VCN – To deal with the difficulty of Saigon Petro Co., Ltd on preferential tariff for import declaration under the business type of temporary import and re-export, the General Department of Customs issued a document to respond to that problem.
|Professional activities at Cai Lan port Customs Branch (Quang Ninh Customs Department). Photo: Thu Trang|
According to the General Department of Customs, at point đ, Clause 9, Article 16 of Decision 107/2016/QH13 of the Law of import and export tax: Goods for temporary import and re-export within the temporary import and re-export period (including the extension period) guaranteed by credit institutions, or deposit an amount of goods equivalent to the amount of import tax of goods for temporary import and re-export, are exempted from import duty.
The guarantee or deposit of import duty for temporary import and re-export goods comply with the provisions of Article 4 of Decree No. 134/2016/ND-CP of the Government.
Besides that, based on the Decrees of the Government promulgating the preferential import tariff of Vietnam in order to implement the Free Trade Agreement signed for the period 2016-2018, imported goods (including temporary import and re-export business) that satisfy the conditions specified in this Decree will be applied preferential tariff in the framework of free trade agreements respectively.
In the case where a company is doing business in petrol, oil, liquefied petroleum gas (LPG) under the type of temporary import and re-export business, the time for submitting the C/O form of special offers is applied as guided in the document No. 12 802/BTC-GDC dated 14-9-2016 of the Ministry of Finance.
Accordingly, the time of submitting C/O for every C/O form, except C/O form VK (KV): For paper Customs declaration, the declarer must submit the original C/O at the time of Customs declaration. For electronic Customs declaration, the declarer must submit the original C/O at the time of lodging Customs dossier.
Additionally, beside the above time limit, Customs authorities will only consider proposals for submitting additional C/O in the following cases:
If at the time of Customs declaration registration, for declared HS code, the MFN rate is lower or equal to the special preferential tax rates, enterprises declare MFN when doing Customs procedures, are not subject to apply special preferential tariff. After clearance of cargo, Customs authorities conduct post clearance audit to define HS code or declaring additional HS code, by following new HS code, MFN rate is higher than the special preferential tariff rates, enterprises are requested to submit additional C/O.
If at the time of Customs declarations, goods are subject to apply preferential investment entrants are exempt from import duty. After clearance of cargoes, Customs authorities conduct post clearance audit (or self-discovery by enterprises) identify goods are not subject to apply referential investment, enterprise will be requested to submit additional C/O.
Time of C/O submission for C/O form VK (KV): For paper Customs declaration, the declarer must submit the original C/O at the time of Customs declaration. For electronic Customs declaration, the declarer must submit the original C/O at the time of lodging Customs dossier.
In the case of not having original C/O at the time of doing Customs procedures, the declarant have to declare the lodging of additional C/O on the Customs declaration and submit C/O within 1 year from the date signed Customs declaration. During the time of non-submission of C / O, the declarer must declared MFN tax rate. "
The inspection procedures, origin identification (C/O) for temporary import and re-export goods will be implemented in accordance to the provisions in the Circular of the Ministry of Trade and Industry about guidance on the rules of origin that apply to the Free Trade Agreement respectively, Circular No. 38/2015/TT-BTC and the relevant guidance documents.
By Hải Nam/Thanh Thuy