Which goods is the environmental protection tax paid only once in Vietnam?

Which goods is the environmental protection tax paid only once in Vietnam?

Pursuant to Clause 4, Article 7 of Circular 152/2011/TT-BTC, regulations on tax declaration and payment are as follows:

Tax declaration and payment

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3. For imported coal: the taxpayer must declare as prescribed in Item b, Point 1.3 of this Article. In the case of importing raw anthracite coal, the taxpayer must separately declare the imported anthracite coal quantity to pay the environmental protection tax as per the prescribed rate for anthracite coal. If the actual imported weight of anthracite coal differs from the declared quantity upon import, the taxpayer must make additional declarations and adjustments.

4. The environmental protection tax is paid only once for goods produced or imported. In cases where exported goods have already paid environmental protection tax but must be re-imported into Vietnam, the environmental protection tax is not payable upon re-import.

For organizations or individuals purchasing goods that have already been subjected to environmental protection tax for production or business purposes, the environmental protection tax for the purchased goods is included in the cost of goods or product manufacturing. For organizations or individuals selling goods subject to environmental protection tax, the value-added tax base price includes the environmental protection tax.

Thus, it is evident that the environmental protection tax is only paid once for goods either produced or imported.

Note: In cases where exported goods have already paid environmental protection tax but must be re-imported into Vietnam, the environmental protection tax is not payable upon re-import.

Which goods is the environmental protection tax paid only once in Vietnam?(Image from the Internet)

What are regulations on the declaration, payment, and calculation of the environmental protection tax in Vietnam?

According to Article 10 of the Law on Environmental Protection Tax 2010, the regulations on declaration, payment, and calculation of the tax are as follows:

- Declaration, calculation, and payment of the environmental protection tax for produced goods sold, exchanged, internally consumed, or gifted are conducted monthly and in accordance with the law on tax management.

- Declaration, calculation, and payment of the environmental protection tax for imported goods are conducted concurrently with the declaration and payment of import tax.

- The environmental protection tax is only paid once for goods produced or imported.

Pursuant to Article 5 of Decree 67/2011/ND-CP which stipulates:

Tax declaration, calculation, and payment shall follow the regulations in Article 10 of the Law on Environmental Protection Tax 2010 and tax management law.

- For goods produced and sold, exchanged, internally consumed, or gifted, the tax declaration, calculation, and payment are conducted monthly. For imported goods and entrusted imported goods, the declaration, calculation, and payment of tax are conducted per occurrence.

- Declaration, calculation, and payment of environmental protection tax for gasoline, oil, grease: main gasoline and oil trading companies declare, pay environmental protection tax and contribute to the state budget for the volume of gasoline and oil exported, sold (including exports for internal consumption, exchanges of product goods, returns of entrusted imported goods, sales to other organizations, or individuals; excluding sales to other main gasoline and oil trading companies) at the locality where they declare and pay value-added tax.

The Ministry of Finance prescribes that main companies declare and pay environmental protection tax for gasoline and oil.

- Declaration, calculation, and payment of environmental protection tax for coal are implemented according to the principle: domestically consumed coal must declare and pay environmental protection tax; exported coal is not subject to the environmental protection tax. The Ministry of Finance shall preside, cooperate with the Ministry of Industry and Trade to specifically guide the provisions of this Clause.

- The environmental protection tax is paid only once for goods produced or imported. In cases where exported goods have already paid the environmental protection tax but must be re-imported into Vietnam, the environmental protection tax is not payable upon re-import.

Whcih entities are the environmental protection taxpayers in Vietnam?

According to Article 5 of the Law on Environmental Protection Tax 2010, regulations on taxpayers of environmental protection tax are as follows:

Taxpayer

1. Taxpayers of environmental protection tax are organizations, households, and individuals producing or importing goods subject to tax as specified in Article 3 of this Law.

2. Taxpayers of environmental protection tax in specific cases are regulated as follows:

a) In case of entrusted import of goods, the entrusted importer is the taxpayer;

b) In organizations, households, and individuals acting as focal points for purchasing small-scale, mined coal that cannot present evidence proving the goods have been subjected to the environmental protection tax, the focal organizations, households, and individuals are the taxpayers.

Specifically, the entities subject to pay the environmental protection tax include:

- Organizations, households, and individuals producing or importing goods subject to taxation as specified in Article 3 of the Law on Environmental Protection Tax 2010.

- In some specific cases as regulated:

+ In entrusted import of goods, the entrusted importer is the taxpayer;

+ For organizations, households, and individuals acting as focal points for purchasing small-scale, mined coal that cannot present evidence of paid environmental protection tax, these focal organizations, households, and individuals are the taxpayers.