Decree No. 18/2021/ND-CP

DECREE

AMENDING AND SUPPLEMENTING A NUMBER OF ARTICLES OF THE GOVERNMENT'S DECREE No. 134/2016/NĐ-CP OF 01 SEPTEMBER 2016 DETAILING A NUMBER OF ARTICLES OF, AND PROVIDING MEASURES FOR IMPLEMENTATION OF, THE LAW ON EXPORT DUTY AND IMPORT DUTY

Pursuant to the Law on Organisation of the Government dated 19 June 2015 and the Law amending and supplementing a number of articles of the Law on Organisation of the Government and the Law on Organisation of Local Government dated 22 November 2019;

Pursuant to the Law on Export Duty and Import Duty dated 06 April 2016;

Pursuant to the Law on Customs dated 23 June 2014;

Pursuant to the Law on Investment dated 17 June 2020;

Pursuant to the Law on Tax Administration dated 13 June 2019;

Pursuant to the Law on Foreign Trade Management dated 12 June 2017;

At the request of the Minister of Finance;

The Government hereby promulgates the Decree amending and supplementing a number of articles of the Government's Decree No. 134/2016/NĐ-CP of 01 September 2016 detailing a number of articles of, and providing measures for implementation of, the Law on Export Duty and Import Duty.

Article 1. Amendment and supplementation of a number of articles of the Government's Decree No. 134/2016/NĐ-CP of 01 September 2016 detailing a number of articles of, and providing measures for implementation of, the Law on Export Duty and Import Duty

1. To amend and supplement Clause 1 and to add Clause 3 to Article 3 as follows:

“Article 3. Application of duty rates to exported and imported goods

1. Duty rates for goods exported or imported through Viet Nam's border gates and borders, and for goods exported and imported on the spot, shall be as prescribed in Articles 5, 6 and 7 of the Law on Export Duty and Import Duty. The application of duty rates to goods exported and imported on the spot shall be as prescribed in Clause 3 of this Article.

3. Application of duty rates to goods exported and imported on the spot

a) Goods exported on the spot are subject to the export duty rates prescribed in the Government's Decree No. 122/2016/NĐ-CP of 01 September 2016 on the Export Tariff, the Preferential Import Tariff, the list of goods and the absolute duty rates, mixed duties and out-of-quota import duty rates (hereinafter referred to as Decree No. 122/2016/NĐ-CP), the Government's Decree No. 57/2020/NĐ-CP of 25 May 2020 amending and supplementing a number of articles of Decree No. 122/2016/NĐ-CP and of the Government's Decree No. 125/2017/NĐ-CP of 16 November 2017 amending and supplementing a number of articles of Decree No. 122/2016/NĐ-CP (hereinafter referred to as Decree No. 57/2020/NĐ-CP), and any documents amending, supplementing or replacing them (if any).

b) Goods imported on the spot (other than goods imported on the spot from a non-tariff zone prescribed in Point c of this Clause) are subject to the preferential import duty rates prescribed in Decree No. 125/2017/NĐ-CP, Decree No. 57/2020/NĐ-CP and any documents amending, supplementing or replacing them (if any).

c) Goods satisfying the conditions of origin from a country, group of countries or territory that applies most-favoured-nation treatment in trade relations with Viet Nam and that are imported on the spot from a non-tariff zone into the domestic market, and goods manufactured, processed, recycled or assembled in a non-tariff zone that do not satisfy the conditions for special preferential import duty rates and are imported on the spot from a non-tariff zone into the domestic market, are subject to the preferential import duty rates prescribed in Decree No. 125/2017/NĐ-CP, Decree No. 57/2020/NĐ-CP and any documents amending, supplementing or replacing them (if any).

Goods satisfying the conditions of origin from a country, group of countries or territory having a special preferential arrangement on import duty in trade relations with Viet Nam that are imported on the spot from a non-tariff zone into the domestic market and that satisfy the other conditions for special preferential import duty rates, and goods manufactured, processed, recycled or assembled in a non-tariff zone that satisfy the conditions for special preferential import duty rates and are imported on the spot from a non-tariff zone into the domestic market, are subject to the special preferential import duty rates prescribed in the Government's Decrees on Special Preferential Import Tariffs for the implementation of the international treaties to which the Socialist Republic of Viet Nam is a party.

Imported goods that do not satisfy the conditions of origin from a country, group of countries or territory applying most-favoured-nation treatment and that do not satisfy the conditions for special preferential import duty rates, imported on the spot from a non-tariff zone into the domestic market, are subject to the ordinary import duty rates as prescribed in Point c Clause 3 Article 5 of the Law on Export Duty and Import Duty No. 107/2016/QH13 and in the Prime Minister's Decisions providing for the application of ordinary duty rates to imported goods.

d) Goods imported on the spot that are on the list of goods subject to tariff quotas shall be dealt with under the provisions on the list of goods and the import duty rates for items subject to tariff quotas prescribed in Decree No. 125/2017/NĐ-CP, Decree No. 57/2020/NĐ-CP and any documents amending, supplementing or replacing them (if any).”

2. To amend and supplement Clauses 3, 6, 7 and 8 of Article 5 as follows:

“Article 5. Duty exemption for goods of foreign organisations and individuals enjoying privileges and immunities

3. In addition to the items prescribed in Appendices I, II and III issued together with this Decree, the entities prescribed in Points a and b Clause 1 of this Article may import duty-free other goods necessary to serve their work requirements. The types and quantities of goods imported duty-free shall be as confirmed by the Ministry of Foreign Affairs.

6. Duty exemption dossier

a) The customs dossier under the customs legislation, except in the case of duty-free purchases at a duty-free shop;

b) The duty-free quota book under Clause 8 of this Article: 01 copy, except where the duty-free quota book has been updated onto the National Single Window Portal;

c) Documents proving the completion of re-exportation, destruction or transfer in the cases prescribed in Clause 5 of this Article: 01 copy;

d) The written confirmation of the Ministry of Foreign Affairs in the case of importing the goods prescribed in Clauses 2 and 3 of this Article: 01 copy;

đ) The Prime Minister's duty exemption decision in the case of importing the goods prescribed in Clause 4 of this Article: 01 copy.

7. Duty exemption procedure: To be carried out as prescribed in Article 31 of this Decree.

a) For the case prescribed in Clause 2 of this Article: The foreign organisation shall send a written request to the Ministry of Foreign Affairs using Form No. 02a in Appendix VII issued together with this Decree. Within 05 working days from the date of receipt of the written request, the Ministry of Foreign Affairs shall issue a written confirmation using Form No. 02b in Appendix VII issued together with this Decree, or a written refusal (clearly stating the reason for refusal). The customs authority shall grant the duty exemption on the basis of the dossier prescribed in Clause 6 of this Article.

b) For the case prescribed in Clause 3 of this Article: The foreign organisation or individual shall send to the Ministry of Foreign Affairs a document using Form No. 02c in Appendix VII issued together with this Decree, requesting confirmation of the types and quantities of imported goods eligible for duty exemption. Within 05 working days from the date of receipt of the written request, the Ministry of Foreign Affairs shall issue a written confirmation using Form No. 02d in Appendix VII issued together with this Decree, or a written refusal (clearly stating the reason for refusal). The customs authority shall grant the duty exemption on the basis of the dossier prescribed in Clause 6 of this Article.

c) For the case prescribed in Clause 4 of this Article

The foreign organisation or individual shall send to the Ministry of Finance a document using Form No. 02e in Appendix VII issued together with this Decree. Within 10 days from the date of receipt of the written request, the Ministry of Finance shall reach agreement with the Ministry of Foreign Affairs on the types and quantities of goods exempt from import duty under the international treaty or under the arrangement between the Government of Viet Nam and the foreign non-governmental organisation.

Within 10 days from the date of receipt of the Ministry of Foreign Affairs' document, the Ministry of Finance shall report to the Prime Minister for a decision on the types and quantities of duty-free goods. The Prime Minister shall consider and issue a decision on import duty exemption using Form No. 02g in Appendix VII issued together with this Decree for the foreign organisation or individual. The customs authority shall grant the duty exemption on the basis of the dossier prescribed in Clause 6 of this Article.

The customs authority where customs procedures are carried out shall monitor the exportation and importation using the duty-free quotas by electronic means. Where the duty-free quotas are not yet monitored by electronic means, the taxpayer shall be responsible for submitting 01 copy and producing the original of the duty-free quota book for checking and deduction.

8. Procedure for issuing the duty-free quota book or for adding quantities of goods to the duty-free quota book

a) Dossier of application in respect of agencies and organisations:

A written application for the issuance of the duty-free quota book or for the addition of quantities of goods to the duty-free quota book, using Form No. 01 or Form No. 01a in Appendix VII issued together with this Decree: 01 original;

A document notifying the establishment of the representative office in Viet Nam, upon the first issuance of the duty-free quota book: 01 copy;

Documents proving the completion of re-exportation, destruction or transfer where an entity prescribed in Points a and b Clause 1 of this Article applies for the addition of a quantity of motor cars or motorcycles to the duty-free quota book: 01 copy;

The international treaty or the arrangement between the Government of Viet Nam and the foreign non-governmental organisation that specifically provides for the types and quantities of duty-free goods: 01 copy;

The Prime Minister's duty exemption decision, where the international treaty or the arrangement between the Government of Viet Nam and the foreign non-governmental organisation does not specifically provide for the types and quantities of duty-free goods (in respect of the entities prescribed in Points c and d Clause 1 of this Article): 01 copy.

b) Dossier of application in respect of individuals:

A written application for the issuance of the duty-free quota book or for the addition of quantities of goods to the duty-free quota book, using Form No. 02 or Form No. 02i in Appendix VII issued together with this Decree: 01 original;

The identity card issued by the Ministry of Foreign Affairs in respect of the entities prescribed in Points a and b Clause 1 of this Article: 01 copy;

Documents proving the completion of re-exportation, destruction or transfer where an entity prescribed in Points a and b Clause 1 of this Article applies for the addition of a quantity of motor cars or motorcycles to the duty-free quota book: 01 copy.

