On 09/10/2018, the Government issued Decree No. 142/2018/ND-CP guiding a number of provisions on the amendment of a number of provisions on business conditions under the State management scope of the Ministry of Culture, Sports and Tourism. This Decree takes effect from the date of its promulgation.
Accordingly, Decree No. 142/2018 / ND-CP regulates film production conditions, specifically as follows:
Previously, businesses want to produce film business should meet the prerequisites of legal capital, accordingly, the minimum capital required that the enterprise need to ensure is VND 1 billion. However, since October 09, 2015, when Decree No. 142/2018/ND-CP came into force, the enterprise will only need to meet the legal capital of 200 million VND. As a result, the legal capital for film production has been reduced.
The competent state agencies shall base themselves on the following documents to determine that the enterprises have met legal capital levels:
– The owner’s decision to allocate capital to state-owned enterprises, one-member or two-member limited liability companies whose owners are an organization.;
– Minutes of capital contribution of founding shareholders to joint-stock companies or founding members for limited liability companies with two or more members;
– The registration of investment capital of the owner of the enterprise with respect to a private enterprise, partnership and, in the case of a limited liability company, where the owner is an individual.
It can be seen that the law is increasingly loosening policies in the business conditions of the business. The regulation on the reduction of legal capital for film production enterprises has created conditions for new units to set up/operate in this field, Contribute to encourage this business in the current period.