When will the Nezha 2 be released in Vietnam? Is the importation and dissemination of films subject to VAT in Vietnam?

When shall the Nezha 2 be released in Vietnam?

The animated Nezha 2 is set to be released on the Lunar New Year, January 29, 2025, in China. This is the sequel to the animated film Nezha 1, which premiered in 2019.

After three weeks of dissemination, Nezha 2 has created an unprecedented box office sensation in China, earning 12.3 billion yuan (approximately 1.68 billion USD) and becoming the highest-grossing animated film worldwide.

Given the film's popularity, major cinemas in Vietnam such as CGV, Lotte Cinema, Galaxy Cinema, and BHD Star Cineplex have simultaneously announced that Nezha 2 will officially premiere in theaters nationwide.

It is known that Galaxy Studio will be responsible for obtaining a release permit for the film in Vietnam. However, the film is currently in the process of obtaining licensing, and no official dissemination schedule has been announced yet.

Additionally, cinemas are tentatively scheduling the release of Nezha 2 for late February 2025 or early March 2025.

Therefore, to get accurate information on the dissemination schedule of Nezha 2 in Vietnam, you should follow the official announcements from the cinemas.

Note*: The information regarding the movie dissemination schedule is for reference only. We will continue to update when official announcements from the cinemas are available.*

When will the Nezha 2 be released in Vietnam? Is the importation and dissemination of films subject to VAT in Vietnam? (Image from the Internet)

What is the procedure for appraising and approving the content of films imported to Vietnam?

Based on Point d, Clause 1, Article 8 of Circular 28/2014/TT-BVHTTDL (some content has been replaced or annulled by Point a, Clause 11, Article 1 of Circular 26/2018/TT-BVHTTDL) providing regulations on the procedure for appraising and approving the content of imported films as follows:

Merchants requesting approval of the content of imported cinematic works must send one complete dossier directly or via post to the Cinema Department or the Department of Culture, Sports, and Tourism. The dossier includes:

- Application for content review of the work (Form 03 in Appendix II issued with Circular 28/2014/TT-BVHTTD);

- A copy of the document proving the legal origin of the work or product;

- The work proposed for content review to be imported;

Within seven (7) working days from the date of receipt of the dossier, if the dossier is incomplete or invalid, the competent authority will notify the merchant to supplement a valid dossier.

Within forty-five (45) working days from the date of receiving a complete and valid dossier, the competent authority will provide a written response to the result of content approval of the work. In case the content is not approved, the competent authority must issue a written response stating the reasons.

The film distribution license or the content approval document of the imported cinematic work issued by the competent authority is the basis for the merchant to carry out customs procedures.

Is the importation and dissemination of films subject to VAT in Vietnam?

Pursuant to Article 3 of the Value Added Tax Law 2008 (effective until June 30, 2025), which stipulates that VAT is applicable to goods and services used for production, business, and consumption in Vietnam, except for non-taxable objects.

Moreover, based on Point n, Clause 2, Article 8 of the Value Added Tax Law 2008 (supplemented by Clause 3, Article 1 of the Amended Value Added Tax Law 2013) which specifies:

Tax Rates

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2. The 5% tax rate applies to the following goods and services:

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e) Raw rubber latex; preliminarily processed resin; nets, netting ropes, and cords for making fishing nets;

g) Fresh food; unprocessed forest products, except for timber, bamboo shoots, and products specified in Clause 1, Article 5 of this Law;

h) Sugar; by-products in sugar production, including molasses, bagasse, mud sludge;

i) Products made from jute, rush, bamboo, rattan, leaves, straw, coconut shells, coconut fibers, water hyacinth, and other handicraft products made from agricultural by-products; preliminarily processed cotton; newsprint;

l) Medical equipment, instruments, medical bandages and sanitary pads; disease prevention and treatment drugs; chemical pharmaceuticals and medicinal materials used as raw materials for the production of disease prevention and treatment drugs;

m) Teaching and learning aids, including models, drawings, boards, chalk, rulers, compasses, and specialized equipment and instruments for teaching, scientific research, and experimentation;

n) Cultural, exhibition, physical training and sports activities; art performances, film production; importation, distribution, and dissemination of films;

o) Children's toys; books of all kinds, except for books specified in Clause 15, Article 5 of this Law;

p) Science and technology services as stipulated in the Law on science and technology.

q) Sale, lease, and lease-purchase of social housing as stipulated in the Housing Law.

...

Thus, through the above two regulations, it can be seen that the importation and dissemination of films are subject to VAT. Currently, the VAT rate applicable to the importation and dissemination of films is 5%.