The work permit or a document of equivalent legal validity issued by the competent authority, in respect of members of an international organisation or non-governmental organisation (in respect of the entities prescribed in Points c and d Clause 1 of this Article): 01 copy;

The international treaty or the arrangement between the Government of Viet Nam and the foreign non-governmental organisation that specifically provides for the types and quantities of duty-free goods: 01 copy;

The Prime Minister's duty exemption decision, where the international treaty or the arrangement between the Government of Viet Nam and the foreign non-governmental organisation does not specifically provide for the types and quantities of duty-free goods (in respect of the entities prescribed in Points c and d Clause 1 of this Article): 01 copy.

c) Competence to issue the duty-free quota book or to add quantities of goods to the duty-free quota book

The Department of State Protocol under the Ministry of Foreign Affairs, or an agency authorised by the Ministry of Foreign Affairs, shall issue the duty-free quota book using Form No. 02h1, Form No. 02h2 or Form No. 02h3 in Appendix VII issued together with this Decree to the organisations and individuals prescribed in Points a and b Clause 1 of this Article within 05 working days from the date of receipt of a complete dossier.

The Customs Department of the province, inter-province or centrally-run city (hereinafter referred to as the provincial or municipal Customs Department) where the agency or organisation prescribed in Points c and d Clause 1 of this Article has its head office shall issue the duty-free quota book using Form No. 02h4 or Form No. 02h5 in Appendix VII issued together with this Decree to the organisations and individuals prescribed in Points c and d Clause 1 of this Article within 05 working days from the date of receipt of a complete dossier.

The Ministry of Foreign Affairs shall continue to monitor and issue duty-free quota books in respect of the entities enjoying privileges and immunities prescribed in Point c Clause 1 of this Article to which the Ministry of Foreign Affairs issued duty-free quota books before the effective date of this Decree.

After issuing the duty-free quota book, the issuing agency prescribed in this Point shall update the information in the duty-free quota book for the General Department of Customs through the National Single Window Portal.”

3. To amend and supplement Point b Clause 2 of Article 8 as follows:

“Article 8. Duty exemption for gifts and presents

2. Duty-free quotas

b) For gifts and presents from foreign organisations and individuals to Vietnamese agencies and organisations whose operating funds are guaranteed by the State budget under the legislation on the budget and which are permitted by the competent authority to receive them, or gifts and presents for humanitarian or charitable purposes, the duty-free quota is the entire value of the gift or present, and not more than 04 times per year.”

4. To amend and supplement Point g Clause 1 and Clauses 2, 4 and 5 of Article 10 as follows:

“Article 10. Duty exemption for goods imported for processing and for processed products for export

1. Goods imported for processing and processed products for export under a processing contract that are exempt from export duty and import duty under Clause 6 Article 16 of the Law on Export Duty and Import Duty comprise:

g) Processed products exported abroad or exported into a non-tariff zone, or exported on the spot to an organisation or individual in Viet Nam as designated by the party placing the processing order.

Processed products for export are exempt from export duty under this Point if the products are processed entirely from imported goods. Where the processed products for export are manufactured from domestic raw materials or supplies subject to export duty, duty must be paid upon exportation on the portion of the value of the domestic raw materials and supplies incorporated in the exported products, at the duty rates applicable to those raw materials and supplies.

2. Grounds for determining goods eligible for duty exemption:

a) The taxpayer has a processing contract as prescribed in the Government's Decree No. 69/2018/NĐ-CP of 15 May 2018 detailing a number of articles of the Law on Foreign Trade Management. The taxpayer shall declare the receipt number of the processing contract and of any appendix to the processing contract on the customs declaration.

b) The taxpayer, or the organisation or individual carrying out sub-processing for the taxpayer, has ownership or the right to use the establishment processing goods for export and the machinery and equipment at that processing establishment in the territory of Viet Nam, and must notify the customs authority of the processing and sub-processing establishments, and of the processing contract, the sub-processing contract and the appendices to the processing contract and to the sub-processing contract, in accordance with the customs legislation. Where the taxpayer notifies the sub-processing establishment or the sub-processing contract after the time limit prescribed by the customs legislation, it shall only be sanctioned for an administrative violation in the field of customs as prescribed.

c) Where the taxpayer (holding a processing contract) hands over part or all of the imported goods, or semi-finished products processed from the imported goods as prescribed in Clause 1 of this Article, to another organisation or individual satisfying Point b of this Clause for sub-processing of some or all of the stages of the product, and then receives back the semi-finished products for further processing, or receives back the finished products for export, the taxpayer is exempt from import duty on the imported goods handed over for sub-processing.

Where the taxpayer (holding a processing contract) hands over part or all of the imported goods, or semi-finished products processed entirely from the imported goods, for sub-processing by another organisation or individual in a non-tariff zone or abroad, the imported goods and semi-finished products handed over for sub-processing are exempt from export duty. Products processed abroad and imported back into Viet Nam are subject to import duty as prescribed in Point d Clause 1 Article 11 of this Decree. Products processed in a non-tariff zone and imported into the Vietnamese domestic market are subject to import duty as prescribed in Clause 2 Article 22 of this Decree.

d) The taxpayer (holding a processing contract) shall be responsible for making the final settlement of the use of the duty-free imported goods in accordance with the customs legislation.

đ) The quantity of imported goods used to process products that have been exported abroad or into a non-tariff zone and that is exempt from import duty is the quantity of imported goods actually used to process the exported products.

Imported goods used to process products that have been exported on the spot to an organisation or individual in the domestic market (not located in a non-tariff zone), and processed products imported on the spot, shall be dealt with under Points g and h of this Clause.

e) Goods imported for processing, and scrap and defective products created in the course of export processing that are returned to the foreign party placing the processing order, are exempt from export duty and import duty.

Goods imported for processing, processed products, and scrap and defective products created in the course of processing that are permitted to be destroyed and have actually been destroyed in accordance with the customs legislation are exempt from import duty.

For goods imported for export processing where the products are not exported, or for surplus imported goods that are not exported, the taxpayer must register a new customs declaration and declare and pay duty to the customs authority at the duty rate and dutiable value of the imported goods applicable at the time of registration of the new customs declaration, except in the case of gifts and presents under Article 8 of this Decree.

g) The imported goods used to process products exported on the spot that are exempt from import duty are the goods actually used to process the products exported on the spot, provided that the on-the-spot exporter notifies the customs authority of the information on the customs declaration of the corresponding products imported on the spot for which import procedures have been completed, within 15 days from the date of customs clearance of the products exported on the spot, using Form No. 22 in Appendix VII issued together with this Decree.

Where, after the above time limit, the on-the-spot exporter does not notify the customs authority of the information on the customs declaration of the corresponding products imported on the spot for which import procedures have been completed, the on-the-spot exporter must register a new customs declaration and declare and pay duty on the imported goods used to process the products exported on the spot, at the duty rate and dutiable value of the imported goods applicable at the time of registration of the new customs declaration.

Where, after paying the duty, the on-the-spot exporter notifies the customs authority of the information on the customs declaration of the corresponding products imported on the spot for which import procedures have been completed, the duty paid shall be dealt with under the legislation on tax administration concerning the handling of overpaid tax.

h) Products imported on the spot for which the customs declaration is registered under the processing-import category are exempt from import duty if the on-the-spot importer satisfies Points a and b of this Clause. Where products imported on the spot are registered under another category, the on-the-spot importer shall declare and pay duty at the duty rate and dutiable value of the products imported on the spot applicable at the time of registration of the on-the-spot import customs declaration.

Where the on-the-spot importer has paid import duty on goods imported for production and business, has put the products imported on the spot into the production of goods for export and has actually exported the products abroad or into a non-tariff zone, the import duty paid shall be refunded as prescribed in Article 36 of this Decree.

4. Scrap and defective products created in the course of processing are exempt from import duty when transferred to domestic consumption; the taxpayer need not carry out customs procedures but must declare and pay value-added tax, special consumption tax and environmental protection tax (if any) to the tax authority in accordance with the tax legislation.

5. The duty exemption dossier and procedure shall be as prescribed in Article 31 of this Decree.

When carrying out on-the-spot export procedures for the goods prescribed in this Article, in addition to the duty exemption dossier prescribed in Article 31 of this Decree, the on-the-spot exporter must also submit the foreign organisation's or individual's document designating delivery of the goods in Viet Nam: 01 copy.”

5. To amend and supplement Point a Clause 1 of Article 11 as follows:

“Article 11. Duty exemption for goods exported for processing and for processed products imported

1. Goods exported for processing and processed products imported under a processing contract that are exempt from export duty and import duty under Clause 6 Article 16 of the Law on Export Duty and Import Duty comprise:

a) Exported raw materials, supplies and components.

The value or quantity of the exported raw materials, supplies and components corresponding to processed products that are not imported back is subject to export duty at the duty rates applicable to the exported raw materials, supplies and components.

Exported goods that are natural resources or minerals, products in which the total value of the natural resources and minerals plus the energy costs accounts for 51% or more of the production cost, and goods exported for processing that are subject to export duty (other than scrap created in the course of production or export processing from imported goods) are not exempt from export duty.

The determination of whether a product has a total value of natural resources and minerals plus energy costs accounting for 51% or more of the production cost shall be made under the Government's Decree No. 100/2016/NĐ-CP of 01 July 2016 detailing and guiding the implementation of a number of articles of the Law amending and supplementing a number of articles of the Law on Value-Added Tax, the Law on Special Consumption Tax and the Law on Tax Administration, and the Government's Decree No. 146/2017/NĐ-CP of 15 December 2017 amending and supplementing a number of articles of Decree No. 100/2016/NĐ-CP.”

