Vietnan Amendments and Supplements To Penal Code - 1997

ON AMENDMENTS AND SUPPLEMENTS TO A
NUMBER OF ARTICLES OF THE PENAL CODE

THE STANDING COMMITTEE OF
NATIONAL ASSEMBLY
No: No number
SOCIALIST REPUBLIC OF VIET NAM

Independence - Freedom - Happiness
----- o0o ----Ha Noi , Day 10 month 05 year 1997
LAW ON AMENDMENTS AND SUPPLEMENTS TO A NUMBER OF ARTICLES OF THE PENAL

CODE
Pursuant to Article 84 of the 1992 Constitution of the Socialist Republic of Vietnam;
This Law amends and supplements a number of articles of the Penal Code which was adopted on June
27, 1985, amended and supplemented on December 28, 1989, August 12, 1991 and December 22, 1992
by the National Assembly of the Socialist Republic of Vietnam.
Article 1.- To amend and supplement a number of articles of the Penal Code regarding corruption
offenses as follows:
1. Article 133 on embezzlement of socialist property is amended and supplemented as follows:
"Article 133.- Embezzlement of socialist property
1. A person who abuses his/her position and power to misappropriate socialist property which he/she
has the responsibility to manage and which has a value of from five million to under one hundred
million VND or less than five million VND but the offense causes serious consequences, is committed
more than once or the offender has been disciplined but commits the offense again, shall be subject to a
prison term of from two to seven years.
2. A person who commits the offense in one of the following circumstances shall be subject to a prison
term of from seven to fifteen years:
a/ Acting in complicity with another person or other persons;
b/ Employing a perfidious and dangerous move;
c/ The misappropriated property has a value of from one hundred million to under three hundred million
VND;
d/ Committing the offense more than once;
e/ Causing serious consequences.
term of from fifteen to twenty years:
a/ In an organized manner;
b/ The misappropriated property has a value of from three hundred million to under five hundred
million VND;
c/ The offense involves more than one factor described in Clause 2 of this Article;
d/ Causing very serious consequences.
4. A person who commits the offense in one of the following circumstances shall be subject to life
imprisonment or capital punishment:
a/ The misappropriated property has a value of five hundred million VND or more;
b/ The offense involves more than one factor described in Clause 3 of this Article;
c/ Causing exceptionally serious consequences."
2. To supplement the following Article 134a "Abusing ones position and power to misappropriate
socialist property by fraud":
"Article 134a.- Abusing ones position and power to misappropriate socialist property by fraud
1. A person who abuses his/her position and power and employs a perfidious move to misappropriate
socialist property which has a value of from five million to under one hundred million VND or less than
five million VND but the offense causes serious consequences, is committed more than once, or the
offender has been disciplined but still commits the offense again, shall be subject to a prison term of
from two to seven years.
a/ In an organized manner
VND;
a/ The misappropriated property has a value of from three hundred million to under five hundred million
VND;
c/ The offense involves more than one factor described in Clause 2 of this Article;

3. To supplement the following Article 137a "Abusing ones position and power to illegally use socialist
property":
"Article 137a.- Abusing ones position and power to illegally use socialist property
1. A person who abuses his/her position and power to illegally use socialist property and cause serious
consequences or who has been disciplined but commits the offense again, shall be subject to a prison
term of from one to five years.
term of from five to ten years:
b/ Committing the offense more than once;
c/ Causing very serious consequences.
term of from ten to fifteen years:
a/ The offense involves more than one factor described in Clause 2 of this Article;
b/ Causing exceptionally serious consequences."
4. Article 156 on abusing ones position and power to misappropriate property of citizens is amended
and supplemented as follows:
"Article 156.- Abusing ones position and power to misappropriate property of citizens
1. A person who abuses his/her position and power to misappropriate other peoples property which has
a value of from five million to under one hundred million VND or less than five million VND but such
offense causes serious consequences or is committed more than once, or the offender has been
disciplined but commits the offense again, shall be subject to a prison term of from one to six years.
term of from six to thirteen years:

VND;
d/ Committing the offense more than once
f/ Constituting dangerous recidivism;
term of from thirteen to twenty years:
a/ The misappropriated property has a value of from three hundred million to under five hundred million
VND;
5. Article 175 on establishing illegal funds is amended and supplemented as follows:
"Article 175.- Establishing illegal funds
1. A person who abuses his/her position and power to establish an illegal fund which has a value of
from fifty million to under two hundred million VND and uses this fund and causes serious
consequences or the offender has been disciplined or punished administratively but commits the offense
again, shall be subject to a prison term of from one to five years.
a/ Employing perfidious moves to circumvent inspection;
b/ The offense is committed in order to carry out another offense;
c/ The illegal fund has a value of from two hundred million to under five hundred million VND;

a/ The illegal fund has a value of from five hundred million to under one billion VND;
c/ Causing exceptionally serious consequences.
a/ The illegal fund has a value of one billion VND or more;
b/ The offense involves more than one factor described in Clause 3 of this Article."
6. Article 221 on abusing ones position and power or abuses ones own power while performing an
official duty is amended and supplemented as follows:
"Article 221.- Abusing ones position and power while performing an official duty
1. A person who, for his/her self interest or another personal motive, abuses his/her position and power
to perform his/her official duty wrongly, causing damage to the interests of the State and society, the
legitimate rights or interests of citizens, shall be subject to a prison term of from one to five years.
a/ In an organized manner;;
c/ Causing serious consequences.
b/ Causing very serious consequences.
a/ The offense involves more than one factor described in Clause 3 of this Article.
7. To supplement the following Article 221a "Abusing ones power while performing an official duty":
"Article 221a.- Abusing ones power while performing an official duty
1. A person who, for his/her self-interest or another personal motive, acts ultra vires and performs
his/her official duty wrongly to harm the interests of the State and society, the legitimate rights or
interests of citizens, shall be subject to a prison term of from two to seven years.
c/ Causing serious consequences.
term of twenty years or life imprisonment:
a/ The offense involves more than one factor described in Clause 3 of this Article.
8. Article 224 on falsifying documents is amended and supplemented as follows:
"Article 224.- Falsifying documents
1. A person who, for his/her own profits or another personal motive, abuses his/her position and power
to commit one of the following acts shall be subject to a prison term of from one to seven years:
a/ Changing or falsifying the contents of documents and papers;
b/ Forging papers and issuing forged papers;
c/ Forging the signature of a person of rank or power.
b/ The offender is the person responsible for elaborating or issuing the papers and documents;
c/ Committing the offense more than once;
d/ Causing serious consequences.
term of from fifteen to twenty years
9. Article 226 on accepting bribes is amended and supplemented as follows:
"Article 226.- Accepting bribes
1. A person who abuses his/her position and power to, directly or through an intermediary, accept
money, a property or another material interest in any form which has a value of from five hundred
thousand to under ten million VND or less than five hundred thousand VND but the offense causes
serious consequences or is committed more than once, or the offender has been disciplined but still
commits the offense again so as to discharge or refuse a certain work for the interest or at the request of
the bribe giver, shall be subject to a prison term of from two to seven years.
b/ The offender asks for bribes, causes hassles or employs a perfidious move;
c/ The bribe has a value of from ten million to under thirty million VND;
d/ The offender knows well that the bribe is socialist property;
e/ Committing the offense more than once;
f/ Abusing his/her position and power;
g/ Causing serious consequences.
term of from fifteen years to twenty years:
a/ The bribe has a value of from thirty million to under fifty million VND;
b/ The offense involves more than one factor described in Clause 2 of this Article.
imprisonment or capital punishment
a/ The bribe has a value of fifty million VND or more;
10. Article 227 on offering bribes and acting as an intermediary for bribery is amended and
supplemented as follows:
"Article 227.- Offering bribes, acting as an intermediary for bribery
1. A person who offers a bribe or acts as an intermediary for bribery, and the bribe has a value of from
five hundred thousand to under ten million VND or less than five hundred thousand VND but the
offense causes serious consequences or is committed more than once, shall be subject to a prison term
of from one to six years.
b/ Employing perfidious moves;
c/ The bribe has a value of from ten million to under thirty million VND;
e/ Using socialist property as the bribe;
f/ Causing serious consequences.
term of from thirteen years to twenty years:
a/ The bribe has a value of from thirty million to under fifty million VND;
imprisonment or capital punishment
a/ The bribe has a value of fifty million VND or more;

