Chương II Nghị định 67/2019/NĐ-CP: Mức thu, phương pháp tính tiền cấp quyền khai thác khoáng sản

Chapter II

CHARGES FOR GRANTING MINING RIGHT AND CALCULATION METHODS THEREOF

Article 4. Charges for granting mining right

The rate of charge for granting mining right (R) is a percentage (%) of the value of the crude ore in the permitted mining area.  R of each mineral group/type is prescribed in Appendix I enclosed herewith.

Article 5. Grounds for calculating charges for granting mining right

Charge for granting mining right is calculated by adopting the following formula:

T = Q x G x K₁ x K₂ x R

Where:

T – Charge for granting mining right; unit: VND;

Q – Mineral reserve for calculating charge for granting mining right which is prescribed in Article 6 hereof; unit: m³, metric ton, kg and other units as decided by the regulatory authority that has the power to approve the mineral reserve;

G – Price for calculating charge for granting mining right which is the unit price of crude mineral after mining, calculated according to the price for calculating resource royalty as regulated in the law on resource royalties applicable at the time of granting mining right and provided for in Article 7 hereof; unit: VND/mineral reserve unit;

K₁ – Mineral recovery coefficient related to mining method: K₁= 0,9 for open-pit mining; K₁= 0,6 for underground mining; K₁= 1,0 for mining for mineral water or natural thermal water and other cases;

K₂ – Coefficient related to disadvantaged and extremely disadvantaged areas according to the List of areas eligible for investment incentives announced by the Government: K₂= 0,9 for extremely disadvantaged area; K₂= 0,95 for disadvantaged area; K₂= 1,0 for other mining areas;

R – Rate of charge for granting mining right; unit: %.

Article 6. Mineral reserves for calculating charges for granting mining right

1. If a mining license is issued before the effective date of the Law on minerals in 2010, the mineral reserve for calculating charge for granting mining right shall be the remaining reserve counted from July 01, 2011. To be specific:

a) If the mineral reserve specified in the mining license is geological reserve, the remaining reserve shall be the mineral reserve specified in the mining license minus the mined reserve which has been converted into geological reserve.  The mined reserve can be converted into geological reserve by dividing the mined reserve by the mineral recovery coefficient related to mining method;

b) If only mineral reserve is specified in the mining license, the remaining reserve shall be calculating by dividing the difference between the mineral reserve specified in the mining license and the mined reserve by the mineral recovery coefficient related to mining method, and shall not exceed the approved mineral reserve.

c) If the mineral type or annual mining capacity and mining period are specified in the mining license, the remaining reserve shall be calculated by dividing the product of the annual mining capacity and the mining period counting from July 01, 2011 to the expiry date of the mining license by the mineral recovery coefficient related to mining method;

d) If the quantity of products (e.g. quantity of bricks or tiles or other cases) and mining period are specified in the mining license, the remaining reserve shall be calculated by dividing the product of the amount of materials consumed for each product unit in the investment project and total quantity of products produced during the year, and the remaining validity period of the mining license by the mineral recovery coefficient related to mining method.

dd) If the mining license is issued for mining of mineral water or natural thermal water, the remaining reserve shall be the extracted water output (m³/24 hours) specified in the mining license multiplied by the remaining validity period of the mining license which is calculated on the basis of 365 days per year;

e) The mined mineral reserves specified in Points a, b of this Clause shall be determined according to reports on payment of resource royalties and relevant lawful documents/vouchers which are annually prepared by the relevant entity and must be compatible with the mining status map.

2. With regard to mining licenses issued after the effective date of the Law on minerals but before the Government's Decree No. 158/2016/ND-CP dated November 29, 2016 comes into force, mineral reserves for calculating charges for granting mining right shall be calculated according to guidelines in Points a, b and dd Clause 1 of this Article but the mined reserve shall be zero (0).

3. With regard to mining licenses issued after the effective date of the Government's Decree No. 158/2016/ND-CP dated November 29, 2016, the mineral reserve for calculating charge for granting mining right (Q) shall be the mineral reserve specified in the mining design, located within depth-based boundaries of the mining area and specified in the mining license.

4. With regard to mining licenses issued by competent authorities to carry out mining operation without exploration as prescribed in Article 65 of the Law on minerals or cases where the mining license is not required as prescribed in Point a Clause 2 Article 64 of the Law on minerals or sand/gravel is excavated in the course of implementation of channel dredging and expansion projects, the mineral reserve for calculating charge for granting mining right shall be the quantity of actually mined minerals divided by 0,9.

