Circular No. 164/2013/TT-BTC Issuing Export Tax Rates Table and Preferential Import Tax Rates Table according to the List of Taxable Goods

CIRCULAR

Issuing the Export Tariff, the Import Preferential Tariff

 according to the list of taxable goods

_____________

Pursuant to the Law on Export Tax and Import Tax dated June 14, 2005;

Pursuant to Resolution No. 71/2006/QH11 dated November 29, 2006 of the National Assembly approving the Accession Protocol to the World Trade Organization Agreement of the Socialist Republic of Vietnam;

Pursuant to Resolution No. 295/2007/NQ-UBTVQH12 dated September 28, 2007 of the Standing Committee of the National Assembly on issuing the Export Tariff according to the list of taxable goods groups and the tariff rate framework for each group, the Import Preferential Tariff according to the list of taxable goods groups and the preferential tariff rate framework for each group;

Pursuant to Resolution No. 710/2008/NQ-UBTVQH12 dated November 22, 2008 of the Standing Committee of the National Assembly amending Resolution No. 295/2007/NQ-UBTVQH12 dated September 28, 2007;

Pursuant to Resolution No. 830/2009/UBTV12 dated October 17, 2009 of the Standing Committee of the National Assembly amending Resolution No. 295/2007/NQ-UBTVQH12 dated September 28, 2007 and Resolution No. 710/2008/NQ-UBTVQH12 dated November 22, 2008;

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

Pursuant to the Decree No. 118/2008/NĐ-CP dated November 27, 2008 of the Government stipulating the functions, tasks, powers, and organizational structure of the Ministry of Finance;

Implementing Directive No. 09/CT-TTg dated May 24, 2013 of the Prime Minister on strengthening guidance and implementation of state financial and budget tasks in 2013;

Implementing the conclusion of the Prime Minister in Notification No. 302/TB-VPCP dated August 12, 2013 of the Government Office;

At the proposal of the Director of the Tax Policy Department;

The Minister of Finance issues this Circular on Export Tariff Table, Import Tariff Table for Preferential Treatment according to the List of Goods Subject to Taxation.

Article 1. Issuing the Export Tariff, the Import Preferential Tariff according to the list of taxable goods

1. National Technical Regulation on Railway Traffic Signals, number QCVN 21:2025/BXD.

1. Export Tariff Table according to the List of Goods Subject to Taxation as specified in Appendix I.

2. Import Tariff Table for Preferential Treatment according to the List of Goods Subject to Taxation as specified in Appendix II.

Article 2. Export Tariff Table according to the List of Goods Subject to Taxation

1. The Export Tariff according to the list of taxable goods specified in Appendix I includes the description of goods and commodity code (eight digits), the export tax rate prescribed for each taxable export item.

2. In cases where the exported goods are not specifically named in the Export Tariff, when processing customs procedures, the declarant must still declare the commodity code of the exported goods corresponding to the eight-digit commodity code of that good in the Import Preferential Tariff specified in Section I of Appendix II attached hereto and record the export tax rate as 0% (zero percent).

3. Export tax on exported goods produced or processed from imported raw materials:

a) In cases where goods meet the conditions to be determined as being produced or processed from entirely imported raw materials, no export tax shall be paid. For wood products, if they include paint, varnish, nails, these items are considered auxiliary materials.

b) In cases where goods are produced or processed from two sources: Imported raw materials and domestically sourced raw materials, no export tax shall be paid for the quantity of goods exported corresponding to the quantity of imported raw materials actually used in producing or processing the exported goods. The quantity of goods exported produced or processed from domestic raw materials shall be subject to export tax at the export tax rate prescribed for such exported goods.

c) Documentation for exemption from export tax for exported goods shall be carried out in accordance with the guidelines set forth in Clause 2, Article 126 of Circular No. 128/2013/TT-BTC dated September 10, 2013 of the Ministry of Finance regarding customs procedures; customs inspection and supervision; export tax, import tax, and tax management for exported and imported goods.

