Handling for declarations wrongly registered regime code
The General Department of Vietnam Customs has instructed Hai Phong Customs Department on tax treatment for declarations with wrongly registered regime code by VietNam Schlemmer Automotive Parts Co.,Ltd, and Nam Quang Import and Export Joint Stock Company.
According to the instruction from the General Department of Vietnam Customs, in order to implement tax treatment for these cases, the two periods should be specified.
For export declarations which were registered before 1st September 2016, they shall be implemented in accordance with provisions in Clause 5, Article 114 of Circular 38/2015/TT-BTC dated 25th March 2015 of Ministry of Finance.
Accordingly, imported goods which have paid import duty for export production to foreign countries, or exported into non-tariff areas, shall be refunded the import duty equivalent to the proportion of actual exported products and exported goods, which meet the conditions determined as goods processed from all imported raw materials and supplies shall not be paid the export duty.
Hai Phong Customs Department needs to inspect import declaration for raw materials and supplies; export declaration; accounting books and documents, payment documents and other relevant documents. Through the inspection results, if realizing that enterprises import raw materials and supplies and then export goods which are produced from these imported raw materials and supplies meeting provisions for import tax refund as prescribed in Clause 5, Article 114 of Circular 38/2015/TT-BTC; Tax refund dossiers meeting provisions in Article 119 of Circular 38/2015/TT-BTC, the Department shall implement import duty refund for imported raw materials and supplies equivalent to the proportion of actual exported products and has responsibility before the law for the accuracy and suitability of the tax refund dossiers.
The handling of export declaration registered from 1st September 2016 shall be implemented in accordance with provisions in Point C, Clause 3, Article 36 of the Government’s Decree 134/ 2016/ND-CP dated 1st September 2016, stipulating on tax refund for imported goods for production and business but these products were exported, the basis to determine goods subject to tax refund are products that are carried out by Customs procedures under the regime of export production.
In case where enterprises do not carry out Customs procedures for products under the regime of export production (wrongly registering of code regime in export declarations), they shall not be considered to be implemented import duty refund in accordance with regulations.