Circular No. 72/A-TC-TCT guiding the implementation of Decree No. 54/CP dated August 28, 1993 detailing the implementation of the Law on Export Tax, Import Tax, and the Law amending and supplementing certain articles of the Law on Export Tax, Import Tax.

CIRCULAR

Guidelines for Implementing Decree No. 54/CP

dated August 28, 1993, of the Government detailing the implementation of the Law on Export Tax, Import Tax, and the Law Amending and Supplementing Certain Provisions of the Law on Export Tax, Import Tax

Citing Decree No. 54/CP dated August 28, 1993, of the Government detailing the implementation of the Law on Export Tax, Import Tax; after reaching consensus with the Ministry of Trade, the General Department of Customs, and the Ministry of Finance, the guidelines for implementation are as follows:

I. TAXPAYERS AND TAXPAYER SUBJECTS

1. Taxpayer subjects: all goods permitted to be exported or imported through Vietnamese border gates and borders as stipulated in Article 1 of Decree No. 54/CP dated August 28, 1993, of the Government are taxable subjects.

2. Goods not subject to export tax or import tax under Article 3 of Decree No. 54/CP dated August 28, 1993, include:

a) Goods transported in transit, transshipment, or using Vietnamese territory as a route according to government regulations, in addition to complying fully with the provisions of the Ministry of Trade and the General Department of Customs, when processing customs procedures must also meet the following conditions:

Written authorization from the Ministry of Trade allowing the provision of transit services, transshipment services, or written authorization from the General Department of Customs allowing foreign shippers to use Vietnamese territory as a route.

A copy (certified true copy) of the transit service contract or a copy (certified true copy) of the purchase contract or sale contract for transshipment services.

Export permit, export permit for each consignment.

During transportation within Vietnamese territory, the goods may not be consumed in any form, nor may they be unpacked, dismantled, or altered without authorization. They are subject to strict supervision and management by customs authorities from the port of entry to the port of exit or from the port of entry to the port of destination within Vietnamese territory.

b) Humanitarian aid goods must have the following documents: - Import permit for humanitarian aid issued by the Ministry of Trade.

Confirmation letter for humanitarian aid clearly stating that it is humanitarian aid issued by the Management and Reception Board for International Aid.

Other relevant documents related to receiving the shipment: bill of lading, detailed statistical sheet, commercial invoice, insurance certificate.

Based on the conditions and documents specified in points a and b above, provincial and port customs offices will process customs management procedures and stamp the declaration form to indicate that the goods are exempt from tax. At the same time, they will closely monitor and organize the storage of complete documentation for each shipment during the customs clearance process.

3. Taxpayers:

All organizations and individuals having goods for export or import that fall under the taxable subjects as stipulated in point 1 above are taxpayers.

In cases of agency imports or exports, the organization accepting the agency is the taxpayer for export tax and import tax.

II. DETERMINATION OF THE TAXABLE VALUE

1. Where there is an international trade sales contract and valid supporting documents as prescribed by the Ministry of Trade, the taxable value shall be determined based on the contract, specifically:

a) For exported goods under a sales contract, the taxable value is the selling price at the port of export excluding freight charges (F) and insurance charges (I) from the port of export to the port of destination (FOB price).

b) For imported goods, the taxable value is the actual purchase price paid by the buyer at the port of import as stated in the contract, including transportation costs and insurance charges from the port of import to the port of destination (CIF price). If the import price does not include insurance charges (I) and freight charges (F), the organization or individual paying the tax must present valid supporting documents regarding these charges to the customs authority to determine the taxable value. If the organization or individual paying the tax cannot present valid supporting documents regarding insurance charges and freight charges, the customs authority will calculate the insurance charges and freight charges according to the principles set forth by the Ministry of Trade.

c) In cases where the purchase or sale contract is made on deferred payment terms and the purchase or sale price stated in the contract includes interest payable, the taxable value is determined by subtracting the interest payable from the purchase or sale price as stated in the contract.

d) The taxable value for export tax and import tax for goods traded in Vietnam's export processing zones is the actual purchase or sale price at the export processing zone port as stated in the contract.

