VI 2025 Disaster Prevention Fund: Summary of regulations on Disaster Prevention Fund that enterprises must know? Let’s find out more with Pham Consult!
2025 Disaster Prevention Fund: Summary of regulations on Disaster Prevention Fund that enterprises must know?
Below is information about “2025 Disaster Prevention Fund: Summary of regulations on Disaster Prevention Fund that enterprises must know?”
(1) Deductible expenses when calculating corporate income tax 2025
Pursuant to Clause 1, Article 6 of Decree 78/2021/ND-CP, amended and supplemented by Clause 2, Article 2 of Decree 63/2025/ND-CP, which stipulates the financial resources of the Central Disaster Prevention Fund as follows:
Financial sources
- Support, sponsorship, and voluntary contributions from domestic and foreign organizations and individuals. Contributions, sponsorships, and voluntary support to the Central Disaster Prevention Fund from organizations and enterprises are included in deductible expenses when determining taxable income for corporate income tax.
- Regulation from the Provincial Fund according to the Prime Minister’s decision.
Thus, the voluntary contribution and support to the Disaster Prevention Fund of enterprises is considered a deductible expense when calculating CIT 2025.
(2) Contribution level of the Disaster Prevention Fund of enterprises
Based on the provisions of Clause 1, Article 12 of Decree 78/2021/ND-CP, the financial resources of the Provincial Disaster Prevention Fund are as follows:
Financial sources
- The mandatory contribution level from domestic and foreign economic organizations in the locality for one year is 0.02% of the total value of existing assets according to the financial report prepared on December 31 of each year of the organization reporting to the Tax authority, but the minimum is VND 500,000, the maximum is VND 100 million and is accounted for in the organization’s production and business operating expenses.
- Voluntary contributions, sponsorships and support from organizations and enterprises to the Provincial Disaster Prevention and Control Fund are included in deductible expenses when determining taxable income for corporate income tax.
Therefore, the mandatory contribution level to the Provincial Disaster Prevention and Control Fund of an enterprise is 0.02% of the total value of existing assets according to the financial report prepared on December 31 of each year of the enterprise reporting to the Tax authority with a minimum of VND 500,000 and a maximum of VND 100,000,000.
(3) Enterprises are required to contribute to the Provincial Disaster Prevention and Control Fund
Pursuant to the provisions of Clause 1, Article 12 of Decree 78/2021/ND-CP, the financial resources of the Provincial Disaster Prevention and Control Fund are as follows:
Financial resources
- The mandatory contribution from domestic and foreign economic organizations in the locality in one year is 0.02% of the total value of existing assets according to the financial report prepared on December 31 of each year by the organization reporting to the Tax authority, but the minimum is VND 500,000, the maximum is VND 100 million and is accounted for in the organization’s production and business operating expenses.
- Voluntary contributions, sponsorships, and support from organizations and enterprises to the Provincial Disaster Prevention and Control Fund are included in deductible expenses when determining taxable income for corporate income tax.
Thus, the mandatory contribution to the Disaster Prevention and Control Fund of an enterprise is 0.02% of the total value of existing assets according to the financial report prepared on December 31 of each year by the enterprise reporting to the Tax authority, with a minimum of VND 500,000 and a maximum of VND 100,000,000.
(3) Enterprises are required to contribute to the Natural Disaster Prevention Fund
Based on the provisions of Clause 1, Article 12 of Decree 78/2021/ND-CP, the financial resources of the Provincial Natural Disaster Prevention Fund are as follows:
Financial resources
- The mandatory contribution level from domestic and foreign economic organizations in the locality for one year is 0.02% of the total value of existing assets according to the financial report prepared on December 31 of each year of the organization reporting to the Tax authority, but the minimum is VND 500,000, the maximum is VND 100 million and is accounted for in the organization’s production and business operating expenses.
Thus, the Natural Disaster Prevention Fund is a mandatory fund for enterprises.
The mandatory contribution level from domestic and foreign economic organizations in the locality is 0.02% of the total value of existing assets according to the financial report prepared on December 31 of each year
(4) Public disclosure of information on the activities of the Disaster Prevention Fund:
Pursuant to Article 9 of Decree 78/2021/ND-CP, which stipulates the public disclosure of information on the activities of the Disaster Prevention Fund as follows:
Information on the activities of the Central Fund is provided to domestic and foreign organizations and individuals in accordance with the provisions of law; published on the electronic information page and at the headquarters of the Central Fund management agency, including:
– Basic information on the Central Fund and its operational plan.
– Financial reports and settlement reports.
– Report on implementation results.
What is the relationship between the Central Fund and the Provincial Fund?
Pursuant to Article 10 of Decree 78/2021/ND-CP amended and supplemented by Clause 5, Article 1 of Decree 63/2025/ND-CP, it is stipulated as follows:
(1) Responsibilities of the Central Fund:
– Regulating funding sources for the Provincial Fund.
– Receiving, managing and using the adjustments from the Provincial Fund.
(2) Responsibilities of the Provincial Fund:
– Receiving, managing and using the adjustments from the Central Fund.
– Transferring funds to the Central Fund according to the Prime Minister’s Decision.
– Reporting the management and use of the Provincial Fund to the Central Fund management agency for synthesis.
What is the management and operation apparatus of the Central Disaster Prevention Fund?
Pursuant to Article 5 of Decree 78/2021/ND-CP amended and supplemented by Clause 2, Article 1 of Decree 63/2025/ND-CP, it is stipulated as follows:
(1) The Ministry of Agriculture and Rural Development uses the apparatus of the specialized agency advising the Ministry of Agriculture and Rural Development on state management of natural disaster prevention and control as the agency managing the Central Fund.
(2) The agency managing the Central Fund includes the Director, Deputy Directors, Chief Accountant, civil servants and public employees working concurrently or on secondment.
– The Director of the Central Fund is decided by the Minister of Agriculture and Rural Development. The Director of the Central Fund is the legal representative of the Central Fund; is contracted in accordance with the provisions of law for a number of tasks serving the fund’s operations, is responsible before the law and the Minister of Agriculture and Rural Development.
– The Deputy Directors of the Central Fund are decided by the Minister of Agriculture and Rural Development upon the proposal of the Director of the Central Fund.
– The Chief Accountant, civil servants, public employees who hold concurrent positions or are seconded to the Central Fund management agency are decided by the Director of the Central Fund in accordance with the provisions of law.
(3) The working regime, tasks and powers of the Central Fund management agency are stipulated in the Regulations on the organization and operation of the Central Fund issued by the Minister of Agriculture and Rural Development upon the proposal of the Central Fund management agency.
