Decree No. 148/2004/ND-CP amends and supplements Clause 1 of Article 7 of Decree No. 158/2003/ND-CP dated December 10, 2003, of the Government detailing the implementation of the Value Added Tax Law and the Law Amending and Supplementing Certain Provisions of the Value Added Tax Law.

DECREE OF THE GOVERNMENT

Amending and supplementing Clause 1 of Article 7 of Decree No. 158/2003/NĐ-CP dated December 10, 2003 of the Government detailing the implementation of the Law on Value Added Tax and the Law amending and supplementing certain provisions of the Law on Value Added Taxdated December 10, 2003 of the Government detailing the implementation of the Law on Value Added Tax and the Law amending and supplementing certain provisions of the Law on Value Added Tax Pursuant to the Law on Value Added Tax No. 02/1997/QH9 dated May 10, 1997 and the Law amending and supplementing certain provisions of the Law on Value Added Tax No. 07/2003/QH11 dated June 17, 2003; Amending and supplementing Clause 1 of Article 7 of Decree No. 158/2003/NĐ-CP dated December 10, 2003 of the Government detailing the implementation of the Law on Value Added Tax and the Law amending and supplementing certain provisions of the Law on Value Added Tax as follows:

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THE GOVERNMENT

Pursuant to the Law on Organization of the Government dated December 25, 2001;

"1. The tax rate of 0% shall apply to: export goods and services, including exported processed goods, goods and services exempt from value added tax when exported.

At the proposal of the Minister of Finance,

DECREE:

Article 1. a) Export services include: services directly provided to organizations and individuals outside Vietnam and consumed outside the territory of Vietnam; services provided to export processing zones;

b) Export goods include: goods exported abroad, goods exported into export processing zones, or goods exported to export processing zone enterprises, and other specific cases considered as exports according to the regulations of the Government;
c) The following cases are not subject to value added tax at the 0% rate: international transportation; goods and services directly supplied for international transportation; outbound travel agency services; outbound reinsurance services; foreign credit, financial investment, and securities investment; mineral resources extracted without processing as specified in Clause 26, Article 4 of this Decree are not subject to value added tax."
b) Export goods include: goods exported to foreign countries, goods exported to export processing zones, or goods exported to export processing enterprises, and other specific cases considered as exports according to the provisions of the Government;

c) The following cases are not subject to value-added tax at a rate of 0%: international transportation; goods and services directly supplied for international transportation; outbound travel agency services; reinsurance services provided abroad; credit, financial investment, and securities investment abroad; unprocessed mineral resources extracted and exported as specified in Clause 26, Article 4 of this Decree are not subject to value-added tax."

Article 2. This Decree shall take effect fifteen days after its publication in the Official Gazette.

Article 3. The Ministry of Finance shall provide guidance on the implementation of this Decree;

Article 4. The Ministers, Heads of Ministries equivalent to ministries, Heads of government agencies, and Chairmen of provincial people's committees directly under the central government shall be responsible for implementing this Decree./.