Thông tư 169/2011/TT-BTC

CIRCULAR

GUIDING TO IMPLEMENT A NUMBER OF ARTICLES OF DECREE NO.185/2004/ND-CP DATED NOVEMBER 4, 2004 AND DECREE NO. 39/2011/ND-CP DATED MAY 26, 2011 AMENDING AND SUPPLEMENTING A NUMBER OF ARTICLES OF DECREE NO. 185/2004/ND-CP OF THE GOVERNMENT ON SANCTION OF ADMINISTRATIVE VIOLATION IN THE AREA OF ACCOUNTING

Pursuant to Accounting Law No. 03/2003/QH11 dated June 17, 2003;

Pursuant to Ordinance on Handling Administrative Violations No.44/2002/PL-UBTVQH10 dated July 02, 2002 and Ordinance on amending and supplementing a number of articles of the Ordinance on Handling Administrative Violations No. 04/2008/PL-UBTVQH12 dated April February, 2008 of the Standing Committee of the National Assembly

Pursuant to Decree No. 37/2005/ND-CP dated March 18 2005 of the Government concerning the stipulation of the procedures for application of coercive measures for the implementation of decisions on the sanction of administrative violations;

Pursuant to Decree No. 118/2008/ND-CP dated November 27, 2008 of the Government stipulating functions, duties, rights and organizational structure of the Ministry of Finance;

Pursuant to Decree No. 185/2004/ND-CP dated November 04, 2004 and Decree No. 39/2011/ND-CP dated May 26, 2011 on amending and supplementing a number of articles of Decree No.185/2004/ND-CP of the government on the sanction of administrative violations in the field of accounting;

The Ministry of Finance makes guidance on implementing a number of articles of the Decree No. 185/2004/ND-CP dated November 04, 2004 and Decree No. 39/2011/ND-CP dated May 26, 2011 on amending and supplementing a number of articles of Decree No.185/2004/ND-CP of the government on the sanction of administrative violations in the area of accounting as follows:

Chapter 1.

GENERAL REGULATIONS

Article 1. Scope and subjects for application.

1. The scope and subjects of this Circular are domestic and foreign individuals, agencies and organizations operating in Vietnam (hereinafter referred to as individuals and organizations) that violate the regulations of the law on accounting and are not the criminals as prescribed in Decree No, 185/2004/ND-CP dated November 04, 2004 and Decree No.39/2011/ND-CP dated May 26, 2011 on amending and supplementing a number of articles of Decree No.185/2004/ND-CP of the Government on the sanction of administrative violations in the area of accounting (hereinafter referred to as Decree No.185/2004/ND-CP amended and supplemented )

2. Individuals are subject to this Circular including: Accountants, accounting practitioners, other persons relating to accounting in the field of state accounting and business activities.

3. Agencies and organizations are subject to this Circular including:

a) State agencies, non-business units, organizations using the state budget funds and non-business units and organizations not using state budget funds as prescribed in Article 2 of Decree No. 128/2004/ND-CP dated May 31, 2004 of the Government stipulating in detail and guiding the implementation of some articles of the Accounting Law in the area of State accounting.

b) The business organizations regulated in Article 2 of Decree No. 129/2004/ND-CP dated May 31, 2004 of the Government detailing and guiding the implementation of some articles of the Accounting Law in the business activities.

Article 2. Principles for sanction of administrative violation in the area of accounting

1. All administrative violations in the area of accounting must be promptly detected and must be stopped immediately. The handling of administrative violations must be conducted quickly, fairly and thoroughly; consequences of administrative violation must be remedied in accordance with regulations of the law.

2. Individuals and organizations are only penalized for administrative violations in the area of accounting when having acts of violations as regulated in Articles from Article 7 to Article 16, Chapter II of Decree No. 185/2004/ND-CP amending and supplementing and Article 1 of this Circular.

3. The sanction of administrative violations must be conducted by the competent persons in accordance with the law.

4. An administrative violation in the area of accounting administration is penalized only once. Many persons commit an act of administrative violation, then each person violating will be penalized. A person who commits many acts of administrative violation will be penalized for each act of violation.

