JOINT CIRCULAR No. 46/1999/TTLT/BTC-BTM-BCA-TCHQ ON STICKING LABELS TO IMPORTED GOODS

JOINT CIRCULAR

Regarding the affixing of import labels on imported goods

Pursuant to Directive No. 853/1997/CT-TTg dated October 11, 1997 of the Prime Minister on combating smuggling under new circumstances;
Pursuant to the conclusions of the Prime Minister in Official Letter No. 1286/VPCP-VI dated March 27, 1999 of the Government Office regarding the handling of automobiles in stock at Mong Cai and the affixing of import labels on imported goods.
The Joint Ministries: Ministry of Finance, Ministry of Trade, Ministry of Public Security, General Department of Customs provide guidance on affixing five-sided import labels on imported goods: various types of gas stoves, rice cookers, bicycle frames, hot and cold water bottles and their inner parts, internal combustion engines combined with working machines to form complete and synchronized machines as follows:

A. GOODS REQUIRED TO BE AFFIXED WITH IMPORT LABELS

1. As of 8:00 AM on May 17, 1999, all goods produced outside Vietnam that are imported or circulated in the market by organizations and individuals for business purposes, including those in storage, on display, or in transit, must be affixed with import labels according to the following regulations:

- Various types of gas stoves

- Various types of rice cookers

- Bicycle frames.

- Hot and cold water bottles and their inner parts.

- Internal combustion engines combined with working machines to form complete and synchronized machines.

1.1. Goods specified in Point 1 above from May 17, 1999, when imported, shall have the import label affixed by the customs authority at the place where goods are inspected, and the affixing must be completed before the completion of customs procedures. Organizations and individuals engaged in importing such goods must create favorable conditions for the customs authority to carry out the affixing procedures smoothly, quickly, and safely in accordance with the provisions of this Circular.

1.2. Organizations and individuals engaged in the sale of goods specified in Point 1 above that remain in domestic circulation must declare the remaining inventory to be affixed with labels according to the following guidelines:

a. Issuance of declaration forms:

Declaration forms for remaining imported goods to be affixed with labels must be issued by the tax authority. Business entities subject to affixing labels must collect the declaration forms directly from the managing tax authority or at the designated submission location as stipulated below. The tax authority is responsible for printing and issuing sufficient declaration forms to the business entities.

b. Submission locations:

- For state-owned enterprises, foreign-invested enterprises, limited liability companies, private enterprises, joint-stock companies, and cooperatives, submit the declaration forms to the provincial or centrally-administered city tax bureau.

- Individual businesses submit the declaration forms to the directly-managing tax authority. For individual businesses subject to withholding tax, submit the declaration forms to the provincial tax bureau.

The tax authority and market management agency will assign staff to be present regularly at these locations to issue and receive declaration forms promptly. The declaration form consists of three copies: one copy returned to the declarant, one copy submitted to the tax authority, and one copy submitted to the market management agency. To prevent abuse, the market management staff receiving the declaration form must check the contents and sign to confirm it.

c. Time limit for declaration and submission of declaration forms

The time limit for declaration and submission of declaration forms is five days, starting from 8:00 AM on May 17, 1999, and ending no later than 4:00 PM on May 21, 1999.

- After the deadline for declaration and submission of declaration forms, the market management agency and tax authority must prepare a record confirming the number of declaration forms received from business entities.

d. Time limit for affixing labels on remaining goods is fifteen days, concurrent with declaration: Starting from May 17, 1999, and ending at 4:00 PM on May 31, 1999. Within this period, the market management agency will arrange staff to conduct inspections and verify the actual quantity against the declared quantity, check invoices and other accompanying documents reasonably to facilitate the tax authority's organization of affixing labels quickly, smoothly, and within the prescribed timeframe.

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

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

2.1. Organizations and individuals who are exempt from paying import duties for personal use, if they sell the goods, must declare to the customs authority to pay import duties and affix labels before selling.

2.2. Sold at duty-free shops.

2.3. In transit, temporarily imported for re-export, or transported by customs under escort from the first port of entry to an inspection point outside the port, provided that the goods are accompanied by documentation as required by customs and 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, spare parts, and accessories for production and assembly into finished products for domestic consumption must publicly announce the registered brand name of the product to the competent state authorities and simultaneously announce it through mass media and at sales locations or retail outlets so that inspection and control forces and the public can be aware and avoid misuse.

B. IMPORT LABELS AND AFFIXING

1. Regulations on affixing labels:

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

1.1. Various types of gas stoves, affix at the top right side.

1.2. Rice cookers, affix at the upper part of the body near the power plug.

1.3. Bicycle frames, affix at the upper part of the crossbar, approximately 0.5 cm away from the joint.

1.4. Hot and cold water bottles:

+ Non-electric type: Affix vertically along the joint between the bottom and the body, or along the body near the neck if there is no joint.

+ Electric type: Affix at the upper part of the body near the power plug.

Inner parts of hot and cold water bottles: Affix at the upper part of the body.

1.5. Internal combustion engines combined with working machines to form complete and synchronized machines, affix at the body of the engine near the flywheel.

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, distributing sufficiently and promptly to localities and customs departments to organize the affixing of stamps in accordance with regulations.

All cases of printing, issuing, and selling counterfeit stamps, using counterfeit stamps, and other fraudulent acts shall be handled according to the law.

2.2. Import goods stamps shall be managed and used in accordance with Decision No. 529 TC/TCT dated December 22, 1992 on the system of managing tax stamps and Decision No. 40/1999/QĐ/BTC dated April 7, 1999 of the Minister of Finance on the issuance, printing, management, and use of import goods stamps.