5. A person who is compelled to give a bribe and, on his own initiative, reports the offense before it is
exposed, shall be regarded as not guilty and all his/her property used for the bribery shall be returned to
him/her.
A person who has given a bribe, though not compelled to do so, and on his own initiative, reports the
offense before it is exposed, may be exempted from penal liability and be returned part or the whole of
his/her property used for bribery.
11. To supplement the following Article 228a "Abusing ones position and power to influence another
person for his/her own profit":
"Article 228a.- Abusing ones position and power to influence another person for ones own profit
1. A person who abuses his/her position and power to accept directly or through an intermediary money,
property or another material interest in any form which has a value of from five hundred thousand to
under ten million VND or less than five hundred thousand VND but the offense causes serious
consequences or is committed more than once, or the offender has been disciplined but commits the
offense again, so as to exert his/her influence to spur another person with a position or power to
discharge or refuse a work under the latters charge or directly relating to the latters job or to perform
an unlawful work, shall be subject to a prison term of from one to six years.
b/ The money, property or another material benefit has a value of from ten million to under thirty
million VND;
a/ The money, property or another material benefit has a value of from thirty million to under fifty
million VND;
a/ The money, property or another material benefit has a value of fifty million VND or more;
b/ The offense involves more than one factor described in Clause 3 of this Article;;

Article 2.- To supplement the following Chapter VIIA "Narcotics-related offenses" to the "Part on
Offenses" of the Penal Code:
"Article 185a.- Growing opium plant or other plants containing narcotics
1. A person who has grown opium poppy, coca plant, marijuana or other plants containing narcotics,
who has been many times reformed, provided with conditions to stabilize his/her life and has been
punished administratively but still commits the offense again, shall be subject to a prison term of from
six months to three years.
term of from three to seven years:
b/ Constituting recidivism.
Article 185b.- Illicit production of narcotics
1. A person who illicitly produces narcotics in any form shall be subject to a prison term of from three
to ten years.
c/ Abusing his/her position and power;
d/ Misusing the name of an agency or organization;
e/ Involving a quantity of the opium resin, marijuana resin or coca powder weighing from five hundred
grams to under one kilogram;
f/ Involving a quantity of heroin or cocaine of from five to under thirty grams;
g/ Involving a quantity of another narcotic in solid form weighing from twenty to under one hundred
grams;
h/ Involving a quantity of another narcotic in liquid form measuring from one hundred to under two
hundred fifty milliliters;
i/ Involving two or more narcotics with a quantity equivalent to the quantity of the narcotic specified in
from Point e to Point h, Clause 2 of this Article;
j/ Constituting dangerous recidivism.
term of fifteen to twenty years:

a/ The offense is of a professional character;
b/ Involving a quantity of the opium resin, marijuana resin or coca powder weighing from one to under
five kilograms;
c/ Involving a quantity of heroin or cocaine weighing from thirty to under one hundred grams;
d/ Involving a quantity of another narcotic substance in solid form weighing from one hundred to under
three hundred grams;
e/ Involving a quantity of another narcotic in liquid form measuring from two hundred fifty to under
seven hundred fifty milliliters;
f/ Involving two or more narcotics with a quantity equivalent to the quantity of the narcotic specified in
from Point b to Point e, Clause 3 of this Article;
g/ Involving more than one factor described in Clause 2 of this Article.
imprisonment or capital punishment.
a/ Involving a quantity of the opium resin, marijuana resin or coca condensate weighing five kilograms
or more;
b/ Involving a quantity of heroin or cocaine weighing one hundred grams or more;
c/ Involving a quantity of another narcotic in solid form weighing three hundred grams or more;
d/ Involving a quantity of another narcotic in liquid form measuring seven hundred fifty milliliters or
more;
e/ Involving two or more narcotics with a quantity equivalent to the quantity of the narcotic specified in
from Point a to Point d, Clause 4 of this Article;
f/ The offense involves more than one factor described in Clause 3 of this Article.
Article 185c.- Illegally storing narcotics
1. A person who illegally stores narcotics shall be subject to a prison term of from two to seven years.

e/ Involving a quantity of opium resin, marijuana resin or coca condensate weighing from five hundred
grams to under one kilogram;
f/ Involving a quantity of heroin or cocaine weighing from five to under thirty grams;
g/ Involving a quantity of leaves, flowers and fruit of the marijuana plant or leaves of the coca plant
weighing from ten to under twenty five kilograms;
h/ Involving a quantity of dried opium fruit weighing from fifty to under two hundred kilograms;
i/ Involving a quantity of fresh opium fruit weighing from ten to under fifty kilograms;
j/ Involving a quantity of another narcotic in solid form weighing from twenty to under one hundred
grams;
k/ Involving a quantity of another narcotic in liquid form measuring from one hundred to under two
hundred fifty milliliters;
l/ Involving two or more narcotics with a quantity equivalent to the quantity of the narcotic specified in
from Point e to Point k, Clause 2 of this Article;
m/ Constituting dangerous recidivism.
term of fifteen to twenty years:
a/ Involving a quantity of the opium resin, marijuana resin or coca condensate weighing from one to
under five kilograms;
b/ Involving a quantity of heroin or cocaine weighing from thirty to under one hundred grams;
c/ Involving a quantity of leaves, flowers and fruit of the marijuana plant or leaves of the coca plant
weighing from twenty five to under seventy five kilograms;
d/ Involving a quantity of dried opium fruit weighing from two hundred to under six hundred kilograms;
e/ Involving a quantity of fresh opium fruit weighing from fifty to under one hundred fifty kilograms;
f/ Involving a quantity of another narcotic substance in solid form weighing from one hundred to under
three hundred grams;
g/ Involving a quantity of another narcotic in liquid form measuring from two hundred fifty to under
seven hundred fifty milliliters;
h/ Involving two or more narcotics with a quantity equivalent to the quantity of the narcotic substance
specified in from Point a to Point g, Clause 3 of this Article;
i/ Involving more than one factor described in Clause 2 of this Article.
imprisonment or capital punishment.

a/ Involving a quantity of the opium resin, marijuana resin or coca condensate weighing of five
kilograms or more;
b/ Involving a quantity of heroin or cocaine weighing one hundred grams or more;
c/ Involving a quantity of leaves, flowers and fruit of the marijuana plant or leaves of the coca plant,
weighing seventy five kilograms or more;
d/ Involving a quantity of dried opium fruit weighing six hundred kilograms or more;
e/ Involving a quantity of fresh opium fruit weighing one hundred fifty kilograms or more;
f/ Involving a quantity of another narcotic in solid form weighing three hundred grams or more;
g/ Involving a quantity of another narcotic in liquid form measuring seven hundred fifty milliliters or
more;
h/ Involving two or more narcotics with a quantity equivalent to the quantity of the narcotic substance
specified in from Point a to Point g, Clause 4 of this Article;
i/ Involving more than one factor described in Clause 3 of this Article.
Article 185d.- Illegally transporting narcotics
1. A person who illegally transports narcotics shall be subject to a prison term of from two to seven
years.
term of from seven to thirteen years:
e/ Transporting the narcotics across the border;
f/ Employing a minor or minors in the offense;
g/ Involving a quantity of a narcotic specified in from Point e to Point l, Clause 2 of Article 185c;
h/ Constituting dangerous recidivism.
a/ The narcotic quantity is equivalent to that specified in from Point a to Point h, Clause 3 of Article
185c;
185c;
Article 185e.- Trafficking in narcotics
1. A person who trafficks in narcotics in any form shall be subject to a prison term of from three to ten
years.
e/ Earning big illegal profits;
f/ Transporting narcotics across the border;
g/ Employing a minor or minors in the offense;
h/ The narcotic quantity is equivalent to that specified in from Point e to Point l, Clause 2 of Article
185c;
i/ Constituting dangerous recidivism.
a/ The offense is of a professional character;
b/ The narcotic quantity is equivalent to that specified in from Point a to Point h, Clause 3 of Article
185c;
c/ The offense involves more than one factor described in Clause 2 of this Article.

