What is the latest compilation of documents guiding the Law on Excise Tax in Vietnam?

What is the latest Law on Excise Tax in Vietnam?

The latest Law on Excise Tax is the Law on Excise Tax 2008, amended by the following laws:

- Law amending the Law on Public Investment, Law on Investment in the form of Public-Private Partnership, Law on Investment, Law on Housing, Law on Bidding, Law on Electricity, Law on Enterprises, Law on Excise Tax and Civil Judgment Enforcement Law 2022;

- Law on Value Added Tax, Law on Excise Tax and the Amended Tax Management Law 2016;

- Law amending Tax Laws 2014;

- Amended Law on Excise Tax 2014.

What is the latest compilation of documents guiding the Law on Excise Tax in Vietnam? (Image from the Internet)

What is the latest compilation of documents guiding the Law on Excise Tax in Vietnam?

The latest documents guiding the Law on Excise Tax include:

- Decree 108/2015/ND-CP guiding the implementation of the Law on Excise Tax and the amended Law on Excise Tax.

- Decree 14/2019/ND-CP amending Decree 108/2015/ND-CP guiding the implementation of several provisions of the Law on Excise Tax and the Law amending and supplementing several provisions of the Law on Excise Tax.

- Official Dispatch 17879/BTC-CST on the special excise tax rate for automobiles using a combination of gasoline and electric energy.

- Official Dispatch 181/TCT-CS on the implementation of the Law on Excise Tax.

What are taxble subjects in Vietnam?

According to Article 2 of the Law on Excise Tax 2008, amended by Clause 1, Article 1 of the Amended Law on Excise Tax 2014, the subjects to excise tax include:

- Goods:

+ Cigarettes, cigars, and other tobacco products used for smoking, inhaling, chewing, sniffing, or sucking;

+ Alcohol;

+ Beer;

+ Automobiles under 24 seats, including those used for both passenger and goods transportation, with two or more rows of seats, designed with fixed partitions between the passenger and goods compartments;

+ Motorcycles with cylinder capacity over 125cm3;

+ Aircraft, yachts;

+ Various types of gasoline;

+ Air conditioners with a capacity of 90,000 BTU or less;

+ Playing cards;

+ Votive paper, votive products.

- Services:

+ Nightclub business;

+ Business of massage, karaoke;

+ Casino business; prize-winning electronic games including jackpot machines, slot machines, and similar types of machines;

+ Betting business;

+ Golf business, including membership cards, golf playing tickets;

+ Lottery business.

What are non-taxble subjects in Vietnam?

According to Article 3 of the Law on Excise Tax 2008, the goods specified in Clause 1, Article 2 of the Law on Excise Tax 2008 are not subject to excise tax in the following cases:

- Goods produced or processed by a facility for direct export or entrusted for export by other businesses;

- Imported goods including:

+ Humanitarian aid, non-refundable aid; gifts to state agencies, political organizations, socio-political organizations, socio-political-professional organizations, social organizations, social-professional organizations, armed forces units, gifts to individuals in Vietnam as prescribed by the Government of Vietnam;

+ Goods in transit or transshipped through the Vietnamese border, border gates, or transported according to regulations by the Government of Vietnam;

+ Temporarily imported, re-exported and temporarily exported, re-imported goods not subject to import-export taxes within the prescribed time limits of the laws on import-export taxes;

+ Goods for use by foreign organizations and individuals entitled to diplomatic immunity; goods carried by individuals within the duty-free luggage allowance; goods imported for sale in duty-free shops as prescribed by law;

- Aircraft, yachts for business purposes of transporting goods, passengers, tourists; and aircraft for security and defense purposes;

- Ambulance vehicles; prison transport vehicles; funeral vehicles; vehicles with both seating and standing arrangements for over 24 passengers; vehicles used in entertainment areas, sports, not registered for traffic circulation and not participating in traffic;

- Goods imported from abroad into the free trade zone; goods from the domestic market sold into the free trade zone and used within the free trade zone, and goods traded between the free trade zones, excluding automobiles under 24 seats.

Which entities are excise taxpayers in Vietnam?

Based on Article 4 of the Law on Excise Tax 2008, the excise taxpayer is an organization or individual that produces, imports goods, and provides services subject to excise tax.

In case organizations or individuals engaged in export business purchase goods subject to excise tax from production facilities for export but do not export them and instead consume them domestically, such organizations or individuals engaged in export business shall be the excise taxpayers.