Decree No. 131/2024/NĐ-CP on the preferential import tariff schedule for special treatment of Vietnam to implement the Free Trade Agreement between the Government of the Socialist Republic of Vietnam and the Government of Israel for the period 2024-2027.

N |||DECREE

Tariff Schedule for Vietnam's Special Preferential Import Tax Rates to Implement the Free Trade Agreement between the Government of the Socialist Republic of Vietnam and the Government of the State of Israel for the Period 2024-2027

Pursuant to the Law on Organization of the Government dated June 19, 2015; the Law Amending and Supplementing Certain Provisions of the Law on Organization of the Government and the Law on Organization of Local Administration dated November 22, 2019;

Pursuant to the Law on Export Duties and Import Duties dated April 6, 2016;

Pursuant to the Customs Law dated June 23, 2014;

Pursuant to the ASEAN Framework Agreement on Facilitation of Intra-Regional Land Transport signed on December 10, 2009;

Pursuant to the Law on Tax Administration dated June 13, 2019;

To implement the Free Trade Agreement between the Government of the Socialist Republic of Vietnam and the Government of the State of Israel which becomes effective from October 15, 2024;

At the proposal of the Minister of Finance;

The Government promulgates this Decree on the Tariff Schedule for Vietnam's Special Preferential Import Tax Rates to Implement the Free Trade Agreement between the Government of the Socialist Republic of Vietnam and the Government of the State of Israel for the Period 2024-2027.

Article 1. Scope of Regulation

This Decree promulgates the Tariff Schedule for Vietnam's Special Preferential Import Tax Rates to Implement the Free Trade Agreement between the Government of the Socialist Republic of Vietnam and the Government of the State of Israel (hereinafter referred to as the VIFTA Agreement) for the period 2024-2027 and the conditions for enjoying the special preferential import tax rates under this Agreement.

Article 2. Applicability

1. Taxpayers as prescribed by the Law on Export Duties and Import Duties.

2. Customs authorities, customs officers.

3. Organizations and individuals with rights and obligations related to exported and imported goods.

Article 3. Tariff Schedule for Vietnam's Special Preferential Import Tax Rates to Implement the VIFTA Agreement for the Period 2024-2027

1. The Tariff Schedule for Vietnam's Special Preferential Import Tax Rates to Implement the VIFTA Agreement for the Period 2024-2027 (hereinafter referred to as the Special Preferential Import Tariff Schedule) includes the commodity code, description of goods, special preferential import tax rate according to each phase imported from the territory of Israel into Vietnam for each commodity code.

2. The columns "Commodity Code" and "Description of Goods" in the Special Preferential Import Tariff Schedule issued together with this Decree are based on the List of Exported and Imported Goods of Vietnam and detailed according to the 8-digit or 10-digit coding level.

In case the List of Exported and Imported Goods of Vietnam is amended or supplemented, the declarant shall declare the description and commodity code according to the amended or supplemented List of Exported and Imported Goods and apply the special preferential import tax rate of the amended or supplemented commodity code specified in the Special Preferential Import Tariff Schedule issued together with this Decree.

Classification of goods shall be carried out in accordance with the provisions of Vietnamese law.

3. The column "VIFTA Rate (%)" in the Special Preferential Import Tariff Schedule: The tax rate applicable for different phases, including:

a) Column "2024": The tax rate applicable from October 15, 2024 to December 31, 2024;

b) Column "2025": The tax rate applicable from January 1, 2025 to December 31, 2025;

c) Column "2026": The tax rate applicable from January 1, 2026 to December 31, 2026;

d) Column "2027": The tax rate applicable from January 1, 2027 to December 31, 2027.

4. Symbol "*": Imported goods are not eligible for the special preferential import tax rate of the VIFTA Agreement. The management of imports and the import tax rates for these items shall be implemented in accordance with the provisions of the law.

5. The special preferential import tax rate for certain items belonging to groups 04.07; 17.01; 24.01; 25.01 only applies within the quota; the list and quantity of annual import quotas are stipulated by the Ministry of Industry and Trade, and the import tax rate outside the quota is applied according to the Export Tariff Schedule, the Preferential Import Tariff Schedule, the List of Goods and Absolute Tariffs, Mixed Tariffs, and Import Tariffs Outside Quotas of the Government at the time of import.

Article 4. Conditions for Application

Imported goods subject to the special preferential import tariff rate under the VIFTA Agreement must satisfy the following conditions:

1. They must be listed in the Special Preferential Import Tariff Schedule issued together with this Decree.

2. They must be imported from Israel into Vietnam.

3. They must comply with the rules of origin and have certificates of origin in accordance with the provisions of the VIFTA Agreement and current regulations.

Article 5. Goods from Vietnam's Duty-Free Zones

Goods from Vietnam's duty-free zones imported into the domestic market shall be subject to the special preferential import tariff rate under the VIFTA Agreement if they meet the conditions specified in Clause 1 and Clause 3 of Article 4 of this Decree.

Article 6. Effectiveness

This Decree takes effect from October 15, 2024 until December 31, 2027.

Article 7. Responsibility for Implementation

The Minister, Heads of ministerial-level agencies, Heads of government agencies, Chairpersons of provincial and centrally governed city People's Committees, and relevant organizations and individuals are responsible for implementing this Decree.