Circular No. 72/2015/TT-BTC on the application of preferential regimes in the implementation of customs procedures, customs inspection, and supervision for exported and imported goods of enterprises.

CIRCULAR

Regulations on the application of preferential regimes in the implementation of customs procedures and customs inspection and supervision for exported and imported goods of enterprisessession number

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Based on the Customs Law No. 54/2014/QH13 dated June 23, 2014;

Based on the Government's Decree No. 08/2015/NĐ-CP dated January 21, 2015 detailing and guiding the implementation of the Customs Law regarding customs procedures, customs inspection, supervision, and control;

Based on the Government's Decree No. 91/2014/NĐ-CP dated October 1, 2014 amending certain articles of decrees on taxation;

Pursuant to Decree No. 215/2013/NĐ-CP dated December 23, 2013, promulgated by the Government stipulating the functions, tasks, powers, and organizational structure of the Ministry of Finance;

At the proposal of the Director General of the General Department of Customs,

The Minister of Finance promulgates this Circular to regulate the application of preferential regimes in the implementation of customs procedures and customs inspection and supervision for exported and imported goods of enterprises, agents, and projects that apply preferential regimes; procedures for appraisal, recognition, temporary suspension, cessation, and management of enterprises, agents, and projects applying preferential regimes.

PART I

GENERAL PROVISIONS

Article 1. Scope of Regulation

This Circular regulates the application of preferential regimes in the implementation of customs procedures and customs inspection and supervision for exported and imported goods of enterprises, agents, and projects that apply preferential regimes; procedures for appraisal, recognition, temporary suspension, cessation, and management of enterprises, agents, and projects applying preferential regimes.

Article 2. Applicability

1. Enterprises exporting and importing goods.

2. Agents handling customs procedures.

3. Organizations and individuals importing goods for key investment projects.

4. Customs authorities, tax authorities.

The documents for supplementing projects into the planning for the development and utilization of biomass energy include:

Article 3. Explanation of Terms

In this Circular, the following terms are understood as follows:

1. "Priority enterprise" means an enterprise exporting and importing goods recognized by the customs authority as a priority enterprise.

2. "Priority agent" means an enterprise engaged in agency services for customs procedures recognized by the customs authority as a priority enterprise.

3. "Priority project" means a key investment project.

Article 4. Principles of Application of Preferential Regimes

1. Exported and imported goods of priority enterprises or priority projects or goods declared by priority agents shall be subject to preferential regimes concerning customs procedures and customs inspection and supervision as prescribed in this Circular for all types of export and import activities at all customs units nationwide.

2. In addition to the preferences stipulated in this Circular, priority enterprises shall also enjoy other preferences in the field of state management of customs for exported and imported goods according to relevant laws.

Chapter II

PREFERENTIAL REGIMES

Article 5. Exemption from Document Inspection and Physical Inspection of Goods

1. Exempt from inspecting documents related to the customs declaration file and from physically inspecting goods during the implementation of customs procedures, except in cases where there are signs of violation of the law or random inspections to assess compliance with the law. The Director General of the General Department of Customs decides on random inspections as provided for in this Article.

2. Physical inspection of goods must be conducted using X-ray machines.

a. For processing enterprises, physical inspection of exported and imported goods shall be carried out when there are signs of violation of customs law.

b. For other enterprises, the rate of random inspections shall not exceed 0.5% of the total number of declarations for exports and imports made by the enterprise.

Article 6. Clearance with an Incomplete Declaration

1. Can handle customs procedures with an incomplete customs declaration on the electronic data processing system of the customs authority. Within thirty days from the date of registering the declaration, the declarant must update the data and related documents in the customs declaration file as stipulated in Article 24 of the Customs Law No. 54/2014/QH13 into the electronic data processing system of the customs authority.

2. In case of technical issues or temporary shutdown of the electronic data system of the customs authority, enterprises can handle customs procedures with a paper declaration (Form 01/DNUT issued together with this Circular). Within thirty days from the date of registering the declaration, the declarant must submit a complete customs declaration file to the Customs Sub-department where the enterprise opened the declaration. The Customs Sub-department where the priority enterprise opened the declaration shall guide the priority enterprise to update the data in the customs declaration.

Article 7. Priority in Customs Procedures

1. The customs authority shall prioritize physical inspection of goods using X-ray machines before random inspections to assess compliance with customs declarations.

2. In cases where enterprises encounter difficulties during clearance procedures, the Customs Sub-Department shall respond to the enterprise in writing within 8 (eight) working hours from the time the difficulty arises.

