What is the process of A42 declaration? When does the enterprise need to produce an A42 customs declaration in Vietnam?
What are the difficulties in producing the A24 declaration in Vietnam?
According to the content in No. 21 Questionnaire table issued together with Official Letter 5529/TCHQ-TXNK dated 24/11/2021, the difficulties is as follows:
- The case where the processing of A42 declaration of declarant enterprise for the imported constituents of export products must rely on export goods consumption rates but the enterprise is not required to submit export consumption rates at the time of adopting customs procedures Therefore, customs authority lacks the required basis for carrying out physical inspection of documents and goods.
How to solve the difficulties in A42 declaration in Vietnam?
According to No. 21 Questionnaire table issued together with Official Letter 5529/TCHQ-TXNK dated November 24, 2021, the solve is as follows:
- If the enterprise fails to issue a notice using Form No. 22 within 15 days from the date on which customs clearance is granted, either the enterprise must produce an A42 customs declaration or the tax authority shall impose tax liability. However, the date after which the enterprise is no longer allowed to issue the aforementioned notice still has not been formally regulated. Thus, the completion of form A42 or the tax imposition followed by the revision made by the enterprise for tax reduction will be time-consuming during the adoption of customs clearance procedures for imports and exports
What is the process of A42 declaration? When does the enterprise need to produce an A42 customs declaration in Vietnam?
When does the enterprise need to send a notification to the customs authority of Vietnam for in-country exports?
According to the provisions of Clause 3, Section II, Official Letter 2687/TCHQ-TXNK dated June 1, 2021 as follows:
II. Goods imported for manufacture of exports
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3) In-country exports
a) Within 15 days from the day on which customs clearance is granted to the in-country exports, the exporter shall send a notification to the customs authority of information about the declaration of the corresponding in-country imports for which import procedures have been completed (Form No. 22 in Appendix VII hereof) by post or in person at the Sub-department of Customs where customs procedures are completed, or by attaching a scanned file to the electronic documents on V5 System (after V5 System has this function). Otherwise, the in-country exporter shall register a new customs declaration (code A42) in order to declare and pay tax on imported raw materials and supplies that have been used for manufacture of the in-country exports at the rates and dutiable values that are applicable when the new customs declaration is registered.
On declaration form A42, enter “#&QHTC#&số tờ khai hải quan xuất khẩu tại chỗ tương ứng” in box “Số quản lý nội bộ doanh nghiệp”.
On the physical declaration, write #&QHTC#&số tờ khai hải quan xuất khẩu tại chỗ tương ứng” in box “ghi chép khác” (“other notes”).
b) In case the declaration form A42 has been registered and tax has been paid, the in-country exporter fails to submit a notification to the customs authority of information about the declaration of the corresponding in-country imports for which customs procedures have been completed, according to which the customs official shall request the head of the Sub-department of Customs to consider reducing the tax on declaration form A42 and make an update on Concentrated Accounting System. The in-country exporter may handle the overpaid tax in accordance with Article 60 of the Law on Tax Administration No. 38/2019/QH14, and Article 10 of Circular No. 06/2021/TT-BTC.
c) In case the enterprise fails to declare and pay tax, the customs authority shall impose fixed tax according to Article 17 of Decree No. 126/2020/ND-CP if the imported raw materials and supplies have been used for manufacture of the in-country exports but the in-country exporter fails to notify the customs authority of information about the declaration of the corresponding in-country imports within 15 days from the day on which customs clearance is granted to the in-country export.
d) In case the taxpayer submits the notification to the customs authority after fixed tax is imposed, the customs official that handled the tax imposition documents shall, on the basis of the in-country import declaration for which customs procedures have been completed, request the head of the Sub-department of Customs to consider revising the tax imposition decision, reduce the tax imposed and make an update to the Concentrated Accounting System. The in-country exporter may handle the overpaid tax in accordance with Article 60 of the Law on Tax Administration No. 38/2019/QH14, and Article 10 of Circular No. 06/2021/TT-BTC.
dd) In-country exports are not exempt from export duties. he in-country exporter shall registers the in-country export declaration, declare and pay export duties at the rates and values of the in-country exports that are applicable when the declaration is registered as prescribed in Point g Clause 2 Article 12 mentioned in Clause 6 Article 1 of Decree No. 18/2021/ND-CP , except exports that are not subject to tax of EPEs and enterprises in FTZs.
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Thus, the deadline for sending a notification to the customs authority of Vietnam for in-country exports is specified as above.
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