Conditions for becoming a computer lottery agent according to law

If you want to set up a computer lottery agency, please tell me what conditions and standards I must meet?

1. What is a computer lottery agent?

Clause 1, Article 15 of Circular 36/2019/TT-BTC defines as follows:

A computerized lottery agent is an organization or individual that signs a contract with a computerized lottery company to sell tickets and pay prizes to customers when they win. Computerized lottery agents can sign contracts with organizations and individuals to sell electronic lottery tickets in the form of selling at the right price and receive remuneration from the agent’s commission. These organizations and individuals are also considered to operate as agents of computerized lottery numbers. Computerized lottery agents are responsible for notifying the computerized lottery company of organizations and individuals who sign contracts to sell computerized lottery tickets to serve tax management.

2. What are the conditions to become a computer lottery agent?

Article 15 of Circular 36/2019/TT-BTC stipulates the conditions for becoming a computerized lottery agent as prescribed in Clause 2, Article 12, Decree No. 30/2007/ND-CP, amended by Clause 1, Article 4, Decree 151/2018/ND-CP and supplemented by Clause 6, Article 1 of the Decree. 78/2012/ND-CP as follows:

– Be a Vietnamese citizen permanently residing in Vietnam; If it is an organization, it must be an economic organization legally established and operating in Vietnam;

– There is a form of payment guarantee as prescribed in Article 13 of this Decree to ensure payment obligations for lottery businesses.

– Officials and employees working at lottery businesses; Spouses, fathers, adoptive fathers, mothers, adoptive mothers, children, adopted children, biological brothers, sisters, adoptive brothers and sisters of the President, General Director, Director, Deputy General Director, Deputy Director, Chief Accountant and heads and deputy heads of professional departments and divisions of the lottery business enterprise are not allowed to act as lottery agents.

In addition, the following organizations and individuals are not allowed to act as computerized lottery agents:

– Officials and employees working at organizations participating in operating the computerized lottery system with the computerized lottery company (if any);

– Spouses, fathers, adoptive fathers, mothers, adoptive mothers, children, adopted children, biological brothers, sisters, adoptive brothers, sisters of individuals holding positions from deputy levels of departments, professional departments or higher of organizations participating in operating the computerized lottery system with the computerized lottery company (if any);

– Economic organizations with capital contributions from spouses, fathers, adoptive fathers, mothers, adoptive mothers, children, adopted children, biological brothers, sisters, adoptive brothers, sisters of individuals holding positions from deputy levels of departments, professional departments or higher of organizations participating in operating the computerized lottery system with the computerized lottery company (if any);

3. What standards must be met to be a computerized lottery agent?

Clause 3, Article 15 of Circular 36/2019/TT-BTC regulates standards for computerized lottery agents as follows:

– Have a stable business location, enough space, facilities and other necessary conditions to install a computerized lottery ticket sales system;

– Have qualified staff who are proficient in operating the computerized lottery ticket selling system certified or certified by the computerized lottery company;

– Have a written commitment to fully comply with the regulations of the computerized lottery company when becoming a computerized lottery agent.

4. Pay for the sale of electronic lottery tickets and ensure the payment obligations of the electronic lottery agent

Clause 5, Article 15 of Circular 36/2019/TT-BTC stipulates as follows:

– Payment for lottery ticket sales by computer:

+ Lottery agents who choose computer numbers must pay the full amount of tickets sold to the computer lottery company;

+ In case the computer lottery company owes the agent money from ticket sales, the maximum debt period is fifteen (15) days from the date of prize drawing. Based on the actual conditions, issuance characteristics, and number of prize draws of each computerized lottery product, the computerized lottery company shall specifically decide on the time limit for completing the payment for lottery tickets from agents, ensuring that the time limit specified above is not exceeded;

+ When the payment deadline for lottery ticket sales is due, if the computerized lottery agent fails to pay or makes incomplete payment to the computerized lottery company according to the signed agency contract, the computerized lottery company has the right to stop the issuance of lottery tickets by those lottery agents and apply necessary measures to recover lottery ticket sales according to the provisions of law on secured transactions, handling of secured assets and relevant legal provisions.

– Ensuring payment obligations of computerized lottery agents:

+ The computer lottery company must require the computer lottery agent to have collateral to ensure payment obligations;

+ Measures to ensure payment obligations of computerized lottery agents to computerized lottery companies are implemented in accordance with the provisions of Article 13 of Decree 30/2007/ND-CP dated March 1, 2007 of the Government on lottery business, documents amending, supplementing, replacing (if any) and legal provisions on secured transactions;

+ The payment obligation guarantee level of a computerized lottery agent with a computerized lottery company is specified as follows:

++ For computerized lottery ticket agents who have committed to ticket sales revenue with the computerized lottery company but have not yet issued computerized lottery tickets, the minimum payment obligation guarantee is determined by the committed ticket sales revenue minus (-) the commission the lottery agent is entitled to according to regulations;

++ For computerized lottery ticket agents whose actual ticket sales revenue has been determined, the payment obligation guarantee level is determined by 100% of the average actual ticket sales revenue in the three (03) weeks immediately preceding (-) the commission the lottery agent is entitled to according to regulations;

+ The order and procedures for registering secured transactions for assets used to secure payment obligations are implemented in accordance with the law on secured transactions;

+ The computer lottery company must evaluate the value of the assets used to ensure payment obligations at the time of receiving the assets; periodically reassess or perform reassessment when necessary. For assets that are real estate, movable property, etc. but the computer lottery company does not have enough capacity to evaluate the value, the computer lottery company is allowed to hire organizations with appraisal function to determine the value of the assets used to ensure payment. Asset valuation costs are included in the business operating costs of the computer lottery company.

Therefore, if you want to establish a computer lottery agent, you need to meet certain conditions and standards, and then sign an agency contract according to the law.