2. For certain goods that require state control, if the price stated in the contract is lower than the minimum selling price (for export goods) or the minimum purchase price (for import goods) as stipulated in the Ministry of Finance's pricing table, then the taxable value is the minimum purchase or sale price at the port of import or export as specified in the Ministry of Finance's pricing table.

3. In cases where the goods for export or import do not meet the conditions for determining the contract price according to the format prescribed in Circular No. 4794/TN-XNK dated July 31, 1991, of the Ministry of Commerce (now the Ministry of Trade), or where purchases or sales are not settled through banks or do not have contracts, the taxable value is the price table established by the Ministry of Finance.

4. The exchange rate used to determine the taxable value in Vietnamese dong for export tax and import tax is the rate between Vietnamese dong and foreign currency published by the State Bank of Vietnam at the time of registering the export or import declaration with the customs authority.

For foreign currencies not published by the State Bank, the General Department of Customs will consult with the State Bank to promptly publish the applicable exchange rates for export tax and import tax.

Whenever the State Bank of Vietnam changes the exchange rate, the General Department of Customs will promptly notify the new exchange rate to customs offices in provinces and cities for uniform implementation according to the bank's published rate. If declarations for which taxes have not yet been calculated according to the new exchange rate are submitted during this period, the province or city customs office will adjust and reissue the tax amount according to the new exchange rate within the tax payment deadline.

III. TAX SCHEDULES

1. The current tax schedules are the export tax schedules and import tax schedules promulgated together with Decrees No. 110/HĐBT dated March 31, 1992, Decision No. 359/HĐBT dated September 29, 1992, of the Council of Ministers (now the Government), and Decisions No. 25 TC/TCT dated January 15, 1993, No. 216 TC/TCT dated April 13, 1993, No. 346 TC/TCT dated June 10, 1993, and No. 571 TC/TCT dated August 3, 1993, of the Ministry of Finance.

2. Preferential tax rates apply to goods for export or import that meet the following conditions:

2. The preferential tax rate shall be applied to imported and exported goods meeting the following conditions:

Exported and imported goods under trade agreements signed between the Government of Vietnam and foreign governments, which include preferential provisions on export duties and import duties as stipulated in point a, Clause 2, Article 11 of Decree No. 54/CP dated August 28, 1993, must comply with the specific items and quantities listed in such trade agreements. If the trade agreement does not specify the quantities or items, then the preferential duty rate cannot be applied.

For exported goods, they must have a certificate of production in Vietnam.

For imported goods, they must have a certificate of production in the country that has signed preferential terms in its commercial relations with Vietnam.

To apply the preferential duty rate correctly according to the items and quantities specified in the trade agreement, when issuing export and import permits, the Ministry of Commerce must clearly indicate the quantity and items eligible for preferential duty rates on the cargo transfer permit. Customs authorities will levy taxes at the preferential duty rate as prescribed, based on the items and quantities recorded in the permit, which has been confirmed by the Ministry of Commerce.

3. The tax rate applicable to unassembled, semi-assembled, and fully-assembled forms (SKD, CKD, IKD) of goods listed in the tariff schedule shall only apply to those goods that have been regulated by competent state agencies with standards for unassembled, semi-assembled, and fully-assembled forms. In cases where imported goods exceed the established standards, the higher tax rate will apply. For example, if unassembled goods exceed the SKD standard, the fully-assembled tax rate will apply. If semi-assembled goods exceed the CKD standard, the SKD tax rate will apply...

