JOINT CIRCULAR No. 30/1998/TTLT-BTC-BTM-BNV-TCHQ on affixing labels to imported goods

JOINT CIRCULAR

JOINT CIRCULAR NO. 30/1998/TTLT-BTC-BTM-BNV-TCHQ OF THE MINISTRIES OF FINANCE, TRADE AND INTERIOR AND THE GENERAL DEPARTMENT OF CUSTOMS DATED MARCH 16, 1998 ON STICKING IMPORT LABELS

Pursuant to Directive No. 853/1997/CT-TTg dated October 11, 1997 of the Prime Minister on combating smuggling under new circumstances;
Pursuant to Circular No. 311/VPCP-VI dated January 24, 1998 of the Government Office announcing the Prime Minister's directive on sticking import labels;
The Joint Ministries of Finance, Trade, Interior, and the General Department of Customs hereby provide guidance on sticking import labels for four groups of imported goods: electronic products, refrigeration equipment, internal combustion engines, and building materials as follows:

A. OBJECTS REQUIRED TO BE STICKED WITH IMPORT LABELS

1. As of 8:00 AM on April 1, 1998, all of the following items produced outside Vietnam, which are imported or circulated in the market including those in storage, on display, or in transit, must be stuck with import labels in accordance with the regulations:

- Complete television sets.

- Complete video players.

- Household refrigerators.

- Window or wall-mounted air conditioners operating independently.

- Internal combustion engines.

All of the above items, whether new or used.

- Sanitary ceramics: toilet bowls, washbasins.

1.1. For the items specified in Point 1 from April 1, 1998, when importing, the customs authority shall affix the label at the place where goods are inspected and must complete the labeling before finalizing the customs procedures. Importing organizations and individuals must create favorable conditions for the customs authority to carry out the labeling procedures smoothly, quickly, and safely in accordance with the provisions of this Circular. If the volume of goods to be labeled at the port is too large, the consignor has the responsibility to unpack the goods so that the customs authority can label them quickly.

1.2. Organizations and individuals engaged in the business of the items specified in Point 1 above, including promotional goods and lottery prizes still remaining, must inventory and declare (in the prescribed form) to the Market Management Authority for verification and confirmation, and the tax authority to affix the import label according to the regulations:

a. Issuance of declaration forms:

The declaration forms for remaining imported goods to be labeled must be issued by the Market Management Authority. Business entities subject to labeling must collect the declaration forms at the submission locations specified in Subpoint b below. The tax authority is responsible for printing and distributing sufficient forms to the Market Management Authority to issue to the business entities.

b. Declaration Submission Locations

- For state-owned enterprises and foreign-invested enterprises, submit declarations at the provincial or centrally-administered city tax bureaus.

- Limited liability companies, private enterprises, joint-stock companies, cooperatives submit declarations at the district or county tax sub-bureaus.

- Individual traders submit declarations to the People's Committee of the commune, ward, or town.

The Market Management Authority and the tax authority will have staff present regularly at these locations to distribute and receive declarations promptly. Each declaration consists of three copies: one copy returned to the declarant, one copy transferred to the tax authority, and one copy retained by the Market Management Authority. To prevent abuse, the receiving officer must check the declaration contents and sign the confirmation upon receipt.

c. Deadline for submitting declarations:

The declaration submission period starts at 8:00 AM on April 1, 1998, and ends no later than 4:00 PM on April 6, 1998.

After the declaration submission deadline, the Market Management Authority and the tax authority must prepare a record confirming the number of declarations received from business entities.

d. Labeling Period: Begins on April 1, 1998, and ends at 4:00 PM on April 15, 1998. During this period, the tax authority must arrange sufficient personnel to ensure timely completion of the labeling process as required.

e. The Market Management Authority will verify invoices and other documents proving the legitimate origin of declared goods, sign off on the actual goods for the tax authority to affix labels. Invoices and other documents proving the legitimate origin of declared goods shall be implemented in accordance with Section B, Part II of Circular No. 73 TC/TCT dated October 20, 1997, issued by the Ministry of Finance, guiding the invoice and document system for goods circulating in the market. Businesses and individuals engaged in trade are responsible for presenting invoices and other documents upon request by the tax authority and the Market Management Authority.

1.3. Imported goods specified in Point 1 above that are confiscated prior to sale must be labeled. The confiscating authority must notify the tax authority of the quantity of confiscated goods to be labeled. For goods confiscated due to violations by the customs authority, the customs authority will directly affix the labels.

2. Imported goods specified in Point 1 do not need to be affixed with labels in the following cases:

2.1. Organizations and individuals eligible for exemption from import tax for personal use, if they sell such goods, must declare to the customs authority to pay the import tax and affix the label before selling.

2.2. Sold at duty-free shops.

2.3. Goods transported in transit, temporarily imported for re-export, or handled by customs clearance agents from the first port of entry to the inspection location must be accompanied by a decision from the head of the customs authority and the goods must be sealed with lead seals or escorted by customs officers when necessary.

2.4. Goods imported into bonded warehouses or export processing zones.

3. To distinguish domestically produced goods from imported goods, organizations and individuals permitted to import raw materials, components, and spare parts for production and assembly into finished products for domestic consumption must publicly announce the registered brand name of their products to the competent state authorities and simultaneously announce it through mass media and at sales points or retail outlets to inform inspection and control forces and the public to avoid misuse.

B. IMPORT LABELS AND STICKING PROCEDURES

1. Regulations on affixing labels:

Goods specified in Point 1 of Section A are required to be affixed with labels as follows:

1.1. Complete television sets: label position on the upper part of the tail end.

1.2. Complete video players: label position on the top lid at the right rear corner.

1.3. Household refrigerators: label position on the right side of the top surface.

1.4. Air conditioners: label position on the right side of the top surface. For two-part air conditioners, the label should be affixed to the top right surface of the indoor unit.