3. The customs authority shall prioritize pre-inspection and pre-supervision in customs supervision procedures.

4. If an enterprise requests to view goods or take samples, it shall be prioritized for procedures to view goods and take samples beforehand.

5. Enterprises shall be prioritized for unloading, loading, and delivery of goods by port and warehouse business operators.

Article 8. Specialized Inspection

1. Where goods require specialized inspection, the customs authority shall accept the enterprise's declaration that the goods comply with specialized regulations for clearance purposes. The enterprise shall be responsible for retaining complete results of specialized inspections conducted by competent state management agencies and presenting them upon request by the customs authority.

2. Enterprises may store imported goods in their warehouses while awaiting the results of specialized inspections.

3. In cases requiring sample collection for inspection, priority shall be given to collecting samples of goods first.

Article 9. Tax Procedures

1. Enterprises shall be eligible for tax refunds before inspection, with tax refund applications and procedures following the provisions of Circular No. 38/2015/TT-BTC dated March 25, 2015. Based on the enterprise’s self-calculated results, the customs authority shall verify the suitability of the application. The decision on tax refund shall not exceed 1 (one) working day from the date of receipt of the valid application from the enterprise.

2. Enterprises shall submit final reports for imported goods for processing and production for export within 90 (ninety) days from the end of the fiscal year. Based on the enterprise’s final report, the customs authority shall enter data into the electronic customs data processing system as prescribed and conduct post-clearance verification.

3. Post-clearance verification for the cases stipulated in Clause 1 and Clause 2 of this Article shall be carried out according to the provisions of Article 25 of this Circular.

4. Enterprises shall be prioritized when handling tax procedures for exported and imported goods in accordance with tax laws.

Article 10. In-Place Import and Export Procedures

For goods subject to in-place import and export; raw materials, components, and spare parts purchased from bonded warehouses for enterprise production shall be allowed to import goods first and declare customs later. Customs procedures shall follow Clause 6 of Article 86 of Circular No. 38/2015/TT-BTC dated March 25, 2015.

Article 11. Post-Clearance Inspection

1. Enterprises shall be exempted from post-clearance inspection at the customs office premises except in cases indicating violation of laws, unless otherwise specified.

2. The customs authority shall conduct post-clearance inspection at the declarant’s premises no more than once every three consecutive years based on risk management from the date recognized as a priority enterprise by the General Director of the General Department of Customs, except in cases indicating violation of customs laws.

3. The General Director of the General Department of Customs shall decide on post-clearance inspection at the declarant’s premises.

Chapter III

CONDITIONS FOR APPLYING THE PRIORITY REGIME

Article 12. Conditions for Compliance with Customs Law and Tax Law

Within the most recent continuous two-year period up to the time when the enterprise submits a request for recognition as a priority enterprise, the enterprise shall not violate tax laws and customs laws to the extent that it is subject to administrative penalties for the following acts:

1. Acts of tax evasion and fraud; smuggling and illegal transportation of goods across borders;

2. Administrative violations in the field of customs with forms and levels of fines exceeding the authority of the Director of the Customs Sub-Department and equivalent positions;

3. For customs clearance agents, the number of customs declarations under their name that have been administratively penalized in the fields of customs and taxes within the authority of the Director of the Customs Sub-Department and equivalent positions shall not exceed 0.5% of the total number of customs declarations processed.

4. There shall be no overdue tax debts as prescribed.

Article 13. Conditions regarding Export and Import Turnover

1. The enterprise achieves export and import turnover of at least 100 million USD per year.

2. The enterprise achieves export turnover of domestically produced goods of at least 40 million USD per year.

3. The enterprise achieves export turnover of agricultural and aquatic products produced or raised in Vietnam of at least 30 million USD per year.

4. For customs clearance agents, the number of customs declarations processed under their name in a year must reach at least 20,000 declarations per year. The export and import turnover specified in Clauses 1, 2, 3, and 4 of this Article is the average turnover of the most recent continuous two-year period up to the date the enterprise submits a request for consideration, excluding entrusted export and import turnover.

5. The condition on export and import turnover shall not apply to enterprises certified as high-tech enterprises by the Ministry of Science and Technology in accordance with the High-Tech Industry Law.

Article 14. Conditions for Electronic Customs Procedures and Electronic Tax Procedures

Implement electronic customs procedures and electronic tax procedures; have an information technology program managing the enterprise's export and import activities that meet the requirements of the customs authorities.