6. To amend and supplement Article 12 as follows:

“Article 12. Duty exemption for goods imported for the production of goods for export

1. Goods imported for the production of goods for export that are exempt from import duty under Clause 7 Article 16 of the Law on Export Duty and Import Duty comprise:

a) Raw materials and supplies (including supplies used to make packaging, or packaging for packing export products), components and semi-finished products imported that are directly incorporated in the export products or that take part directly in the process of producing the goods for export without being directly transformed into goods;

b) Finished products imported for packing, labelling, or attaching to or assembling into the export products, or for packing together with the export products into a synchronous set of goods;

c) Components and spare parts imported for the warranty of the export products;

d) Imported goods not used for sale, exchange or consumption but used only as samples;

đ) Goods imported for production for export that are permitted to be destroyed in Viet Nam and have actually been destroyed.

2. Grounds for determining goods eligible for duty exemption:

a) The taxpayer has ownership or the right to use the establishment producing goods for export and the machinery and equipment at that production establishment in the territory of Viet Nam. The taxpayer shall notify the customs authority of its production establishment and of the machinery and equipment at that production establishment; of the production or processing establishment of the party carrying out the sub-production or sub-processing; and of the sub-production or sub-processing contract, in accordance with the customs legislation. Where the taxpayer notifies the sub-production or sub-processing establishment or the sub-production or sub-processing contract after the time limit prescribed by the customs legislation, it shall only be sanctioned for an administrative violation in the field of customs as prescribed.

Where the taxpayer hands over imported goods as prescribed in Clause 1 of this Article to another organisation or individual having ownership or the right to use a production establishment and the machinery and equipment at that production establishment, for sub-production or sub-processing, the following cases apply:

a1) Where the taxpayer hands over part or all of the imported goods to another organisation or individual in the territory of Viet Nam for the sub-production or sub-processing of one or more stages of the product and then receives back the semi-finished products for further production of the export products, it is exempt from import duty on the imported goods handed over for sub-production or sub-processing.

a2) Where the taxpayer hands over part or all of the semi-finished products that it produced from the imported goods to another organisation or individual in the territory of Viet Nam for the sub-production or sub-processing of one or more stages of the product and then receives back the semi-finished products for further production of the export products, or receives back the finished products for export, it is exempt from import duty on the imported goods used to produce the semi-finished products handed over for sub-production or sub-processing.

a3) Where the taxpayer hands over part of the imported goods to another organisation or individual in the territory of Viet Nam for the sub-production or sub-processing of all stages of the product and then receives back the finished products for export, it is exempt from import duty on the imported goods handed over for sub-production or sub-processing.

a4) Where the taxpayer hands over imported goods, or semi-finished products produced entirely from imported goods, to another organisation or individual for sub-production or sub-processing in a non-tariff zone or abroad in one of the cases prescribed in Points a.1, a.2 and a.3 of this Clause, it is exempt from export duty on the imported goods and on the semi-finished products produced entirely from imported goods that are handed over for sub-production or sub-processing. Products produced or processed abroad and imported back into Viet Nam are subject to import duty as prescribed in Point d Clause 1 Article 11 of this Decree. Products produced or processed in a non-tariff zone and imported into the Vietnamese domestic market are subject to import duty as prescribed in Clause 2 Article 22 of this Decree.

b) Where the taxpayer importing goods as prescribed in Clause 1 of this Article hands over all of the imported goods to an organisation in which the taxpayer owns more than 50% of the charter capital or of the total ordinary shares, for the production or processing of the products and then receives back the products for export, it is exempt from import duty on the imported goods handed over for production or processing (including the case where the organisation receiving the production order engages another unit for the sub-production or sub-processing of one or more stages of the export product). The organisation receiving the production or processing order must have ownership or the right to use the production or processing establishment and the machinery and equipment at that production establishment in the territory of Viet Nam. The taxpayer must notify the customs authority of the production or processing establishment of the organisation receiving the production or processing order, of the sub-production or sub-processing establishment of the unit receiving the sub-production or sub-processing order, and of the sub-production or sub-processing contract, in accordance with the customs legislation. Where the taxpayer notifies the sub-production or sub-processing establishment of the unit receiving the sub-production or sub-processing order, or the sub-production or sub-processing contract, after the time limit prescribed by the customs legislation, it shall only be sanctioned for an administrative violation in the field of customs as prescribed.

The taxpayer must additionally submit the following documents to the customs authority at the time of notifying the production establishment of the organisation receiving the sub-production or sub-processing order:

The enterprise registration certificate or the most recent audited financial statements of the organisation receiving the production order and of the taxpayer: 01 certified copy;

The charter on the organisation and operation of the organisation receiving the production order and of the taxpayer: 01 certified copy;

The register of shareholders, for a joint-stock company, or the register of members, for a limited liability company with two or more members, of the organisation receiving the production order and of the taxpayer: 01 certified copy.

Where the taxpayer hands over all of the imported goods to an organisation for sub-production or sub-processing in a non-tariff zone or abroad, it is exempt from export duty on the imported goods handed over for sub-production or sub-processing. Products produced or processed abroad and imported back into Viet Nam are subject to import duty as prescribed in Point d Clause 1 Article 11 of this Decree. Products produced or processed in a non-tariff zone and imported into the Vietnamese domestic market are subject to import duty as prescribed in Clause 2 Article 22 of this Decree.

c) The taxpayer shall be responsible for making the final settlement of the use of the duty-free goods in accordance with the customs legislation.

d) The quantity of imported goods used to produce products exported abroad or into a non-tariff zone that is exempt from duty is the quantity of imported goods actually used to produce the exported products.

Imported goods used to produce products exported on the spot to an organisation or individual in the domestic market (not located in a non-tariff zone), and products exported on the spot and products imported on the spot, shall be dealt with under Points e, g and h of this Clause.

đ) Goods imported for production, products produced, and scrap and defective products created in the course of production that are permitted to be destroyed and have actually been destroyed in accordance with the customs legislation are exempt from import duty.

Goods imported for production for export that are not used, or imported goods that have been used in production but the products of which are not exported, are not exempt from import duty; the taxpayer must register a new customs declaration and declare and pay duty to the customs authority at the duty rate and dutiable value of the imported goods applicable at the time of registration of the new customs declaration, except in the case of gifts and presents under Article 8 of this Decree.

e) The quantity of imported goods used to produce products exported on the spot that is exempt from import duty is the quantity of goods actually used to produce the products exported on the spot, provided that the on-the-spot exporter notifies the customs authority of the information on the customs declaration of the corresponding products imported on the spot for which import procedures have been completed, within 15 days from the date of customs clearance of the products exported on the spot, using Form No. 22 in Appendix VII issued together with this Decree.

Where, after the above time limit, the on-the-spot exporter does not notify the customs authority of the information on the customs declaration of the corresponding products imported on the spot for which import procedures have been completed, the on-the-spot exporter must register a new customs declaration and declare and pay duty on the imported goods used to produce the products exported on the spot, at the duty rate and dutiable value of the imported goods applicable at the time of registration of the new customs declaration.

Where, after paying the duty, the on-the-spot exporter notifies the customs authority of the information on the customs declaration of the corresponding products imported on the spot for which import procedures have been completed, the duty paid shall be dealt with under the legislation on tax administration concerning the handling of overpaid tax.

g) Products exported on the spot are not exempt from export duty. The on-the-spot exporter shall register the on-the-spot export customs declaration and declare and pay export duty at the duty rate and value of the products exported on the spot applicable at the time of registration of the on-the-spot export customs declaration.

h) Products imported on the spot for which the customs declaration is registered under the processing-import category are exempt from import duty if the on-the-spot importer satisfies Points a and b Clause 2 Article 10 of this Decree. Where the customs declaration for products imported on the spot is registered under another category, the on-the-spot importer shall declare and pay duty at the duty rate and dutiable value of the imported products applicable at the time of registration of the declaration.

Where the on-the-spot importer has paid import duty on goods imported for production and business, has put the products imported on the spot into the production of goods for export and has actually exported the products abroad or into a non-tariff zone, the import duty paid shall be refunded as prescribed in Article 36 of this Decree.

3. The duty exemption dossier and procedure shall be as prescribed in Article 31 of this Decree.

When carrying out on-the-spot export procedures for the goods prescribed in this Article, in addition to the duty exemption dossier prescribed in Article 31 of this Decree, the on-the-spot exporter must also submit the foreign organisation's or individual's document designating delivery of the goods in Viet Nam: 01 copy.

4. Scrap and defective products created in the course of production for export are exempt from import duty when transferred to domestic consumption; the taxpayer need not carry out customs procedures but must declare and pay value-added tax, special consumption tax and environmental protection tax (if any) to the tax authority in accordance with the tax legislation.”

7. To amend and supplement Clause 4 and to add Clause 6 to Article 14 as follows:

“Article 14. Duty exemption for goods imported to create fixed assets of entities eligible for investment incentives

4. The grounds for determining building supplies that cannot yet be produced domestically shall be as prescribed by the Ministry of Planning and Investment.

The grounds for determining specialised means of transport within a technological line used directly for the production activities of an investment project shall follow the List or the criteria for determining duty-free imported goods issued by the Ministry of Science and Technology, or the written confirmation of the Ministry of Science and Technology in respect of specialised means of transport imported within a technological line used directly for the production activities of an investment project.