5. The penalization of administrative violations must be based on the nature and seriousness of the violation, the personal record of the violator and the extenuating and aggravating circumstances as prescribed in Article 6 of Decree 185/2004/ND-CP to decide the type and fine level, applying the additional penalizing forms and appropriate remedial measures. The specific fine level for an administrative violation shall be determined as prescribed in Article 5 and Articles from Article 7 to Article 16, Chapter II of Decree No. 185/2004/ND-CP amended, supplemented and guided in Chapter II of this Circular.

6. No sanction of administrative violations in the area of accounting is applied for the following cases:

a) The prescription of the sanction of administrative violations as stipulated in Article 3 of Decree No. 185/2004/ND-CP amended and supplemented is no longer valid.

b) Administrative violations with the criminal signs including:

Administrative violations in the area of accounting with the criminal signs and the records of the case has been transferred to the competent proceedings agency for settlement;

Administrative violations in the area of accounting with the criminal signs that the competent proceedings agency is considering for settlement;

Administrative violations in the area of accounting with the criminal signs, the competent proceedings agency has a written request to transfer the records for consideration and criminal prosecution.

Chapter 2.

FORM AND LEVEL OF SANCTION

Based on regulations in the Article 5, Article 6, Chapter I and the Articles from Article 7 to Article 16, Chapter II of Decree No. 185/2004/ND-CP amended and supplemented, the form and level of sanction regulated as follows:

Article 3. Forms and fine levels for the acts of violation as regulated on accounting documents.

1. For an act of violation regulated in Clause 1 of Article 7 of Decree No. 185/2004/ND-CP amended and supplemented, there is no aggravating or extenuating circumstance, the specific fine level is VND 1,100,000.

- In case there is one or two extenuating circumstances, the fine level is VND 700,000;

- In case there are three or more extenuating circumstances, the fine level is VND 200,000;

- In case there are one or two aggravating circumstances, the fine level is VND 1,500,000;

- In case there are three or more aggravating circumstances, the fine level is VND 2,000,000;

2. For an act of violation specified in Clause 2, Article 7 of Decree No. 185/2004/ND-CP amended and supplemented, there is no aggravating or extenuating circumstances, the fine level will be VND 6,000,000

- In case there is one or two extenuating circumstances, the fine level is VND 4,000,000;

- In case there are three or more extenuating circumstances, the fine level is VND 2,000,000;

- In case there is one or two aggravating circumstances, the fine level is VND 8.000.000;

- In case there are three or more aggravating circumstances, the fine level is VND 10.000.000;

3. For an act of violation specified in Clause 3, Article 7 of Decree No. 185/2004/ND-CP amended and supplemented, there is no aggravating or extenuating circumstances, the fine level will be VND 20,000,000.

- In case there is one or two extenuating circumstances, the fine level is VND 15.000.000;

- In case there are three or more extenuating circumstances, the fine level is VND 10.000.000

- In case there is one or two aggravating circumstances, the fine level is VND 25.000.000;

- In case there are three or more aggravating circumstances, the fine level is VND 30.000.000;

4. For an act of violation specified in Clause 4, Article 7 of Decree No. 185/2004/ND-CP amended and supplemented, there is no aggravating or extenuating circumstances, the fine level shall be VND 25,000,000

- In case there is one or two extenuating circumstances, the fine level is VND 23.000.000;

- In case there are three or more extenuating circumstances, the fine level is VND 20.000.000

- In case there is one or two aggravating circumstances, the fine level is VND 27.000.000;

- In case there are three or more aggravating circumstances, the fine level is VND 30.000.000;

Article 4. Forms and fine levels for the acts of violation as regulated on accounting books.

1. For an act of violation specified in Clause 1, Article 8 of Decree No. 185/2004/ND-CP without any aggravating or extenuating circumstances, the fine level will be VND 1,100,000.