4. Wood charcoal products under commodity code 4402.90.90 shall apply an export tax rate of 5% as stipulated in the Export Tariff List and must meet technical criteria as follows:

Article 3. Tariff Schedule for Import Preferential Tax Preferential according to the list of taxable goods

"Article 7b. The rate of the granted import tax for raw materials, components, spare parts for manufacturing, processing (assembly) priority supporting industrial products for the automobile manufacturing industry during the period from 2020 to 2024 (referred to as the Preferential Tax Program for Supporting Industrial Products for Automobiles)

1. Section I: Specifies the preferential import tariff rates applicable to 97 chapters according to the list of imported goods in Vietnam. Content includes the names of Parts, Chapters, Explanations of Parts, Explanations of Chapters; the Tariff List detailing goods (group item names and item names), commodity codes (eight digits), and the preferential import tariff rates prescribed for taxable items.

2. Section II: Chapter 98 - Specifies commodity codes and preferential import tariff rates separately applicable to certain commodity groups and commodities.

2.1. Explanation and conditions for applying separate preferential import tariff rates specifically in Chapter 98.

a) Explanation of the chapter: Commodity items named in Clause 1, Part I, Section II, Appendix II issued together with this Circular shall be subject to separate preferential import tariff rates in Chapter 98.

b) Explanation of the group:

- Classification of commodity codes and application of separate preferential import tariff rates for complete knock-down (CKD) automobile parts shall be implemented in accordance with Clause 2.1, Part I, Section II of Appendix II issued together with this Circular;

- Items such as surface treatment chemicals for coated fabric and artificial leather in Group 98.06; Kraft paper used for cement bags that has been bleached in Group 98.07; alloy steel containing boron in Group 98.11; skin protection cream and scar reduction gel in Group 98.25; nylon curtain fabrics 1680/D/2 and 1890 D/2 in Group 98.26; copper wire with a cross-sectional area of up to 6 mm but not more than 8 mm in Group 98.30 shall apply separate preferential import tariff rates in Chapter 98 if they meet specific technical standards and parameters as detailed in Clauses 2.2, 2.3, 2.4, 2.5, 2.6, and 2.7, Part I, Section II of Appendix II issued together with this Circular.

c) Method of classification, conditions for applying separate preferential import tariff rates recorded in Chapter 98, finalization of imports, and usage of items in Chapter 98: Shall be implemented in accordance with Clause 3, Part I, Section II of Appendix II issued together with this Circular.

2.2. The list of group item names, item names, and preferential import tariff rates includes: Commodity codes of group items, items in Chapter 98; descriptions of goods (group item names, item names); corresponding commodity codes of those group items, items in Section I of Appendix II (97 chapters according to the Vietnamese Import Tariff List) and the separate preferential import tariff rates applied in Chapter 98 shall be implemented in accordance with specific provisions in Part II, Section II of Appendix II issued together with this Circular.

2.3. Groups of items, items with names and implementing separate preferential import tariff rates prescribed in Chapter 98, if meeting the conditions to apply special preferential import tariff rates according to current regulations, may choose to apply special preferential import tariff rates prescribed in Circulars issuing special preferential import tariffs or separate preferential import tariff rates prescribed in Chapter 98 of this Circular.

2.4. When processing customs formalities, the declarant must declare the commodity code according to the "Corresponding Commodity Code at Section I, Appendix II" column in Chapter 98 and note the Chapter 98 commodity code beside it.

Example: When importing bleached Kraft paper used for cement bags, the declarant declares the commodity code as 4804.29.00 (9807.00.00), with a preferential import tariff rate of 3%.

Article 4. Implementation schedule for preferential import tax rates for certain items under groups 27.07, 29.02, and 39.02

Certain items under groups 27.07, 29.02, and 39.02 shall apply preferential import tax rates according to the following schedule:

1. From January 1, 2014 to December 31, 2014: Apply the preferential import tax rate as specified in Section I of Appendix II attached hereto.

2. From January 1, 2015 onwards: Apply the preferential import tax rate according to the schedule set forth below:

Article 5. Preferential import tax on used motor vehicles imported

The preferential import tax on used motor vehicles imported is stipulated as follows:

1. Passenger cars with up to 15 seats (including driver) under groups 87.02 and 87.03 shall apply the import tax rate as prescribed in Decision No. 36/2011/QD-TTg dated June 29, 2011 of the Prime Minister regarding the preferential import tax rate for passenger cars with up to 15 seats used, Decision No. 24/2013/QD-TTg dated May 3, 2013 amending and supplementing Clause 1 of Article 1 of Decision No. 36/2011/QD-TTg dated June 29, 2011, and guiding documents issued by the Ministry of Finance adjusting the import tax rate.

