Procedure for Tax Exemption for Import and Export Goods Without Registered Tax Exemption List

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The Editorial Board of THU KY LUAT provides the following clarification for Ms. Ha's issue:

According to Clause 2, Article 105 of Circular 38/2015/TT-BTC, the procedures for tax exemption for goods that do not need to be registered in the list of export and import goods exempt from tax are as follows:

- The taxpayer must calculate and declare the amount of tax exempted for each item (except for goods exported and imported under the type of processing), on the customs declaration as in the case of tax payment;

- The customs authority, based on the tax exemption dossier and the amount of tax requested to be exempted, will compare it with the current regulations to carry out the tax exemption procedures for each customs declaration according to the regulations;

- In case the customs authority inspects and determines that exported or imported goods do not fall under the tax exemption category as declared, it will carry out procedures to collect taxes and impose penalties for violations (if any) according to the regulations.

In case taxpayers encounter difficulties due to objective reasons, and in other cases where they are entitled to tax exemption of export and import taxes according to the Government of Vietnam's regulations, the procedures are as follows:

- The taxpayer must determine the amount of tax requested to be exempted and submit a written petition (accompanied by relevant documents) to the General Department of Customs to request the Ministry of Finance to report to the Prime Minister for tax exemption consideration;

- The General Department of Customs will recheck the entire dossier. If the dossier is incomplete or needs further clarification of the reasons for the tax exemption request, a written request for supplementation will be issued. After having objective grounds, the General Department of Customs will draft an official letter to report to the Ministry of Finance for submission to the Prime Minister for consideration;

- Based on the Prime Minister’s directive, the Ministry of Finance will issue a notification to the taxpayer and the relevant customs authority for implementation;

- The customs authority where the export and import procedures are carried out must exempt the export and import tax for the goods approved for tax exemption by the Prime Minister, or fully collect the tax according to the Prime Minister's directive.

In summary, for goods not required to be registered in the list of export and import goods exempt from tax, the taxpayer must self-determine the amount of tax requested to be exempted; then, the customs authority, based on the tax exemption dossier and the amount of tax requested to be exempted, compares it with the current regulations to carry out the tax exemption procedures.

Nguyen Trinh

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