6. Grounds for determining the entities eligible for duty exemption

a) Investment projects in business lines eligible for investment incentives or in business lines eligible for special investment incentives; and investment projects in geographical areas with difficult socio-economic conditions or in geographical areas with especially difficult socio-economic conditions: To be determined under Appendices I and II issued together with the Government's Decree No. 118/2015/NĐ-CP of 12 November 2015 detailing and guiding the implementation of a number of articles of the Law on Investment (hereinafter referred to as Decree No. 118/2015/NĐ-CP) and any documents amending, supplementing or replacing it (if any).

b) An investment project with an investment capital of VND 6,000 billion or more that disburses at least VND 6,000 billion within 03 years from the date of issuance of the investment registration certificate or of the approval of the investment policy, and that at the same time meets one of the following criteria: achieving a total turnover of at least VND 10,000 billion per year within not more than 03 years from the year in which turnover is generated, or employing more than 3,000 workers as prescribed in Point c Clause 2 Article 15 of the Law on Investment No. 61/2020/QH14, is exempt from import duty as prescribed in Clause 1 of this Article on the basis of the declaration of the investment project owner.

The customs authority receiving the duty-free list shall be responsible for inspecting the disbursement of the investment capital and the criteria on total turnover and on the employment of workers at the project owner's head office, following the order and procedures for post-clearance audit. Where the investment project has not disbursed at least VND 6,000 billion within 03 years from the date of issuance of the investment registration certificate or of the approval of the investment policy, or where the investment project has disbursed at least VND 6,000 billion within 03 years from that date but does not meet the criterion on total turnover or the criterion on the employment of workers under the investment legislation, the taxpayer is not entitled to the import duty incentive prescribed in Clause 1 of this Article and must declare and pay in full the duty that was exempted, together with the late-payment amount, in accordance with the legislation on tax administration.

c) An investment project in a rural area employing 500 workers or more (not counting part-time workers and workers with labour contracts of less than 12 months): The time for determining the number of workers of the investment project is 12 months after the date on which the project officially commences operation. The project owner shall itself declare, take responsibility for and notify the customs authority of the date on which the investment project officially commences operation, using Form No. 21 in Appendix VII issued together with this Decree, and must ensure that it meets the criterion of employing 500 workers or more throughout the operating period of the project. After the project officially commences operation, the customs authority receiving the duty-free list shall be responsible for inspecting the number of workers of the investment project.

Where, at the time of determining the criterion on the number of workers of the investment project, the project does not employ 500 workers or more, it is not entitled to the import duty incentive prescribed in Clause 1 of this Article. The taxpayer must declare and pay in full the duty that was exempted, together with the late-payment amount, in accordance with the legislation on tax administration.

Where an investment project employing 500 workers or more is invested in an area that is partly a rural area and partly not a rural area, the determination shall be based on the number of workers working in the works and items located in the rural area, not counting the number of workers working in the works and items not located in the rural area.

d) High-tech enterprises, science and technology enterprises and science and technology organisations shall be determined in accordance with the legislation on high technology and the legislation on science and technology.

đ) The grounds for determining duty exemption for the other entities eligible for investment incentives prescribed in the Law on Investment No. 61/2020/QH14 shall be as provided by the investment legislation and the relevant specialised legislation.

e) The import duty incentive prescribed in Clause 1 of this Article does not apply to the investment projects prescribed in Clause 5 Article 15 of the Law on Investment No. 61/2020/QH14.”

8. To amend and supplement Clause 1 of Article 15 as follows:

“Article 15. Import duty exemption for raw materials, supplies and components for a period of 05 years

1. Raw materials, supplies and components that cannot yet be produced domestically and that are imported for the production of an investment project prescribed in Points a, b and c of this Clause are exempt from import duty for a period of 05 years from the date on which production commences, as prescribed in Clause 13 Article 16 of the Law on Export Duty and Import Duty.

a) Investment projects on the List of business lines eligible for special investment incentives prescribed in Appendix I to Decree No. 118/2015/NĐ-CP and any documents amending, supplementing or replacing it (if any).

b) Investment projects on the List of geographical areas with especially difficult socio-economic conditions prescribed in Appendix II to Decree No. 118/2015/NĐ-CP and any documents amending, supplementing or replacing it (if any), or investment projects prescribed in Points a and c Clause 2 Article 16 of Decree No. 118/2015/NĐ-CP and any documents amending, supplementing or replacing it (if any).

c) Investment projects of high-tech enterprises, science and technology enterprises and science and technology organisations in accordance with the legislation on high technology and the legislation on science and technology.

The time at which production commences is the time of official production, not including the trial production period. The taxpayer shall itself declare and take responsibility for the actual production commencement date and shall notify it, before carrying out customs procedures, to the customs authority receiving the dossier notifying the duty-free list.

Upon expiry of the 05-year duty exemption period, the taxpayer must declare and pay duty in full as prescribed on the quantity of duty-free imported raw materials, supplies and components that has not been fully used.”

9. To amend and supplement Clauses 1 and 5 and to add Clauses 7, 8 and 9 to Article 28 as follows:

“Article 28. Duty exemption for goods exported or imported to serve the assurance of social security, the remedying of the consequences of natural disasters, catastrophes and epidemics, and other special cases

1. Goods exported or imported to serve the assurance of social security, the remedying of the consequences of natural disasters, catastrophes and epidemics, and other special cases that are exempt from export duty and import duty under Clause 23 Article 16 of the Law on Export Duty and Import Duty comprise:

a) Goods that cannot yet be produced domestically and that need to be imported for direct use in a project under a Government programme for the assurance of social security are exempt from import duty;

b) Goods that cannot yet be produced domestically and that are imported to remedy the consequences of natural disasters, catastrophes and epidemics are exempt from import duty;

c) Agarwood produced from planted Aquilaria trees and python skin originating from captive breeding are exempt from export duty;

d) Unprocessed agricultural products on the List prescribed in Appendix VIII issued together with this Decree that are invested in and grown by Vietnamese enterprises, family households, business households and individuals in the provinces of Cambodia bordering Viet Nam, and that are imported through border gates within customs operation areas as materials for the production of goods in Viet Nam, are exempt from import duty.

Cases involving only the purchase of the products, or investment in provinces of Cambodia not bordering Viet Nam, are not exempt from import duty under this Point;

đ) Goods exported or imported in other special cases in respect of which the Prime Minister decides on the exemption from export duty and import duty on a case-by-case basis at the request of the Ministry of Finance.

5. The dossier of application for duty exemption in respect of goods exported or imported in other special cases comprises:

a) An official letter of the ministry, ministerial-level agency, provincial or municipal People's Committee, or of the organisation or individual, applying for exemption from export duty and import duty, clearly stating the reason, the quantity, type and value of the goods and the amount of duty for which exemption is requested: 01 original;

b) The list of exported and imported goods for which exemption from export duty and import duty is requested, using Form No. 04 in Appendix VII issued together with this Decree: 01 original.

7. Procedure for duty exemption in respect of goods exported or imported to serve the assurance of social security, the remedying of the consequences of natural disasters, catastrophes and epidemics, and other special cases:

The taxpayer shall submit the dossier of application for duty exemption prescribed in Clauses 3, 4 and 5 of this Article to the Ministry of Finance. Within 30 days from the date of receipt of a complete dossier of application for duty exemption, the Ministry of Finance shall appraise the dossier and report to the Prime Minister for consideration and decision, enclosing the list of goods for which duty exemption is requested. For other special cases requiring the opinions of the relevant ministries and sectors, the dossier appraisal period may be extended but shall not exceed 40 days from the date of receipt of a complete dossier of application for duty exemption. Within 15 days from the date of receipt of the Ministry of Finance's appraisal document, the Prime Minister shall issue a decision on exemption from export duty and import duty using Form No. 23 in Appendix VII issued together with this Decree, or shall send a document refusing the duty exemption to the agency, organisation or individual applying for it.

On the basis of the Prime Minister's duty exemption decision, the customs authority where the export or import procedures are carried out shall grant the exemption from export duty and import duty.

8. Dossier and procedure for export duty exemption in respect of agarwood produced from planted Aquilaria trees and python skin originating from captive breeding:

The duty exemption dossier and procedure shall be as prescribed in Article 31 of this Decree. For python skin originating from captive breeding, the taxpayer shall additionally submit the following documents:

a) The certificate of registration of the wild animal breeding farm issued by the local Forest Protection authority or by an agency designated by the Ministry of Agriculture and Rural Development: 01 copy, with the original produced on the first exportation for checking;

b) The certificate of the number of pythons slaughtered that originate from captive breeding, confirmed by the local Forest Protection authority on each occasion of carrying out export procedures: 01 copy, with the original produced for checking.

9. Procedure for duty exemption in respect of unprocessed agricultural products invested in and grown in Cambodia with Vietnamese support and imported back into the country:

a) Each year, the taxpayer shall notify the list of duty-free imported goods through the electronic data processing system to the Customs Department of the province bordering Cambodia. Where the duty-free list is notified in paper form, the taxpayer shall notify the Customs Department of the province bordering Cambodia as prescribed in Article 30 of this Decree.

In addition to the dossier notifying the list of duty-free imported goods prescribed in Clause 3 Article 30 of this Decree, a taxpayer that is an enterprise shall additionally submit the following documents:

The written confirmation permitting the investment issued by the competent authority in Cambodia where the Vietnamese enterprise invests: 01 copy together with 01 Vietnamese translation bearing the enterprise's certifying stamp;

The contract or arrangement signed with the Cambodian side on supporting the investment and cultivation and on receiving the agricultural products, clearly stating the amount of money and goods invested in each field and, correspondingly, the quantity, type and value of each kind of agricultural product to be harvested: 01 copy, with the original produced for checking;

Documents relating to the support for investment in and cultivation of agricultural products in the provinces of Cambodia bordering Viet Nam (if any): 01 copy, with the original produced on the first importation for checking.

b) On the basis of the list of duty-free imported goods notified to the customs authority, the taxpayer shall carry out the duty exemption procedure for the imported goods as prescribed in Article 31 of this Decree.