IV. EXEMPTION FROM TAX.

Organizations and individuals exporting or importing goods eligible for tax exemption as provided in Article 12 of the Decree must submit the following documents:

1. For non-repayable aid goods, the following documents are required:

Aid project or agreement between the Government of Vietnam and foreign organizations or aid agreement or notification of aid;

Permit for receiving, distributing, or using aid goods issued by the relevant ministry or provincial People's Committee;

Bill of lading or notice from the donor regarding the import of aid goods;

Export/import permit issued by the Ministry of Commerce clearly stating non-repayable aid;

Based on these documents, the Aid Management and Reception Board (Ministry of Finance) will issue a confirmation of aid stamped with "non-repayable aid."

2. For temporarily imported goods for re-export or temporarily exported goods for re-import to participate in exhibitions, the following documents are required:

Invitation or notification to participate in the exhibition;

Export or import permit issued by the Ministry of Commerce or General Department of Customs specifying temporary import for re-export or temporary export for re-import for exhibition purposes, including the duration of the exhibition;

The customs office handling the temporary import or export procedures is responsible for strict monitoring. If the goods remain in Vietnam after the exhibition period without being re-exported, or if the goods remain abroad after the exhibition period without being re-imported, the importer/exporter must declare and pay the corresponding import/export duties. Failure to declare and pay the duties upon discovery will result in the imposition of penalties as prescribed by law.

3. For movable assets, the following documents are required:

a) For movable assets of foreign organizations or individuals transferring out of Vietnam upon expiration of their residence and work periods in Vietnam, the following documents are required:

Decision of the foreign government allowing return to their home country;

Certificate of expiration of residence and work period in Vietnam issued by the Ministry of Foreign Affairs;

Permit issued by the Ministry of Commerce or General Department of Customs.

All prohibited export goods cannot be considered as movable assets.

For movable assets of foreign organizations or individuals entering Vietnam for residence and work, the regulations set forth in Decree No. 131/HĐBT dated August 27, 1987 (now the Government) shall apply.

b) For movable assets of domestic organizations or individuals permitted to take abroad for business and work, upon expiration of their stay abroad, the following documents are required:

Decision of the competent authority permitting business and work abroad;

Decision permitting return to Vietnam;

Export declaration when taking goods abroad;

Import permit for the goods being brought back to Vietnam.

Customs at the border gate will compare the actual assets returned with those taken abroad to exempt taxes on the assets that were taken abroad and are now being returned.

c) For personal and household items of Vietnamese individuals returning to Vietnam or moving abroad for permanent residence, the following decisions are required:

Only one unit each of high-end consumer goods such as cars, motorcycles, televisions, refrigerators, air conditioners currently in use can be brought back tax-free.

Any other goods brought back in large quantities for resale purposes must be taxed.

4. For exported or imported goods of foreign organizations or individuals benefiting from tax exemptions under international treaties, an export/import permit issued by the General Department of Customs is required.

5. For imported materials and raw materials for processing for export under signed contracts, the following documents are required:

Processing contract (original or certified copy) signed with foreign parties, detailing the supply method of materials and raw materials, delivery, consumption quotas, quantities of materials and raw materials to be processed, finished products to be delivered, and payment terms for processing fees.

Import permit issued by the Ministry of Commerce specifying the goods imported for processing for foreign countries;

Entrusted import contract (if the goods are entrusted imports);

The entity processing goods for foreign countries must maintain detailed records and manage the processed goods according to each contract and register with the provincial customs office. The General Department of Customs will provide specific guidelines and management systems for goods processed for foreign countries to ensure uniform implementation across the country.

For goods processed for export to foreign countries, only the import tax on raw materials and components used for processing shall be exempted. Equipment, means of production, tools, raw materials, and components paid for by foreign entities when imported must be subject to import tax. In cases where raw materials and components are imported for processing for foreign entities but the products are not exported, they must declare and repay the exempted import tax according to the provisions of Section VI below. If there is intentional non-declaration, in addition to back payment of the import tax, penalties ranging from two to five times the amount of undeclared tax will be imposed.