- In case there is one or two extenuating circumstances, the fine level is VND 700.000;

- In case there are three or more extenuating circumstances, the fine level is VND 200.000;

- In case there is one or two aggravating circumstances, the fine level is VND 1.500.000;

- In case there are three or more aggravating circumstances, the fine level is VND 2.000.000;

2. For an act of violation specified in Clause 2, Article 8 of Decree No. 185/2004/ND-CP amended and supplemented, there is no aggravating or extenuating circumstances, the fine level will be VND 3.500.000.

- In case there is one or two extenuating circumstances, the fine level is VND 3.000.000;

- In case there are three or more extenuating circumstances, the fine level is VND 2.000.000;

- In case there is one or two aggravating circumstances, the fine level is VND 4.000.000;

- In case there are three or more aggravating circumstances, the fine level is 5.000.000;

3. For an act of violation specified in Clause 3, Article 8 of Decree No. 185/2004/ND-CP amended and supplemented, there is no aggravating or extenuating circumstances, the fine level will be 10.000.000 VND

- In case there is one or two extenuating circumstances, the fine level is VND 8.000.000;

- In case there are three or more extenuating circumstances, the fine level is VND 5.000.000;

- In case there is one or two aggravating circumstances, the fine level is VND 12.000.000;

- In case there are three or more aggravating circumstances, the fine level is VND 15.000.000;

4. For an act of violation specified in Clause 4, Article 8 of Decree No. 185/2004/ND-CP amended and supplemented, there is no aggravating or extenuating circumstances, the fine level will be VND 22.500.000.

- In case there is one or two extenuating circumstances, the fine level is VND 20.000.000;

- In case there are three or more extenuating circumstances, the fine level is VND 15.000.000;

- In case there is one or two aggravating circumstances, the fine level is VND 25.000.000;

- In case there are three or more aggravating circumstances, the fine level is VND 30.000.000;

Article 5. Forms and fine levels for the acts of violation as regulated on accounting accounts.

1. For an act of violation specified in Clause 1, Article 9 of Decree No. 185/2004/ND-CP amended and supplemented, there is no aggravating or extenuating circumstances, the fine level will be VND 7.500.000.

- In case there is one or two extenuating circumstances, the fine level is VND 6.500.000;

- In case there are three or more extenuating circumstances, the fine level is VND 5.000.000;

- In case there is one or two aggravating circumstances, the fine level is VND 8.500.000;

- In case there are three or more aggravating circumstances, the fine level is VND 10.000.000;

2. For an act of violation specified in Clause 2, Article 9 of Decree No. 185/2004/ND-CP amended and supplemented, there is no aggravating or extenuating circumstances, the fine level will be VND 15.000.000.

- In case there is one or two extenuating circumstances, the fine level is VND 13.000.000;

- In case there are three or more extenuating circumstances, the fine level is VND 10.000.000;

- In case there is one or two aggravating circumstances, the fine level is VND 17.000.000;

- In case there are three or more aggravating circumstances, the fine level is VND 20.000.000;

Article 6. Forms and fines for violations of regulations on financial statements, final reports and public financial statements

1. For an act of violation specified in Clause 1, Article 10 of Decree No. 185/2004/ND-CP amended and supplemented, there is no aggravating or extenuating circumstances, the fine level will be VND 10.000.000.

- In case there is one or two extenuating circumstances, the fine level is VND 8.000.000;

- In case there are three or more extenuating circumstances, the fine level is VND 5.000.000;

- In case there is one or two aggravating circumstances, the fine level is VND 12.000.000;

- In case there are three or more aggravating circumstances, the fine level is VND 15.000.000;

2. For an act of violation specified in Clause 2, Article 10 of Decree No. 185/2004/ND-CP amended and supplemented, there is no aggravating or extenuating circumstances, the fine level will be VND 22.500.000.

- In case there is one or two extenuating circumstances, the fine level is VND 20.000.000;

- In case there are three or more extenuating circumstances, the fine level is VND 15.000.000;

- In case there is one or two aggravating circumstances, the fine level is VND 25.000.000;

- In case there are three or more aggravating circumstances, the fine level is VND 30.000.000;

Article 7. Forms and fine levels for the acts of violation as regulated on accounting inspection.

