TARIFF AND DUTY RATES

Types of duties and taxes payable on the importation and exportation of goods:

• Export - Import duties

• Special Consumption Tax (SCT)

• Value Added Tax (VAT)

Duty rates of goods (liquors, tobacco, motor vehicles, electronic goods, food stuff):

Duty exemptions/concession:

• Non-refundable goods of humanitarian purposes

• Temporary admission – re-exportation; temporary exportation – re-importation of goods for exhibitions and fairs

• Commodities belonging to the property of foreign and Vietnamese organisations and individual in mission

• Luggage of travelers entering into or leaving the country

• Import for special use in the service of national defense and security, scientific researches and education

• Import and export of joint ventures with foreign capital and business of foreign partners operating on the base of cooperative trading contracts

• Donations from foreign organisations for Vietnamese organisations or individuals in the country within the limits specified by the government

• Imports for sale in Duty Free Shop

Deferred payment system, it does not apply to the following:

• Non-commercial imports and exports

• Goods imported for home consumption

VALUING YOUR PRODUCTS

Valuation system adopted as follows:

• For exports: FOB given by the contract

• For imports: CIF given by the contract

For each period the government control over the price of items by issuing the minimum price list for calculating duties and taxes of the items. If the price of the contract is 80% lower than the minimum price list the determination of the price must be made according to the price list issued by the government.

CLEARING IMPORTS

• General procedures and requirements:
  Declaration; calculation; duty collection or notification tax; examination and release of goods

• Procedures for entry before clearance:
  After lodging the manifest to the customs offices at the checkpoint and accepted by customs, goods can be unloaded to the warehouse

• Import declaration:
  Goods imported are subject to customs declaration within 30 days from the date of arrival at the check-point. The declaration form must be made on 3 copies issued by the General Department of Customs. Documentary requirement:

  • Import declaration form

  • Import license (if any)

  • Commercial contract

  • Commercial invoice and packing list (if any)

  • Bill of lading

  • Certificate of origin (for goods requiring C/O)

  • Other relevant document

• Payment of duties and taxes:
  Duties and taxes can be collected at the customs check-point or through the bank.

• Examination and release of goods:
  Imported goods shall be released after duty collection and duty amount notification or duty collection and examination

CLEARING EXPORT

• Time and place of loading of goods:

  Goods to be exported are allowed to be loaded at a specified port or place for exportation. Loading time should be done during working hours by the customs office.

• Export declaration:

  The export declaration form is the same as the import declaration form. The validity period is 15 days from the date of its registration at the customs office. Documentary requirements:

  • Export declaration

  • Export license (for goods which require and export license)

  • Packing list

  • Certificate of Origin (for goods requiring C/O)

• Examination and release of goods:

  All goods for exportation must be examined by customs. Customs can conduct on the spot examination or detailed examination depending on the characteristics of the goods. Once examination is completed, goods will be authorised to be loaded on the vessel.

GOODS WITH PROHIBITIONS, CONTROLS AND RESTRICTIONS

Prohibitions on exportation:

• Weapons, ammunitions, explosives and military equipment

• Antiques

• All kinds of drugs

• Poisoning chemicals

• Wood in the rough, sawed good, wood products simply manufactures

• All savage animal and scarce animals

Prohibitions on importation:

• Weapons, ammunitions, explosive and military equipment

• Antiques

• Poisoning chemicals

• Cultural products and articles of anti-governmental nature

• Fireworks, toys and games for children which effects to the public moral education and public security

• Cigarettes (except quantities stipulated in the traveler’s baggage)

• Used consumption goods

• Cars and buses and other autonomous means of transport with the driver wheel at right side

• Motorcycles over 175 Cm³

List of imports and exports subject to restrictions or to controls by the specialised agencies:

• Mineral goods are subject to the approval of the Ministry of Heavy Industries

• Forest animals and vegetables, live animals and vegetables need for breeding in the agriculture, animal foods will be subject to the authorisation of the Ministry of Agriculture and Rural Development

• Pharmaceutical drugs and materials used to process medicines for human use will be subject to the Ministry of Health Care

• Publications, reviews and other printed products art works of high value under the government control, coloured photocopying machines, recorded video tapes for exportation

• Military technical equipment for defense purposes and military products are subject to the authorisation of the Ministry of National Defense

• Technical banking equipments are subject to the authorisation of the State Bank

• Machines and technical equipments for the Post and Telecommunications are subject to the authorisation of the General Department of Post and Telecommunications

• For national defense and other needs, prohibited goods for importation will only be allowed to be introduced into the national territory with special written permission of the Prime Minister

TEMPORARY ADMISSION

Vietnam Customs allows the following types of goods imported temporarily into its Customs territory without paying import duties and taxes (applied in detail for each specific type of goods):

1. Goods for display or use at exhibitions, trade fairs or other similar events licensed by Ministry of Trade. These temporary imported goods must be re-exported within 30 days after ending these events;

