Recently, the Government of Vietnam has issued the Decree No. 100/2020/NĐ-CP of Vietnam’s Government on duty-free business, officially effective from October 15, 2020.
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According to Article 7 of the Decree No. 167/2016/NĐ-CP of Vietnam’s Government, currencies paid for goods bought in duty-free shops include: VND; freely convertible currencies; the currency used by the country that shares the land border with Vietnam at the border region where the duty-free shop is located.
However, the Decree No. 100/2020/NĐ-CP of Vietnam’s Government promulgated, replacing Decree No. 167/2016/NĐ-CP, has supplemented currency of the country where an international flight of an airline established and operating under Vietnamese law enters or transits through to currencies used in duty-free sales transactions.
Thus, from October 15, 2020, currencies used in duty-free sales transactions include:
- Vietnam Dong.
- United States Dollar (USD), Euro (EUR).
- Currency of the country sharing land border with the place where a duty-free shop is located in a border area.
- Currency of the country where an international flight of an airline established and operating under Vietnamese law enters or transits through.
Besides, Decree No. 100/2020/NĐ-CP of Vietnam’s Government also newly stipulates that tax policies for goods sold in duty-free shops and stored in duty-free goods warehouses shall comply with relevant regulations of laws on tax and tax administration.
Moreover, Decree No. 100/2020/NĐ-CP also supplements online duty-free sale procedures specified in Article 19 herein. Particularly, the duty-free business shall perform the following duties:
- Input information on the buyer and goods to the electronic data processing system upon acceptance of an order and successful payment. For duty-free sale to persons waiting to exit Vietnam, persons exiting/transiting through Vietnam via international civil airports, update their information by scanning the boarding pass barcode before inspecting and comparing information according to regulations in Point b herein;.
- Upon goods delivery to the buyer, inspect and compare information declared by the buyer for online purchase with information on buyer-related documents as per regulations for each type of buyer.
View more details at the Decree No. 100/2020/NĐ-CP of Vietnam’s Government, effective from October 15, 2020.
Le Hai
- Key word:
- Decree No. 100/2020/NĐ-CP