185c;
Article 185f.- Appropriating narcotics
1. A person who appropriates narcotics in any form shall be subject to a prison term of from three to ten
years.
e/ Employing a weapon or a dangerous means;
f/ The narcotic quantity is equivalent to that specified in from Point e to Point l, Clause 2 of Article
185c;
g/ Constituting dangerous recidivism.
185c;
185c;
Article 185g.- Storing, transporting, trafficking in or appropriating raw materials for the illicit
production of narcotics
1. A person who stores, transports, trafficks in or appropriate raw materials for the illegal production of
narcotics shall be subject to a fine of from twenty million and one hundred million VND or a prison
term of from one to six years.

e/ The raw materials weigh from two hundred to under five hundred grams
f/ Transporting the raw materials across the border;
a/ The raw materials weigh from five hundred to under one thousand two hundred grams;
b/ The offense is committed in more than one circumstances specified in Clause 2 of this Article.
a/ The raw materials weigh one thousand two hundred grams or more;
Article 185h.- Manufacturing, storing, transporting or trafficking in equipment and implements used for
the illicit production or use of narcotics
1. A person who manufactures, stores, transports or trafficks in equipment and implements used for the
illegal production or use of narcotics shall be subject to a fine of from twenty million to one hundred
million VND or a prison term of from one to five years.
e/ The means and tools used in the offense are in large quantities;
f/ Transporting the equipment and implements across the border;
Article 185i.- Organizing the illegal use of narcotics
1. A person who organizes the illegal use of narcotics in any form shall be subject to a prison term of
two to seven years.
a/ Committing the offense more than once;
b/ Affecting a large number of people;
c/ Affecting minors of from full thirteen years of age or more;
d/ Affecting women who, to the full knowledge of the offender, are pregnant;
e/ Affecting people who are giving up their addictive habit;
f/ Causing great harm to others health or forming a bad habit to another person;
g/ Transmitting dangerous diseases to other people;
h/ Constituting dangerous recidivism.
a/ Causing death;
b/ Causing great harm to many peoples health or forming a bad habit to many people;
c/ Transmitting dangerous diseases to many people;
d/ Involving more than one factor described in Clause 2 of this Article;
e/ Against children under thirteen years of age.
a/ Involving more than one factor described in Clause 3 of this Article;
b/ Causing death to many people or other exceptionally serious consequences.
Article 185j.- Harboring the illegal use of narcotics

1. A person who leases or lends a place to shelter the illegal use of narcotics or commits any other act
for this purpose shall be subject to a fine of from twenty million to two hundred million VND or a
prison term of from two to seven years.
a/ Abusing his/her position and power;
c/ Causing harm to many people;
d/ Constituting dangerous recidivism.
Article 185k.- Illegal use of narcotics
1. A person who illegally uses narcotics in any form, has been many times reformed and
administratively punished by forcible admission to a medical establishment for compulsory treatment
but who continues to illegally use narcotics, shall be subject to a prison term of from three months to
two years.
2. A recidivist of this offense shall be subject to a prison term of from two to five years.
Article 185l.- Coercing or inducing other people to illegally use narcotics
1. A person who coerces or induces other people to illegally use narcotics shall be subject to a prison
term of from two to seven years.
c/ The offense is committed with a vicious motive;
d/ Doing harm to minors of from full thirteen years of age;
e/ Doing harm to a woman who, to his/her full knowledge, is pregnant;
f/ Doing harm to many people;
g/ Doing harm to a person who is giving up his/her addictive habit;
h/ The offense seriously damages the health of another person or forms a bad habit to another person;
i/ Transmitting a dangerous disease to another person;

j/ Constituting dangerous recidivism.
term of from fifteen to twenty years.
a/ Causing death;
b/ The offense seriously damages the health of many people or forms a bad habit to many people;
c/ Transmitting a dangerous disease to many people;
d/ The offense involves more than one factor described in Clause 2 of this Article;
e/ The offender forces or induces children under 13 years of age.
b/ Causing many deaths or other exceptionally serious consequences.
Article 185m.- Violating regulations on the management and use of addictive drugs or other narcotics
1. A person who is responsible for the production, import, export, purchase and sale, transport,
preservation, distribution, allocation or use of addictive drugs or other narcotics and violates regulations
on the management and use of such substances, shall be subject to a fine of from ten million and one
hundred million VND or a prison term of from two to seven years.
b/ For his/her own profits;
a/ The offense involves more than one factor described in Clause 2 of this Article

a/ The offense involves more than one factor described in Clause 3 of this Article
b/ Causing exceptionally serious consequences.
Article 185n.- Additional penalties
1. A person who commits the offense described in Article 185a may be subject to a fine of from five
million and fifty million VND.
A person who commits the offense described in Article 185l or Article 185m shall be subject to a fine of
from ten million to one hundred million VND.
A person who commits one of the offenses described in from Article 185b to Article 185j shall be
subject to a fine of from twenty million to five hundred million VND or confiscation of part or the
whole of his/her property.
2. A person who commits one of the offenses described in from Article 185b to Article 185h or in
Article 185m shall be forbidden to hold certain posts or do certain jobs or work for two to five years.
3. A person who commits the offense described in Article 185i shall be put on probation or forbidden to
reside in a certain locality or certain localities for one to five years."
Article 3.- To amend and supplement a number of articles of the Penal Code on the sexual offenses
against minors as follows:
1. To supplement the following Article 112a "Child rape"
"Article 112a.- Child rape
1. A person who commits a rape on child from full 13 years to under 16 years of age shall be subject to
a prison term of from seven to fifteen years.
a/ The offense is of an incestuous nature;
b/ Causing pregnancy to the victim;
c/ Seriously damaging the victims health;
d/ The victim is under the offenders tutorship, education or medical treatment;
e/ Constituting dangerous recidivism.
b/ More than one person commit rape on a person;
d/ Causing very serious damage to the victims health;
e/ Leading to the victims death or suicide.
4. All cases of sexual intercourse with children under full thirteen years of age shall constitute a rape
and the offender shall be subject to a prison term of twenty years, life imprisonment or capital
punishment."
2. To supplement the following Article 113a "Forcible sexual intercourse with minors":
"Article 113a.- Forcible sexual intercourse with minor
1. A person who commits a forcible sexual intercourse with a minor of from full sixteen years to under
eighteen years of age shall be subject to a prison term of from two to seven years.
term of from seven to thirteen years:
a/ Forcible sexual intercourse with a child from full thirteen years to under sixteen years of age;
b/ Of an incestuous nature;
c/ Causing pregnancy to the victim;
d/ Seriously damaging the victims health;
a/ More than one person commit a forcible sexual intercourse against another person;
c/ Seriously damaging the victims health;
a/ Leading to the victims death or suicide;
3. Article 114 on sexual intercourse with persons under sixteen years of age is amended and
supplemented as follows:
"Article 114.- Sexual intercourse with children
1. An adult who commits a sexual intercourse with a child of from full thirteen years to under sixteen
years of age shall be subject to a prison term of from one to five years.
b/ The offense is of an incestuous nature;
c/ Causing pregnancy to the victim;
d/ Seriously damaging the victims health;
3. A person who commits the offense involving more than one factor described in Clause 2 of this
Article shall be subject to a prison term of from ten to fifteen years."
4. Article 202 on harboring or procuring prostitutes is amended and supplemented as follows:
"Article 202.- Harboring or procuring prostitutes
1. A person who harbors, seduces or procures another person into practicing prostitution shall be subject
to a prison term of from one to seven years.
a/ Coercing another person into prostitution;
c/ Against a minor of from full sixteen years to under eighteen years of age;
d/ Causing serious consequences;
e/ Constituting dangerous recidivism;
a/ Against a minor of from full thirteen years to under sixteen years of age;
b/ The offense is committed in more than one circumstance described in Article 2 of this Article;

a/ The offense involves more than one factor described in Article 3 of this Article;
5. To supplement the following Article 202a "Buying sex of minors":
"Article 202a.- Buying sex of minors
1. A person who buys sex of a minor of from full sixteen to under eighteen years of age shall be subject
to a prison term of from one to five years.
b/ Causing serious consequences.
a/ Buying sex of a child from full thirteen to under sixteen years of age;
b/ The offense is committed in more than one circumstances specified in Article 2 of this Article;
c/ Causing very serious consequences."
6. To supplement the following Article 202b "Sexual harassment against children":
"Article 202b.- Sexual harassment against children
1. A person who sexually harasses a child shall be subject to a prison term of from six months to three
years.
term of from three to seven years:
b/ Committing the offense against more than one child;
c/ The offense is committed against a child under the offenders tutorship, education or medical
treatment;
d/ Causing serious consequences;
term of from seven and twelve years:

b/ Causing very serious consequences."
Article 4.- To amend and supplement a number of relevant articles and Clauses of the Penal Code as
follows:
1. Article 39 on aggravating circumstances is amended and supplemented as follows:
"Article 39.- Aggravating circumstances
1. Only the following circumstances are regarded as aggravating:
a/ To commit an offense in an organized manner; to instigate a minor to commit an offense;
b/ To take advantage of the situation of war, a natural disaster or other exceptionally difficult social
situations to commit an offense;
c/ To take advantage of a high position to commit an offense;
d/ To commit an offense when serving a penalty;
e/ To employ a cruel or perfidious move while committing an offense or a move likely to cause harm to
many people;
f/ To commit an offense against children, pregnant women, the elderly, or a person who is unable to
defend himself/herself or a person who is dependent on the offender in terms of material support, work
or other aspects;
g/ To commit an offense with a heinous motive; to intentionally consummate an offense;
h/ To commit an offense which causes serious consequences;
i/ To commit an offense more than once; recidivism and dangerous recidivism;
j/ After committing an offense, to take perfidious and violent acts in order to escape or conceal the
offense.
2. The circumstances which have been regarded as the elements constituting an offense or the bases for
determining the penalty shall not be considered as aggravating circumstances."
2. Article 100 on additional penalties is amended and supplemented as follows:
"Article 100.- Additional penalties
1. A Vietnamese citizen who commits one of the offenses in Section A shall be stripped of a number of
citizens rights for one to five years; and who commits one of the offenses in Section B may be stripped
of a number of citizens rights for one to five years.
2. A Vietnamese citizen who commits one of the offenses in Section A or one of the offenses specified
in Article 87, Article 88, in from Article 94 to Article 99, shall be subject to probation or be forbidden to
reside in a certain locality or certain localities for one to five years.
3. A person who commits one of the offenses described in Article 90 and Article 91 and for which the
main penalty is not a fine, may be subject to a fine according to the level already prescribed for each
offense.
A person who commits one of the offense described in Articles 88, 95, 96, 98 and 99 may be subject to
a fine of from three hundred thousand to three million VND; and who commits the offense described in
Article 97 shall be subject to a fine up to ten times the value of the illegal goods.
4. A person who commits one of the offenses in Section A shall be subject to confiscation of part or the
whole of his/her property; and who commits one of the offenses described in Article 88, in from Article
94 to Article 98, may be subject to confiscation of part or the whole of his/her property."
3. Article 112 on rape is amended and supplemented as follows:
"Article 112.- Rape
1. A person who uses violence or another move to have sexual intercourse with another person against
the latters will shall be subject to a prison term of from two to seven years.
A person who rapes a minor of from full sixteen years to under 18 years of age or a person under the
offenders tutorship, education or medical treatment shall be subject to a prison term of from five to ten
years.
b/ More than one person rape a person;
d/ The offense is of an incestuous nature;
e/ Causing pregnancy to the victim;
f/ Seriously damaging the victims health;
term of from fifteen to twenty years or life imprisonment:
a/ Causing very seriously damage to the victims health;
4. A person who commits the offense in one of the following cases shall be subject to life imprisonment
or capital punishment:
a/ Causing the victims death or suicide;
b/ The offense involves more than one factor described in Clause 3 of this Article;"
4. Article 113 on forcible sexual intercourse is amended and supplemented as follows:
"Article 113.- Forcible sexual intercourse
1. A person who employs every move to make a person who is dependent on him/her or a person who is
in a dire situation to reluctantly have sexual intercourse with him/her shall be subject to a prison term of
from six months to five years.
a/ More than one person commit a forcible sexual intercourse with another person;
c/ Being of an incestuous nature;
d/ Causing pregnancy to the victim;
e/ Seriously damaging the victims health;
f/ Constituting dangerous recidivism.
3. A person who commits the offense in one of the following cases shall be subject to a prison term of
from ten to eighteen years:
a/ Leading to the victims death or suicide;
1. A person who commits one of the offenses described in from Article 101 to Article 105 and in
Articles 107, 112, 112a, 113 and 113a, may be forbidden to hold certain posts, do certain jobs or work
for from two to five years.
2. A person who commits one of the offenses described in Article 101, 112a and 115 may be subject to
probation or forbidden to reside in a certain locality or certain localities for from one to five years."
6. Article 134 on appropriating socialist property by fraud is amended and supplemented as follows:
"Article 134.- Misappropriating socialist property by fraud
1. A person who, by employing a deceitful move, misappropriates socialist property shall be subject to a
prison term of from six months to five years.
term of from five and twelve years:
b/ The offense is of a professional character;
c/ Employing a perfidious and dangerous move;
d/ The misappropriated property is of great value;
e/ Misusing the name of an agency or organization;
f/ Causing serious consequences;
term of from twelve to eighteen years:
a/ The misappropriated property is of very great value;
term of from eighteen to twenty years, life imprisonment or capital punishment:
a/ The misappropriated property is of especially great value;
7. Article 137 on illegal use of socialist property is amended and supplemented as follows:
"Article 137.- Illegal use of socialist property
1. A person who, for his/her self-interest, illegally uses socialist property and causes serious
consequences or who has been administratively punished but commits the offense again, shall be subject
to a prison term of from three months to two years.
term of from two to five years:
b/ Causing serious consequences;

c/ Constituting dangerous recidivism.
a/ Causing exceptionally serious consequences;
1. A person who commits one of the offenses described in Article 133, Article 134a, Point d, Clause 2
of Article 135, Article 137a and Article 139, shall be forbidden to hold posts of managing socialist
property for from two to five years.
2. A person who commits one of the offenses described in from Article 129 to Article 132, in Article
134 and Article 135, shall, in case of dangerous recidivism, be subject to probation or forbidden to
reside in a certain locality or certain localities for from one to five years.
3. A person who commits one of the offenses described in this Chapter, except for those described in
Articles 136, 139 and 140, may, depending on the serious ness of the offense, be subject to a fine of up
to thirty million VND and confiscation of part or the whole of his/her property or either of these two
penalties."
1. A person who commits one of the offenses described in from Article 186 to Article 191 and from
Article 195 to Article 197, may be forbidden to hold certain posts, do certain jobs or work for two to
five years.
2. A person who commits one of the offenses described in from Article 199 to Article 202 may be
subject to probation or forbidden to reside in a certain locality or certain localities for one to five years.
3. A person who commits one of the offenses described in from Article 199 to Article 202, shall be
subject to a fine of from one and five million VND and may be subject to confiscation of part of his/her
property."
1. A person who commits one of the offenses described in this Chapter may be forbidden to hold certain
posts for two to five years.
2. A person who commits one of the offenses described in Articles 221, 221a and 224 may be subject to
a fine of from three to thirty million VND.

A person who commits one of the offenses described in Articles 226, 227, 228 and 228a shall be subject
to a fine from one and five times the value of the bribe or confiscation of part or the whole of his/her
property."
11. Article 246 on concealing an offense is amended and supplemented as follows:
"Article 246.- Concealing offenses
1. A person, without prior promise, conceals one of the offenses described in the following articles,
shall be subject to non-custodial reformation for up to two years or a prison term of from six months to
five years:
- From Article 72 to Article 85 on exceptionally dangerous offenses detrimental to national security;
Article 87 (hijacking aircraft and vessels); Article 94, Clause 2 (destroying facilities and installations
vital to national security); Article 95, Clauses 2 and 3 (illegally manufacturing, storing, using and
trafficking in or misappropriating weapons or military equipment); Article 96, Clauses 2 and 3 (illegally
manufacturing, storing, using, trafficking or misappropriating explosives, inflammables, toxics or
radioactive substances); Article 97, Clauses 2 and 3 (smuggling or illegally transporting goods and
currencies across the border); Article 98 (forging currencies, storing or circulating forged currencies,
destroying currencies);
- Article 101 (murder); Article 112, Clauses 2,3 and 4 (rape); Article 112a (rape on children); Article
113a (forcible sexual intercourse with minors); Article 115, Clause 2 (trading in women);
- Article 129 (robbery of socialist property); Article 132, Clauses 2 and 3 (theft of socialist property);
Article 133, Clauses 2, 3 and 4 (embezzlement of socialist property); Article 134a, Clauses 2, 3 and 4
(abusing ones position and power to misappropriate socialist property by fraud); Article 137a, Clauses
2 and 3 (abusing ones position and power to illegally use socialist property); Article 138, Clauses 2 and
3 (destroying or intentionally causing damage to socialist property);
- Article 149, Clause 2 (kidnapping, trading in or fraudulently exchanging children);
- Article 151 (robbery of citizens property); Article 152 (kidnapping with the intent to misappropriate
citizens property); Article 156, Clauses 2, 3 and 4 (abusing ones position and power to misappropriate
property of citizens);
- Article 165, Clauses 2 and 3 (speculation); Article 166, Clauses 2 and 3 (trading in banned goods);
Article 167, Clauses 2 and 3 (manufacturing counterfeit products or trading in counterfeit products);
Article 172, Clauses 2 and 3 (misappropriating stamps and coupons, forging and circulating forged
stamps and coupon and other papers used in distribution); Article 174, Clauses 2 and 3 (intentionally
contravening State regulations on economic management and causing serious consequences); Article
175, Clauses 2, 3 and 4 (establishing illegal funds);
- Article 185a, Clause 2 (growing opium poppy or other plants containing narcotics); Article 185b
(illegally manufacturing narcotics); Article 185c (illegally storing narcotics); Article 185d (illegally
transporting narcotics); Article 185e (Illegally buying and selling narcotics); Article 185f
(misappropriating narcotics); Article 185g (storing, transporting, buying, selling or misappropriating
raw materials for illegal manufacture of narcotics); Article 185h, Clause 2 (storing, transporting, buying
or selling equipment and implements for illegal manufacture or use of narcotics); Article 185i
(organizing the illegal use of narcotics); Article 185j (harboring the illegal use of narcotics); Article 185
l (forcing or inducing other persons to illegally use narcotics); Article 185m (violating regulations on
management and use of addictive drugs or other narcotics);