2. Professional equipment, teaching aids scientific equipment including spare parts thereof, based on bilateral agreements signed between the government of Vietnam and other governments;

3. Goods imported to be used as materials in the manufacture of goods for export;

4. Goods imported for repairs, modification or treatment as well as spare parts for use in the goods to be repaired, modified or treated;

5. Motor vehicles such as cars (steering-wheel on the left) and motor-bikes (under 175 cm³) for private use;

6. Commercial motor vehicles engaged in the international transport of passengers or cargo or both;

7. Motor vehicles for demonstration and training;

8. Horses, vehicles private or recreational boats or aircraft for sports, racing or other similar events;

9. Live animals for dressage, training or breeding purposes or veterinary treatment or for gazing purposes;

10. Freight containers, pallets and packings used, or to be used as external or internal coverings for goods or as holders on which goods, or are to be rolled, wound or attached. These objects mentioned at items of g, h, i and j are subject to written approvals from specialised control agencies, before those being imported;

11. Goods for transshipment from the one means of transport to another means of transport are subject to the control of Customs.

Additional information for each of the above types of goods temporarily imported:

1. Total relief of import duties and taxes granted on the temporary admitted goods.

2. Documents to be used for temporary admission:

   • Declaration form

   • Manifest (if any)

   • Packing list (if any)

   • Bill of lading

   • Written approval from competent agencies for the conditional temporary admission or specific temporary admission

3. So far, the security has not yet been applied for temporary admission in Vietnam.

4. The length of stay of temporary imported goods are not over 90 days from the date of accomplishment of import procedures. Extension may be possible, if an application is submitted to Customs Office. Each extension is not more than 30 days and not more than 3 times for each consignment.

5. Temporary admitted goods may be re-exported in multiple consignments.

6. Temporary admitted goods maintained for home use, are subject to a written approval from Ministry of Trade or specialised control agencies and to be submitted to customs office and accomplished the customs procedures within a specified period of time limit.

   With regard to motor vehicles for private use mentioned at item (e), which are not re-exported after ending their working terms in Vietnam, the owners may sell or present to other person if they have license from competent agencies and subject to payment of import tax, VAT and other taxes.

7. No other requirements for temporary imported goods if the above mentioned conditions are met.

Vietnam has not yet been the Contracting Party of the ATA Carnet.

OBTAINING REFUNDS/DRAWBACKS ON YOUR DUTY PAYMENT

• Temporary imports – re-exports; temporary exports – re-imports

• Materials imported for manufacturing export products

• Imported goods and duty paid still in custody of customs but having been approved for re-export

LICENSED/BONDED WAREHOUSE

Documentary requirements:

• Renting contract of the customs bonded warehouse

• Transport bills for the goods placed at the customs bonded warehouse (CBW)
  Packing list

• 3 copies of import (or export) declaration for the goods being introduced into the CBW

• Authorisation paper (if any)

Commodities to be introduced from the CBW into Vietnam’s market will be treated as any normal importation.

CLEARANCE FOR PASSENGER

1. Simplified procedures:

• To formulate and implement new Government's Decree No 16/1999/ND-CP issued on 27 March 1999 stipulating Customs procedures, Customs control and Customs fees. The new Decrees is formulated based on Kyoto Convention on the Simplification and Harmonization of Customs Procedures, therefore it contains all issues related to customs reform such as regulation on the obligations and responsibilities of goods owners as well as customs officers, regulations on documentation required for customs procedures process, steps of customs procedures

• To implement the Government's direction on review of laws and legal texts related to customs activities to ensure the simplification and harmonization of customs procedures and to remote the obstacles and confusion caused due to the unclear regulations. General Department of Vietnam Customs, in collaboration with other relevant ministries and agencies, has undertaken a comprehensive review process; a number of overlapping unnecessary text was identifies and General Department of Vietnam Customs has proposed to the Government and relevant ministers and agencies to replace to amend these texts.

• To continue rearrange or establish new inland clearance post at provinces and cities in order to avoid obstacles, stuck of goods and facilitate the import-export activities.

• To begin the application of goods chanellization system. Goods are chanellized to green, red and yellow lanes base on the following criteria: importer, exporter, goods, items, route, level of law compliance. By doing so he time required for clearance has been reduces remarkably.

• Publicizing policies, customs procedures, regulations to the public and business community for awareness and implementation. All legal texts and regulations of ministries and agencies related to import export activities and customs procedures are publicity available at all customs places. Customs Guide Book and Compendium of new Laws on Taxes and Duties and publicized and available at customs places as well as main bookshops throughout the country. In addition, information, news and propaganda article on customs policies and procedures are also disseminated by mass media such as television, radio, newspapers…

• Program on improving and enhancing the equality of physical examination and customs officers involved in this field was developed and has been implementing by retraining and initially professionalization of the customs staff involved.

• To develop, in collaboration with other relevant agencies, a project on customs procedures reform at international airports.

