This law establishes a comprehensive legal framework for the creation, management, and inspection of collective economic organizations in the Lao PDR. Its primary intent is to foster mutual support among Lao citizens through the pooling of capital and technical resources to enhance production, alleviate poverty, and contribute to national socioeconomic development. The law defines cooperatives as voluntary organizations that can be formed across several sectors, including agriculture and forestry, saving and credit, trade, handicrafts and processing, and various professional services. To form a cooperative, at least seven Lao citizens from different households must voluntarily agree to its bylaws and ensure that at least one member has completed a certified cooperative management training course. The organizational structure is led by a General Assembly, which serves as the highest authority and meets at least once a year to approve business plans and elect a Board of Directors and an Inspection Committee. The Board of Directors manages executive functions for five-year terms, while the Inspection Committee monitors financial and legal compliance, and a manager is typically appointed to handle day-to-day operations. Financially, cooperatives are funded by member contributions, business income, and external loans, with a restriction that no single member may hold more than twenty percent of the total shares. Net profits are distributed as dividends to members after mandatory deductions are made for a reserve fund to cover potential losses and a treasury fund for business expansion and infrastructure. The state supports these entities through promotional policies that include the allocation of state land for production, access to technical and consulting services, and significant tax incentives. Notably, agricultural, forestry, and handicraft cooperatives are granted a ten-year profit tax exemption, while other types receive a three-year exemption. Supervision of the sector is centralized under the Ministry of Agriculture and Forestry, which works with other relevant sectors to coordinate monitoring and evaluation. Both internal and external inspection agencies, including the National Assembly and State Audit Organizations, are authorized to conduct regular or sudden inspections to ensure legal adherence. Violators of the law face sanctions ranging from educational warnings and fines to the revocation of operating licenses or criminal punishment.
Лаосская Народно-Демократическая Республика · 2024-08-12