For an act of violation specified in Article 11 of Decree No. 185/2004/ND-CP there is no aggravating or extenuating circumstances, the fine level will be VND 7.500.000.

- In case there is one or two extenuating circumstances, the fine level is VND 6.500.000;

- In case there are three or more extenuating circumstances, the fine level is VND 5.000.000;

- In case there is one or two aggravating circumstances, the fine level is VND 8.500.000;

- In case there are three or more aggravating circumstances, the fine level is VND 10.000.000;

Article 8. Forms and fine levels for the acts of violation as regulated on preservation and storage of accounting documents

1. For an act of violation specified in clause 1, Article 12 of Decree No. 185/2004/ND-CP there is no aggravating or extenuating circumstances, the fine level will be VND 3.500.000.

- In case there is one or two extenuating circumstances, the fine level is VND 3.000.000;

- In case there are three or more extenuating circumstances, the fine level is VND 2.000.000;

- In case there is one or two aggravating circumstances, the fine level is VND 4.000.000;

- In case there are three or more aggravating circumstances, the fine level is VND 5.000.000;

2. For an act of violation specified in clause 2, Article 12 of Decree No. 185/2004/ND-CP there is no aggravating or extenuating circumstances, the fine level will be VND 7.500.000.

- In case there is one or two extenuating circumstances, the fine level is VND 6.500.000;

- In case there are three or more extenuating circumstances, the fine level is VND 5.000.000;

- In case there is one or two aggravating circumstances, the fine level is VND 8.500.000;

- In case there are three or more aggravating circumstances, the fine level is VND 10.000.000;

3. For an act of violation specified in clause 3, Article 12 of Decree No. 185/2004/ND-CP there is no aggravating or extenuating circumstances, the fine level will be VND 15.000.000.

- In case there is one or two extenuating circumstances, the fine level is VND 13.000.000;

- In case there are three or more extenuating circumstances, the fine level is VND 10.000.000;

- In case there is one or two aggravating circumstances, the fine level is VND 17.000.000;

- In case there are three or more aggravating circumstances, the fine level is VND 20.000.000;

Article 9. Forms and fine levels for the acts of violation as regulated on property inventory

1. For an act of violation specified in clause 1, Article 13 of Decree No. 185/2004/ND-CP there is no aggravating or extenuating circumstances, the fine level will be VND 2.000.000.

- In case there is one or two extenuating circumstances, the fine level is VND 1.500.000;

- In case there are three or more extenuating circumstances, the fine level is VND 1.000.000;

- In case there is one or two aggravating circumstances, the fine level is VND 2.500.000;

- In case there are three or more aggravating circumstances, the fine level is VND 3.000.000;

2. For an act of violation specified in clause 2, Article 13 of Decree No. 185/2004/ND-CP there is no aggravating or extenuating circumstances, the fine level will be VND 4.000.000.

- In case there is one or two extenuating circumstances, the fine level is VND 3.500.000;

- In case there are three or more extenuating circumstances, the fine level is VND 3.000.000;

- In case there is one or two aggravating circumstances, the fine level is VND 4.500.000;

- In case there are three or more aggravating circumstances, the fine level is VND 5.000.000;

3. For an act of violation specified in clause 3, Article 13 of Decree No. 185/2004/ND-CP there is no aggravating or extenuating circumstances, the fine level will be VND 7.500.000.

- In case there is one or two extenuating circumstances, the fine level is VND 6.500.000;

- In case there are three or more extenuating circumstances, the fine level is VND 5.000.000;

- In case there is one or two aggravating circumstances, the fine level is VND 8.500.000;

- In case there are three or more aggravating circumstances, the fine level is VND 10.000.000;

Article 10. Forms and fine levels for the acts of violation as regulated on organization of accounting machine, arrangement of accounting employee or accountant hiring.

1. For an act of violation specified in clause 1, Article 14 of Decree No. 185/2004/ND-CP there is no aggravating or extenuating circumstances, the fine level will be VND 7.500.000.