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 are not required to pay any fees.

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 lower than the actual inventory, only the declared amount will be stamped, and the undeclared amount will be subject to administrative violation penalties and confiscation of goods, and if serious, criminal responsibility will be pursued.

- If declared higher than the actual quantity, only the actual remaining quantity will be stamped, while administrative violation penalties will also be imposed, the level of which depends on the degree of violation.

To ensure normal business operations, those organizations and individuals who have declared can continue to buy and sell but must have complete valid invoices and documents to explain the discrepancies from the declarations.

- In cases where the policy of affixing import goods stamps is exploited to declare domestically produced and assembled goods as imported goods to deceive consumers, administrative penalties and confiscation of goods will be imposed. If serious, criminal responsibility will be pursued.

1.2. For imported goods that remain undeclared without invoices or legitimate documents proving their legal origin, current tax laws will be applied to collect value-added tax and corporate income tax based on trading activities, and impose a one-time penalty for value-added tax and corporate income tax based on trading activities. Stamping of these goods will only be carried out when the business entity has complied with the handling decision. Failure to comply with the handling decision will result in administrative violation penalties and confiscation of goods.

Provincial and centrally-administered city tax bureaus shall base on market prices and the principle of calculating value-added tax and corporate income tax based on trading activities to determine the taxable price uniformly within their jurisdiction.

1.3. From June 1, 1999, imported goods specified in point 1 of part A mentioned above circulating in the market, including those in storage, on display, and in transport without being stamped as required, shall be considered as smuggled goods, subject to administrative violation penalties and confiscation of goods. If serious, criminal responsibility will be pursued.

1.4. Organizations and individuals engaged in business with goods required to be stamped, if the goods are not stamped as required, the stamps are torn, damaged, covered with another layer of material, not directly affixed to the goods, or any other form of fraud to exploit stamp rotation, will be subject to administrative inspection and confiscation of goods. If the violation is serious, criminal responsibility will be pursued.

1.5. Organizations and individuals violating the stamping regulations for imported goods specified in point 1 of Section A or assisting in the consumption and legitimization of smuggled goods will be handled according to the law.

2. Reward:

Organizations and individuals contributing to the implementation and promotion of stamping and the discovery or assistance in the detection and seizure of imported goods required to be stamped but not stamped, as well as cases of printing, issuing, and selling counterfeit stamps, using counterfeit stamps, and other fraudulent acts, 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 the sale of confiscated goods in accordance with current government regulations and the guidance of the Ministry of Finance.

D. IMPLEMENTATION ORGANIZATION

1. The Ministry of Finance, the Ministry of Trade, the Ministry of Public Security, and the General Customs Department shall be responsible for directing the implementation of the provisions of this Circular, promptly resolving any difficulties during the implementation of stamping imported goods. Coordinate with central and local news agencies to effectively promote the stamping of imported goods.

2. The Ministry of Trade (Market Management Department) shall take the lead in coordinating with relevant sectors and levels to inspect and control the circulation of imported goods specified for stamping in the domestic market.

3. The Ministry of Finance shall be responsible for organizing the printing, issuing, and distributing sufficient import goods stamps to serve the implementation of stamping, directing the tax system to coordinate with market management agencies and the police to properly organize the stamping of remaining imported goods in the domestic market.

4. The Ministry of Public Security shall be responsible for directing public security organs at provincial and centrally-administered city levels to investigate and discover individuals and networks involved in smuggling goods specified for stamping but not stamped as required, and handle organizations and individuals in violation seriously.

5. The General Customs Department shall be responsible for directing customs authorities at all levels to properly organize stamping at border gates.

6. The Ministry of Industry, the Ministry of Science and Technology, and the Ministry of Environment shall be responsible for advising and assisting the Joint Ministries in determining the origin of goods to implement stamping correctly.

7. The Chairmen of the People's Committees of provinces and centrally-administered cities shall be responsible for directly directing and implementing the stamping of imported goods in their jurisdictions, directing relevant sectors and levels to strengthen inspections and controls over the stamping of imported goods and the circulation of goods in the market in accordance with regulations.

8. The affixing of stamps for twelve types of imported goods, namely bottled wine, complete bicycles, various types of electric fans, television receivers, video players, refrigerators, air conditioners, internal combustion engines, ceramic toilet bowls, ceramic washbasins, ceramic tiles, and electric water pumps, shall still be carried out according to Circular Joint Circular No. 77/1997/TTLT-BTC-BTM-BNV-TCHQ dated November 1, 1997, Joint Circular No. 30/1998/TTLT-BTC-BTM-BNV-TCHQ dated March 16, 1998, and Joint Circular No. 121/1998/TTLT-BTC-BTM-BNV-TCHQ dated September 1, 1998.

9. During the implementation process, relevant ministries and localities shall monitor and compile any difficulties encountered and promptly report them to the Ministry of Finance and related ministries and sectors. Daily reports on the progress of implementation and any emerging issues requiring resolution shall be submitted to the Standing Office of the Steering Committee for Stamping Imported Goods for timely guidance.

This Circular takes effect from May 17, 1999.

 

 

 

SOCIALIST REPUBLIC OF VIETNAM

Independence - Freedom - Happiness

IMPORT DECLARATION FORM FOR GOODS REQUIRING STAMPS

VALID UNTIL.../5/1999

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

Address of headquarters or place of business:...

 

Confirmation by the inspector regarding the actual quantity of remaining goods

Day... month 1999