What is the currency for paying import-export duties in Vietnam?

Who is the taxpayer for import-export duties in Vietnam?

Based on Article 3 of the Law on Export and Import Duties 2016, the taxpayers include:

- Owners of export or import goods.

- Organizations entrusted with exporting or importing goods.

- Individuals exiting or entering the country with export or import goods, sending or receiving goods through Vietnam's border gates and borders.

- Persons authorized, guaranteed, and paying taxes on behalf of taxpayers, including:

+ Customs procedure agents in cases where they are authorized by taxpayers to pay export and import duties;

+ Enterprises providing postal services, international express delivery services in cases where they pay taxes on behalf of taxpayers;

+ Credit institutions or other organizations operating under the Law on Credit Institutions in cases where they guarantee and pay taxes on behalf of taxpayers;

+ Individuals authorized by the goods owner in cases where the goods are gifts or presents from individuals; luggage sent before or after the traveler's trip;

+ Branches of enterprises authorized to pay taxes on behalf of enterprises;

+ Other persons authorized to pay taxes on behalf of taxpayers as per legal provisions.

- Persons purchasing or transporting goods within the tax-free limit for border residents but not for production or consumption, instead selling them within the domestic market, and foreign traders allowed to engage in import-export trading at border markets according to the law.

- Individuals with export-import goods exempt from tax but later subject to tax due to changes according to legal provisions.

- Other cases as prescribed by law.

What is the currency for paying import-export duties in Vietnam? (Image from the Internet)

What is the currency for paying import-export duties in Vietnam?

Pursuant to Article 41 of Circular 38/2015/TT-BTC, the regulations are as follows:

Currency for tax payment

1. Taxes on exported and imported goods are paid in Vietnamese Dong. In cases of payment in foreign currency, taxpayers must use freely convertible foreign currency according to regulations. The exchange rate for converting foreign currency to Vietnamese Dong is applied as specified in Clause 2, Article 35 of this Circular.

2. In cases where tax payment must be made in foreign currency but the official rate is not available at the time of customs declaration:

a) The taxpayer may temporarily pay in foreign currency before customs clearance or release of goods. After obtaining the official rate and receiving foreign currency payment from foreign customers, the taxpayer must pay any tax difference (if any) in foreign currency; or

b) The taxpayer may temporarily pay in Vietnamese Dong before customs clearance or release of goods. After obtaining the official rate and receiving foreign currency payment from foreign customers, the taxpayer must pay any tax difference (if any) in foreign currency. The exchange rate for converting foreign currency to Vietnamese Dong is applied as specified.

Thus, the currency for paying import-export duties is Vietnamese Dong.

In cases of payment in foreign currency, the taxpayer must use freely convertible foreign currency according to regulations.

In cases where tax payment must be made in foreign currency but the official rate is not available at the time of customs declaration:

- The taxpayer may temporarily pay in foreign currency before customs clearance or release of goods. After obtaining the official rate and receiving foreign currency payment from foreign customers, the taxpayer must pay any tax difference (if any) in foreign currency; or

- The taxpayer may temporarily pay in Vietnamese Dong before customs clearance or release of goods. After obtaining the official rate and receiving foreign currency payment from foreign customers, the taxpayer must pay any tax difference (if any) in foreign currency. The exchange rate for converting foreign currency to Vietnamese Dong is applied as specified.

When is the deadline for paying import-export duties in Vietnam?

Pursuant to Article 9 of the Law on Export and Import Duties 2016, the deadline for paying import-export duties is defined as follows:

- Exported or imported goods subject to tax must have taxes paid before customs clearance or release of goods according to the provisions of the Law on Customs 2014, except for cases specified in Clause 2, Article 9 of the Law on Export and Import Duties 2016.

In cases where tax payment is guaranteed by a credit institution, customs clearance or release of goods is allowed, but late payment interest must be paid according to the provisions of the Law on Tax Administration 2019 from the date of customs clearance or release of goods until the tax payment is made. The maximum guarantee period is 30 days from the date of customs declaration registration.

In cases where tax payment is guaranteed by a credit institution but the guarantee period has expired and the taxpayer has not yet paid the tax and late payment interest, the guarantor must pay the full tax and late payment interest on behalf of the taxpayer.

- Taxpayers eligible for priority policies under the provisions of the Law on Customs 2014 can pay taxes for customs declarations that have been cleared or released within the month no later than the tenth day of the following month. If this deadline is missed, the taxpayer must pay the full amount of tax owed and late payment interest according to the provisions of the Law on Tax Administration 2019.