Mazars in Vietnam Newsletter - Customs Update - Issue October 2021

In this issue, there are notable topics covered as following:

I. Newly-published regulations

1. New list of HS codes subjecting to the scope of State management of the Ministry of Agriculture and Rural Development
2. Promulgating special preferential import tariff schedule between Vietnam and Cambodia for the period of 2021-2022

II. Guidelines for export manufacturing, export processing models and export-processing enterprises (“EPEs”)

1. No exemption of export duty for exported products made from imported materials
2. Repurchasing the processed products to use for further export manufacturing is not exempted from Customs duty
3. NO duty exemption for export-manufacturing / export-processing model in case of having no manufacturing/processing facilities
4. Goods imported from EPEs under on-spot import mode and used for export-manufacturing purpose are exempted from Customs taxes
5. NO import tax exemption for preliminary-destructed scrap
6. The determination of waste incurred from export processing/manufacturing activity must be based on the actual manufacturing process and supporting documents

III. Some new guidances about customs procedure & customs tax policy during the period under impact of Covid-19

1. No application of guidance on allowing late submission of original documents within 30 days in the case of submitting certificate of origin (C/O) to apply tariff preferences
2. Tax imposition in case of having no corresponding on-spot import declaration carried out after 15 days from the approval of on-spot export declaration
3. Tax exemption are only allowed to manufacturer or entrusted party in case of imported items mentioned under Decision no. 1921/QD-BTC for production of Covid-19 Test Strip

IV. Other notable guidances

1. Guidance on VAT application for imported medical equipment
2. Conducting post-clearance Customs audit in case of importing tires with suspicion on tariff classification
3. Some guidance on certificate of self-certifying goods' origin under EVFTA

Our support

For regulation changes and tax matters, we can provide you with assistance on:

• Registration, declaration of Personal Income Tax, Corporate Tax, VAT and Foreign Contractor Tax.
• Tax refunds assistance and representation.
• Consultancy on utilizing opportunities provided by transfer pricing.
• Customs Advisory: Compliance & Reporting; FTA and C/O; Harmonised System code classification and valuation; Inventory control; International trade arrangement; and Others.

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