Distribution of Profits and Establishment of Funds of VAMC

1. VAMC's Profit is determined by the total revenue generated in the period minus the total reasonable expenses incurred in the period as per regulations.

2. Profit Distribution and the establishment of funds for VAMC.

- VAMC's profit, after offsetting previous year's losses and fulfilling financial obligations to the State according to legal regulations, the remaining profit is distributed in the following order:

- Allocate up to 30% into the development investment fund.

- Allocate to the reward fund and welfare fund for VAMC employees. The allocation of the reward and welfare funds for employees is carried out in accordance with the legal provisions on allocating reward and welfare funds for a one-member limited liability company wholly owned by the State.

- Allocate to the reward fund for VAMC managers and controllers. The allocation of the reward fund for VAMC managers and controllers is carried out in accordance with the legal provisions on allocating reward funds for managers and controllers for a one-member limited liability company wholly owned by the State.

- In case the remaining profit after setting aside the development investment fund as stipulated in point 2.1, clause 2, Circular 01/2017/TT-BTC is insufficient to allocate the reward and welfare funds for employees, the reward fund for managers and controllers as per the stipulated levels, VAMC is allowed to reduce the amount allocated to the development investment fund to supplement the fund allocation sufficiently for the reward and welfare funds for employees, and the reward fund for managers and controllers to the stipulated levels, but the maximum reduction shall not exceed the allocation to the development investment fund for the fiscal year.

- The remaining profit (if any) after the allocations as stipulated in point 2.1, point 2.2, point 2.3, and point 2.4, clause 2 of Circular 01/2017/TT-BTC shall be submitted to the state budget.

For more related content, refer to: Circular 01/2017/TT-BTC which took effect on February 21, 2017.

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