Circular of the Ministry of Finance and the Ministry of Civil Affairs Concerning Printing and Distributing the Tentative Measures for Administration on Use of Social Welfare Fund
Circular of the Ministry of Finance and the Ministry of Civil Affairs Concerning Printing and Distributing the Tentative Measures for Administration on Use of Social Welfare Fund
Circular of the Ministry of Finance and the Ministry of Civil Affairs Concerning Printing and Distributing the Tentative Measures for Administration on Use of Social Welfare Fund
Cai She Zi [1998] No. 124
October 5, 1998
The departments (bureaus) of finance and the departments (bureaus) of civil affairs of all provinces, autonomous regions, municipalities directly under the Central Government and cities specifically designated in the state plan:
As provided in the Decision of the State Council on Strengthening the Administration of Extra-budgetary Fund (Guo Fa [1996] No. 29), the social welfare fund belongs to extra-budgetary fund and shall be included in the special financial account and subject to the administration with a separate channel for revenue and separate channel for expenditure. Therefore, the Ministry of Finance and the Ministry of Civil Affairs jointly formulated the Tentative Measures for Administration on Use of Social Welfare Fund, which are hereby printed and issued to you for compliance and implementation. If there is any problem in the implementation, please timely report it to these two ministries. The measures for using management fees of China are welfare lottery issuing institutions will be issued separately.
Appendix: Tentative Measures for Administration on Use of Social Welfare Fund
Chapter I General Provisions
Article 1 With a view to strengthening the administration on the social welfare fund and increasing its social benefits and economic benefits, these measures are hereby formulated in accordance with the relevant provisions of the state.
Article 2 For the purpose of these measures, the term "social welfare fund" shall mean the extra-budgetary fund which is raised through the issuance of China welfare lottery in accordance with the relevant provisions of the state for the purpose of developing social welfare.
Article 3 These measures shall apply to the social welfare fund which is managed and controlled by civil affairs departments at various levels in accordance with the relevant provisions.
Chapter II Fund Management
Article 4 The social welfare fund includes:
1. The net revenue arising from the sales of China welfare lottery (hereinafter referred to as the "Lottery"), deducting the lottery awards and management fees;
2. The revenue arising from the lottery awards waived for which no award pool is set;
3. The interest of social welfare fund deposited in banks.
Article 5 The principle that the governments at various levels retain the social welfare fund in a certain proportion shall apply to the usage of social welfare fund. The retention proportion for the Central Government is 5% of the total sales of lottery; the retention proportion for provincial government and for prefecture government may not exceed 5% of the total sales of lottery; the retention proportion for county government may not be lower than 20% of the total sales of lottery.
Article 6 The social welfare fund shall be included in the special financial account for extra-budgetary fund and subject to the administration with a separate channel for revenue and separate channel for expenditure.
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