Upon completion of the processing contract, the entity must consolidate and settle accounts, report to the customs authority regarding the quantity of raw materials and components imported, the goods actually exported, and any surplus or shortage of raw materials and components. Within forty-five days from the end date of the contract (as stated in the contract), if the entity has not submitted a settlement report, the customs authority will suspend the procedure for exempting import taxes for subsequent processing contracts. At the same time, import taxes will be back-paid according to the guidance provided in Section VI below.

The customs authority shall base its procedures for granting import tax exemptions on the above regulations for the cases specified in Section IV of this Circular.

V. CONSIDERATION FOR TAX EXEMPTIONS AND REDUCTIONS.

Organizations and individuals with goods for export or import that fall under the cases eligible for tax exemption or reduction as stipulated in Article 13 of the Decree must present the following documents to the Ministry of Finance:

1. For specialized imported goods directly serving security and defense organizations, scientific research institutions, educational and training organizations, based on annual plans approved by the competent ministry:

a) Specialized imported goods directly serving security and defense organizations;

Specific plans and lists detailing the quantities and types of specialized imported goods for each unit, approved by the leadership of the competent ministry after consultation with the Ministry of Finance. These plans must be registered at the beginning of the year with the Ministry of Finance.

A letter requesting tax exemption, confirmed by the leadership of the competent ministry.

An import permit issued by the Ministry of Trade.

An import declaration form issued by customs (already settled and taxed).

Entrusted import contract (if the goods are entrusted imports);

b) Specialized imported goods directly serving scientific research and educational institutions:

Research project files including:

Approval decisions for projects at the ministry or state level.

Lists of goods needed for import to implement the projects, approved by the leadership of the competent ministry.

A letter requesting tax exemption.

An import permit issued by the Ministry of Trade.

An import declaration form issued by customs (already settled and taxed).

Entrusted import contract (if the goods are entrusted imports);

Specialized imported goods directly serving security and defense organizations, scientific research and educational institutions, once exempted from import tax, must pay back the exempted tax if they are used for purposes other than those intended. In cases of intentional non-declaration, in addition to back payment of the exempted tax, penalties ranging from two to five times the amount of tax due will be imposed.

2. For goods exported or imported by enterprises with foreign investment and foreign partners conducting business cooperation based on joint venture contracts in special cases encouraging investment (as stipulated in Article 11 of the Law on Export Tax and Import Tax). After obtaining written agreement from the Ministry of Finance, the State Committee on Cooperation and Investment will review and approve specific units for tax exemption on equipment, machinery, spare parts, means of transport, and various types of imported materials into Vietnam according to Article 76 of the Government Decree No. 18/CP dated April 16, 1993. The Ministry of Finance will process tax exemptions for each specific shipment.

Documents required for reviewing tax exemptions for each shipment include:

A request letter from the entity;

A letter agreeing to tax exemption from the State Committee on Cooperation and Investment;

An import-export plan approved by the Ministry of Trade, clearly distinguishing between equipment, machinery, spare parts, production and business means of transport (including transportation vehicles) and imported materials for basic construction investment to establish enterprises or to create fixed assets for implementing joint venture contracts;

An import permit for the shipment;

A customs declaration form already settled by customs.

3. For gifts and presents from foreign organizations and individuals to Vietnamese organizations and individuals and vice versa, the following must be provided:

A letter requesting exemption from import and export taxes;

An import-export permit issued by the customs authority;

A notification or decision to give the goods by the donor.

The criteria for tax exemption for gifts and presents are based on Circular No. 28 TC/TCT dated July 17, 1992, issued by the Ministry of Finance. Specifically, gifts and presents from Vietnamese organizations and individuals to foreign individuals and vice versa are only eligible for tax exemption up to $100 per individual per shipment. If one shipment is given to multiple people, each person can only have a tax exemption up to $100, and the total value of the shipment cannot exceed $1,000.

Any shipments of gifts exceeding the specified limits must pay import and export taxes on the entire shipment.

Goods that are gifts and are subject to quota management by the state are not eligible for tax exemption, except for certain special cases which the Ministry of Finance will consider and handle specifically.