- Article 202a, Clauses 2, 3 and 4 (buying sex of minors); Article 202b, Clauses 2, 3 and 4 (sexual
harassment against children);
- Article 221, Clauses 2, 3 and 4 (abusing ones position and power while performing an official duty);
Article 221a, Clauses 2, 3 and 4 (abusing ones power while performing an official duty); Article 224,
Clauses 2, 3 and 4 (falsifying documents); Article 226, Clauses 2, 3 and 4 (accepting bribes); Article
227, Clauses 2, 3 and 4 (giving bribes, acting as intermediary for bribery); Article 228a, Clauses 2, 3
and 4 (abusing ones position and power to influence other persons for ones own profits);
- Article 245, Clause 2 (escaping from a place of detention).
2. A person who commits an offense by abusing his/her position and power to obstruct the discovery of
an offense or commits other acts of covering up an offender, shall be subject to a prison term of from
five to ten years."
12. Article 247 on failing to denounce offenses is amended and supplemented as follows:
"Article 247.- Failing to denounce offenses
1. A person who is in full knowledge of one of the offenses described in the following articles, which is
being prepared or has been committed, but fails to denounce it, shall be subject to warning, noncustodial reformation for up to one year or a prison term of from three months and three years:
- From Article 72 to Article 85 on exceptionally dangerous offenses detrimental to national security;
Article 87 (hijacking aircraft and vessels); Article 94, Clause 2 (destroying facilities and installations
vital to national security); Article 95, Clauses 2 and 3 (illegally manufacturing, storing, using and
trafficking in or misappropriating weapons or military equipment); Article 96, Clauses 2 and 3 (illegally
manufacturing, storing, using, trafficking in or misappropriating explosives, inflammables, toxic or
radioactive substances); Article 98 (forging currencies, storing or circulating forged currencies,
destroying currencies);
- Article 101 (murder); Article 112, Clauses 2,3 and 4 (rape); Article 112a (rape on children); Article
113a (Forcible sexual intercourse with minors);
- Article 129 (robbery of socialist property); Article 132, Clauses 2 and 3 (theft of socialist property);
Article 133, Clauses 2, 3 and 4 (embezzlement of socialist property); Article 134a, Clauses 2, 3 and 4
(abusing ones position and power to misappropriate socialist property by fraud); Article 137a, Clauses
2 and 3 (abusing ones position and power to illegally use socialist property); Article 138, Clauses 2 and
3 (intentionally destroying or damaging socialist property);
- Article 151 (robbery of citizens property); Article 152 (kidnapping with the intent to misappropriate
citizens property); Article 156, Clauses 2, 3 and 4 (abusing ones position and power to misappropriate
property of citizens);
- Article 165, Clauses 2 and 3 (speculation); Article 172, Clauses 2 and 3 (misappropriating stamps and
coupons, forging and circulating forged stamps and coupons or papers used in distribution); Article 174,
Clauses 2 and 3 (intentionally contravening State regulations on economic management and causing
serious consequences); Article 175, Clauses 2, 3 and 4 (establishing illegal funds);
- Article 185a, Clause 2 (growing opium poppy or other plants containing narcotics); Article 185b
(illegally manufacturing narcotics); Article 185c (illegally storing narcotics); Article 185d (illegally
transporting narcotics); Article 185e (illegally buying and selling narcotics); Article 185f
(misappropriating narcotics); Article 185g (storing, transporting, trafficking in or misappropriating raw
materials for illegal manufacture of narcotics); Article 185h, Clause 2 (storing, transporting or
trafficking in equipment and implements for illegal manufacture or use of narcotics); Article 185i
(organizing the illegal use of narcotics); Article 185j (harboring the illegal use of narcotics); Article
185l (forcing or inducing other persons to illegally use narcotics); Article 185m (violating regulations
on the management and use of addictive drugs or other narcotics);
- Article 202a, Clauses 2, 3 and 4 (buying sex of minors); Article 202b, Clauses 2, 3 and 4 (sexual
harassment against children);
- Article 221, Clauses 2, 3 and 4 (abusing ones position and power while performing an official duty);
Article 221a, Clauses 2, 3 and 4 (abusing ones power while performing an official duty); Article 224,
Clauses 2, 3 and 4 (falsifying documents); Article 226, Clauses 2, 3 and 4 (accepting bribes); Article
227, Clauses 2, 3 and 4 (giving bribes, acting as intermediary for bribery); Article 228a, Clauses 2, 3
and 4 (abusing ones position and power to influence other persons for ones own profits);
- Article 245, Clause 2 (escaping from a place of detention).
2. A person who fails to denounce an offense but takes an act to dissuade the offender or restrict the bad
affect of the offense may be exempt from penal liability or a penalty."
Article 5.- To replace the following articles in the "Part on Offenses" of the Penal Code:
1. Article 96a (illegal manufacturing, storing, buying, selling or transporting narcotics) are replaced with
Article 185b to Article 185e.
2. Article 203 (organizing the illegal use of narcotics) is replaced with Article 185i.
3. The group of words "Article 96a" in Clause 1, Article 168 (illegal trading) and in Clause 2, Article
169 (tax evasion) is replaced with the group of words "185b, 185c, 185d and 185e".
This Law was adopted on May 10, 1997 by the IXth National Assembly of the Socialist Republic of
Vietnam at its 11th session.
Chairman of the National Assembly
NONG DUC MANH
LAW ON VALUE ADDED TAX