- In case there is one or two extenuating circumstances, the fine level is VND 6.500.000;

- In case there are three or more extenuating circumstances, the fine level is VND 5.000.000;

- In case there is one or two aggravating circumstances, the fine level is VND 8.500.000;

- In case there are three or more aggravating circumstances, the fine level is VND 10.000.000;

2. For an act of violation specified in clause 2, Article 14 of Decree No. 185/2004/ND-CP there is no aggravating or extenuating circumstances, the fine level will be VND 15.000.000.

- In case there is one or two extenuating circumstances, the fine level is VND 13.000.000;

- In case there are three or more extenuating circumstances, the fine level is VND 10.000.000;

- In case there is one or two aggravating circumstances, the fine level is VND 17.000.000;

- In case there are three or more aggravating circumstances, the fine level is VND 20.000.000;

Article 11. Forms and fine levels for the acts of violation as regulated on accounting practice

For an act of violation specified in clause 1, Article 15 of Decree No. 185/2004/ND-CP there is no aggravating or extenuating circumstances, the fine level will be VND 25.000.000.

- In case there is one or two extenuating circumstances, the fine level is VND 23.000.000;

- In case there are three or more extenuating circumstances, the fine level is VND 20.000.000;

- In case there is one or two aggravating circumstances, the fine level is VND 27.000.000;

- In case there are three or more aggravating circumstances, the fine level is VND 30.000.000;

Article 12. Forms and fine levels for the acts of violation as regulated on application of accounting standards, accounting regulations and other regulations

1. For an act of violation specified in clause 1, Article 16 of Decree No. 185/2004/ND-CP there is no aggravating or extenuating circumstances, the fine level will be VND 7.500.000.

- In case there is one or two extenuating circumstances, the fine level is VND 6.500.000;

- In case there are three or more extenuating circumstances, the fine level is VND 5.000.000;

- In case there is one or two aggravating circumstances, the fine level is VND 8.500.000;

- In case there are three or more aggravating circumstances, the fine level is VND 10.000.000;

2. For an act of violation specified in clause 1, Article 16 of Decree No. 185/2004/ND-CP amended and supplemented, there is no aggravating or extenuating circumstances, the fine level will be VND 20.000.000.

- In case there is one or two extenuating circumstances, the fine level is VND 15.000.000;

- In case there are three or more extenuating circumstances, the fine level is VND 10.000.000;

- In case there is one or two aggravating circumstances, the fine level is VND 25.000.000;

- In case there are three or more aggravating circumstances, the fine level is VND 30.000.000;

Article 13. Forms and fine levels for the acts of violation concerning organization of refresher course of chief accounting

1. For an act of violation specified in clause 1, Article 16a of Decree No. 185/2004/ND-CP amended and supplemented, there is no aggravating or extenuating circumstances, the fine level will be VND 7.500.000.

- In case there is one or two extenuating circumstances, the fine level is VND 6.500.000;

- In case there are three or more extenuating circumstances, the fine level is VND 5.000.000;

- In case there is one or two aggravating circumstances, the fine level is VND 8.500.000;

- In case there are three or more aggravating circumstances, the fine level is VND 10.000.000;

2. For an act of violation specified in clause 2, Article 16a of Decree No. 185/2004/ND-CP amended and supplemented, there is no aggravating or extenuating circumstances, the fine level will be VND 15.000.000.

- In case there is one or two extenuating circumstances, the fine level is VND 13.000.000;

- In case there are three or more extenuating circumstances, the fine level is VND 10.000.000;

- In case there is one or two aggravating circumstances, the fine level is VND 17.000.000;

- In case there are three or more aggravating circumstances, the fine level is VND 20.000.000;

3. For an act of violation specified in clause 3, Article 16a of Decree No. 185/2004/ND-CP amended and supplemented, there is no aggravating or extenuating circumstances, the fine level will be VND 25.000.000.