Based on the documents specified in points 1, 2, and 3 of this section, the Ministry of Finance (General Department of Taxation) will examine and decide on tax exemptions for each case; the customs authority will base its customs procedures on the Ministry of Finance's tax exemption decision, noting on the declaration form: "Tax-exempt goods according to Decision No... dated... month... year... of the Ministry of Finance." For gifts within the specified limit to individuals, the customs authority will proceed with tax exemption procedures based on the prescribed procedures and documents.

4. For goods imported for sale as tax-exempt items, the following must be provided:

A letter requesting tax exemption;

A permit to operate tax-exempt sales granted by the competent state authority;

Quotas or plans for imports approved by the Ministry of Trade;

An import permit for the shipment;

A customs declaration form already inspected and taxed.

Based on the above documents, the Ministry of Finance (General Department of Taxation) shall issue a decision to grant tax exemption. The customs authority shall implement the procedures and stamp "Tax-exempt goods" on the customs declaration based on the tax exemption decision of the Ministry of Finance (General Department of Taxation). Quarterly (on the 10th day of the first month of each quarter), the business unit selling tax-exempt goods must report and settle the sales of tax-exempt goods with the Ministry of Finance (General Department of Taxation). If the unit fails to submit the settlement report within thirty days, the General Department of Taxation shall be responsible for notifying the customs authority to stop processing import procedures for tax-exempt goods until the unit submits the complete settlement report.

5. For imported/exported goods damaged or lost during transportation and handling due to valid reasons, there must be:

An import/export permit issued by the Ministry of Trade;

A customs declaration for imported/exported goods with confirmation from the customs office regarding the actual imported/exported goods;

An inspection report on the condition of damage or loss of the consignment during transportation issued by the VINACONTROL agency;

Supporting documents for the imported/exported goods, including invoices, bills of lading, etc.;

The provincial customs authority shall, based on the extent of damage or loss confirmed by VINACONTROL and relevant documents, reduce taxes accordingly for each specific case as stipulated in Article 14 of Decree No. 54/CP dated August 28, 1993 of the Government.

6. For warranty goods:

In principle, warranty goods are exempt from taxation. However, if the price payable for the entire consignment divided by the quantity of actually imported goods (including warranty goods) is lower than the minimum price level specified in the price list, the customs authority shall calculate taxes for the entire consignment (including warranty goods) at the minimum price level.

VI. COLLECTION OF EXPORT AND IMPORT TAXES.

According to Article 15 of Decree No. 54/CP dated August 28, 1993 of the Government, when the reasons for tax exemptions or reductions under Sections IV and V above change differently from the prescribed regulations, such as:

Aid goods used for purposes other than those specified in the program/project;

Temporary imports for exhibitions but not re-exported (for temporary imports) or not re-imported (for temporary exports);

Goods imported by foreign organizations and individuals enjoying tax exemption under the temporary import/re-export regime as per Decision No. 131/HĐBT dated July 28, 1987, but not re-exported and instead sold or transferred in the domestic market to organizations and individuals not entitled to tax exemption;

Goods imported specifically for direct use by security, defense organizations, scientific research, and educational institutions that have been exempted from import tax, but are subsequently sold rather than used for their intended purposes;

Raw materials and components imported for overseas processing that have been exempted from import tax, but are instead consumed in the domestic market or sold domestically without exporting the finished products;

Goods imported by joint ventures with foreign investment and foreign cooperative enterprises that have been exempted from import tax, but are sold in the domestic market;

Goods declared as damaged or lost during transportation and handling, but later determined to be undamaged or unlost, etc.;

Exporters and importers must declare to the customs authority that processed the customs clearance for the exempted or reduced-taxed goods within two days from the date the reasons for exemption or reduction change, so that the customs authority can process the collection of the exempted or reduced taxes.

The basis for collecting additional taxes: prices, exchange rates, and tax rates shall be determined according to the prices, exchange rates, and tax rates at the time the reasons for exemption or reduction changed.