In order to boost production, to expand the circulation of goods and services, to promote the
development of the national economy and to mobilize part of consumers income for the State Budget;
Pursuant to the 1992 Constitution of the Socialist Republic of Vietnam;
This Law defines the value added tax.
Chapter I
GENERAL PROVISIONS
Article 1.- Value added tax
Value added tax is the tax imposed on the added value of goods or services in the process of their
production, circulation and consumption.
Article 2.- Tax liability
Goods and services used for production, business and consumption in Vietnam shall be subject to the
value added tax, except for those subjects defined in Article 4 of this Law.
Article 3.- Tax payers
An organization or an individual that produces and trades in taxable goods and services (commonly
referred to as "business establishments") and any organizations and individuals that import taxable
goods (commonly referred to as "importers") are liable to value added tax.
Article 4.- Subjects not liable to the value added tax
The following goods and services shall not be subject to value added tax:
1. Agricultural, husbandry and aquaculture products that are not yet processed into other products or are
only primarily processed by organizations or individuals.
2. Salt products;
3. Goods and services that are subject to special consumption tax shall be exempt from the value added
tax;
4. Equipment, machinery, specialized transport means which are not manufactured in the country but
imported by business establishments to be used as fixed assets of their investment projects;
5. Transfer of land use right, which is subject to the transfer of land use right tax;
6. State-owned houses sold to their present tenants;
7. Credit services, investment funds;
8. Life insurance; school insurance; insurance on domestic animals and plants; and other kinds of
insurance of non-business character;
9. Health care services;
10. Non-profit cultural, exhibition and sports activities; art performances; making, distribution and
showing of motion pictures and video documentaries;
11. Educational and vocational training;
12. Radio and television broadcast under programs financed by the State Budget;
13. Printing, publishing and distributing of newspapers, magazines, professional news bulletins,
political books, text books, books on legal documents, books in ethnic minority languages, money;
propaganda postcards, pictures, posters;
14. Public services: sanitation and water drainage in streets and residential quarters, maintenance of
zoos, gardens, parks, street greenery, public lighting; funeral services;
15. Maintenance, renovation and construction of cultural, art and public works, infrastructures and
"houses of gratitude" financed by contributions of people and humanitarian aid;
16. Mass transit by bus;
17. Geological surveys and exploration, measuring and mapping which are included in the national
basic surveys;
18. Irrigation and drainage in service of agricultural production; clean water exploited by organizations
and individuals for daily life in rural and mountainous regions, islands, deep-lying and remote areas;
19. Weapons and ammunition for special use in service of national defense and security;
20. Goods imported in the following cases: humanitarian aid; non-refundable aid, gifts for State
agencies, political organizations, socio-political organizations, social organizations, socio-professional
organizations, peoples armed forces units; belongings of foreign organizations and individuals under
diplomatic immunity regulations; duty free luggage;
21. Goods on transfer across the border, in transit or transported via Vietnam; goods temporarily
imported for re-export; goods temporarily exported for re-import;
22. Goods and services directly supplied for international transportation and consumers outside
Vietnam;
23. Transfer of technology;
24. Gold imported in form of ingots or pieces not yet processed into fine art items, jewelleries or other
products;
25. Several export products which are unprocessed minerals and shall be specified by the Government;
26. Goods and services of business and production households with low incomes as determined by the
Government.
Goods and services that are not subject to value added tax as provided for in this Article shall not be
entitled to deductions and rebates on the input value added tax .
Article 5.- Obligations and responsibility to implement the Law on Value Added Tax
1. Business establishments and importers shall be obliged to pay the full amount of tax on time as
prescribed by this Law.
2. Tax authorities, within their duties and capacity, shall have to strictly observe the provisions of this
Law.
3. State bodies, political organizations, socio-political organizations, social organizations, socioprofessional organizations, and peoples armed forces units shall, within their functions, duties and
capacity supervise and co-ordinate with tax authorities in enforcing the Law on Value Added Tax.
4. Vietnamese citizens shall have to assist tax authorities and tax officials in enforcing this Law.
Chapter II
BASIS AND METHOD OF TAX CALCULATION
Article 6.- Basis of tax calculation
The bases for the calculation of value added tax shall be the taxable price and tax rate.
Article 7.- Taxable price
The price for the value added tax calculation is provided for as follows:
1. For goods and services, it shall be the selling price without value added tax.
2. For import goods, it shall be the import price at the border gate plus (+) import tax.
3. For goods and services used for purposes of exchange, internal use, gifts, donations, it shall be the
price for value added tax calculation applied to goods and services of similar or same types at the time
such activities occur.
4. For property leasing activities, it shall be the rental collected in each period of time.
5. For goods sold in the mode of deferred payment, it shall be the selling price paid in a lump sum but
not the amount of money paid in each installment.
6. For the processing of goods, it shall be the processing price.
7. For other goods and services, it shall be decided by the Government.
The price for the calculation of value added tax on goods and services defined in this Article shall
include the surtax and surcharge enjoyed by business establishments.
Where a tax payer has his/her sale and purchase turnover in foreign currency(ies), he/she must convert
such foreign currency(ies) to the Vietnamese Dong at the official rate of exchange announced by the
State Bank of Vietnam at the time such turnovers occur to determine the tax calculation price.
Article 8.- Tax rate
Value added tax rates are as follows:
1. 0% for export goods;
2. 5% for the following goods and services:
a/ Clean water in service of production and daily life;

b/ Fertilizer, ore used for the production of fertilizer; insecticide; growth stimulants for domestic
animals and plants;
c/ Medical equipment and instruments; medical bandage and cotton;
d/ Curative and preventive medicines;
e/ Teaching and learning aids;
f/ Children toys; scientific-technical books, literary and stipulated books, books for children, law books
excluding legal document books stipulated in Clause 13, Article 4 of this Law;
g/ Agricultural, husbandry and aquaculture products that have not yet been processed, including animal
and plant breeds, seeds excluding those defined in Clause 1 Article 4 of this Law.
h/ Unprocessed forest products (excluding timber and bamboo shoots) fresh and raw foodstuffs;
i/ Products made of jute, reed, bamboo, sedge;
j/ Primarily processed home-grown cotton;
k/ Feeds for cattle, poultry and other domestic animals;
l/ Scientific and technical services;
m/ Services in direct service of agricultural production.
3. 10% tax for the following goods and services:
a/ Oil, gas, coal, ore and other mineral products;
b/ Commercial electricity;
c/ Electronic and engineering products, electric items;
d/ Chemicals, cosmetics;
e/ Yarn, fabrics, garments and embroideries;
f/ Paper and paper products;
g/ Sugar, milk, confectionery, drinks and other processed foodstuff .
h/ Pottery, ceramic, glass, rubber and plastic products, wood and wood products; cement, bricks, tiles
and other construction materials;
i/ Construction and installation;
j/ Transportation and loading;

k/ Post, mail and telecommunications services;
l/ Leasing houses, stores, ports, buildings, machinery, equipment and transportation means;
m/ Legal consultancy services;
n/ Photographing, printing and developing films, cassette tape recording, dubbing and renting; video
shooting, projecting and reproducing;
o/ Hair dressing, tailoring, dyeing, laundering, bleaching;
p/ Other goods and services that are not defined in clauses 1, 2 and 4 of this Article, excluding goods the
production or import of which are liable to special consumption tax.
4. A tax rate of 20% on the following goods and services:
a/ Gold, silver and gems sold and bought by business establishments;;
b/ Hotels, tourism, catering services;
c/ Lottery of all kinds;
d/ Shipping agents;
e/ Brokerage services.
Where necessary, the Standing Committee of the National Assembly may make amendments or
supplements to the list of goods and services according to various tax rates prescribed in this Article and
submit them to the National Assembly for approval in its nearest session.
Article 9.- Tax calculation method
The payable value added tax shall be calculated either by the method of tax deduction or the method of
direct calculation on the added value.
1. The method of tax deduction:
The tax amount payable is equal (=) to the output value-added tax minus (-) the input value added tax.
An output value added tax amount is equal to the tax-calculating price of goods and services to be sold
or provided multiplied by the tax rate.
An input value added tax amount is equal to the total paid value added tax written on the invoice of
added value of a goods purchase or service provision or a voucher of paid value added tax on import
goods.
2. The method of direct calculation on the added value
The tax amount payable is equal (=) to the added value of goods, services multiplied by (x) the value
added tax rate.

The added value is equal (=) to the payment price of goods sold and services provided minus (-) the
payment price of equivalent goods and services purchased.
The method of direct calculation on added value shall be applied only to the following subjects:
a/ Individuals producing goods and doing business, foreign organizations and individuals doing business
in Vietnam that are not governed by the Law on Foreign Investment in Vietnam and that fail to fully
implement regulations on accounting, invoices, vouchers to serve as bases for tax calculation by the
method of tax deduction;
b/ Business establishments selling and purchasing gold, silver and gem stones.
Article 10.- Deduction of input value added tax
1. A business establishment that pays value added tax by the method of tax deduction shall be entitled to
the deduction of input value added tax (called "input tax") as follows:
a/ Input tax imposed on goods and services used for the production and trading of goods and services
liable to value added tax shall be fully deducted.
b/ Input tax imposed on goods and services which are used for the production and trading of goods and
services liable to value added tax and which are not subject to value added tax shall be deducted only
from the input tax imposed on goods and services used for the production and trading of goods and
services liable to value added tax.
c/ Any input tax incurred in a month shall be declared and deducted upon the calculation of payable tax
amount of such month.
In particular, with respect to fixed assets, if the amount of input tax deduction is large, it shall be
deducted gradually or the tax shall be returned in accordance with the regulations of the Government.
d/ In cases where a production and/or processing establishment purchases unprocessed agricultural,
forest or aquatic products without added value invoice, the input tax shall be deducted at a rate of 1% to
5% on the price of agricultural, forestry and aquatic products bought. Specific deduction rates for each
kind of goods shall be determined by the Government.
The tax deduction provided for in this Article shall not be apply to exports.
e/ For a number of other exceptional cases, the input tax deduction shall be determined by the
Government.
2. The following bases shall be used to determine the input tax amount to be deducted:
a/ The amount of value added tax written on the added value invoice for the purchase of goods or
services or the voucher of the payment of the value added tax. For goods or services bought without
added value invoices or with invoices that fail to state the added value amount tax deductions must not
be made.
b/ The invoice shall comply with the form set by the tax authority for the types of goods defined at Point
d, Clause 1 of this Article.

