National Ceremony Palace also, also known as Parliament Building, was built in the 1950s. It looks like a Russian-style Soviet building, and it has four floors. In it, there are the offices of important government figures and the place where the legislature meets. There is also a small room that seats about 20 people where people may have meetings. The small meeting room is shaped like a Mongol ger inside.
National Ceremony Palace is a kind of fixed large yurt style building, located in the patio of State House. The display of inside is almost the same with ordinary yurt. This Ceremony Palace is the hall where Mongolian president meets foreign heads of state, with accommodation of 20 people. Right back of it is the most noble place of yurt, where stands Genghis Khan's white jade statue, with host sitting in the left of the statue, and main guest sitting in the right of the statue. When there is a meeting in the palace, Mongolian will serve the guests with their traditional Koumiss and other food.
In the middle of State House's second floor, place 9 flagpoles with horsetail on top called Nine Tails Banner Flag. The flag is set in the corridor between the conference hall of second floor and signature hall of third floor. This flag looks like three strands fork, with round cover on top, tassel made of 9 white horsetails downwards, and has different specifications. Once there was a big war, the ancient Mongolian would worship Mars, and they believed that Mars was inside the flag. During the Genghis Khan period, this kind of flag was popular. It was said that Genghis Khan had two war horses for the war, and one horse was for riding, the other was for taking this flag, and that was why he always won the fights. Till now, this flag as well as national flag, national emblem is the symbol of power of the state. Currently, the large Nine Tails Banner Flag stored in second floor of the State House will be taken out when there is an important event. On national day Naadam every year, National Guard of honor will escort the flag to Naadam venue, and transport it to State House after the festival.