Circular No. 128/2016/TT-BTC provides for exemptions and reductions of export taxes on environmentally friendly products and products from recycling and waste treatment activities as specified in Decree No. 19/2015/NĐ-CP dated February 14, 2015, detailing certain provisions of the Law on Environmental Protection.

CIRCULAR

Regulations on exemption and reduction of export duties for environmentally friendly products; products from recycling and waste treatment activities as specified in Decree No. 19/2015/NĐ-CP dated February 14, 2015 of the Government detailing implementation of certain provisions of the Law on Environmental Protection

Pursuant to the Law on Export Duties and Import Duties No. 45/2005/QH11 dated June 14, 2005;

Pursuant to the Law on Export Duties and Import Duties No. 107/2016/QH13 dated April 6, 2016;

Pursuant to Decree No. 87/2010/NĐ-CP dated August 13, 2010 of the Government detailing implementation of certain provisions of the Law on Export Duties and Import Duties;

Pursuant to Decree No. 19/2015/NĐ-CP dated February 14, 2015 of the Government detailing implementation of certain provisions of the Law on Environmental Protection;

Pursuant to Decree No. 215/2013/NĐ-CP dated December 23, 2013 of the Government stipulating functions, tasks, powers, and organizational structure of the Ministry of Finance;

Implementing the guidance of the Prime Minister in Circular No. 2030/VPCP-KTTH dated March 28, 2016 of the Government Office.

In accordance with the proposal of the Director of the Department of Tax Policy,

The Minister of Finance issues this Circular to regulate the exemption and reduction of export duties for environmentally friendly products; products from recycling and waste treatment activities as specified in Decree No. 19/2015/NĐ-CP dated February 14, 2015 of the Government detailing implementation of certain provisions of the Law on Environmental Protection (hereinafter referred to as Decree No. 19/2015/NĐ-CP).

Article 1. Scope of Regulation

Article 1. This Circular regulates the exemption and reduction of export duties for environmentally friendly products; products from recycling and waste treatment activities as specified in Clause 12 of Appendix III of the List of Environmental Protection Activities Eligible for Preferential Treatment issued together with Decree No. 19/2015/NĐ-CP.

Article 2. From the date the Law on Export Duties and Import Duties No. 107/2016/QH13 dated April 6, 2016 comes into effect, the exemption of export duties for environmentally friendly products, products from recycling and waste treatment activities shall be implemented according to the provisions of the Law on Export Duties and Import Duties No. 107/2016/QH13 and guiding documents.

Article 2. Applicability

Organizations and individuals producing, trading, and exporting environmentally friendly products; products from recycling and waste treatment activities as specified in Clause 12 of Appendix III of the List of Environmental Protection Activities Eligible for Preferential Treatment issued together with Decree No. 19/2015/NĐ-CP.

Article 3. Exemption and Reduction of Export Duties

Clause 1. Exempt export duties for environmentally friendly products listed in the Export Tariff and having a certificate of the Green Label of Vietnam as guided by the Ministry of Natural Resources and Environment, and reduce 50% of the export duty rate (if the reduced export duty rate is lower than the floor rate of the tariff range set by the Standing Committee of the National Assembly, then the floor rate of the tariff range will be applied) for products from recycling and waste treatment activities listed in the Export Tariff and certified by competent state authorities as guided by the Ministry of Natural Resources and Environment, as provided for in Clause 2, Article 44 of Decree No. 19/2015/NĐ-CP, from the date Decree No. 19/2015/NĐ-CP takes effect.

Clause 2. If environmentally friendly products, products from recycling and waste treatment activities mentioned in Clause 1 of this Article are not listed in the Export Tariff, when exported, they shall be handled according to the provisions of Clause 2, Article 2 of Circular No. 182/2015/TT-BTC dated November 16, 2015 of the Minister of Finance promulgating the Export Tariff and the Import Tariff for Preferential Treatment based on the list of taxable goods.

Clause 3. If organizations and individuals have paid more export duties than the amount exempted or reduced for environmentally friendly products, products from recycling and waste treatment activities mentioned in Clause 1 of this Article, the excess tax paid shall be handled according to the provisions of Circular No. 38/2015/TT-BTC dated March 25, 2015 of the Minister of Finance on customs procedures, inspection, supervision, export duties, import duties, and management of taxes for imported and exported goods (hereinafter referred to as Circular No. 38/2015/TT-BTC).

Article 4. Customs documents for exported goods enjoying preferential exemptions or reductions in export tax

1. Customs documents for exported goods enjoying preferential exemptions or reductions in export tax shall be implemented in accordance with Article 16 of Circular No. 38/2015/TT-BTC and must include a copy of the Vietnamese Green Label certification document as guided by the Ministry of Natural Resources and Environment or a copy of the certificate of products from recycling or waste treatment activities issued by competent state authorities.

2. Other contents related to customs procedures; customs inspection and supervision; export tax and tax management for exported goods not mentioned in this Circular shall be implemented in accordance with the guidance provided in Circular No. 38/2015/TT-BTC, the Export Tax Law, Import Tax Law No. 107/2016/QH13, and other guiding documents for the implementation of the Export Tax Law and Import Tax Law No. 107/2016/QH13.

Article 5. Effective Date

1. This Circular takes effect from September 23, 2016.

2. In the course of implementation, if there are any difficulties, organizations and individuals concerned are requested to promptly reflect them to the Ministry of Finance for appropriate amendments and supplements./.