The customs authority shall, on the basis of the dossier notifying the duty-free list and of the list of family households, business households and individuals supporting investment in and cultivation of agricultural products in the provinces of Cambodia bordering Viet Nam that is announced annually by the provincial People's Committee of the place where those family households, business households and individuals reside, check and compare them against the goods actually imported in order to grant the import duty exemption for each imported consignment.

The People's Committees of the provinces bordering Viet Nam and Cambodia shall announce annually, on the provincial People's Committee's website, the list of family households, business households and individuals residing in the province that invest in and grow agricultural products in the provinces of Cambodia bordering Viet Nam, using Form No. 11 in Appendix VII issued together with this Decree; and shall at the same time send it to the provincial Customs Department and to the Customs Sub-Departments managing the border gates in the provinces bordering Cambodia. Where the criteria stated in the announced document change, an adjusting document must be issued accordingly.”

10. To add Article 28a as follows:

“Article 28a. Conditions for customs inspection and supervision and application of duty policies to export-processing enterprises that are non-tariff zones

1. An export-processing enterprise that is a non-tariff zone must satisfy all of the following conditions for customs inspection and supervision:

a) Having a solid fence separating it from the area outside; having gates or doors ensuring that goods are brought into and out of the export-processing enterprise only through those gates or doors.

b) Having a camera system able to observe the positions at the entry and exit gates or doors and the positions where goods are stored at all times of the day (24/24 hours, including days off and public holidays); the camera image data shall be connected online with the customs authority managing the enterprise and shall be retained at the export-processing enterprise for at least 12 months.

The Director General of the General Department of Customs shall be responsible for issuing the format of the data messages exchanged between the customs authority and the enterprise concerning the surveillance camera system, for implementation as prescribed in Point b of this Clause.

c) Having software for managing the imported goods of the export-processing enterprise that are not subject to duty, in order to make the final settlement report on imports, exports and inventory concerning the use of the imported goods in accordance with the customs legislation.

2. Procedure for inspecting and confirming the ability to satisfy the conditions for customs inspection and supervision in respect of an export-processing enterprise, or of an investor implementing an investment project registered as an export-processing enterprise.

a) Where the investor applies for an investment registration certificate for a new investment project, or for written confirmation from the competent investment registration agency where an investment registration certificate is not required:

The investor shall submit to the investment registration agency 01 written undertaking as to its ability to satisfy the conditions for customs inspection and supervision prescribed in Clause 1 of this Article, using Form No. 24 in Appendix VII issued together with this Decree, together with the dossier of application for the investment registration certificate or the dossier of application for written confirmation from the competent investment registration agency where an investment registration certificate is not required.

The investment registration agency shall send a document seeking the opinion of the competent customs authority on the ability to satisfy the conditions for customs inspection and supervision as prescribed in Clause 1 Article 30 of the Government's Decree No. 82/2018/NĐ-CP of 22 May 2018 on the management of industrial parks and economic zones (hereinafter referred to as Decree No. 82/2018/NĐ-CP) and any documents amending, supplementing or replacing it (if any), and as prescribed in this Decree, enclosing the dossier of application for the investment registration certificate or the dossier of application for written confirmation from the competent investment registration agency where an investment registration certificate is not required (copy) and the enterprise's written undertaking (01 original).

Within 03 working days from the date of receipt of the investment registration agency's document, the customs authority shall, on the basis of the dossier of application for the investment registration certificate or the dossier of application for written confirmation from the competent investment registration agency where an investment registration certificate is not required, and of the enterprise's written undertaking, confirm the ability to satisfy the conditions for customs inspection and supervision as undertaken by the enterprise on Form No. 24 in Appendix VII issued together with this Decree, and send it to the investment registration agency.

b) Where the investor applies for the issuance or adjustment of an investment registration certificate (if any), or for written confirmation from the competent investment registration agency where an investment registration certificate is not required, in order to implement an expansion investment project:

The investor shall submit to the investment registration agency 01 written undertaking as to its ability to satisfy the conditions for customs inspection and supervision prescribed in Clause 1 of this Article, using Form No. 24 in Appendix VII issued together with this Decree, in respect of the expansion investment portion, together with the dossier of application for the issuance or adjustment of the investment registration certificate (if any) or the dossier of application for written confirmation from the competent investment registration agency where an investment registration certificate is not required.

The investment registration agency shall send a document seeking the opinion of the competent customs authority on the ability to satisfy the conditions for customs inspection and supervision as prescribed in Clause 1 Article 30 of Decree No. 82/2018/NĐ-CP and any documents amending, supplementing or replacing it (if any), and as prescribed in this Decree, in respect of the expansion investment portion, enclosing the dossier of application for the investment registration certificate or the dossier of application for written confirmation from the competent investment registration agency where an investment registration certificate is not required (copy) and the enterprise's written undertaking (01 original).

Within 03 working days from the date of receipt of the investment registration agency's document, the customs authority shall, on the basis of the dossier of application for the investment registration certificate or the dossier of application for written confirmation from the competent investment registration agency where an investment registration certificate is not required, and of the enterprise's written undertaking, confirm the ability to satisfy the conditions for customs inspection and supervision as undertaken by the enterprise on Form No. 24 in Appendix VII issued together with this Decree, and send it to the investment registration agency.

c) Where registration is made for conversion from an enterprise that is not an export-processing enterprise into an export-processing enterprise:

On the basis of the investor's application, the investment registration agency shall send a document seeking the opinion of the competent customs authority on the ability to satisfy the conditions for customs inspection and supervision as prescribed in Clause 1 Article 30 of Decree No. 82/2018/NĐ-CP and any documents amending, supplementing or replacing it (if any), and as prescribed in this Decree.

Within a maximum of 10 working days from the date of receipt of the investment registration agency's document, the customs authority shall be responsible for carrying out a physical inspection of the conditions for customs inspection and supervision prescribed in Clause 1 of this Article and shall send the investment registration agency a document stating whether the conditions for customs inspection and supervision are satisfied, using Form No. 26 in Appendix VII issued together with this Decree.

3. An investor implementing an investment project (including both a new investment project and an expansion investment project) may apply the duty policies applicable to non-tariff zones under the Law on Export Duty and Import Duty from the time at which it becomes an export-processing enterprise as stated in the investment registration certificate, the adjusted investment registration certificate, or the document of the competent investment registration agency where an investment registration certificate is not required.

The physical inspection of the conditions for customs inspection and supervision for the purpose of applying the duty policies applicable to non-tariff zones shall be carried out as prescribed in Clauses 4, 5 and 6 of this Article.

4. Physical inspection of the conditions for customs inspection and supervision in respect of an export-processing enterprise (including enterprises with new investment projects and with expansion investment projects):

a) At least 30 days before the time at which the export-processing enterprise officially commences operation as stated in the investment registration certificate, the adjusted investment registration certificate (if any), the document of the competent investment registration agency where an investment registration certificate is not required, or the investment registration agency's written confirmation that the time at which the export-processing enterprise officially commences operation is behind the schedule stated in the above documents, the export-processing enterprise shall send a notice that it has satisfied the conditions for customs inspection and supervision prescribed in Clause 1 of this Article, using Form No. 25 in Appendix VII issued together with this Decree, to the Customs Sub-Department managing the export-processing enterprise.

Where the investment registration certificate, the adjusted investment registration certificate or the document of the competent investment registration agency where an investment registration certificate is not required does not state the time at which the export-processing enterprise officially commences operation, that time is the time at which the enterprise begins official production as notified by the enterprise to the customs authority.

b) Within a maximum of 10 working days from the date of receipt of the export-processing enterprise's notice, the Customs Sub-Department managing the export-processing enterprise shall complete the inspection of the satisfaction of the conditions for customs inspection and supervision prescribed in Clause 1 of this Article and shall send the export-processing enterprise a written confirmation, using Form No. 26 in Appendix VII issued together with this Decree, as to whether the conditions for customs inspection and supervision prescribed in Clause 1 of this Article are satisfied. Where the export-processing enterprise receives a written confirmation that the conditions for customs inspection and supervision are not satisfied, it shall continue to complete those conditions prescribed in Clause 1 of this Article, but for not more than 01 year from the date on which the Customs Sub-Department managing the export-processing enterprise issued the first written confirmation.

c) Once the export-processing enterprise has completed the conditions for customs inspection and supervision prescribed in Clause 1 of this Article, it shall send a further document to the Customs Sub-Department managing the export-processing enterprise, using Form No. 25 in Appendix VII issued together with this Decree, requesting that Sub-Department to re-inspect the conditions for customs inspection and supervision prescribed in Clause 1 of this Article. Within a maximum of 10 working days from the date of receipt of the export-processing enterprise's request, the Customs Sub-Department managing the export-processing enterprise shall be responsible for completing the re-inspection of the satisfaction of the conditions for customs inspection and supervision and for sending the export-processing enterprise a document, using Form No. 26 in Appendix VII issued together with this Decree, as to whether the conditions for customs inspection and supervision prescribed in Clause 1 of this Article are satisfied.

The export-processing enterprise may complete the conditions for customs inspection and supervision prescribed in Clause 1 of this Article several times, but not beyond the time limit of 01 year from the date on which the Customs Sub-Department managing the export-processing enterprise issued the first written confirmation.

d) Where, after the expiry of the 01-year time limit from the date of issuance of the Customs Sub-Department's first written confirmation, the export-processing enterprise does not notify the Customs Sub-Department managing it, or does not satisfy the conditions for customs inspection and supervision prescribed in Clause 1 of this Article, it may not apply the duty policies applicable to non-tariff zones. The enterprise must pay in full the duties and taxes, the late-payment amounts and the fines for violations in respect of the imported goods to which the duty policies applicable to non-tariff zones were applied, from the date of issuance of the investment registration certificate, the adjusted investment certificate or the document of the competent investment registration agency where an investment registration certificate is not required, corresponding to the new investment project or the expansion investment portion that does not satisfy the conditions for customs inspection and supervision prescribed in Clause 1 of this Article.