Article 11.- Invoices, vouchers
1. Any purchases and sales of goods and services must have invoices and vouchers as prescribed by law.
2. Business establishments paying tax by the method of tax deduction shall have to use the added value
invoice where all prescribed items including sale price, surcharges, surtax, value added tax amounts,
payment price must be fully and accurately stated.
Where the invoice fails to state the value added tax amount, such value added tax shall be determined by
the invoiced payment price multiplied by (x) the value added tax rate.
3. With respect to the stamps and tickets that are considered payment vouchers with the prices for
payment being already printed therein, such payment prices are considered having already included the
value added tax.
Chapter III
REGISTRATION, DECLARATION, PAYMENT AND SETTLEMENT OF TAX
Article 12.- Tax payment registration
1. All business establishments including their member units shall have to register their value added tax
payment at the tax authorities that directly manage them according to the latters guidances. For newly
set up business establishments, the time-limit for registration of value added tax payment shall not be
more than 10 days from the date they are granted business registration certificates. In case of a merger,
consolidation, splitting, division, dissolution, bankruptcy or change in business line, a business
establishment shall have to make declaration with the tax authority within 5 in advance.
2. If the business establishments that pay tax by the method of direct calculation on added value fully
comply with all regulations on vouchers, invoices, books of account and voluntarily apply for tax
payment by the method of tax deduction, the tax authority shall consider and decide the implementation.
Article 13.- Tax declaration
1. A business establishment shall have to make monthly declaration of value added tax and submit such
declaration to the tax authority within the first ten days of the following month. Where input tax and
output tax do not incur, the business establishment still have to make and submit the tax declaration to
the tax authority. Business establishments must fully complete the declaration form and be responsible
for the accuracy of their declaration.
2. Business establishments and goods importers shall have to make and submit a declaration of value
added tax upon each importation, together with a declaration of import tax to the tax authority at the
border gate where the goods are imported.
3. Business establishments engaged in consignment trade must declare and pay tax for each
consignment of goods to the tax authority of the locality where they purchase goods before transporting
such goods.
4. A business establishment that trades different kinds of goods and services with different value added
tax rates, shall have to declare the value added tax according to the tax rate set for each kind of goods
and service; if a business establishment fails to determine payable tax amount according to each tax rate,
it shall have to calculate and pay tax at the highest rate imposed on goods and services of such business
establishments.
The Ministry of Finance shall issue the tax declaration form and provide guidance on the declaration.
Article 14.- Tax payment
Value added tax shall be paid to the State budget in accordance with the following regulations:
1. Business establishments shall have to pay fully and on time the value added tax into the State budget
under the tax payment notice issued by the tax authority.
The deadline for tax payment for a month as stated in the notice shall not be later than the 25th day of
the following month;
2. Business establishments and importers shall have to pay the value added tax upon each importation;
The deadlines for issuing notice and payment of value added tax on import goods shall be the deadlines
for the import tax notice and payment;
3. During a taxation period if a business establishment that pays the value added tax by the method of
tax deduction has the input tax amount larger than the output tax, it shall be entitled to tax deduction for
the following taxation period.
Where a business establishment makes new investment on fixed assets and has large amount of
deducted input tax, Point c, Clause 1, Article 10 of this Law shall apply.
4. Value added tax shall be paid into the State budget in Vietnamese Dong.
Article 15.- Tax settlement
Business establishments shall have to make the annual tax settlement with the tax authority. A tax
settlement year shall be the solar calendar year. Within 60 days from the end of a year, a business
establishment shall have to submit a report on tax settlement to the tax authority and pay the outstanding
tax amount to the State budget within 10 days from the date of submitting the report; in case of
overpayment, such amount of overpayment shall be minused from the tax amount payable for the
following period.
In case of a merger, amalgation, division, splitting up, dissolution or bankruptcy, a business
establishment shall have to make the tax settlement and submit the report thereon to the tax authority
within 45 days from the date of the issue of the decision on merger, amalgation, division, splitting up,
dissolution or bankruptcy.
Article 16.- Tax reimbursement
The value added tax shall be reimbursed in the following cases:
1. A business establishment that is subject to the tax payment by the method of tax deduction shall be
considered for quarterly tax reimbursement if its deducted input tax amount of the quarter is larger than
the output tax or the input tax on its fixed assets is reimbursed according to Point c, Clause 1, Article 10
of this Law;
2. There is an overpaid tax amount in the tax settlement upon a merger, amalgamation, division,
splitting, dissolution or bankruptcy
3. Decision on tax reimbursement, issued by the competent authority as prescribed by law.
The Ministry of Finance shall provide for in details procedures and powers to settle the tax
reimbursement prescribed in this Article.
Article 17.- Duties, power and responsibilities of tax authorities
A tax authority shall have the following duties:
1. To guide business establishments that have business registration in observing the regulations on tax
registration, declaration and payment as prescribed by this Law.
2. To send business establishments notices on payable tax amount and the deadline for such payment in
conformity with the regulations; to issue another notice on the payable tax amount and fine for deferred
payment under Clause 2 Article 19 of this Law if past the deadline stated in the first notice a business
establishment still fails to pay tax; if a business establishment still fail to fully pay tax and fine for
deferred payment stated in the second notice, handling measures provided for in Clause 4 Article 19 of
this Law shall be applied to guarantee full collection of tax and fine; if a business establishment still
fails to pay full amount of tax and fine even after the handling measures have been taken, the dossier
shall be submitted to the competent State body for handling in accordance with law;
3. To examine and inspect the tax declaration, payment and settlement by business establishments to
ensure compliance with law.
4. To deal with administrative violations of tax and settle complaints and protests about tax;
5. To request taxpayers to provide books of accounts, invoices, vouchers, and other documents relating
to the calculation and payment of tax; to request concerned credit institutions, banks, organizations and
individuals to provide documents relating to the calculation and payment of tax;
6. To keep and use data, materials provided by business establishments and other subjects in accordance
with regulations.
Article 18.- Right to set tax
1. Tax authorities shall set the payable value added tax amount for a taxpayer in the following cases:
(a) Failure to implement or having implemented improperly the regulations on accounting, invoices and
vouchers;
(b) Failure to declare tax or to submit the tax declaration within the time-limit stated in the notice; or
having submitted the tax declaration but falsely declared the basis for determining the amount of value
added tax;
(c) Refusing to produce books of accounts, invoices, vouchers and necessary documents relating to the
calculation of value added tax;
(d) Found out to conduct business without business registration.
2. The tax authorities shall set the payable tax amount, based on their studies of business operations of
specific business establishments or on the payable tax amounts of other business establishments with
similar business lines and scale.
Where a business establishment disagrees with the set payable tax amount, it shall be entitled to lodge
complaints directly to a senior tax authority; pending a resolution, such business establishment is still
obliged to pay the set amount of tax.
Chapter IV
HANDLING VIOLATIONS; REWARD
Article 19.- Handling tax violations by tax payers
A tax payer who violates the Law on Value Added Tax shall be dealt with as follows:
1. A tax payer who fails to comply with the regulations on tax registration, declaration, payment and
settlement, on the regime of accounting and vouchers and invoices as provided for in Articles 11, 12,
13, 14 and 15 of this Law shall, depending on the seriousness of their violations, be administratively
sanctioned for tax violations.
2. A tax payer who fails to pay tax or fine on time as prescribed or as prescribed by a decision on tax
settlement shall, in addition to the full payment of such amounts of tax and fine, be subject to a fine
equal to 0.1% (zero Point one percent) of the deferred payment each day.
3. A tax payer who makes a false tax declaration or evades tax shall, in addition to the full payment of
value added tax prescribed by this Law, be subject to a fine equal to one to five times of the fraudulent
tax amount, depending on the nature and seriousness of the violation; A tax payer evades a large amount
of tax or repeats a tax violation for which he/she/it was administratively sanctioned, or commits another
serious violation, shall be examined for penal liability as prescribed by law;
4. A tax payer who fails to pay tax or fine under the notice or decision on tax settlement shall be dealt
with as follows:
a/ An amount of money shall be deducted from the tax payers deposit account at the bank, treasury,
credit institution to pay such tax and fine;
The bank, treasury or credit institution shall have to deduct a sum of money from the tax payers deposit
account for payment of tax and fine into the State budget under the tax settlement decision of the tax
authority or the competent authority prior to debt collection.
b/ To seize goods, material evidences to guarantee the full collection of tax and fine;
c/ To inventorize the properties according to the provisions of law so as to secure full collection of
outstanding tax and fine.
Article 20.- Tax authorities competence to handle tax violations
1. The head of the tax authority that directly manage the tax collection shall be entitled to handle
violations committed by tax payers defined in Clauses 1, 2 and 3, Article 19 of this Law.
2. The head of the Tax Department or sub-department that directly manages the tax collection shall be
entitled to apply measures prescribed in Clause 4, Article 19 of this Law, and forward dossiers to the
competent body for handling in accordance with the provisions of law with regard to the violations
described in Clause 3, Article 19 of this Law.
Article 21.- Handling violations committed by tax officials and other individuals
A tax official or individual who abuses his/her position and power to misuse, misappropriate tax
payments or fines shall have to return to the State the whole tax payments or fines he/she has misused or
misappropriated and shall, depending on the seriousness and nature of his/her breach, be disciplined or
examined for penal liability as prescribed by law.
2. A tax official or individual who, due to irresponsibility or mishandling, causes damage to taxpayers
shall have to make compensation in accordance with the provisions of law and depending on the
seriousness and nature of his/her breach, be disciplined or examined for penal liability as prescribed by
law.
3. A tax official or individual who abuses his/her position and power to act in complicity with or cover
up the violators of the Law on Value Added Tax or commits other acts of violating the provisions of this
Law, shall, depending on the nature and seriousness of his/her breach, be disciplined or examined for
penal liability as prescribed by law.
4. Those who hinder or incite other people to hinder the enforcement of the Law on Value Added Tax
shall, depending on the nature and seriousness of his/her violation, be subject to administrative
sanctions or examination for penal liability as prescribed by law.
Article 22.- Reward
Any tax authorities or tax official that well perform their assigned tasks; any organizations or
individuals that record achievements in implementing the Law on Value Added Tax; and any tax payers
who fulfil their tax obligations shall be rewarded.
The Government shall provide for details of the reward.
Chapter V
COMPLAINTS AND THE STATUTE OF LIMITATIONS
Article 23.- Rights and responsibilities of taxpayers in making complaints about tax
1. Tax payers shall have the right to complain about improper enforcement of the Law on Value Added
Tax by tax officials and tax authorities.
Complaints shall be lodged to the tax authority that directly manages the tax collection within 30 days
from the date of receipt of notice or handling decision of tax officials or tax authorities.
Pending a resolution, a tax payer shall still have to comply with the notice or the handling decision of
the tax authority.
2. In cases where a complainant disagrees with a decision of the agency in charge of handling
complaints, or the complaint is not settled within the time limit set out in Article 24 of this Law, he/she
shall be entitled to lodge a complaint to the immediate higher tax authority or initiate a lawsuit in
accordance with the provisions of law.