Article 15. Conditions for Payment of Exported and Imported Goods

Conduct payment for export and import consignments through banks in accordance with the regulations of the State Bank. The enterprise is responsible for notifying the customs authority of its account number and list of transaction banks.

Article 16. Conditions for Internal Control Systems

The enterprise meets the conditions for internal control systems if it satisfies the following conditions:

1. The enterprise implements and maintains management, supervision, and operational control procedures covering all business activities;

2. The enterprise has measures, means, and internal control procedures ensuring the security of the supply chain for exported and imported goods as follows:

a. Monitoring the transportation process of goods from the enterprise to the port and from the port back to the enterprise;

b. Inspecting the safety of containers before loading onto transport vehicles;

c. Supervising key areas: perimeter walls, entrances and exits, storage areas, production areas, administrative areas;

d. Assigning staff permissions to move and work in appropriate areas according to their duties;

e. Controlling the security of the information technology system;

f. Personnel security.

Article 17. Conditions for complying well with laws on accounting and auditing

1. Applying accounting standards as prescribed by the Ministry of Finance;

2. Annual financial reports must be audited by an auditing company qualified to operate auditing services according to the law on independent auditing. The audit opinion on the financial report stated in the audit report must be an unqualified opinion according to Vietnamese auditing standards;

Chapter IV

PROCEDURES FOR REVIEWING, RECOGNIZING, TEMPORARILY SUSPENDING, AND SUSPENDING PRIORITY ENTERPRISES

Article 18. Documents for requesting recognition as a priority enterprise

1. An enterprise that requests application of preferential treatment shall self-assess against the conditions stipulated in this Circular and submit a dossier to the Provincial Customs Office (hereinafter referred to as the Provincial Customs Office) where the enterprise's headquarters is located to request recognition as a priority enterprise. The dossier includes:

a. A request letter according to form 02a/DNUT issued together with this Circular: 01 original copy;

b. Audited financial statements for the two most recent consecutive fiscal years: 01 copy;

c. Audit reports for the two most recent consecutive fiscal years: 01 copy;

d. Inspection conclusions for the two most recent years (if available): 01 copy;

đ. A description of the internal control system of the enterprise detailing the management, supervision, and operational control processes of all business activities of the enterprise, security and safety control of export and import supply chains: 01 original copy;

e. Certificates of awards and quality certificates (if available): 01 copy.

2. For key investment projects

a. A request letter for applying preferential treatment and a commitment to implement the project according to schedule according to form 02b/DNUT issued together with this Circular: 01 original copy;

b. Investment certificate, economic and technical justification: 01 copy.

Article 19. Verification of Conditions for Recognizing Priority Enterprises

1. Document review

The Provincial Customs Office verifies the completeness, legality, and validity of the enterprise's submitted dossier in accordance with Clause 1, Article 18 of this Circular; compares the information provided by the enterprise with the information collected about the enterprise within its jurisdiction with the conditions for applying preferential treatment stipulated in Chapter III of this Circular.

In case the enterprise does not meet the conditions for applying preferential treatment as prescribed, the Provincial Customs Office issues a response letter to the enterprise, clearly stating the reasons for non-compliance.

2. On-site inspection at the enterprise

a. In case the results of the dossier verification show that the enterprise meets the conditions for applying preferential treatment as prescribed, the Provincial Customs Office organizes an on-site inspection at the enterprise. The contents of the on-site inspection include:

a.1. Verifying the information declared by the enterprise in the dossier for requesting recognition as a priority enterprise;

a.2. Comparing the results of the on-site inspection with the report on the dossier verification results;

a.3. Post-clearance audit at the declarant's office to assess compliance with customs and tax laws if, during the 24 (twenty-four) consecutive months immediately preceding the date of the enterprise's request for recognition as a priority enterprise, the enterprise has not been subject to post-clearance audits to assess compliance with customs and tax laws.

The time for on-site inspection at the enterprise and project shall not exceed 10 (ten) working days, excluding the time required to process post-clearance audit conclusions for cases requiring post-clearance audits at the declarant's office.

b. Upon completion of the on-site inspection, including the time for post-clearance audit (if applicable), within 05 (five) working days, the customs unit conducting the inspection shall prepare and submit a report on the dossier verification and on-site inspection results to the General Department of Customs.

Article 20. Decision to Recognize Priority Enterprises

1. Based on the report from the Customs Office of the province or city, customs sector data, other collected information, and the results of supplementary information verification (if any), in cases where the enterprise does not meet the conditions for applying preferential treatment, the General Department of Customs shall notify the enterprise specifying the reasons for non-compliance.