5. With regard to mining projects for minerals used as cement or stone slabs, if the mineral reserve included in the mining design does not meet the requirements in Clause 2 Article 40 of the Government's Decree No. 158/2016/ND-CP dated November 29, 2016, the mineral reserve included in the mining design shall be equal to the planned capacity or the capacity specified in the investment project approved by a competent authority multiplied by the mining period of up to 30 years.

6. In case of extension of a mining license where charge for granting mining right is not calculated, the mineral reserve for calculating charge for granting mining right shall be the reserve specified in the issued license minus the mined reserve which is determined according to resource royalty declarations and conformable with provisions in Clause 1 and Clause 2 of this Article.

After the extension, if the actual remaining reserve is greater than the mineral reserve used for calculating charges as specified in the old license, the relevant entity must pay additional charge for granting mining license according to Clause 1 Article 10 hereof.

7. With regard to type-III apatite in storage, the reserve for calculating charge for granting mining right shall be equal to the volume of ores in storage multiplied by ore weight in each storage.

Article 7. Price for calculating charge for granting mining right

1. The price for calculating charge for granting mining right (G) is calculated by adopting the following formula:

G = G_tn x K_qd

Where:

a) G: The price for calculating charge for granting mining right; unit: VND/unit of mineral reserves;

b) G_tn: The price for calculating resource royalty announced by the provincial People’s Committee; unit: VND/unit of resources;

c) K_qd: Conversion coefficient.

2. K_qd is determined as follows:

a) K_qd ≠ 1 if prices for calculating resource royalty announced by the provincial People's Committee do not include the price of crude minerals (after mining) or includes the price of crude minerals but its measurement unit (of dimension one) is different from the unit of the licensed mineral reserve;

b) K_qd = 1 if prices for calculating resource royalty announced by the provincial People's Committee include the price of crude minerals or the price of metal ores corresponding to the licensed reserve of minerals that are metal ores.

3. K_qd of metallic and non-metallic minerals shall be determined according to Appendix II enclosed herewith. 

Article 8. Receiving, calculating, approving and announcing charges for granting mining right

1. General Department of Geology and Minerals of Vietnam and provincial Departments of Natural Resources and Environment shall receive, examine, calculate, appraise and request the Ministry of Natural Resources and Environment and provincial People’s Committees to give approval for charges for granting mining right within their competence using Form No. 01 and Form No. 02 provided in Appendix III enclosed herewith.

2. Charges for grating mining right shall be appraised and approved at the same time when applications for mining license are processed.

In case the price for calculating resource royalty is not available or it is not conformable with the type of minerals requiring mining license, the Ministry of Natural Resources and Environment or the provincial People's Committee shall, in the course of appraisal, temporarily collect charge for granting mining right by applying the average price of mined minerals in the bracket of prices for calculating resources royalties announced by the Ministry of Finance.

3. General Department of Geology and Minerals of Vietnam or provincial Department of Natural Resources and Environment shall send the written approval for charge for granting mining right to the Department of Taxation of province where the licensed mining region is located and inform the entity granted the mining right.

4. Within 10 business days after the receipt of written approval for charge for grating mining right, the receiving Provincial Department of Taxation shall issue notice of charge for granting mining right to the entity granted the mining right.

Article 9. Methods of collection and transfer of charges for granting mining right

1. Total charge for granting mining right must be fully collected at once in the following circumstances:

a) The mining license is issued by the Ministry of Natural Resources and Environment with the licensed mining period of up to 05 years or total charge payable for granting mining right of up to VND 01 billion;

b) The mining license is issued by a provincial People’s Committee with the licensed mining period of up to 03 years or total charge payable for granting mining right of up to VND 500 million.

2. The charge for granting mining right in cases other than those prescribed in Clause 1 of this Article may be made in several payments. To be specific:

a) The amount payable in the first payment shall be equal to 30% of total charge for granting mining right divided by a half of the licensed mining period and calculated by adopting the following formula:

T_ld = T : (X : 2) x 30%

b) The amount payable in each of the remaining payments shall be equal to the difference of total charge for granting mining right and the amount payable in the first payment divided by total remaining years of the licensed mining period provided that total charge for granting mining right must be fully paid within the first half of the licensed mining period, and calculated by adopting the following formula:

T_hn = (T - T_ld) : [(X : 2) - 1]

Where:

- T: total charge for granting mining right;

- T_ld: the amount payable in the first payment;

- T_hn: the amount payable in each of the remaining payments;

- X: mining period specified in the mining license.

