Circular No. 7716/TC/TCT regarding payment documents in export tax refund files for imported raw materials used in production for export

LETTER

OF THE MINISTRY OF FINANCE NUMBER 7716 TC/TCT DATE JULY 25, 2003
ON PAYMENT DOCUMENTS IN THE EXPORT TAX REFUND FILE
FOR RAW MATERIALS IMPORTED FOR PRODUCTION OF EXPORT GOODS

Respected: State Bank of Vietnam

Recently, the Ministry of Finance has received recommendations from some enterprises reflecting difficulties regarding payment documents in the tax refund file for imported raw materials used to produce export goods and applying a 0% VAT rate on exported goods. Specifically:

+ In the case where a Vietnamese individual residing and working abroad authorizes a family member in Vietnam or directly pays by depositing money into the account of the Export Company at the bank.

+ In the case where the transfer slip through the Bank does not name the organization or individual purchasing the goods but instead goes through an individual's name (an employee of the purchasing unit).

+ In the case where the Company delivers goods according to the buyer's (abroad) instructions, which is an enterprise within a special economic zone. After receiving the goods, the designated receiving enterprise pays the purchase price based on the reconciliation statement between the selling company and the designated receiving enterprise, and the offsetting note among the three parties: seller - buyer - receiver. The remaining unpaid portion is collected by the parent company and then transferred via bank transfer to the selling company.

For the specific cases mentioned above, to process the tax refund in accordance with regulations, the Ministry of Finance requests the State Bank of Vietnam to provide opinions on whether the aforementioned payment methods ensure legality and validity, and the payment documents for these payment forms.

The Ministry of Finance looks forward to receiving the State Bank of Vietnam's response (before August 6, 2003). We sincerely appreciate your cooperation.