In Vietnam: what should the foreigners do to establish the charity funds?

This is one of the prominent contents prescribed at the Decree No. 93/2019/ND-CP on the organization and operation of social funds and charity funds.

What should the foreigners do to establish the charity funds? (Picture)

At the Article 12, the Decree allows individuals and organization to contribute their assets with Vietnamese citizens and organizations to establish social and charity funds with the conditions to satisfy as follows:

- To commit to pay tax and take responsibility for the lawfulness of contributed assets;

- To commit to strictly complying with Vietnam’s law and the fund’s operation purposes;

- To contribute assets to establish the fund must ensure at least 50% general value of assets

All the conditions on general value of assets shall be prescribed in the Decree such as:

+ For funds operating within a commune: VND 620 million;

+ For funds operating within a district; VND 1,2 billion;

+ For funds operating within a province; VND 3,7 billion;

+ For funds operating nationwide or in more than one province: VND 8,7 billion;

Besides, the ownership of assets contributed to establish a fund must be transferred to that fund within 45 working days after the fund is granted an establishment license and charter recognition paper. Assets contributed to establish a fund must not be disputed or used for other financial obligation.

The Decree 93/2019/ND-CP takes effect on January 15, 2020.

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