VII. REFUND OF TAX.

1. When requesting a refund of paid export or import tax, organizations and individuals must present the following documents:

a) For imported goods that have paid tax and remain in bonded warehouses at the port but are permitted to be re-exported, there must be:

A letter requesting a refund of the import tax paid, clearly stating the reason for the request;

An import/export permit issued by the Ministry of Trade;

A customs declaration for imported goods and exported goods with confirmation from the customs authority. Specifically, the customs declaration for exported goods must have confirmation from the customs authority that the goods are still stored in bonded warehouses at border ports or are under customs supervision within the customs-controlled area;

A receipt for payment of import tax;

A power of attorney for import/export (if the goods are entrusted for import/export);

b) For goods that have paid export tax but are not exported, there must be:

A letter requesting a refund of the export tax paid;

An export permit issued by the Ministry of Trade;

A customs declaration for exported goods with confirmation from the customs authority that the goods were not exported as declared;

A receipt for payment of export tax;

c) For goods that have paid export or import tax but were actually exported or imported in smaller quantities, there must be:

A letter requesting a refund of the paid export or import tax;

An import/export permit issued by the Ministry of Trade;

A customs declaration for exported or imported goods that has been settled by the customs authority;

A receipt for payment of export or import tax;

A bill of lading or sales invoice;

d) For imported goods that do not meet quality requirements as per the contract or import permit (due to incorrect shipment by the foreign supplier), with an inspection report from VINACONTROL and confirmation from the foreign supplier, the importing entity must work specifically with the issuing authorities - the Ministry of Trade to adjust the import permit to match the actual imported goods. Based on the adjusted permit, the customs authority will check and determine the correct amount of tax to be paid. If the entity has overpaid, they will be refunded the excess amount.

đ) For raw materials and components imported for the production of export goods, there must be:

A request for refund of imported tax already paid (with a specific plan explaining the quantity of exported goods, the consumption rate of imported raw materials, and the amount of import tax requested for refund), confirmed by the local Tax Department and the superior management agency regarding the consumption quota of raw materials and supplies used for producing exported goods;

An export contract signed with foreign countries (clearly stating the quantity, specifications, quality, type, etc., of exported goods);

An export-import permit issued by the Ministry of Trade;

A customs declaration form for imported goods that has been settled by the customs authority;

A receipt for payment of import tax;

A commission export-import contract (if the goods are commissioned for export or import);

e) For temporarily imported goods intended for re-export, or temporarily exported goods intended for re-import, the following must be provided:

A request for refund of import tax or export tax already paid;

An export-import permit issued by the Ministry of Trade, clearly indicating on the permit that the goods are temporarily imported for re-export or temporarily exported for re-import;

Customs declarations for imported and exported goods that have been settled and confirmed by the customs authority regarding the quantity, weight, and type of goods for re-export or re-import;

An original (or certified copy) of the foreign contract between the seller and buyer, clearly stating the quantity, weight, quality, type, etc., of the goods being traded;

A receipt for payment of import tax or export tax;

A commission export-import contract (if the goods are commissioned for export or import);

In the case of temporarily imported or exported goods that have not yet paid taxes according to the customs notification but are still within the tax payment period and have actually been re-exported or re-imported, the following must be presented: The customs notification from the customs authority (substituting the tax payment receipt);

g) For imported goods by certain Vietnamese enterprises permitted to import for agency sales to foreign buyers, registered in advance with the Ministry of Finance, when requesting a refund of import tax, the following must be provided:

A request for refund of import tax;

An export permit issued by the Ministry of Trade;

A customs declaration form for exported goods that has been settled and confirmed by the customs authority;

A receipt for paid import tax.