Where the enterprise subsequently satisfies the conditions for customs inspection and supervision prescribed in Clause 1 of this Article and sends a written notice to the Customs Sub-Department managing the export-processing enterprise for inspection and confirmation as prescribed in Point c of this Clause, it may apply the duty policies applicable to non-tariff zones from the date on which the Customs Sub-Department managing the export-processing enterprise issues the written confirmation that the conditions for customs inspection and supervision prescribed in Clause 1 of this Article are satisfied.

5. Physical inspection of the conditions for customs inspection and supervision in respect of an export-processing enterprise that was issued an investment registration certificate, an adjusted investment registration certificate (if any) or a document of the competent investment registration agency where an investment registration certificate is not required before the effective date of this Decree and that is in operation, including export-processing enterprises whose conditions for customs inspection and supervision were confirmed by the customs authority before the effective date of this Decree:

a) Within a maximum of 01 year from the effective date of this Decree, the export-processing enterprise must complete the conditions for customs inspection and supervision prescribed in Clause 1 of this Article. Once the export-processing enterprise has completed those conditions, it shall send a notice to the Customs Sub-Department managing the export-processing enterprise, using Form No. 25 in Appendix VII issued together with this Decree.

b) Within a maximum of 10 working days from the date of receipt of the export-processing enterprise's notice, the Customs Sub-Department managing the export-processing enterprise shall complete the inspection of the satisfaction of the conditions for customs inspection and supervision prescribed in Clause 1 of this Article and shall send the export-processing enterprise a written confirmation, using Form No. 26 in Appendix VII issued together with this Decree, as to whether the conditions for customs inspection and supervision prescribed in Clause 1 of this Article are satisfied. Where the export-processing enterprise receives a written confirmation that the conditions for customs inspection and supervision are not satisfied, it shall continue to complete those conditions prescribed in Clause 1 of this Article, but for not more than 01 year from the effective date of this Decree.

c) Once the export-processing enterprise has completed the conditions for customs inspection and supervision prescribed in Clause 1 of this Article, it shall send a further document to the Customs Sub-Department managing the export-processing enterprise, using Form No. 25 in Appendix VII issued together with this Decree, requesting that Sub-Department to re-inspect the conditions for customs inspection and supervision prescribed in Clause 1 of this Article. Within a maximum of 10 working days from the date of receipt of the export-processing enterprise's request, the Customs Sub-Department managing the export-processing enterprise shall be responsible for completing the re-inspection of the satisfaction of the conditions for customs inspection and supervision and for sending the export-processing enterprise a document, using Form No. 26 in Appendix VII issued together with this Decree, as to whether the conditions for customs inspection and supervision prescribed in Clause 1 of this Article are satisfied.

The export-processing enterprise may complete the conditions for customs inspection and supervision prescribed in Clause 1 of this Article several times, but not beyond the time limit of 01 year from the effective date of this Decree.

d) Where, after the expiry of the 01-year time limit from the effective date of this Decree, an export-processing enterprise prescribed in this Clause does not give notice using Form No. 25 in Appendix VII issued together with this Decree, or does not satisfy the conditions for customs inspection and supervision prescribed in Clause 1 of this Article, it may not apply the duty policies applicable to non-tariff zones from the date of expiry of that 01-year time limit.

Where the enterprise subsequently satisfies the conditions for customs inspection and supervision prescribed in Clause 1 of this Article and sends a written notice to the Customs Sub-Department managing the export-processing enterprise for inspection and confirmation as prescribed in Point c of this Clause, it may apply the duty policies applicable to non-tariff zones from the date on which the Customs Sub-Department managing the export-processing enterprise issues the written confirmation that the conditions for customs inspection and supervision prescribed in Clause 1 of this Article are satisfied.

6. An export-processing enterprise that was issued an investment registration certificate, an adjusted investment registration certificate (if any) or a document of the competent investment registration agency where an investment registration certificate is not required before the effective date of this Decree and that is under construction, including export-processing enterprises whose ability to satisfy the conditions for customs inspection and supervision was confirmed by the customs authority before the effective date of this Decree (if any), shall undergo the physical inspection of the conditions for customs inspection and supervision as prescribed in Clause 4 of this Article.

7. In the cases referred to in Clauses 5 and 6 of this Article, where the duty policies applicable to non-tariff zones were not applied from the time of issuance of the investment registration certificate, the adjusted investment registration certificate (if any) or the document of the competent investment registration agency where an investment registration certificate is not required, until the time at which the customs authority issues the written confirmation of the ability to satisfy the conditions for customs inspection and supervision as prescribed in Clause 1 Article 30 of Decree No. 82/2018/NĐ-CP and in this Decree, the enterprise, once it satisfies the conditions for customs inspection and supervision prescribed in Clause 1 of this Article, may have the duty it has paid dealt with under the provisions on the handling of overpaid tax in the legislation on tax administration.”

11. To amend and supplement Clauses 2, 3 and 4 of Article 29 as follows:

“Article 29. Duty exemption for goods of minimum value and for goods sent by postal or express delivery services

2. Imported goods sent by postal or express delivery services with a customs value of VND 1,000,000 or less, or with duty payable of VND 100,000 or less, are exempt from import duty.

Where the goods have a customs value exceeding VND 1,000,000 or total duty payable exceeding VND 100,000, import duty must be paid on the entire consignment.

3. Goods with a total customs value of VND 500,000 or less, or with total export or import duty payable of VND 50,000 or less per exportation or importation, are exempt from export duty and import duty.

The provisions of this Clause do not apply to goods that are gifts or presents, to goods traded or exchanged by border residents, or to goods sent by postal or express delivery services.

4. Duty exemption dossier: The customs dossier shall be as prescribed by the customs legislation.”

12. To add Article 29a as follows:

“Article 29a. Duty exemption for goods exported or imported under international treaties

1. Goods exported or imported that are exempt from export duty and import duty under an international treaty to which the Socialist Republic of Viet Nam is a party.

2. Grounds for determining goods exempt from export duty and import duty

a) The types and quantities of goods prescribed in the international treaty;

b) The written confirmation of the agency proposing the conclusion of or accession to the international treaty, or of the specialised management agency, where the international treaty does not prescribe the types and quantities of duty-free goods.

Where the agency proposing the conclusion of or accession to the international treaty is not the specialised management agency, the written confirmation of the agency proposing the conclusion of or accession to the international treaty shall be relied on.

3. Confirmation procedure where the international treaty does not prescribe the types and quantities of duty-free goods

a) The organisation or individual using the duty-free goods shall send an official letter to the agency proposing the conclusion of or accession to the international treaty, or to the specialised management agency, requesting confirmation of the types and quantities of goods exempt from export duty and import duty, using Form No. 13 in Appendix VII issued together with this Decree.

b) Within 15 days from the date of receipt of the official letter of request, the agency proposing the conclusion of or accession to the international treaty, or the specialised management agency, shall issue a written confirmation of the types and quantities of goods exempt from export duty and import duty, using Form No. 14 in Appendix VII issued together with this Decree, and send it to the organisation or individual, or shall issue a written refusal where the goods for which duty exemption is requested are not consistent with the international treaty.

4. Notification of the duty-free list

Before registering the first customs declaration for duty-free exported or imported goods, the organisation or individual shall notify the customs authority of the list of goods exempt from export duty and import duty (hereinafter referred to as the duty-free list).

a) Dossier notifying the duty-free list

- An official letter notifying the duty-free list, using Form No. 05 in Appendix VII issued together with this Decree: 01 original;

- The duty-free list sent through the customs authority's electronic data processing system. Where the system fails, the organisation or individual shall submit 02 originals of the paper duty-free list using Form No. 06 and 01 original of the deduction monitoring sheet using Form No. 07 in Appendix VII issued together with this Decree.

Where the machinery or equipment must be exported or imported in several consignments and the quantity cannot be deducted at the time of exportation or importation (hereinafter referred to as an assembly or production line), the organisation or individual shall submit 02 originals of the duty-free list (paper) using Form No. 06 in Appendix VII issued together with this Decree.

The duty-free list shall be drawn up consistently with the international treaty or with the written confirmation of the types and quantities of duty-free goods issued by the agency proposing the conclusion of or accession to the international treaty or by the specialised management agency;

- The international treaty, where the international treaty prescribes the types and quantities of duty-free goods: 01 copy;

- The written confirmation of the types and quantities of goods exempt from export duty and import duty prescribed in Point b Clause 3 of this Article: 01 copy, with the original produced for checking.

b) The place for notifying and amending the duty-free list, the responsibilities of the customs authority receiving the duty-free list, and the responsibilities of the organisation or individual notifying the duty-free list shall be as prescribed in Clauses 4, 5, 6 and 7 Article 30 of this Decree.

c) Where the organisation or individual does not directly export or import the duty-free goods but the main contractor, a subcontractor or a financial leasing company exports or imports them, that contractor or financial leasing company may use the duty-free list that the organisation or individual has notified to the customs authority.

5. The duty exemption dossier and procedure shall be as prescribed in Article 31 of this Decree.”

13. To amend and supplement Points b and k Clause 3 and Point đ Clause 7 of Article 30 as follows:

“Article 30. Notification of the list of duty-free goods intended for importation, in the cases where the duty-free list must be notified

3. Dossier notifying the duty-free list

b) The duty-free list sent through the customs authority's electronic data processing system. Where the system fails, the project owner shall submit 02 originals of the paper duty-free list using Form No. 06 and 01 original of the deduction monitoring sheet using Form No. 07 in Appendix VII issued together with this Decree.