• A review has been undertaken to amend or develop specific customs process for each kind of business activities, for instance exportations on exportation importation, temporary admission, processing or specific regulations on export processing zone, foreign invested areas in Vietnam….>

• To began the operation of pilot customs brokerage service.

• To set up research groups on WTO Valuation Agreement, HS Convention, Revised Kyoto Convention for the association and implementation of these Conventions and Agreement in Vietnam.

2. Facilities:

A number of facilities customs technical activities is equipped, for example X-ray machines, drug detection machines are installed at checkpoints, airports, post offices. High speed patrol ships are developed and trained. Currently, Vietnam Customs is applying information techniques in automation of some steps of customs procedures process. In addition, Vietnam Customs has been equipped with several goods analysis machine to use in Customs laboratory.

3. Practice, liaison contact point at customs for business:

The telephone list of relevant departments of Customs Administration is announced for business to directly contact with to timely clarify the customs policies, procedures. In addition, business can make a request or proposal in written to Customs in order to remove the obstacles and difficulties in their business activities.

Periodically (every 3 months, 6 months and annually), the Customs Administration holds a meeting or consultation with business community to exchange concerned issued and remove obstacles and difficulties in import-export activities caused by the State management agencies.

Telephone hot line is also set up linking to the Leaders of Customs at various levels, for instance Director General, Deputy Directors General of Customs and Directors of Provincial and Cities Customs Departments.

1. Appeal against Decision on use of administrative preventing measures:

Individuals, organizations or their legal representatives have the right to appeal to the direct senior management level of the officer who issued the Decision on use of preventing measures in accordance with regulations in Articles 18, 19, 20, 21, 22, of the Decree No16/CP issued on 20 March 1996 by the Government stipulating penalties imposed on the administrative offenses in the State management of Customs.

Authorized person when receiving the appeal has the responsibility to response in written document to the person who lodged the appeal within 5 days accounting from the date of receiving the appeal.

If the protestant disagrees on the decision made by the authorized person who handled the appeal, he can furnish the appeal to the Administrative court.

2. Appeal against Administrative Punishment Decision:

1. Time period for appeal:

   Individuals, organizations subject to the administrative punishment, of their legal representatives have the right to appeal at first level to the person who issued the administrative decision within 90 days, accounting from the date of receiving decision on punishment imposed on the administrative offense in Customs.

   If individuals, organizations or their legal representatives disagree on the result of the first level of appeal, it can be further appeal to the Administrative court in accordance with the laws or appeal to the direct senior management level of the person who handled the appeal at the first level. The time period for the second level of appeal and for higher levels is 30 days, accounting from the date of receiving the appeal settling decision. For remote and mountainous areas, the time period for appeal can be longer, bot not exceeding 45 days, accounting from the date of receiving the appeal settling decision.

2. Authority to settle the appeal:

   • First level of appeal: the authority to settle the appeal is the person who issued the decision on punishment imposed on administrative offense in Customs.

   • Second level of appeal: the authority to settle at second level against the decision on punishment issued by the Head of the Technical Customs Team is Chief of Technical Bureaus or Chief of Customs Checkpoints. The authority to settle the appeal at second level against the decision issued by the Chief of Customs Checkpoints or Chief of Technical Bureau is Directors of Provincial or City Customs Departments or Director of Investigation and Anti-smuggling Department (in case the decision is issued by the Enforcement Team of the Investigation and Anti-smuggling Department). The authority to settle the appeal at second level against decision made by the Directors of Provincial of Cities Customs Department or Director of Investigation and Anti-smuggling Department is Director General of Custom.

   • Higher levels of appeal: Authority to settle the appeal against the decision the Director General of Customs is the State Inspector General, and if the decision made by the Director General of Customs is related to the Laws and Taxes and Duties, the authority to settle the appeal is Minister of Finance and the decision of Minister of Finance is the final decision.

3. Responsibilities of the authorized person to settle the appeal:

   Within 10 days from the date of receiving the appeal, person authorized to settle the appeal, person authorized to settle the appeal has the responsibility to decide whether to handle the appeal or not, and at the same time to inform in written document to the protestant.

4. Time period to settle the appeal:

   • The time period to settle the appeal at first level is not exceeding 30 days from the date of handling the case and for the complicated cases, the time period can be longer, but not exceeding 45 days from the date of handling the case to settle.

     In remote and mountainous areas, where traffics is difficult, the time period to settle an appeal at first level is not exceeding 45 days from the date of handling the case to settle, and for the complicated cases, the period can be longer, but not exceeding 60 days from the date of handling the case to settle.

   • The time period to settle appeal at second level and higher levels is not exceeding 45 days from the date of handing the case to settle, the for complicated cases the period can be longer, not exceeding 60 days from the date of handling the case to settle.

   • In remote and mountainous areas, where traffics is difficult, the time period to settle and appeal at second level is not exceeding 60 days from the date of handling the case to settle, and for the complicated cases, the period can be longer, but not exceeding 70 days from the date of handling the case to settle.