Vietnam: Customs declarants are classified according to what risk levels?

According to Circular No. 81/2019/TT-BTC of the Ministry of Finance of Vietnam, enterprises participating in import, export and transit activities; customs brokerage agents; enterprises providing international postal services, enterprises providing international express delivery services; transport owners, persons authorized by owners of transports making entry, exit and transit; enterprises providing warehouses, storage and ports shall be classified in one of following risk levels:

- Level 1: Prioritized enterprises are enterprises specified in Point a Clause 1 Article 12 of this Circular.

- Level 2: Customs declarant with very low risk.

- Level 3: Customs declarant with low risks.

- Level 4: Customs declarant with moderate risks.

- Level 5: Customs declarant with high risks.

- Level 6: Customs declarant with very high risks.

- Level 7: Customs declarant participating in goods import and export activities less than 365 days from the date of assessment and committing no violations.

- Level 8: Customs declarant participating in goods import and export activities less than 365 days from the date of assessment and being sanctioned against violations except those specified in Level 9 of this Article.

- Level 9: Customs declarant participating in goods import and export activities less than 365 days from the date of assessment and being sanctioned against violations specified under Section I and Section II of Annex VI attached to this Circular.

Besides, Circular No. 81/2019/TT-BTC also stipulates that risk level 2 to risk level 6 of customs declarants, enterprises providing warehouses, storage and ports shall be classified based on factors specified in Article 15 of Decree No. 08/2015/NĐ-CP of Vietnam’s Government as follows:

- Compliance level of customs declarant, enterprises providing warehouses, storage and ports specified in Article 10 of this Circular.

- Year of establishment; head office; number of personnel; type of enterprise; information about owner of enterprise; capital; participation in the stock market.

- Period and frequency of activity, route; goods, type of import and export; export and import turnovers, total submitted tax; sales, profits; results of inspection, examination, post clearance examination, inspection and investigation of customs authorities, tax authorities and other relevant agencies.

- Frequency, nature, severity of the violations and compliance with customs laws; compliance with tax regulations and law; compliance with regulations and law on post, transport, commercial and other regulations and law relating to import, export, entry, exit and transit activities.

- Previous violations relating to goods owners, consignors and consignees.

- Purposes and requests for customs management from time to time.

- Signs of risks and signs of violations against regulations and law on customs.

View more details at Circular No. 81/2019/TT-BTC of the Ministry of Finance of Vietnam, effective from January 01, 2020.

Thu Ba

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