To approve the Operation Regulation of the Race Supervision Council.

Article 15. Responsibilities of local Tax Departments

1. Coordinate with the Department of Finance and relevant agencies in managing, supervising and inspecting betting business activities in the area as prescribed in Decree No. 06/2017/ND-CP, as prescribed in this Circular and relevant laws.
2. Take responsibility for managing, examining and inspecting the performance of tax payment obligations for betting enterprises in accordance with the tax law.

Article 16. Responsibilities of betting businesses

1. Comply with the provisions of law for betting business activities as prescribed in Decree No. 06/2017/ND-CP, as prescribed in this Circular and other relevant provisions of law.
2. Responsible for elaborating and promulgating regulations and procedures for professional management of enterprises on betting to ensure transparency, honesty and compliance with the provisions of law in betting business activities.
3. Elaborating and promulgating regulations on remuneration regime to participate in the Race Supervision Council as prescribed in Clause 2 Article 8 of this Circular.

Chapter V

IMPLEMENTATION ORGANIZATION

Article 17. Implementation organization

1. This Circular takes effect on December 1, 2017.
2. In the course of implementation, if there are difficulties, request organizations and individuals to report to the Ministry of Finance for consideration and settlement.

Kt. Minister
DEPUTY MINISTER

Place of recipient:
– The Prime Minister and Deputy Prime Ministers;
– Central Office and Party departments;
– Office of the State President;
– Office of the National Assembly;
– Government Office;
– The Supreme People's Court;
– The Supreme People's Procuracy;
– State Audit;
– Ministries, minister-level agencies and government-level agencies;
– People's Councils, People's Committees of provinces and centrally run cities;
– Departments of Finance, Tax Departments of provinces and centrally run cities;
– The Department of Document Examination (Ministry of Justice);
– Announcement;
– Government website;
– Website of the Ministry of Finance;
– Units of the Ministry of Finance;
– Save: VT, BCH (N.A.Tùng_370b).

Source: Legal Library