Decree No. 67/2011/NĐ-CP detailing and guiding the implementation of certain provisions of the Law on Environmental Protection Tax

DECREE

Detailed regulations and guidance on implementation of certain provisions

 of the Law on Environmental Protection Tax

 THE GOVERNMENT

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

Pursuant to the Law on Environmental Protection Tax dated November 15, 2010;

Considering the proposal of the Minister of Finance,

DECREE:

PART I

GENERAL PROVISIONS

Article 1. Scope of Regulation

This Decree stipulates the taxable objects, tax bases, tax declaration, tax calculation, tax payment, and tax refund for environmental protection.

Article 2. Taxable Objects

The taxable objects shall be implemented in accordance with Article 3 of the Law on Environmental Protection Tax.

1. For gasoline, diesel, and lubricating oil as defined in Clause 1, Article 3 of the Law on Environmental Protection Tax, these are types of fossil-based gasoline, diesel, and lubricating oil. For blended fuels containing biofuels and fossil-based gasoline, diesel, and lubricating oil, only the portion of fossil-based gasoline, diesel, and lubricating oil is subject to environmental protection tax.

2. For hydrochlorofluorocarbon solution (denoted as HCFC) as defined in Clause 3, Article 3 of the Law on Environmental Protection Tax, this refers to gas used as a medium in refrigeration equipment and semiconductor industry.

4. For restricted-use herbicides, restricted-use insecticides, restricted-use wood preservatives, and restricted-use warehouse disinfectants as defined in Clauses 5, 6, 7, and Clause 8, Article 3 of the Law on Environmental Protection Tax: Detailed implementation shall follow the Resolution No. 1269/2011/UBTVQH12 dated July 14, 2011 of the Standing Committee of the National Assembly regarding the environmental protection tax rate.

Chapter II

BASIS FOR TAXATION

Article 3. Quantity of Goods Subject to Tax

The quantity of goods subject to tax shall be implemented in accordance with Article 6 of the Law on Environmental Protection Tax. In cases where blended fuels contain fossil-based gasoline, diesel, and lubricating oil and biofuels, the quantity of goods subject to tax shall only include the quantity of fossil-based gasoline, diesel, and lubricating oil in the blended fuel.

Article 4. Tax Rate

Specific tax rates for each taxable good shall be implemented according to the Environmental Protection Tax Rate Table issued by the Standing Committee of the National Assembly.

Chapter III

TAX DECLARATION, TAX CALCULATION, TAX PAYMENT, AND TAX REFUND

Article 5. Tax Declaration, Tax Calculation, and Tax Payment

Tax declaration, tax calculation, and tax payment shall be carried out in accordance with Article 10 of the Law on Environmental Protection Tax and laws governing tax administration.

1. For domestically produced goods sold, exchanged, consumed internally, or given as gifts, tax declaration, tax calculation, and tax payment shall be conducted monthly. For imported goods and entrusted imported goods, tax declaration, tax calculation, and tax payment shall be conducted for each occurrence.

2. For tax declaration, tax calculation, and tax payment for gasoline, diesel, and lubricating oil: Petroleum companies acting as main distributors shall declare and pay environmental protection tax and state budget revenue based on the volume of gasoline and diesel they export, sell (including internal consumption, product exchange, entrusted import return, sales to other organizations and individuals, except sales to other petroleum main distributors) at the location where value-added tax is declared and paid.

The Ministry of Finance shall specify the main distributor companies that declare and pay environmental protection tax for gasoline and diesel.

3. For tax declaration, tax calculation, and tax payment for coal: Domestic coal consumption must declare and pay environmental protection tax; exported coal is not subject to environmental protection tax. The Ministry of Finance, in collaboration with the Ministry of Industry and Trade, shall provide detailed guidance on this provision.

Environmental protection tax must only be paid once for goods produced or imported. If goods that have been exported and then re-imported into Vietnam have already paid environmental protection tax, they will not need to pay environmental protection tax upon re-importation.

Article 6. Refund of Tax

Environmental protection tax refunds shall be implemented in accordance with Article 11 of the Law on Environmental Protection Tax.

For gasoline and diesel, as stipulated in Clause 2, Article 11 of the Law on Environmental Protection Tax, taxpayers may claim a refund of the environmental protection tax paid corresponding to the amount of gasoline and diesel supplied. Taxpayers bear full responsibility under the law for the accuracy of the data declared for tax refund. Procedures and formalities for tax declaration and refund shall be carried out in accordance with laws governing tax administration and customs regulations.

Chapter IV

IMPLEMENTING PROVISIONS

Article 7. Effectiveness and guidance for implementation

1. This Decree takes effect from January 1, 2012.

2. The provisions on gasoline and diesel oil fees set forth in Decree No. 78/2000/NĐ-CP dated December 26, 2000 of the Government regarding gasoline and diesel oil fees and Decision No. 03/2009/QĐ-TTg dated January 9, 2009 of the Prime Minister regarding adjustments to gasoline and diesel oil fee levels shall cease to be effective from the date this Decree takes effect.

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

Article 8. Responsibility for Implementation

THE MINISTERS, HEADS OF GOVERNMENT-LEVEL MINISTRIES, HEADS OF GOVERNMENT-LEVEL AGENCIES, AND CHAIRMEN OF PROVINCE AND CITY PEOPLE'S COMMITTEES DIRECTLY UNDER THE CENTRAL GOVERNMENT SHALL BE RESPONSIBLE FOR ENFORCING THIS DECISION./.