What are the cases of environmental protection tax refund in Vietnam?

What is the definition of environmental protection tax in Vietnam?

According to Clause 1, Article 2 of the Environmental Protection Tax Law 2010, environmental protection tax means indirect-collected tax, collected on products and goods (hereafter referred to as goods) when used to cause negative environmental impacts.

According to Article 5 of the Environmental Protection Tax Law 2010, the environmental protection taxpayer is organizations, households and individuals producing, importing goods under taxable subject provided for in Article 3 of of the Environmental Protection Tax Law 2010.

Environmental protection taxpayer in some specific cases shall be provided for as follows:

- in case of goods importing commission, the person who entrusted importing goods shall be taxpayer;

- In cases where organizations, households and individuals act procurement hub of coal to develop small, retail but they can not produce the documents proving that goods have been paying environmental protection tax, the organizations, households individuals act as procurement hub shall be taxpayer.

What are the cases of environmental protection tax refund in Vietnam? (Image from the Internet)

Which objects are subject to environmental protection tax in Vietnam?

According to Article 3 of the Law on Environmental Protection Tax 2010, the following objects are subject to environmental protection tax:

- Gasoline, oil, grease, including:

+ Gasoline, except ethanol;

+ aircraft fuel;

+ diesel oil;

+ Petroleum;

+ Fuel oil;

+ lubricants;

+ Grease.

- Coal, including:

+ Lignite;

+ Anthracite Coal (anthracite);

+ Fat coal;

+ Other coal.

- Hydrogen-chlorofluorocarbon liquid (HCFC).

- Taxable-plastic bag.

- Herbicide which is restricted from use.

- Pesticide which is restricted from use.

- Forest product preservative which is restricted from use.

- Warehouse disinfectant which is restricted from use.

Note: When it is necessary to supplement other taxable objects as per period, the National Assembly Standing Committee shall consider and regulate.

What are the cases of refund of environmental protection tax in Vietnam?

Under Article 11 of the Environmental Protection Tax Law 2010, environmental protection tax is refunded in the following cases:

- Imported goods are still stored in warehouse, storage at the border gate and are subject to be supervised by the customs authority for re-export to foreign countries;

- Imported goods to transport, sell abroad through agents in Vietnam; gasoline, petrol sold for vehicles of foreign firms on the route through Vietnam's ports or means of Vietnam's transportation on international transport road under the provisions of law;

- Goods temporarily imported for re-export by business mode of temporary import for re-export.

- Goods imported by the importer re-exporting to foreign countries;

- Goods temporarily imported for participation in fairs, exhibitions and introduction of products in accordance with the law when re-exported to foreign countries.

What is the tariff table for environmental protection tax in 2024?

According to Article 8 of the Environmental Protection Tax Law 2010, the tariff table is as follows:

- Absolute rates are specified in the tariff table below:

- On the basis of the tax bracket prescribed in Clause 1 of this Article, the National Assembly Standing Committee provide for specific tax rate to each type of dutiable goods ensuring the following principles:

+ The tax rate on taxable goods in line with socio-economic development policy – social in each period;

+ The tax rate on taxable goods shall be determined under the extent of causing negative environmental impacts of the goods.

Which goods are not subject to environmental protection tax in Vietnam?

According to Article 4 of the Environmental Protection Tax Law 2010, goods not subject to environmental protection tax in Vietnam include:

- Goods not specified in Article 3 of Environmental Protection Tax Law 2010 shall not be subject to environmental tax.

- Goods provided for in Article 3 of Environmental Protection Tax Law 2010 shall not be subject to environmental tax in the following cases:

+ Goods transported in transit or transshipped through the border gate, Vietnam border in accordance with the law, including the transportation of goods from exporting countries to importing countries through the border gate of Vietnam but it is not made import & export procedures into and out of Vietnam; transit goods through the border gate, the border of Vietnam on the basis of agreements signed between the Government of Vietnam and a foreign government or an agreement between agencies, representative authorized under the provisions of law by government of Vietnam and foreign governments;

+ Goods temporarily imported for re-export within the time limit prescribed by law;

+ Goods directly exported by production facilities or entrusted for the export business to export, except for organizations, households and individuals to purchase goods which environmental protection taxable subject to export.