On August 26, 2014, the Ministry of Education and Training, the Ministry of Finance, the Ministry of Labor, War Invalids and Social Affairs issued Joint Circular No. 29/2014/TTLT-BGDDT-BTC-BLDTBXH on the management of finance, accounting, audit and tax applicable to foreign cooperation and investment in education, training and vocational training. Education institutions carrying out joint training may decide on revenue levels to ensure full payment of expenses for joint training activities and accumulation for reinvestment and development. School fee rates for each course shall be made public before enrolment.
Also in accordance with this Circular, foreign-invested education institutions shall deduct at least 2% of the totalschool fee into the learning promotion scholarship fund. Upon annual finalization of the fund, any amount which remains unused or has been used improperly shall be added to the revenue-expenditure balance. Expenses from the learning promotion scholarship fund for proper purposes may be accounted as deductible expenses when determining enterprise income tax in the tax period. Foreign-invested education institutions shall make deductions for the scientific and technological development fund according to Clause 11, Article 1 of the Law Amending and Supplementing a Number of Articles of the Law on Enterprise Income Tax and its guiding documents.
This Circular takes effect on October 10, 2014.