2. Authority to approve tax refunds:

For cases a, b, c, and d of point 1 of this section, the inspection department confirms, the tax collection department reviews again and processes the tax refund. The Director of the Provincial or City Customs Office signs the decision to refund the tax and agrees with the entity entitled to the refund to deduct it from the next tax payment. If the tax refund amount is large and the entity does not have subsequent import or export activities, the customs office confirms and requests the Ministry of Finance (State Budget Department) to refund the tax to the entity.

For cases e, f, and g, the customs authority deposits the collected tax into a separate account at the treasury. When a tax refund is required, the Ministry of Finance (General Department of Taxation) will base its decision on the documentation specified in points e, f, and g of this section to examine and sign the tax refund decision. The customs authority will then implement the tax refund to the entity from the aforementioned deposit account at the treasury within seven working days.

VIII. HANDLING VIOLATIONS.

1. Handling violations of tax fraud by taxpayers as stipulated in Clause 3, Article 17 of Decree No. 54/CP dated August 28, 1993 of the Government; if taxpayers commit acts of tax fraud, in addition to recovering the tax, they must also bear penalties as follows:

Failure to declare imported or exported goods: first offense, fined twice the amount of tax fraud; second offense, fined three times; third offense and onwards, fined five times the amount of tax fraud.

Incorrect declaration of imported or exported goods compared to actual imports or exports, such as errors in quantity, type, grade of goods, incorrect declaration of purpose of imports or exports, or condition of imported or exported goods to take advantage of tax exemptions or reductions, declaring a lower taxable price than the actual purchase price, falsifying purchase-sale documents; for the first violation, fined twice the amount of tax fraud; for the second violation, fined three times; for the third violation and onwards, fined five times the amount of tax fraud.

In cases where the violation involves aggravating circumstances such as organized fraud, large scale fraud, taking advantage of positions, powers, or natural disasters, epidemics, enemy attacks to commit fraud, or evading punishment after committing fraud, even the first violation may result in a fine of up to three times the amount of tax fraud (for failure to declare imported or exported goods) or a fine of up to two times the amount of tax fraud (for incorrect declaration of actual imports or exports, incorrect declaration of purpose of imports or exports, incorrect declaration of condition of goods, declaring a lower taxable price than the actual purchase price, falsifying purchase-sale documents).

Upon discovering that taxpayers have committed tax fraud, the customs authority issues a penalty decision and collects the fine; if other agencies discover tax fraud, they compile the relevant documents and request the customs authority to issue a penalty decision and collect the fine according to the above provisions.

Individuals who evade taxes in large amounts, or who have been administratively punished according to the above provisions from the third offense onwards, and continue to evade taxes in very large amounts, or commit crimes in serious cases, shall be criminally prosecuted according to Article 169 of the Penal Code.

2. Handling violations by tax officials and other individuals as stipulated in Article 20 of Decree No. 54/CP dated August 28, 1993 of the Government; the Ministry of Finance specifies the following acts of violation:

a) Tax officials or other individuals who take advantage of their positions or powers to embezzle or misappropriate export tax or import tax, must compensate the State for the full amount of the embezzled or misappropriated tax. Depending on the severity of the violation and the disciplinary action, administrative penalty, or criminal prosecution according to the law.

b) Tax officials or other individuals who take advantage of their positions or powers to cover up for violators, or intentionally violate the provisions of the Law on Export Duties and Import Duties, lacking responsibility in implementing the Law on Export and Import Duties, such as: intentionally calculating taxes incorrectly (reducing the quantity, quality of goods compared to the actual exported or imported goods, calculating the taxable value incorrectly, applying the wrong exchange rate for tax calculation, applying the wrong tariff rate); covering up for taxpayers; not inspecting customs declarations for exported or imported goods; not calculating and collecting export duties and import duties but still allowing the export or import of goods; exporting or importing goods without permits (for commercial exports and imports), still processing export or import procedures; processing export or import procedures to grant tax exemptions arbitrarily without following prescribed procedures, etc., shall compensate the State budget for the tax amount. Depending on the level of violation, they will be disciplined, administratively punished, or criminally prosecuted according to the law.

c) Tax officials who lack a sense of responsibility and intentionally handle cases incorrectly, causing damage to taxpayers or those being processed, such as: incorrectly calculating taxes (quantity, taxable value, tax rate); collecting taxes from goods that have been exempted or reduced according to regulations; imposing penalties incorrectly according to prescribed regimes; reporting taxes late, causing damage to taxpayers, etc., must compensate the full amount of the loss suffered by the taxpayer or the person being processed.

