Circular guiding the import tax policy for complete sets of assembled components imported to assemble mechanical-electrical-electronic products from January 1, 2001. The document specifies the calculation of taxes based on the rate of domestic production or classification of goods in the Import Tariff.
Scope of application
Enterprises are permitted to import complete sets of assembled components of mechanical-electrical-electronic products for domestic production and assembly
Key points
- Enterprises meeting the conditions and registering to implement the tax policy according to the rate of domestic production → calculate import taxes based on the achieved rate of domestic production (Article 1)
- Enterprises not registering to implement the tax policy according to the rate of domestic production → apply classification of goods in the Import Tariff to calculate the import tariff rate for that product in its original form (Article 2)
- Enterprises producing and assembling mechanical-electrical-electronic products benefit from reduced import taxes if they meet the rate of domestic production
- Enterprises not registering to implement the tax policy according to the rate of domestic production will have to bear a higher tax rate
🌐 Social impact of this document
- Enterprises producing and assembling mechanical-electrical-electronic products benefit from reduced import taxes if they meet the rate of domestic production
- Enterprises not registering to implement the tax policy according to the rate of domestic production will have to bear a higher tax rate
❓ Frequently asked questions
Which enterprises are eligible for calculating import taxes based on the rate of domestic production?
Enterprises meeting the conditions and registering to implement the tax policy according to the rate of domestic production.
If not registering to implement the tax policy according to the rate of domestic production, how should enterprises classify goods?
Classify goods in the Import Tariff to calculate the import tariff rate for that product in its original form.
When does this document take effect?
From January 1, 2001.
Full text
LETTER
OF THE MINISTRY OF FINANCE NUMBER 1747/TC/TCT DATED MARCH 5, 2001
REGARDING CUSTOMS DUTY POLICY
RESPECTED: General Department of Customs
The Ministry of Finance has received comments from several enterprises reflecting difficulties in calculating import duties for imported sets of assembled components used to assemble mechanical-electrical-electronic products. To ensure uniform application of import duty calculation for imported sets of assembled components for mechanical-electrical-electronic products, the Ministry of Finance provides guidance as follows:
Pursuant to the provisions of Decision No. 1944/1988/QĐ/BTC dated December 25, 1998, Decision No. 71/1999/QĐ/BTC dated July 6, 1999, and Decision No. 159/2000/QĐ/BTC dated September 26, 2000 of the Minister of Finance, Circular No. 50A TC/TCT dated July 31, 1997 of the Ministry of Finance is only effective until December 31, 2000. As of January 1, 2001, for enterprises permitted to import sets of assembled components of mechanical-electrical-electronic products for domestic production and assembly, we request the General Department of Customs to instruct local customs offices to implement the guidance below:
- In cases where enterprises meet the conditions and register to apply tax policy according to the rate of localization as stipulated in Circular Joint No. 176/1998/TTLT-BTC-BCN-TCHQ dated December 25, 1998 by the Ministry of Finance, Ministry of Industry - General Department of Customs and Circular Joint No. 120/2000/TTLT-BTC-BCN-TCHQ dated December 25, 2000 supplementing and amending the aforementioned Circular No. 176/1998, then import duties shall be calculated according to the rate of localization achieved as provided in Decision No. 1944/1998/QĐ/BTC dated December 25, 1998 of the Minister of Finance.
- In cases where enterprises do not register to apply tax policy according to the rate of localization, if goods are permitted for importation, then the principle of classifying goods in the Import Tariff Schedule (applying classification and calculating the import duty rate applicable to such goods in their original form) shall be applied.
Relations map
Click a document to open. A red border = a relation that changes validity.
Translations
This document is available in the following languages: