THE MINISTRY OF FINANCE
Circular No. 54/2018/TT-BTC dated June 8, 2018 of the Ministry of Finance on providing the guidance on formulation of the state budget projection for the year 2019 and the three-year financial - state budget planning for the 2019 - 2021 period
Pursuant to the Law on State Budget dated June 25, 2015;
Pursuant to the Government's Decree No. 163/2016/ND-CP dated December 21, 2016 specifying and guiding the implementation of the Law on State Budget;
Pursuant to the Government's Decree No. 45/2017/ND-CP dated April 21, 2017 elaborating on the five-year financial planning and the state budget’s three-year financial planning;
Pursuant to the Government's Decree No. 31/2017/ND-CP dated March 23, 2017 adopting Regulations on preparation, evaluation and approval of the local government’s five-year financial plan, the local government’s five-year midterm public investment plan, the state budget’s three-year financial plan of the local government, and estimation and allocation of the local government budget, and approval of the annual financial statement of the local government;
Pursuant to the Government's Decree No. 87/2017/ND-CP dated July 26, 2017, defining the functions, tasks, powers and organizational structure of the Ministry of Finance;
Pursuant to the Prime Minister's Directive No. 13/CT-TTg dated May 24, 2018 on formulation of the socio-economic development plan and the 2019 state budget;
Upon the request of the Director of the State Budget Department;
The Minister of Finance hereby issues the Circular providing guidance on formulation of the state budget projection for the year 2019 and the three-year financial – state budget planning for the 2019 – 2021 period.
REVIEW OF IMPLEMENTATION OF THE STATE BUDGET’S ASSIGNMENTS IN 2018 AND DURING THE 2016 – 2018 PERIOD
Article 1. Bases for review of implementation of the state budget’s assignments in 2018 and during the 2016 – 2018 period
1. The Resolution No. 07-NQ/TW dated November 18, 2019 of the Politburo on restructuring of the state budget and management of public debts with the aim of ensuring prudent and sustainable development of the national financial system (hereinafter referred to as Resolution No. 07-NQ/TW); the National Assembly’s resolutions, such as Resolution No. 142/2016/QH13 on the 2016 – 2020 period’s five-year socio-economic development plan (hereinafter referred to as Resolution No. 142/2016/QH13); Resolution No. 25/2016/QH14 dated November 9, 2016 on the 2016 – 2020 period’s national five-year financial plan (hereinafter referred to as Resolution No. 25/2016/QH14); Resolution No. 26/2016/QH14 dated November 10, 2016 on the 2016 – 2020 period’s midterm public investment plan (hereinafter referred to as Resolution No. 26/2016/QH14), Resolution No. 49/2017/QH14 dated November 13, 2017 on the 2018 state budget estimate and Resolution No. 50/2017/QH14 dated November 14, 2017 on the 2018 central budget allocation, and Resolutions of all-level People’s Councils on the 2016 – 2020 period's five-year financial plan of the local government, the 2016 – 2020 period’s midterm public investment plan and the 2018 local government budget estimate and allocation.
2. The Prime Minister’s Decisions, such as Decision No. 1915/QD-TTg and Decision No. 1916/QD-TTg dated November 29, 2017 on the state budget’s expenditure assignment for the year 2018; Decision No. 2131/QD-TTg dated December 29, 2017 on the state budget’s planned investment fund assignment for the year 2018; Decision No. 2130/QD-TTg dated December 29, 2017 on supplementary assignment of planned foreign funds derived from the central budget for midterm public investments for the 2016 – 2020 period and the year 2017 which are invested in projects using fund disbursements made in 2016 and earlier (hereinafter referred to as Decision No. 2130/QD-TTg); Decision No. 280/QD-TTg dated March 8, 2018 on adjustments to the plan for allocation of Government bond-derived funds for the 2012 – 2015 period and the 2014 – 2016 period, extension of the duration of implementation and disbursement of the 2018 central budget’s investment funds (hereinafter referred to as Decision No. 280/QD-TTg); certain decisions on assignment of the midterm public investment budget for the 2016 – 2020 period, assignment of the midterm budget for national target programs for the 2016 – 2020 period of competent authorities and other decisions on supplementation of the budget which are issued in the course of administration of the 2018 state budget; Decisions of People's Committees at all levels on the local government budget estimate and the local government budget allocation for the year 2018.