Where the machinery or equipment must be imported in several consignments and the quantity cannot be deducted at the time of importation (hereinafter referred to as an assembly or production line), the project owner shall submit 02 originals of the duty-free list (paper) using Form No. 06 in Appendix VII issued together with this Decree;

k) The contract for the manufacture of machinery or equipment, or for the manufacture of components, parts, detached units or spare parts of machinery or equipment, in respect of the goods prescribed in Point a Clause 11, Point b Clause 15 and Point a Clause 16 Article 16 of the Law on Export Duty and Import Duty: 01 copy.

Where the documents prescribed in this Clause are sent electronically by the specialised State management agency through the National Single Window Portal, the project owner need not submit them when notifying the duty-free list to the customs authority.

7. Responsibilities of the project owner:

đ) To notify the use of the duty-free imported goods as prescribed in Article 31a of this Decree.”

14. To amend Point e and to add Point h to Clause 2, to add Point c to Clause 3, and to add Clause 5 to Article 31 as follows:

“Article 31. Duty exemption dossier and procedure upon carrying out customs procedures

2. In addition to the dossier prescribed in Clause 1 of this Article, the taxpayer shall, depending on the case, additionally submit one of the following documents:

e) The written confirmation of the Ministry of Science and Technology in respect of the means of transport prescribed in Clauses 11, 15 and 16 Article 16 of the Law on Export Duty and Import Duty: 01 original;

h) The Prime Minister's duty exemption decision in the cases prescribed in Points a, b and đ Clause 1 Article 28 of this Decree: 01 copy, with the original produced for checking.

3. Duty exemption procedure:

c) The electronic data processing system shall automatically deduct the quantity of exported or imported goods corresponding to the quantity of goods in the duty-free list.

Where the duty-free list is notified in paper form, the customs authority shall update and deduct the quantity of goods exported or imported corresponding to the quantity of goods in the duty-free list.

Where duty-free goods are imported as an assembly or production line, the taxpayer must carry out customs procedures at the customs authority of the place where the machinery and equipment are installed. At the time of registering the customs declaration, the taxpayer shall declare the goods in detail on the customs declaration. Where the goods cannot be declared in detail on the customs declaration, the taxpayer shall prepare a detailed list of the imported goods according to the data fields prescribed in Form No. 04 in Appendix VIIa issued together with this Decree, through the electronic data processing system, or using Form No. 15 in Appendix VII issued together with this Decree, and attach it to the customs declaration. Within 15 days from the date of completion of the importation of the last consignment of each assembly or production line, the taxpayer shall be responsible for notifying the customs authority where the duty-free list was notified, according to the data fields prescribed in Form No. 05 in Appendix VIIa issued together with this Decree, through the electronic data processing system, or using Form No. 16 in Appendix VII issued together with this Decree.

5. Import duty exemption procedure in specific cases

a) Where a taxpayer is exempt from import duty on goods imported to create fixed assets for a project under Article 16 of the Law on Export Duty and Import Duty but does not import the goods and is instead permitted to receive goods already exempt from import duty transferred from another organisation or individual in Viet Nam, the taxpayer shall register a new customs declaration for the transferred goods and shall be exempt from import duty on condition that the transfer price does not include import duty. The organisation or individual transferring the goods need not pay back the import duty that was exempted.

b) An organisation or individual that imports goods under an entrustment arrangement, or that wins a bid to import goods, in order to supply them to the entities prescribed in Article 16 of the Law on Export Duty and Import Duty, is exempt from import duty on the goods imported under entrustment or under the winning bid, on condition that the price of supplying the goods under the entrustment contract, or the winning bid price under the bid-winning decision, does not include import duty.

c) A financial leasing company that imports goods in order to supply them under a financial lease to the entities prescribed in Articles 14, 16, 17, 19 and 25 of this Decree is exempt from import duty on condition that the lease price does not include import duty. Where the goods imported for financial leasing are not used for the duty-free purpose, the financial leasing company must register a new customs declaration and pay the duty at the time of registration of the new declaration. Where no new customs declaration is registered, the customs authority shall assess the duty as prescribed.

d) Where all or part of a project eligible for investment incentives is transferred to another organisation or individual, the project owner shall notify the data fields prescribed in Form No. 06 in Appendix VIIa issued together with this Decree, through the electronic data processing system, or using Form No. 17 in Appendix VII issued together with this Decree, to the customs authority receiving the notification of the duty-free list before transferring the project, and need not pay back the import duty that was exempted on the goods transferred with the project. The organisation or individual receiving the transferred project must register a new customs declaration for the transferred goods and shall be exempt from import duty if all of the following conditions are met: at the time of transfer, the investment project still belongs to the entities eligible for investment incentives; the transfer price of the goods does not include import duty; and the organisation or individual receiving the transfer is the investor of the transferred project as stated in the adjusted investment certificate or in a document of equivalent validity.

The customs authority that received the duty-free list of the transferring project owner shall stop the use of the duty-free list on the system, or withdraw the paper duty-free list and the deduction monitoring sheet of the transferring project owner; and shall receive the duty-free list for the quantity of goods that the transferring project owner has not yet fully imported.

Where the entire project is transferred but the project owner has not yet fully imported the goods under the duty-free list, or where part of the project is transferred but the project owner has not yet fully imported the goods under the duty-free list belonging to the transferred portion of the project, the organisation or individual receiving the transfer shall notify the duty-free list for the goods not yet fully imported that belong to the transferred project or portion of the project.

Where part of a project is transferred and the project owner has not yet fully imported the goods under the duty-free list belonging to the portion of the project that continues to be implemented, the transferring project owner shall notify the duty-free list for the quantity of goods not yet fully imported that belongs to the portion of the project that continues to be implemented.

đ) Where imported goods that have been exempt from import duty in order to create fixed assets of a project eligible for investment incentives are used for another project eligible for investment incentives of the same project owner, the investor shall register a new customs declaration for the transferred goods and shall be exempt from import duty if the following conditions are met: the price of the imported goods transferred does not include import duty; the goods are consistent with the field and scale of the receiving project eligible for investment incentives; the goods meet the provisions on fixed assets; and the goods are named in the duty-free list of the receiving project that has been notified to the customs authority.

The goods received shall be deducted on the duty-free list of the receiving project that has been notified to the customs authority. The transferring project owner may additionally import a quantity of goods to replace the goods transferred. The transferring project owner shall notify a supplement to the duty-free list as prescribed in Clause 5 Article 30 of this Decree.

e) Imported goods falling within the cases prescribed in Article 16 of the Law on Export Duty and Import Duty (other than the cases prescribed in Clauses 6 and 7 of Article 16) that must be destroyed and have actually been destroyed in accordance with the law are exempt from import duty. The destruction must comply with the relevant provisions of law and must be under the direct supervision of a customs officer. Before the destruction, the taxpayer must send a written notice to the customs authority clearly stating the reason for the destruction, the name of the goods to be destroyed, and the time and place of destruction (01 original); and the document of the specialised management agency or of the Department of Natural Resources and Environment permitting the destruction (01 copy, with the original produced for checking).

Within 30 days from the date of destruction, the taxpayer must submit to the customs authority where the import declaration was registered: the record confirming the results of the destruction, which must bear the full name, signature and seal of the director of the enterprise whose goods are destroyed; the full name and signature of the customs officer supervising the destruction and of the persons assigned by the director of the enterprise to carry out and supervise the destruction; and the signature of the representative of the relevant State agency (if any) (01 copy, with the original produced for checking).”

15. To add Article 31a as follows:

“Article 31a. Notification and inspection of the use of duty-free imported goods

1. Notification of the use of duty-free imported goods

a) Who must notify:

The project owner shall be responsible for notifying the situation of the use of the duty-free goods according to the data fields prescribed in Form No. 07 in Appendix VIIa issued together with this Decree, through the electronic data processing system, or using Form No. 18 in Appendix VII issued together with this Decree, to the customs authority receiving the duty-free list, in the cases where the duty-free list must be notified to the customs authority.

b) Time and time limit for notification:

Annually, within 90 days from the end of the financial year, the organisation or individual shall notify the situation of the use of the duty-free goods during the financial year to the customs authority receiving the duty-free list, until the entire project ceases operation, or the goods have been re-exported out of Viet Nam, or the goods change their duty-free use purpose, are transferred to domestic consumption or have been destroyed.

For the cases of import duty exemption prescribed in Articles 15 and 23 of this Decree, the situation of the use of the duty-free goods must be notified annually for a period of 05 years from the date on which the project officially commences operation. Within 30 days from the end of that 05-year period, the project owner shall register a new customs declaration and declare and pay duty on the duty-free imported raw materials, supplies and components that have not been fully used within the 05-year period.

2. Where raw materials and supplies used for manufacture as prescribed in Point a Clause 11, Point b Clause 15 and Point a Clause 16 Article 16 of the Law on Export Duty and Import Duty are imported, the project owner shall do the following:

a) Within 30 days from the date of completion of the manufacture of the machinery or equipment, or of the components, parts, detached units or spare parts of the machinery or equipment, the project owner shall notify the customs authority receiving the duty-free list of the completion of the manufacture, according to the data fields prescribed in Form No. 08 in Appendix VIIa issued together with this Decree, through the electronic data processing system, or using Form No. 19 in Appendix VII issued together with this Decree. Where the goods have not been fully used, the project owner must, within 30 days from the date of completion of the manufacture, register a new customs declaration and declare and pay duty at the time of registration of the new customs declaration.

b) Within 60 days from the date of receipt of the project owner's notice referred to in Point a of this Clause, the customs authority receiving the notification of the duty-free list shall carry out an inspection at the project owner's head office in order to determine the quantity of duty-free imported goods that has been used for the intended purpose of manufacturing the machinery or equipment, or the components, parts, detached units or spare parts of the machinery or equipment. Where the customs authority finds that the project owner has not fully used the duty-free goods or has changed their use purpose without registering a new customs declaration, it shall assess the duty as prescribed.

c) The project owner shall notify the situation of the use of the goods imported for manufacture as prescribed in Clause 1 of this Article. From the year in which the manufacture is completed, the project owner shall notify the use of the manufactured products.

