[LEGAL NEWSLETTER OCTOBER, 2024] DECREE NO. 118/2024/NĐ-CP

[LEGAL NEWSLETTER OCTOBER, 2024] DECREE NO. 118/2024/NĐ-CP
22/10/2024 04:15 PM 298 Views

    1. Maximum limit on value of goods and services used for promotion: 

     

    Before Change 

    After Change 

    Maximum value limit of goods and services used for promotion 

    The material value used for promotion for one unit of goods or services being promoted must not exceed 50% of the price of that unit of goods or services before the promotion period, except for promotions in the forms specified in Clause 8, Article 92 of the Law on Commerce, Article 8, Clause 2 of Article 9, Articles 12, 13, and 14 of this Decree. 

    The material value used for promotion for one unit of goods or services being promoted must not exceed 50% of the price immediately before the promotional period of that promoted unit of goods or services, except for promotions in the forms specified in Clause 8, Clause 9 Article 92 of the Law on Commerce, Article 8, and Clause 2 of Article 9, Clause 12, 13, 14 of this Decree. 

    The total value of goods and services used for promotion in a promotional program carried out by the trader must not exceed 50% of the total value of the goods and services being promoted, except for promotions in the forms specified in Clause 8, Article 92 of the Law on Commerce, Article 8, and Clause 2 of Article 9 of this Decree. 

    The total value of goods and services used for promotion in a promotional program carried out by the trader must not exceed 50% of the total value of the goods and services being promoted, except for promotions in the forms specified in Clauses 8 and 9, Article 92 of the Law on Commerce, Article 8, and Clause 2 of Article 9 of this Decree. 

    In cases of organizing centralized promotional programs (hour, day, week, month, sales season), the maximum value limit of goods and services used for promotion is 100%. The 100% maximum value limit also applies to promotional activities within the framework of trade promotion programs and activities decided by the Prime Minister. 

    In cases of organizing centralized promotional programs (hour, day, week, month, sales season), the maximum value limit for goods and services used for promotion is set at 100%. This 100% maximum value limit also applies to promotional activities within the framework of trade promotion programs and activities decided by the Prime Minister. 

    Centralized promotional programs 

    The program is organized by state agencies (at the central and provincial levels) within a specified timeframe, in the form of hours, days, weeks, months, or sales seasons, aimed at implementing the targeted economic development policies of the nation and localities. The state encourages the organization of centralized promotional programs. All traders have the right to participate in these programs. 

    State agencies (central and provincial levels) preside over organizing, within a specified period of time, in the form of hours, days, weeks, months, and promotional seasons to issue decisions on organizing and implementing promotional programs. centralized trade to implement targeted national and local economic development policies. The State has policies to encourage the organization of centralized promotion programs. Every merchant is eligible to participate in the programs. 

     

    2. Maximum discount level for promoted goods and services 

    Before Change 

    After Change 

    In cases of organizing centralized promotional programs (hour, day, week, month, sales season), the maximum value limit of goods and services used for promotion is 100%. The 100% maximum value limit also applies to promotional activities within the framework of trade promotion programs and activities decided by the Prime Minister. 

    In cases of organizing centralized promotional programs (hour, day, week, month, sales season), the maximum value limit of goods and services used for promotion is 100%. The 100% maximum value limit also applies to promotional activities within the framework of trade promotion programs and activities decided by the Prime Minister. 

     

    3. Notification of promotional activities: 

    3.1. Promotional program activities must be notified, modified to:   

    Traders must complete administrative procedures to notify the promotional activities to all Departments of Industry and Trade in the areas where the promotions are held (in the locality where the promotions are carried out) before implementing the promotional program in the form of sales or service provision with accompanying raffle tickets for customers; organizing regular customer programs as specified in Articles 12 and 14 of this Decree, except in cases mentioned in section 3.2.   

    The notification documents must be sent to the Department of Industry and Trade at least 3 working days prior to the promotion (based on the date received as indicated on the waybill or equivalent methods in case of sending via postal services, based on the date recorded on the receipt of documents if submitted directly, or based on the date recorded in the system when submitted via the online public service system). 

     

    3.2. Cases that do not require notification procedures for promotions have been added as follows:   

    a) Promotions in the forms specified in Clause 8, Article 92 of the Law on Commerce and Articles 8, 9, 10, and 11 of this Decree;   

    b) Promotions in the forms specified in Articles 12 and 14 of this Decree with a total prize value or gift under 100 million VND;   

    c) Only conducting promotional programs in the forms specified in Articles 12 and 14 of this Decree for goods and services sold or provided through e-commerce exchanges, e-commerce exchange applications, online promotion websites, and online promotion applications. 

     

    4. Changes in notification methods 

    Decree 128 abolishes the notification method via email and modifies the notification method through the online public service provided by the Department of Industry and Trade to notification via the National Public Service Portal or the provincial-level administrative procedure resolution information system for notifying the implementation of promotional programs specified in Clause 3, Article 17 of Decree 81 and notifying changes to the promotional program specified in Clause 2, Article 18 of Decree 81. 

     

    5. Changes in the registration documents for promotional activities; registration for organizing trade fairs and exhibitions 

    5.1. The registration documents for implementing the promotional program after modification include:   

    a) 01 Registration for the promotional program according to Form No. 02 in the Appendix issued with this Decree;   

    b) 01 Program rules for the promotional program according to Form No. 03 in the Appendix issued with this Decree;   

    c) A model of proof of winning or a detailed description of the proof of winning;   

    d) 01 unnotarized copy of documents regarding the quality of the promotional goods as prescribed by law. 

     

    5.2. The registration documents for organizing trade fairs and exhibitions after modification include:   

    a) 01 Registration for organizing trade fairs and exhibitions according to Form No. 10 in the Appendix issued with this Decree;   

    b) 01 unnotarized copy of the Business Registration Certificate, Investment Registration Certificate, Decision on Establishment, or other legally equivalent decisions as prescribed by law. 

     

    6. Deadline for Announcing Results, Awarding Prizes, and Reporting the Implementation Results of the Promotional Program 

    The deadline for announcing the results of winning prizes and awarding prizes for the promotional program shall not exceed 45 days from the end of the promotion period. However, additional provisions are added to exclude cases of force majeure as prescribed by law.   

    The deadline for reporting the implementation results of the promotional program remains unchanged, except that the deadline for submitting 50% of the prize value for which there are no winners is extended from 15 days to 45 days from the receipt of the collection decision by the state management agency. 

    Zalo
    Hotline