2. In cases where the enterprise meets the conditions for applying preferential treatment, within 10 (ten) working days, the Director of the General Department of Customs shall sign the Decision to Recognize Priority Enterprises (Form 03/DNUT issued together with this Circular).

Article 21. Temporary Suspension of Preferential Treatment Application

1. In cases where the enterprise has not fulfilled its obligations as stipulated in Article 45 of the Customs Law after being notified by the customs authority, the customs authority shall temporarily suspend the application of preferential treatment for a period of 60 (sixty) days (Temporary Suspension Decision according to Form 04/DNUT issued together with this Circular).

2. During the temporary suspension period, the priority enterprise must fulfill its obligations as stipulated in Article 45 of the Customs Law, rectify any errors (if any), and the customs authority shall cancel the Temporary Suspension Decision on the application of preferential treatment (Decision to Cancel Temporary Suspension Decision according to Form 05/DNUT issued together with this Circular).

Article 22. Suspension of Preferential Treatment Application

1. The enterprise will be suspended from applying preferential treatment in the following cases:

a. The enterprise no longer meets one of the conditions for applying preferential treatment as prescribed in Chapter III of this Circular;

b. After the expiration of the temporary suspension period for applying preferential treatment, the enterprise fails to comply with the provisions of Article 45 of the Customs Law;

c. The enterprise requests to stop applying preferential treatment.

2. In cases where the enterprise has been suspended from applying preferential treatment, during the subsequent two years, the enterprise will not be considered for recognition as a priority enterprise by the General Department of Customs.

3. The Suspension Decision is according to Form 06/DNUT issued together with this Circular.

Chapter V

AUTHORITY TO RECOGNIZE, TEMPORARILY SUSPEND, AND SUSPEND APPLICATION OF PREFERENTIAL TREATMENT, RESPONSIBILITIES OF RELATED AUTHORITIES

Article 23. Authority to Recognize, Temporarily Suspend, and Suspend Application of Preferential Treatment

The Director of the General Department of Customs decides on recognizing, temporarily suspending, and suspending the application of preferential treatment.

Article 24. Responsibilities of Related Authorities

1. The tax authority where the enterprise is registered has the responsibility to cooperate with the customs authority to assess compliance with domestic tax laws, implementation of electronic tax procedures, and fulfillment of domestic tax payment obligations by the enterprise.

2. Within 10 (ten) working days from the date of receipt of the request document from the customs authority, the tax authority shall respond in writing.

Chapter VI

MANAGEMENT OF PRIORITY ENTERPRISES

Article 25. Management Responsibilities of the Customs Authority

Every three years, the General Department of Customs shall evaluate the conditions for applying preferential treatment, assess compliance with customs and tax laws to automatically extend the application of preferential treatment for priority enterprises; inspect tax refunds, review final reports (if any) based on risk management according to Clause 3 of Article 9 of this Circular.

Article 26. Responsibilities of enterprises applying preferential treatment

1. Compliance with customs laws, tax laws, accounting laws, and auditing laws.

2. Submit quarterly reports (in accordance with Form 07/DNUT issued together with this Circular) electronically to the General Department of Customs.

3. Within ninety (90) days after the end of the fiscal year, provide financial statements and audit reports of the previous year to the customs authority.

4. Conduct self-inspection, identify and rectify errors, report to the customs authority; maintain conditions for preferential enterprises.

5. When notified by the customs authority of errors or unclear issues in customs declarations, the enterprise shall be responsible for checking and promptly reporting all issues notified by the customs authority.

6. Notify the General Department of Customs of the list of customs clearance agents providing services to the enterprise.

Chapter VII

IMPLEMENTATION

Article 27. Implementation Responsibilities

1. The Director of the General Department of Customs shall direct and guide customs units to implement in accordance with this Circular.

2. All organizations, individuals, and related enterprises have the responsibility to comply with and implement this Circular.

Article 28. Effective Date

1. This Circular shall take effect 45 days from the date of signature.

2. This Circular replaces Circular No. 86/2013/TT-BTC dated June 27, 2013, and Circular No. 133/2013/TT-BTC dated September 24, 2013, of the Ministry of Finance.

3. Enterprises recognized as preferential enterprises under Circular No. 86/2013/TT-BTC dated June 27, 2013, and Circular No. 133/2013/TT-BTC dated September 24, 2013, of the Ministry of Finance shall continue to apply preferential treatment as stipulated in this Circular./.