Article 24.- Rights and responsibilities of the tax authority handling tax complaints
1. Within 15 days from the date of receipt of a tax complaint, the tax authority shall have to consider
and settle such complaint; for complicated cases, such time limit may be extended but not exceeding 30
days; if the case is not within its jurisdiction, the tax authority shall have to forward the dossiers or send
a report to a competent body for settlement and inform the complainant thereof within 10 days from the
date of receipt of the complaint.
2. The tax authority that receives complaints shall have the right to request complainants to provide
dossiers and documents relating to their complaints; if the complainants refuse to do so, the tax
authority shall be entitled to decline the consideration and settlement of such complaints.
3. The tax authority shall have to return to tax payers the amounts of tax or fines improperly collected
within 15 days from the date of receipt of a decision from the superior tax authority or the competent
agency as provided for by law.
4. Upon the discovery of and the conclusion on a false tax declaration, tax evasion or errors, the tax
authority shall have to collect the tax or fine arrears or reimburse tax payment dating back 5 years from
the date of discovery of false tax declaration, tax evasion, tax errors. In cases where a business
establishment fails to register, declare and pay tax, the duration for collection of tax shortfall or fines
shall be dated back to the date the business establishment commenced its operation.
5. The head of a superior tax authority shall have to handle tax complaints lodged by tax payers against
the subordinate tax authorities.
The Minister of Finances decisions on the settlement of tax complaints shall be final.
Chapter VI
ORGANIZATION OF IMPLEMENTATION
Article 25.- The Government shall direct the organization of the implementation of the Law on Value
Added Tax throughout the country.
Article 26.- The Minister of Finance shall have to organize and inspect the implementation of the Law
on Value Added Tax throughout the country.
Article 27.- The Peoples Committees of all levels shall, within their respective duties and power, direct
the implementation and inspect the observance of the Law on Value Added Tax in their localities.
Chapter VII
IMPLEMENTATION PROVISIONS
Article 28.- The Law on Value Added Tax shall come into effect from 1 January 1999.
The Law on Turnover Tax, the Law Amending and Supplementing a Number of Articles of the Law on
Turnover Tax and regulations on turnover tax in other legal documents shall be repealed as from the
effective date of the Law on Value Added Tax.
All remaining issues relating to tax, tax settlement, tax exemption and reduction and the settlement of
breaches of the Law on Turnover Tax prior to 1 January 1999 shall be dealt with in accordance with
relevant regulations of the Law on Turnover Tax, the Law Amending and Supplementing a Number of
Articles to the Law on Turnover Tax and regulations on turnover tax in other legal documents.
For production, construction and transportation establishments which, during the first years of
application of the Law on Value Added Tax, suffer from losses due to the fact that the amount of
payable value added tax is larger than the tax amount they previously paid according to the turnover tax,
they shall be considered and entitled to reduction of payable value added tax amount. The value added
tax amount to be reduced shall be equal to the losses they have suffered due to this reason but shall not
exceed 50% of the payable tax amount. The duration of tax reduction shall be considered annually and
calculated according to the solar year but shall not exceed 3 years from the effective date of the Law on
Value Added Tax.
The Government shall provide for detail of the reduction of value added tax in accordance with the
provisions of this Article.
Article 29.- In cases where an international treaty which the Socialist Republic of Vietnam has signed or
acceded to contains provisions different from those of this Law, the value added tax shall be applied in
accordance with the provisions of such treaty.
Article 30.- The Government shall detail the implementation of this Law.
This Law was adopted by the XIth National Assembly of the Socialist Republic of Vietnam at its
11th session, on 10 May 1997.
Chairman of the National Assembly
NONG DUC MANH

Vietnan Amendments and Supplements To Penal Code - 1997

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ON AMENDMENTS AND SUPPLEMENTS TO A

NUMBER OF ARTICLES OF THE PENAL CODE

SOCIALIST REPUBLIC OF VIET NAM

LAW ON AMENDMENTS AND SUPPLEMENTS TO A NUMBER OF ARTICLES OF THE PENAL

d/ Causing very serious consequences.

b/ Employing a perfidious and dangerous move;

term of from ten to fifteen years:

c/ Causing exceptionally serious consequences.

c/ Causing exceptionally serious consequences."

term of fifteen to twenty years:

d/ Misusing the name of an agency or organization;

imprisonment or capital punishment.

imprisonment or capital punishment:

term of from one to six years.

Article 185j.- Harboring the illegal use of narcotics

i/ Transmitting a dangerous disease to another person;

term of twenty years or life imprisonment:

term of twenty years or life imprisonment:

term of from seven and twelve years:

b/ Causing serious consequences;

a fine of from three to thirty million VND.

management and use of addictive drugs or other narcotics);

LAW ON VALUE ADDED TAX

a/ Clean water in service of production and daily life;

j/ Transportation and loading;

added tax rate.

d, Clause 1 of this Article.

accordance with the provisions of law.

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