3. Handling of violations of the deadline for tax payment: Organizations or individuals violating the deadline for tax payment as stipulated in Clause 1 and Clause 2 of Article 17 of Decree No. 54/CP dated August 28, 1993 shall, in addition to paying the full amount of tax as prescribed, also be subject to a daily fine of 0.2% (two thousandths) of the amount of overdue tax. These provisions also apply to outstanding tax amounts as of March 31, 1992.

IX. REGIME FOR TAX COLLECTION AND PAYMENT, ACCOUNTING OF TAX REVENUE, AND REPORTING ON TAX COLLECTION RESULTS.

1. Regime for tax collection and payment:

When receiving declarations of exported or imported goods, the tax collection department must strictly check the bases for tax calculation as prescribed in Article 6 of Decree No. 54/CP dated August 28, 1993 issued by the Government. Accurately determine the amount of tax payable and process the tax notification for the taxpayer, while recording in the journal the declaration number, date, time, and the tax amount payable according to the declaration.

The amount of export duty collected is deposited into Item 4, the amount of import duty collected is deposited into Item 5, and other amounts collected are deposited into Item 30 according to the appropriate chapter, type, item, and category of the current state budget ledger at the National Treasury. Specifically, the tax revenue collected from imported materials and raw materials for production of export goods, temporarily imported goods for re-export, temporarily exported goods for re-import, and imported goods sold or delivered to foreign countries on behalf of others is deposited into a separate account at the National Treasury. Customs authorities may only use funds from this account to refund taxes as decided by the Ministry of Finance for cases specified in Points 1d, 1e, and 1g of Section VII of this Circular.

2. Regime for reporting on tax collection results:

a) Provincial customs offices, based on tax collection receipts and the actual tax paid into the budget, prepare reports on tax collection results to be submitted to the General Department of Customs, including quick reports every five days according to Form No. 1-BCN (annexed) and no later than the fifth day of the month, submit formal monthly tax collection reports according to Form No. 2-BCT (annexed).

b) Based on the consolidated reports from provincial customs offices, the General Department of Customs prepares reports on tax collection results to be submitted to the Ministry of Finance, including quick reports every ten days according to Form No. 1-BCN and no later than the tenth day of the month, submit formal monthly tax collection reports according to Form No. 2-BCT.

c) Provincial customs offices, based on tax collection receipts and the actual tax paid into a separate account at the National Treasury and the actual tax refunded to taxpayers, prepare reports to be submitted to the General Department of Customs, including quick reports every five days according to Form No. 3-BCN (annexed) and no later than the fifth day of the month, submit formal monthly tax collection reports according to Form No. 4-BCN (annexed).

Based on the consolidated reports from provincial customs offices, the General Department of Customs compiles reports to be submitted to the Ministry of Finance, including quick reports every ten days according to Form No. 3-BCN and no later than the tenth day of the month, submit formal monthly tax collection and refund reports according to Form No. 4-BCN. On the tenth day of each quarter, the General Department of Customs compiles and submits to the Ministry of Finance a report on the progress of national export and import turnover according to Form No. 5-BCN (annexed).

X. IMPLEMENTATION.

The Ministry of Finance assigns the General Department of Taxation to monitor and inspect the collection and payment of export duties and import duties by the customs sector in accordance with the provisions of Article 23 of Decree No. 54/CP dated August 28, 1993 issued by the Government.

This Circular takes effect from September 1, 1993.

All previous guidance on export duties and import duties in other documents that conflict with this Circular are hereby abolished./.