- In case there is one or two extenuating circumstances, the fine level is VND 23.000.000;

- In case there are three or more extenuating circumstances, the fine level is VND 20.000.000;

- In case there is one or two aggravating circumstances, the fine level is VND 27.000.000;

- In case there are three or more aggravating circumstances, the fine level is VND 30.000.000;

Article 14. Form and time limit of additional sanction: Deprivation of the right to use practice certificate

1. For an act of violation specified at point a and b, Clause 3 of Article 7 and points a, b andc, Clause 4, Article 8 of Decree No.185/2004/ND-CP amended and supplemented, there is no aggravating or extenuating circumstances, the time limit for deprivation of the right to use accounting practice certificate or auditor’s Certificate is 9 months.

- In case there is one or two extenuating circumstances, the time limit for depreviation of the right is 8 months;

- In case there are three or more extenuating circumstances, the time limit for depreviation of the right is 6 months;

- In case there is one or two aggravating circumstances, the time limit for depreviation of the right is 10 months;

- In case there are three or more aggravating circumstances, the time limit for depreviation of the right is 12 months;

2. For an act of violation specified at points c, d, dd and e, Clause 3 of Article 7, clause 4 of Article 7, point d and dd, clause 4 of Article 8 and point e, g clause 1 of Article15 of Decree No. 185/2004/ND-CP amended and supplemented, there is no aggravating or extenuating circumstances, the time limit for deprivation of the right to use accounting practice certificate or auditor’s Certificate is 3 months.

- In case there is one or two extenuating circumstances, the time limit for depreviation of the right is 2 months;

- In case there are three or more extenuating circumstances, the time limit for depreviation of the right is 1 months;

- In case there is one or two aggravating circumstances, the time limit for depreviation of the right is 4months;

- In case there are three or more aggravating circumstances, the time limit for depreviation of the right is 5 months;

Article 15. Acts of administrative violation in the area of accounting leading to tax evasion and tax fraud

1. When considering that the act of administrative violations in the area of accounting as prescribed in Articles from Article 7 to Article 16 of Decree No. 185/2004/ND-CP amended and supplemented leading to tax evasion, tax fraud, the person with sanctioning competence of administrative violations in the area of accounting must conduct the sanction of administrative violations as stipulated in Decree No. 185/2004/ND-CP amended and supplemented and guided in this Circular, then, transfer the dossiers must be transferred immediately to tax authority at the same level for handling as prescribed by law on administrative violations in the area of tax.

2. The acts that are considered administrative violations in the area of accounting leading to tax evasion and tax fraud include:

a) Leaving out of accounting books the accounting data or entry of accounting books is not in accordance with accounting regulations in order to reduce payable tax or increase refundable, exemptible and reductible tax

b) Altering, erasing accounting documents and accounting books in order to reduce the tax payable or to increase tax refundable or increase the tax exemptible and reducible;

c) Using fraudulent invoices or other fraudulent accounting documents for the purpose of reducing the tax payable or increasing the tax refundable or increasing the tax exemptible and reducible;

d) Destroying accounting documents, accounting books before the time limit specified for the purpose of reducing the tax payable or increasing the tax refundable or increasing the tax exemptible and reducible;

dd) Making two accounting books for the same accounting subject but different content for the purpose of reducing the tax payable or increasing the tax refundable or increasing the tax exemptible and reducible;

Chapter 3.

PROCEDURES FOR SANCTION AND IMPLEMENTATION OF SANCTIONING DECISION.

Based on regulations in the Article 23, Article 24 and Article 25, Chapter III of Decree No. 185/2004/ND-CP amending and supplementing sanction procedures and implementing sanctioning decision specified as follows:

Article 16. Procedures for warning sanction

The form of warning sanction is applied to individuals and organizations with minor and first administrative violations with many extenuating circumstances. For the form of warning sanction, the person with sanctioning competence doesnot make violation record but a decision of sanction on the spot.

Article 17. Making record of administrative violation in the area of accounting

The person with sanctioning competence of administrative violations in the area of accounting on duty, upon detection of administrative violations in the area of accounting, will make timely records of administrative violations in the area of accounting, except for cases of warning sanction specified in Article 16 of this Circular. The form of record is specified in Appendix I.

