Which agency has the power to impose tariff schedules and duty rates of export and import duties in Vietnam?
Which agency has the power to impose tariff schedules and duty rates of export and import duties in Vietnam?
Pursuant to Article 11 of the 2016 Law on Export and Import Duties in Vietnam stipulating as follows:
The power to impose tariff schedules and duty rates
1. Pursuant to Article 10 hereof, the export duty schedule enclosed herewith, the Schedule of Concessions annexed to the Protocol of Accession to WTO approved by the National Assembly and other international treaties to which Socialist Republic of Vietnam is a signatory, the Government shall promulgate:
a) Preferential export duty and special preferential export duty schedules;
b) Preferential import duty and special preferential import duty schedules;
c) Lists of goods and fixed duties, mixed duties, and out-quota import duties.
2. Where necessary, the Government shall request Standing Committee of the National Assembly to amend the Export duty Schedule enclosed herewith.
3. The power to impose anti-dumping duties, countervailing duties, and safeguard duties is specified in Chapter III hereof.
Thus, the Government is the competent agency to promulgate preferential export duty and special preferential export duty schedules; preferential import duty and special preferential import duty schedules; lists of goods and fixed duties, mixed duties, and out-quota import duties.
Which agency has the power to impose tariff schedules and duty rates of export and import duties in Vietnam?
What is the basis for calculation of proportional duties?
Pursuant to Article 5 of the 2016 Law on Export and Import Duties in Vietnam stipulating as follows:
Basis for calculation of proportional duties
1. The amount of export or import duty is determined according to the taxable value and duty rate (%) of each article at the time of tax calculation.
2. Export duty rate of each article is specified in the export duty schedule.
Where goods are exported to a country or group of countries or territories having an agreement on concessional export duties with Vietnam, such agreement shall apply.
3. Import duty rates include preferential rates, special preferential rates, and ordinary rates as follows:
a) Preferential rates apply to imports originated in any country or group of countries or territories that accord Vietnam most-favored nation treatment; goods that are imported from a free trade zone to the domestic market and originating in a country or group of countries or territories that accord Vietnam most-favored nation treatment;
b) Special preferential rates apply to imports originated in any country or group of countries or territories that have an agreement on special preferential import duties with Vietnam; goods that are imported from a free trade zone to the domestic market and originating in a country or group of countries or territories that have an agreement on special preferential import duties with Vietnam;
c) Ordinary rates apply to imports other than those mentioned in Point a and Point b of this Clause. The ordinary rate is 150% of the preferential rate applied to the corresponding article. In case preferential rate is 0%, the Prime Minister shall decide the application of ordinary rate pursuant to Article 10 of this Law.
According to the above regulations, the amount of export and import duties on taxable goods calculated as a percentage will be based on the taxable value and duty rate (%) of each article at the time of tax calculation.
What is the basis for calculation of fixed duties and mixed duties?
In Article 6 of the 2016 Law on Export and Import Duties in Vietnam, the basis for calculation of fixed duties and mixed duties as follows:
- The amount of fixed export or import duty imposed depends on the actual quantity of exports or imports and the amount of duty per unit of goods at the time of tax calculation.
- The amount of mixed duty imposed upon exported or imported goods is the total amount of proportional tax and fixed tax as prescribed by Clause 1 Article 5 and Clause 1 Article 6 of the 2016 Law on Export and Import Duties in Vietnam.
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