2. The preferential import tax rate for passenger cars with more than 15 seats (including driver) under group 87.02 and cargo trucks with a total weight not exceeding 5 tons under group 87.04 (excluding refrigerated trucks, waste collection trucks with compaction units, tank trucks, armored trucks for transporting valuable goods; cement mixer trucks and trucks with detachable mud tanks) is 150%.

3. The preferential import tax rate for other types of motor vehicles under groups 87.02, 87.03, and 87.04 is 1.5 times the preferential import tax rate for new motor vehicles of the same type under groups 87.02, 87.03, and 87.04 as specified in Section I of Appendix II - Preferential Import Tariff Schedule accompanying this Circular.

Article 6. Implementation Organization

1. This Circular takes effect from January 1, 2014.

2. This Circular abolishes:

a) Circular No. 193/2012/TT-BTC dated November 15, 2012 of the Ministry of Finance promulgating the Export Tax Schedule and Preferential Import Tax Schedule according to the list of taxable goods.

b) Circular No. 208/2012/TT-BTC dated November 30, 2012 of the Ministry of Finance amending the preferential import tax rate for aviation gasoline and fuel oil under group 27.10 in the Preferential Import Tax Schedule.

c) Circular No. 12/2013/TT-BTC dated January 21, 2013 of the Ministry of Finance amending the preferential import tax rate for non-alloy steel under code 7217.10.39 in the Preferential Import Tax Schedule.

d) Circular No. 38/2013/TT-BTC dated April 4, 2013 of the Ministry of Finance amending the preferential import tax rate for goods under groups 39.03, 54.02, 59.02, and 72.17 in the Preferential Import Tax Schedule.

e) Circular No. 39/2013/TT-BTC dated April 9, 2013 of the Ministry of Finance amending the preferential import tax rate for hydrogen peroxide under code 2847.00.10 in the Preferential Import Tax Schedule.

g) Circular No. 44/2013/TT-BTC dated April 25, 2013 of the Ministry of Finance amending the export tax rate for mineral products in the Export Tax Schedule.

h) Circular No. 56/2013/TT-BTC dated May 6, 2013 of the Ministry of Finance amending the export tax rate for plantation wood charcoal under group 44.02 in the Export Tax Schedule.

i) Circular No. 70/2013/TT-BTC dated May 22, 2013 of the Ministry of Finance amending the preferential import tax rate for goods under group 27.10 in the Preferential Import Tax Schedule.

k) Circular No. 71/2013/TT-BTC dated May 23, 2013 of the Ministry of Finance amending the export tax rate for coal under groups 27.01 and 27.04 in the Preferential Export Tax Schedule.

l) Circular No. 79/2013/TT-BTC dated June 7, 2013 of the Ministry of Finance amending the preferential import tax rate for certain goods under group 17.02 in the Preferential Import Tax Schedule.

m) Circular No. 107/2013/TT-BTC dated August 12, 2013 of the Ministry of Finance amending the preferential import tax rate for certain goods under groups 27.07, 29.02, and 39.02 in the Preferential Import Tax Schedule.

n) Circular No. 120/2013/TT-BTC dated August 27, 2013 of the Ministry of Finance amending and supplementing the description of goods under group 98.25 in Chapter 98 of the Preferential Import Tax Schedule promulgated by Circular No. 193/2012/TT-BTC dated November 15, 2012 of the Ministry of Finance.

o) Circular No. 124/2013/TT-BTC dated August 30, 2013 of the Ministry of Finance amending the export tax rate for certain goods under group 27.01 in the Export Tax Schedule.

p) Circular No. 125/2013/TT-BTC dated August 30, 2013 of the Ministry of Finance amending the preferential import tax rate for certain goods under codes 2836.30.00, 2916.31.00, 3302.10.90, and 3824.90.70 in the Preferential Import Tax Schedule.

q) Circular No. 157/2013/TT-BTC dated November 11, 2013 of the Ministry of Finance amending the export tax rate for rubber under groups 40.01, 40.02, and 40.05 in the Export Tax Schedule promulgated by Circular No. 193/2012/TT-BTC dated November 15, 2012.

r) Other regulations of the Ministry of Finance on export taxes and preferential import taxes that conflict with the provisions of this Circular.

3. During implementation, if related documents cited in this Circular are amended, supplemented, or replaced, they shall be implemented according to the amended, supplemented, or replacement documents./.