3. Time limits for paying charge for granting mining right:

a) The first payment must be made within 90 days from the receipt of the notice from the relevant provincial Department of Taxation but before receiving the mining license;

b) Each of the remaining payments in the following years shall be made in 2 times:

- First time: payment must be made by May 31.

- Second time: payment must be made by October 31.

If the relevant entity wants to pay charge for granting mining right for the whole year, the payment must be made by May 31 of the same year;

c) In case mining operation must be suspended as requested or certified by the relevant provincial People’s Committee, the time limit for paying charge for granting mining right in the period (if any) shall be extended for a period equal to the suspension period but not exceeding the remaining licensed mining period.  In such cases, the relevant entity shall continue to make payment of the charge payable in the period after 30 days from its resumption of mining operation and must not incur late payment interest for the suspension period.

4. In case minerals are extracted without exploration in an area where a construction project is implemented or sand/gravel is excavated in the course of implementing channel dredging projects or saline sand is excavated from projects on dredging of inland waterway routes or port waters, the charge for granting mining right shall be annually paid according to the annual resource royalty declaration in lump sum by May 31 of the following year.

5. Charges for granting mining right must be collected and transferred in accordance with law regulations on tax administration and regulations herein.

In case of temporary payment of charge for granting mining right, after the written approval officially takes effect, the late payment interest shall be only imposed on the required additional payment for the period after 90 days from the date on which the notice of additional payment is issued by a competent authority.

6. After receiving the receipt of payment made to state budget, the entity granted the mining right shall send a certified true copy of that receipt to the General Department of Geology and Minerals of Vietnam or the Provincial Department of Natural Resources and Environment if it has obtained the mining license from the Ministry of Natural Resources and Environment or the Provincial People’s Committee respectively.

Article 10. Adjustment and refund of charges for granting mining right

1. Charge for granting mining right may be considered and adjusted in the following cases:

a) The mineral reserve specified in the mining design is changed. To be specific:

- There is a decrease in the mineral reserve because of the mining license or a part of licensed mining area is returned;

- There is a decrease in the mineral reserve to be included in the mining design because an additional reserve has been approved after exploration but is not yet specified in the mining design;

- The mineral reserve increases because the mineral reserve actually mined within the licensed mining area is greater than the mineral reserve for which charge for granting mining right has been determined. The entity granted the mining right shall assume responsibility for the quantity of minerals actually mined and submit report thereof to the competent authority issuing the mining license in accordance with Article 82 of the Law on minerals.

b) If there is a change in price for calculating resource royalty (Gn), the n payment of charge for granting mining right must be multiplied with the ratio of difference between prices for calculating charge for granting mining right. Amount payable in the n payment is calculated by adopting the following formula:

T_n = T_hn x G_n: G

Where:

T_n – The amount payable in the n payment; unit: VND.

T_hn -  The annual charge payable as specified in the Decision on approval for charge for granting mining right; unit: VND.

G_n – Price for calculating charge for granting mining right at the issue date of notice of the n payment; unit: VND/unit of mineral reserves.

G - The price for calculating charge for granting mining right initially approved; unit: VND/unit of mineral reserves.

c) If the rate of charge for granting mining right (R_n) is changed, the minerals authority shall adjust the charge payable from the notification period in the following year by adopting the following formula:

T_n = T_hn x R_n : R.

Where:

T_n - The amount payable in the n payment; unit: VND.

T_hn - The annual charge payable as specified in the Decision on approval for charge for granting mining right; unit: VND.

R_n – Rate of charge for granting mining right at the issue date of notice of the n payment; unit: %.

R - Rate of charge for granting mining right initially approved; unit: %.

2. If the amount paid to state budget is greater than total charge payable for granting mining right after making adjustment as prescribed in Point a Clause 1 of this Article, the Ministry of Natural Resources and Environment or the relevant provincial People’s Committee shall determine the overpaid amount and notify it in writing to the Department of Taxation of the province where the licensed mining area is located for solving in accordance with law regulations on tax administration.

3. When the holder of mining license lodges an application for approval for entire or partial relinquishment of the mining area, the Ministry of Natural Resources and Environment or the provincial People’s Committee that has issued the mining license must request relevant regulatory authorities in writing to check the applicant’s payment of charge for granting mining right up to the time of application submission, and after checking process, notify the relevant provincial Department of Taxation and the applicant of suspension of following payments of charge for granting mining right until the decision on mine closure or decision on adjustment of charge for granting mining right is issued.