The record must be made into at least 02 copies and signed by the record maker and the violator or representative of violating organization. If there are witnesses, they also sign the record. In case the record consists of many pages, the signer must sign each page of record. In case individual and representative of violating organization or the witnesses refuse to sign the record, the record maker must specify the reason in the record; individual and organ conducting the inspection and verification still implement recommendations and decision in the record and take responsibility before law for those conclusions and recommendations.

The record made must be handed over to the violating individuals and organizations. If the violation case is beyond the sanctioning competence of the record maker, this person must send the record to the person with sanctioning competence.

In case the state management agencies such as Financial agency, Tax agency, State audit,… detect administrative violations in accounting but have no competence to make sanctioning decision, then a record of administrative violation must be made as prescribed in the section and sent to the competent authority to make sanctioning decision of administrative violation as stipulated in Article 18, Article 19 and Article 20 of the Decree No. 185/2004/ND-CP amended and supplemented.

Article 18. Sanctioning decision and the time limit for making sanctioning decision.

1. The sanctioning decision of admimistrative violation in the area of accounting must specify the act of violation, form and the fine level, the additional sanction, remedial measures of the consequence and other contents in conformity with the form as prescribed in the Appendix No.II

2. For simple cases and clear act of violation, the sanctioning decision must be made in not more than ten (10) day, from the date making record on the act of violation of administrative violation. For cases involving many complicated circumstances should be clearly identified the violators or other complicated circumstances, the time limit for making sanctioning decision is thirty (30) days from the date of record.

Exceeding the time limit above mentioned, the person with sanctioning competence is not entitled to make sanctioning decision.

3. The person with sanctioning competence if making mistake in exceeding the dealine without making sanctioning decision, depending on the seriousness of the violation may be disciplined, prosecuted for criminal liability, if causing damage, compensation must be made as prescribed by law;

4. When deciding to sanction a person who commits many acts of administrative violation, the person with sanctioning competence only makes a sanctioning decision in which the form and the santioning level for each act of violation are decided; if the form of sanction is on the basis of pecuniary penalty, the amount of money of each act of violation is added up to become the general fine level.

5. The sanctioning decision is sent to violating individuals and organizations and the fine collecting organ within the period of three (03) days from the date there is the sanctioning decision.

6. The sanctioning decision of administrative violations of the person with the sanctioning competence is stamped with the seal of the agency of the person with sanctioning competence for that act.

7. For the sanctioning decision of the persons with sanctioning competence without the right to stamp directly, the sanctioning decision will be stamped with the the agency seal of the [erson who makes a sanctioning decision in the upper left corner of the decision where the name of the sanctioning agency and number and symbol of the sanctioning decision.

Article 19. Fine payment, time limit for fine payment

1. Individuals and organizations sanctioned pay the fine to the state budget funds at the State Treasury specified in the sanctioning decision within ten (10) days from the date they are given the sanctioning decisions, except the case they are santioned on the spot.

2. In case the sanctioning decisions in far and remote areas, where travelling is difficult, the person who makes sanctioning decision can collect sanctioning fine on the spot and pay into the state within seven (7) days

Article 20. Procedures for depriviation of the right to use accounting practice certificate or auditor’s certificate

1. When the act of violation of the individual must be applied the additional sanctioning form that is depriviation of the right to use accounting practice certificate or auditor’s certificate (generally referred to as the practice Certificate), it must be specified in the sanctioning decision. The person with sanctioning competence is entitled to seizure the practice certificate and immidiately notify in writing the Ministry of Finance (Accounting and Auditing Policy Department)

2. Upon the end of the time limit of the depriviation of the right to use practice Certificate specified in sanctioning decision, the person with sanctioning competence must return the practice certificate to individual who is deprived of the right to use that practice certificate.

Article 21. Procedures for implementation of remedial measures: Confiscation of accounting documents and accounting books

1. When the act of violation of individuals and organizations must be applied the additional sanctioning form to remedy the consequence is to confiscate accounting documents or accounting books, it must be specified in the record of violation the name, a number of documents, accounting books confiscated and the signature of the confiscator, representative of organization sanctioned and witness.

2. The person with sanctioning competence is entitled to seizure violating accounting documents and accounting books to handle relevant effects. Upon completion of the handling, the person with sanctioning competence must establish a Council of destruction including: the person with sanctioning competence, representative of violating unit and witness.

