What is the financial regime in asset auction activities of asset auction practicing organizations in Vietnam?

What is the financial regime in asset auction activities of asset auction practicing organizations in Vietnam? (Image from the Internet)

On January 22, 2025, the Minister of Finance of Vietnam issued Circular 03/2025/TT-BTC guiding financial policies in property auction activities; stipulating the collection, spending, management, and use of money from selling invitation dossiers to participate in auctions and deposit money from auction participants that are not refunded according to the provisions of law on asset auctions.

What is the financial regime in asset auction activities of asset auction practicing organizations in Vietnam?

In Article 3 of Circular 03/2025/TT-BTC, the management and use of money collected from service prices for asset auctions, auction costs, money from selling invitation dossiers to participate in auctions, and other collections (if any) are regulated as follows:

- Implement according to the provisions of law on the financial autonomy mechanism of public service providers and relevant laws in the case of asset auction practicing organizations being a Property Auction Service Center.

- Implement according to the provisions of law on enterprises in the case of asset auction practicing organizations being an Auction Business.

- Implement according to the provisions of law on enterprises and the law on credit institutions in the case of organization for buying, selling, and handling non-performing loans self-auctioning assets as stipulated in Clause 2, Article 64 of the Law on Property Auction 2016:

“Article 64. Auction of Non-performing Loans and Secured Assets of Non-performing Loans*

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2. Non-performing loans and secured assets of non-performing loans auctioned according to the provisions of law are organized by entities with 100% charter capital owned by the Government of Vietnam to handle non-performing loans of credit institutions that sign a service contract for asset auctions with asset auction practicing organizations or self-auction assets. The asset auction must follow the sequence and procedures stipulated in this Law.”.

Notes:

- In cases where, on the effective date of Circular 03/2025/TT-BTC, the property holder has signed a contract with the asset auction practicing organization with contents on financial policies, fee levels for selling invitation dossiers to participate in auctions, and management of deposit money of auction participants not refunded according to Circular 48/2017/TT-BTC by the Minister of Finance regulating financial policies in property auction activities, shall continue to be implemented according to the signed contract. The management and use of money from selling invitation dossiers to participate in auctions and deposit money of auction participants not refunded are implemented according to Circular 48/2017/TT-BTC.

- In cases where the property holder has established a Property Auction Council to organize the auction but by the effective date of this Circular, the Auction Council has not completed the organization of the asset auction session, the financial policies for the Property Auction Council continue to be implemented according to the provisions of Circular 48/2017/TT-BTC.

The above content refers to “What is the financial regime in asset auction activities of asset auction practicing organizations in Vietnam?”

More details can be found in Circular 03/2025/TT-BTC, effective from January 22, 2025.

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