1.5. Internal combustion engines: label position on the engine body near the flywheel.

1.6. Toilet bowls: label position on the upper rear surface. For toilet bowls with water tanks, the label should only be affixed to the bowl.

1.7. Washbasins: label position on the upper right surface. For washbasins with legs, the label should be affixed to the basin.

2. Issuance and management of labels:

2.1. The import goods stamps shall be uniformly issued by the Ministry of Finance. The General Department of Taxation shall be responsible for printing and distributing the import goods stamps sufficiently and promptly to localities and customs departments to organize the affixing of stamps in accordance with regulations.

Any acts of printing, issuing, and selling counterfeit labels, or using counterfeit labels shall be subject to legal sanctions.

2.2. The management and use of import goods stamps shall be governed by Decision No. 529/TC/TCT dated December 22, 1992 on the regime of managing tax seals and Decision No. 297 TC/QĐ/TCT dated March 16, 1998 on the issuance, printing, management, and use of import goods stamps by the Ministry of Finance.

It is strictly prohibited to hand over stamps to organizations and individuals engaged in business for self-affixing.

2.3. When affixing import goods stamps, organizations and individuals engaged in business operations shall not have to pay any fee.

C. VIOLATION HANDLING AND REWARD:

1. Violation handling:

1.1. Organizations and individuals engaged in the sale of goods specified for stamping who declare inaccurately shall be handled as follows:

- If declared quantities are lower than actual stock levels, only stamps corresponding to the declared quantities shall be affixed; undeclared quantities, if discovered, will be subject to administrative penalties and confiscation of goods, and criminal liability may be pursued if the case is serious.

- If declared quantities exceed actual stock levels, only stamps corresponding to the actual remaining stock shall be affixed, while administrative penalties will be imposed; the level of penalty will depend on the degree of violation.

To ensure normal business operations, organizations and individuals who have already declared their stocks may continue to purchase and sell but must have complete and valid invoices and documents to explain discrepancies from the declarations.

- In cases where the policy of affixing import goods stamps is exploited to declare domestically produced or assembled goods in order to obtain import goods stamps for fraudulent purposes, such actions will result in confiscation of goods. Criminal liability may be pursued if the case is serious.

1.2. For remaining imported goods that have been declared but lack valid invoices and documents proving legitimate origin, taxes on turnover and profits at the distribution stage shall be levied. Stamping of these goods can only be carried out when the business entity has complied with the decision on handling. Failure to comply with the decision will result in confiscation of goods.

1.3. From April 16, 1998, all imported goods specified in point 1, part A, circulating in the market including inventory, on sale, and in transit without affixed stamps according to regulations shall be considered illegal imports and will be subject to administrative penalties and confiscation of goods, and criminal liability may be pursued if the case is serious.

1.4. Organizations and individuals engaged in business operations of goods requiring stamps, if goods are not stamped according to regulations, will be subject to administrative inspections and confiscation of unstamped goods; criminal liability may be pursued if the violation is serious.

Organizations and individuals violating stamping regulations or assisting in the consumption and legitimization of imported goods specified in point 1, section A, will be dealt with according to the law.

2. Reward:

Organizations and individuals who discover or assist inspection forces in detecting and seizing imported goods that are not stamped or have fake stamps will be rewarded according to current regulations.

3. Management of confiscated goods:

The agency deciding to confiscate imported goods violating stamping regulations must manage and organize the sale of confiscated goods and use the proceeds from sales in accordance with current government regulations and guidelines from the Ministry of Finance.

D. IMPLEMENTATION ORGANIZATION

1. The Ministry of Finance, the Ministry of Trade, the Ministry of Home Affairs, and the General Customs Department shall be responsible for directing subordinate organizations to implement the provisions of this Circular correctly, promptly resolving any difficulties encountered by ministries, sectors, localities, and business organizations to effectively carry out stamping.

2. Chairmen of provincial and centrally-administered city People's Committees shall be responsible for directing relevant sectors and levels in their localities to implement the policy of affixing stamps on imported goods, inspecting and supervising the circulation of goods in the market in accordance with regulations.

3. The Ministry of Industry, the Ministry of Construction, and the Ministry of Science, Technology, and Environment shall be responsible for advising and assisting the Joint Ministries when required.

4. The Ministry of Trade (Market Management Department) shall take the lead in coordinating with relevant sectors and levels to inspect and supervise imported goods specified to be stamped circulating in the domestic market.

5. It is requested that central and local news agencies intensify publicity on the policy of affixing stamps on imported goods; provide guidance and explanations on the contents of this Circular so that business organizations and individuals understand and comply, and gain public support.

6. The stamping of three types of imported goods—bottled alcohol, whole bicycles, and various electric fans—shall still be implemented according to Joint Circular No. 77/1997/TTLT-BTC-BTM-BNV-TCHQ dated November 1, 1997.

7. During the implementation process, sectors and localities shall monitor and compile any difficulties to report promptly to the Ministry of Finance and related ministries and sectors. Daily reports on implementation results and urgent issues needing resolution should be submitted to the steering committee's permanent office for timely guidance.

This Circular takes effect from April 1, 1998.

SOCIALIST REPUBLIC OF VIETNAM
Independence - Freedom - Happiness

IMPORT GOODS DECLARATION FORM FOR STAMPED ITEMS STILL IN STOCK AS OF …/4/1998

Name of business entity (or individual):...

Address of headquarters or place of business:...

Goods declaration received at ..., day... month 4 year 1998

... hour day... month 4 year 1998 Head of unit

Declaration receipt officer signs (or individual business owner)

Signature

Confirmation by inspection officer regarding quantity

of actual remaining goods

Day... month 4 year 1998