Article 22. Compliance with the sanctioning decision of administrative violation

The compliance with the sanctioning decision of administrative violation in the area of accounting is regulated as follows:

1. Individuals and organizations that are sanctioned must comply with the sanctioning decision of administrative violation within the period of ten (10) days, from the date handed over the sanctioning decision, unless otherwise prescribed by law. After making sanctioning decision, the person with sanctioning competence must hand over the sanctioning decision or notify them to come to get it. The time when the individuals and organizations sanctioned receive the sanctioning decision is considered the time handed over the sanctioning decision.

2. If individuals and organizations that are sanctioned do not voluntarily comply with the allotted time as prescribed in the clause 1, Article 1 of this Article, then they are enforced for the implementation.

Article 23. Enforcing the implementation of sanctioning decision of administrative violation.

1. The individuals and organizations sanctioned for administrative violation, but exceeding the time limit prescribed in Clause 1, Article 19 of this Circular but the individuals and organizations sanctioned for administrative violations do not voluntarily comply with the sanctioning decision, they will be enforced for the implementation by measures of subtraction from salary, income or deduction of money from accounts of individuals and organizations at banks, credit institutions or other financial institutions.

Organizations and individuals that make payment of salary or income or other banks, financial and credit institutions where the organizations and individuals sanctioned open their accounts, within the period of ten (10) days, from the date receiving the enforcement decision, are responsible for deducting the amount of money that the organizations and individuals must pay from the deposit account above mentioned into the State budget via its account opened at the State Treasure.

2. In cases the credit institution does not implement the retaining the amount of money of the organizations and individuals enforced in their accounts as prescribed in clause 1 of this Article, that credit institution has to pay instead. The organizations and individuals enforced are responsible for refunding the amount of money that the credit institution has paid to the State. In case the balance in the deposit account is less than the amount of money to be deducted, the organizations and individuals enforced, in addition to pay the amount of money that the credit institution on their behalf, will pay the remaining part for the full amount payable.

3. The competence to make coercion decision: The following persons are competent to make coercive decision and have the duties to organize the coercion for the implementation of their sanctioning decisions and their subordinates:

a) Chief Inspector of Department of Finance, Chief Inspector of Ministry of Finance

b) Chairman of People's Committees at all levels

Article 24. Postponing the compliance of fining decision

1. Individuals subject to a fine of VND 2,000,000 or more may be postponed to comply with the sanctioning decision in case of being in a particularly difficult economic situation and having petition certified by the agency and organization.

2. The time limit for postponing the fining decision does not exceed three (3) months since there is a postponing decision.

3. The person making the fine decision is entitled to decide on postponing the compliance of the fine decision.

Article 25. Transferring record of violation with criminal signs for penal prosecution

Strictly forbidding to retain these records of violations with criminal signs for administrative sanction.

In case the sanctioning decision on administrative violation has been made but later detecting the act of violation that has criminal signs has not expired for criminal prosecution, the person who has made sanctioning decision of administrative violation must cancel that decision and within three (3) days from the date of cancellation of the sanctioning decisions, transfer the record of the violation to the competent criminal proceedings agency

The criminal proceedings agency upon receiving the record of the case is responsible for notifying the handling result to the agency transferring the record for criminal prosecution.

Chapter 4.

ORGANIZATION FOR IMPLEMENTATION

Article 26. This Circular will take effect on February 01, 2012 and supercede the Circular No. 120/2004/TT-BTC dated December 15, 2004 of the Ministry of Finance on the guidance of implementation of some Articles of Decree No. 185/2004/ND-CP dated November 04, 2004 of the Government on Sanction of administrative violation in the area of accounting.

Article 27. The Ministries, branches, People’s Committees, Department of Finance, provincial/municipal Department of taxation directly under the Central authority are liable to deploy the guidance for the agencies, organizations and individuals to execute this Circular.

During the course of implementation, if there is any problem and difficulty arising, promptly report to the Ministry of Finance for study and settlement