3. Competent authorities’ regulatory documents related to the 2018 state budget, including the Government’s Resolutions (Resolution No. 01/NQ-CP dated January 1, 2018 on main regulatory duties and measures for implementation of the socio-economic development plan and the 2018 state budget estimate (Resolution No. 01/NQ-CP), Resolution No. 19-2018/NQ-CP dated May 15, 2018 on continued implementation of main duties and measures for improvement of business environment and promotion of national competitiveness in 2018 and ensuing years (Resolution No. 19-2018/NQ-CP), and other Resolutions issued in the Government’s monthly regular meetings); the Prime Minister’s Decision No. 579/QD-TTg dated April 28, 2017 on principles of grant of the central budget’s target subsidies for the local government budget on implementation of social security policies for the 2017 - 2020 period (Decision No. 579/QD-TTg); the Directive No. 07/CT-TTg dated March 5, 2018 on maintenance of effective implementation of the Resolution No. 35/NQ-CP dated May 16, 2016 on business support and development till 2020 (Resolution No. 35-NQ/CP) and the Prime Minister’s Directive No. 26/CT-TTg dated June 6, 2017 on continuation in effective implementation of the Resolution No. 35/NQ-CP in a spirit of the Government’s support for businesses in 2018; Resolutions of People’s Councils, Decisions of People’s Committees and Directives of Chairpersons of People’s Committees at all levels on key regulatory duties and measures for implementation of the socio-economic development plan and the local government budget estimate for the year 2018; the Circular No. 132/2017/TT-BTC dated December 15, 2017 of the Ministry of Finance on implementation of the state budget estimate for the year 2018 (Circular No. 132/2017/TT-BTC).
4. Evaluation reports on implementation of financial – state budget duties in the first 6 months of a budgetary year; forecasts of and measures for striving for accomplishment of the state budget estimate in the remaining months and the entire year 2018, which have been decided by competent authorities.
5. Competent authorities’ conclusions and recommendations regarding reform of administrative procedures, inspection, audit and resolution of claims or complaints, thrift practice, anti-extravagance, corruption prevention and control with respect to the state budget revenues and expenditures; demands for tightening disciplines, financial rules, prevention of loss of state budget revenues, prevention of transfer pricing abuse, recovery of tax debts and reduction in the rate of outstanding tax debts; results of implementation of social security policies, salary reform policies, policies for people providing meritorious services, poor households, minority people and population living in remote and isolated areas; provision of adequate funds for maintenance of national defense, security, political stability and social order.
Article 2. Review of the state budget revenue collection in 2018 and during the 2016 – 2018 period
1. Evaluation of implementation of the state budget revenue collection assignment in 2018
Evaluate collection of state budget revenues in accordance with the 2015 Law on State Budget without accounting for fee and charge collections converted into service costs under the provisions of the Law on Fees and Charges, and deductibles of state regulatory authorities or withheld revenues generated from services rendered by public non-business units and state enterprises, into the state budget.
Based on the estimated state budget revenue for the first six months of the budgetary year, the macroeconomic outlook for 2018, the current situation of business operations and the variation in market prices in the last six months of the budgetary year, ministries, central and local agencies shall review and evaluate factors affecting collection of state budget revenues and propose regulatory measures in a bid to exceed the expected state budget for 2018 already approved by the National Assembly and People's Councils at all levels; assess implementation of assignments in 2018 with an emphasis on the followings:
Click download to see the full text