Procedure for Applying Preferential Export Tax of Vietnam under the EVFTA Agreement

The procedures for applying preferential export tax are stipulated in the Draft Decree on the Preferential Export Tariff, Preferential Import Tariff of Vietnam to implement the Free Trade Agreement between the Socialist Republic of Vietnam and the European Union for the period 2020 – 2022, as follows:

Procedures for applying Vietnam's preferential export tax under the EVFTA (illustrative image)

+ At the time of customs procedure, the customs declarant shall declare the export declaration, apply the export tax rate, calculate tax, and pay taxes according to the Export Tariff provided in the List of taxable items in Decree 125/2017/ND-CP dated November 16, 2017, of the Government of Vietnam amending and supplementing some articles of Decree 122/2016/ND-CP dated September 01, 2016, of the Government of Vietnam on Export Tariff, Preferential Import Tariff, List of commodities and absolute tax rates, mixed tax, import taxes outside the quota and revising documents (if any);

+ Within 01 year from the date of export declaration registration, the customs declarant shall submit all documents proving that the goods meet the stipulated conditions (01 copy) and make supplementary declarations to apply the preferential export tax rate under the EVFTA. If the above 01-year period expires, the exported goods shall not be subject to the preferential export tax rate under the EVFTA;

+ The customs authority shall examine the dossier, check the preferential export tax rate under the Preferential Export Tariff prescribed in Appendix I issued together with this Decree. If the exported goods meet all the stipulated conditions, the preferential export tax rate under the EVFTA shall be applied, and handle the excess tax paid to the customs declarant according to the regulations of the tax management law.

See details in the Draft Decree on the Preferential Export Tariff, Preferential Import Tariff of Vietnam to implement the Free Trade Agreement between the Socialist Republic of Vietnam and the European Union for the period 2020 – 2022.

Long Binh

>> CLICK HERE TO READ THIS ARTICLE IN VIETNAMESE