4. In case a holder of mining license relinquishes the entire mining area, the amount of charge for granting mining right paid to state budget for the mineral reserve specified in mining design shall be refunded in accordance with Clause 5 of this Article.

5. In case a regulatory authority decide to revoke the issued mining license according to Point d Clause 1 Article 58 of the Law on minerals, the charge for granting mining right paid shall be refunded in accordance with law regulations on tax administration.  The licensing authority shall promulgate decision on adjustment of charge for granting mining right and send it to the provincial Department of Taxation that takes charge of managing the licensed mining area.

6. In case of refund of charge for granting mining right, the relevant competent authority that has the power to issue mining license as prescribed in Article 82 of the Law on minerals shall promulgate a decision on adjustment of charge for granting mining right, determine the overpaid amount and send it to the relevant provincial Department of Taxation that shall consider refunding overpaid amount in accordance with law regulations on tax administration.

7. No refund of charge for granting mining right is made in the following cases:

a) In case of surrender of mining license (for entire mineral reserve) or relinquishment of a part of mining area (for a part of mineral reserve), the amount paid in the first payment shall not be refunded;

b) In case the charge for granting mining right for the mineral reserve specified in the mining design has been fully paid but the mining operation is not yet complete or the mineral reserve specified in the license is not yet reached when the licensed mining period expires and conditions for license extension are not met, the paid charge shall not be refunded;

c) The entity that has its mining license revoked according to Point a, Point b or Point c Clause 1 Article 58 of the Law on minerals shall not be refunded the charge for granting mining right paid up to the time of revocation of mining license.

In such case, the licensing authority shall take charge of calculating and appraising the amount payable of charge for granting mining right, and then notifying it to the relevant provincial Department of Taxation for handling in accordance with law regulations on tax administration.

Article 11. Extension of time limits for paying charges for granting mining right

1. The payment of charge for granting mining right may be extended in case there are difficulties arising in the course of leased land clearance and in other cases as prescribed in Clause 1 Article 49 of the Law on tax administration.

2. The entity carrying out mining operation as prescribed in Clause 1 of this Article may be granted extension of payment of a part or entire amount payable of the charge for granting mining right.

3. With regard to the case prescribed in Clause 1 of this Article, deferrable amounts includes outstanding charge for granting mining right, late payment interests and fines up to the time:

a) when a natural disaster, conflagration or accident occurs provided that total deferrable amount must not exceed the difference between the value of physical damage incurred by the relevant entity as regulated by law and the compensation provided;

b) when business operation is suspended provided that total deferrable amount must not exceed the expenditure on moving and the damage done by the move, and other expenditures incurred during the suspension.

4. During the extension, no late payment interest shall be imposed on deferrable amounts.  When the extension period ends, the relevant entity must make payment of charge for granting mining right to state budget as regulated.  If the entity carrying out mining operation does not make full payment of charge for granting mining right after the extension period has ended, it must incur a late payment interest and be liable to the enforcement of administrative decision in accordance with law regulations on tax administration.

5. Extension period, power to grant extension, application for extension, and processing of application for extension of time limits for payment of charge for granting mining right, late payment interests and fines shall comply with law regulations on tax administration.

Article 12. Management and use of charges for granting mining right

1. Management, use and refund of charges for granting mining right shall comply with regulations of the Law on state budget; a maximum of 10% of collected charges for granting mining right shall be used for covering expenditures on investigation and protection of mineral resources, supervision of mining operation and environment protection.

2. 70% of collected charges for granting mining right shall be transferred to central-government budget and the remaining amount of 30% shall be transferred to local-government budget in case mining licenses are granted by central-level agencies; 100% of collected charges for granting mining right shall be kept by local government budget in case mining licenses are granted by provincial People’s Committee.

3. Funding for covering expenditures on determination of charges for granting mining right shall be derived from state budget and included in estimates of state budget expenditures allocated to Natural Resources and Environment Agencies in accordance with regulations of the Law on state budget.

4. Charges for granting mining right shall be included in deductible expenses when determining income subject to corporate income tax by dividing total charge payable divided by number of licensed mining years.  Conditions for deductible expenses must be satisfied in accordance with regulations of the Law on corporate income tax.