3. Where duty-free goods are imported as an assembly or production line that must be imported in several consignments and the quantity of goods cannot be deducted at the time of registration of the customs declaration, in addition to Clause 1 of this Article, the project owner shall do the following:

a) Within 30 days from the date of completion of the installation of the assembly or production line, the project owner shall notify the customs authority receiving the duty-free list of the completion of the installation of the assembly or production line, according to the data fields prescribed in Form No. 09 in Appendix VIIa issued together with this Decree, through the electronic data processing system, or using Form No. 20 in Appendix VII issued together with this Decree. Where the goods have not been fully used, the project owner must, within 30 days from the date of completion of the installation of the assembly or production line, register a new customs declaration and declare and pay duty at the time of registration of the new customs declaration.

b) Within 60 days from the date of receipt of the project owner's notice of completion of the installation of the assembly or production line, the customs authority receiving the notification of the duty-free list shall carry out an inspection at the project owner's head office in order to determine that the duty-free imported goods have been used for the intended purpose of installation in the duty-free assembly or production line. Where the customs authority finds that the project owner has not fully used the duty-free goods of the assembly or production line, or has changed their use purpose, without registering a new customs declaration, the customs authority shall assess the duty as prescribed.

c) The project owner shall notify the situation of the use of the goods imported for completing the installation of the assembly or production line as prescribed in Clause 1 of this Article. From the year in which the installation of the assembly or production line is completed, the project owner shall notify the situation of the use of the products resulting from the completed installation.

4. Inspection of the use of duty-free goods

a) The customs authority receiving the notification of the duty-free list shall inspect the use of the duty-free goods at the project owner's head office on the basis of risk management principles.

b) The inspection shall be carried out following the order and procedures for post-clearance audit.”

16. To amend and supplement Clause 2 and Point c Clause 3 of Article 32 as follows:

“Article 32. Reduction of export duty and import duty

2. The dossier of application for duty reduction comprises:

a) The taxpayer's official letter applying for duty reduction, sent through the customs authority's electronic data processing system according to the data fields in Form No. 3 in Appendix VIIa, or an official letter applying for duty reduction using Form No. 08 in Appendix VII issued together with this Decree: 01 original;

b) The insurance contract and the notice of payment of indemnity from the insurer (if any); where the insurance contract does not cover indemnity for duty, confirmation of this from the insurer is required; the contract or the record of the compensation agreement with the carrier, where the loss was caused by the carrier (if any): 01 copy;

c) The record confirming the cause of the damage issued by the competent authority in the locality where the damage occurred (the record confirming the fire issued by the local fire prevention and fighting police authority of the place where the fire occurred; or the written confirmation of one of the following relevant agencies or organisations: the Public Security authority of the commune, ward or township; the People's Committee of the commune, ward or township; the management board of the industrial park; the management board of the export-processing zone; the management board of the economic zone; the management board of the border gate; the maritime port authority; or the airport authority of the place where the force majeure event of a natural disaster, catastrophe, epidemic or unforeseen accident causing damage to the imported raw materials, machinery or equipment occurred): 01 original.

d) The inspection certificate issued by a trader providing inspection services as to the quantity of goods lost or the actual rate of loss of the goods: 01 original.

3. Procedure for and competence to grant duty reduction:

c) Where the taxpayer submits the dossier after the time of carrying out customs procedures:

Within 30 days from the date of receipt of a complete dossier, the provincial or municipal Customs Department shall be responsible for compiling the file, checking the information, appraising the accuracy and completeness of the dossier and issuing a duty reduction decision using Form No. 12 in Appendix VII issued together with this Decree, or notifying the taxpayer of the reason why it is not eligible for duty reduction and of the duty payable. Where the dossier is incomplete, the customs authority shall notify the taxpayer within 03 working days from the date of receipt of the dossier.

Where a physical inspection of goods that have passed through the customs supervision area is necessary in order to have sufficient grounds for granting the duty reduction, a decision on post-clearance audit at the taxpayer's head office shall be issued and the work prescribed in this Point shall be carried out within a maximum of 40 days from the date of receipt of a complete dossier.”

17. To amend and supplement Point a Clause 1 and Point b Clause 2 of Article 34 as follows:

“Article 34. Duty refund for imported goods that must be re-exported

1. Imported goods on which import duty has been paid but that must be re-exported are eligible for a refund of import duty and are not subject to export duty; they comprise:

a) Imported goods that must be re-exported abroad, including exportation back to the consignor, exportation of the imported goods abroad, or exportation into a non-tariff zone for use within the non-tariff zone.

The re-exportation of the goods must be carried out by the original importer or by a person authorised or entrusted by the original importer to export them;

2. The duty refund dossier comprises:

b) The value-added invoice or sales invoice as prescribed by the legislation on invoices, or the commercial invoice: 01 copy.”

18. To amend and supplement Point a Clause 2 of Article 33, Point a Clause 2 of Article 34, Point a Clause 2 of Article 35, Point a Clause 5 of Article 36 and Clause 3 of Article 37 as follows:

“a) The official letter requesting a refund of export duty or import duty for the exported or imported goods, sent through the customs authority's electronic data processing system according to the data fields in Form No. 01 in Appendix VIIa, or an official letter requesting a refund of export or import duty using Form No. 09 in Appendix VII issued together with this Decree: 01 original.”

19. To add Article 37a as follows:

“Article 37a. Non-collection of export duty and import duty

1. Cases of non-collection of duty

a) Duty shall not be collected on goods eligible for a duty refund on which duty has not yet been paid, as prescribed in Articles 33, 34, 35, 36 and 37 of this Decree.

b) Duty shall not be collected on goods that are not subject to import duty or export duty as prescribed in Articles 33 and 34 of this Decree.

2. Non-collection dossier

The official letter requesting the non-collection of export duty or import duty for the exported or imported goods, sent through the customs authority's electronic data processing system according to the data fields in Form No. 02 in Appendix VIIa, or an official letter requesting the non-collection of export or import duty using Form No. 09a in Appendix VII issued together with this Decree: 01 original. For the case prescribed in Point a Clause 1 of this Article, in addition to the official letter requesting non-collection of duty, the taxpayer shall submit a dossier identical to the duty refund dossier.

3. Time for submitting the non-collection dossier: The taxpayer shall submit the non-collection dossier to the customs authority where the export or import procedures are carried out, at the time of carrying out customs procedures or after the goods have been cleared.

4. Procedure for submitting, receiving and processing the non-collection dossier:

a) For the case referred to in Point a Clause 1 of this Article, the procedure for submitting, receiving and processing the non-collection dossier shall be the same as the procedure for submitting, receiving and processing a duty refund dossier.

b) For the case referred to in Point b Clause 1 of this Article:

Where the first export or import declaration of the consignment does not give rise to any amount of duty for which a refund is requested and the taxpayer submits the non-collection dossier at the time of carrying out customs procedures, the customs authority shall issue a decision not to collect import duty on the re-imported goods, or not to collect export duty on the re-exported goods, within the time limit for carrying out customs procedures, if there are sufficient grounds to establish that the imported goods are goods previously exported, or that the exported goods are goods previously imported.

Where the first export or import declaration of the consignment gives rise to an amount of duty for which a refund is requested, or where the first export or import declaration of the consignment does not give rise to any amount of duty for which a refund is requested but the taxpayer submits the non-collection dossier after the goods have been cleared: the procedure for submitting, receiving and processing the non-collection dossier shall be the same as the procedure for submitting, receiving and processing a duty refund dossier. The customs authority shall issue the decision not to collect duty on the re-exported or re-imported consignment together with the decision refunding duty on the first imported or exported consignment. The duty paid on the re-exported or re-imported consignment shall be refunded to the taxpayer in accordance with the legislation on tax administration.”

20. To amend the following phrases:

a) To replace the word “or” in Point d Clause 3 of Article 8 with “and”;

b) To replace the phrase “determined upon the final settlement of the management and use of the raw materials, supplies and components imported for processing products for export” in Point b Clause 2 of Article 11 with “determined upon the final settlement of the management and use of the raw materials, supplies and components exported for processing products for import”;

c) To replace the phrase “Clause 2” in Point a Clause 4 and Point a Clause 6 of Article 30 with “Clause 3”;

d) To replace the phrase “01 copy bearing the agency's ‘certified true copy’ stamp” in Clause 3 of Article 7, Clause 3 of Article 8, Clause 4 of Article 19, Clause 3 of Article 20, Clause 3 of Article 26, Clause 3 of Article 28, Clause 3 of Article 30, Clause 2 of Article 31, Clause 2 of Article 32, Clause 2 of Article 33, Clause 2 of Article 34, Clause 2 of Article 35 and Clause 5 of Article 36 with “01 copy”;

đ) To replace the phrase “for the development of” in Point b Clause 4 of Article 19 and the phrase “to serve” in Point c Clause 4 of Article 19 with the phrase “for direct use in”;

e) To replace the phrase “Decision No. 219/2009/QĐ-TTg” in Clause 2 of Article 38 with “Decision No. 119/2009/QĐ-TTg.”

21. To amend and supplement Clauses 2 and 5 of Article 40 as follows:

“Article 40. Responsibility for implementation

2. The Ministry of Science and Technology shall issue the List or the criteria for determining duty-free imported goods, or shall confirm duty exemption under the Prime Minister's decision, in respect of the specialised means of transport imported as prescribed in Clauses 11, 15 and 16 Article 16 of the Law on Export Duty and Import Duty and the goods imported as prescribed in Clause 21 Article 16 of the Law on Export Duty and Import Duty, other than those in Clause 1 of this Article.

5. The Ministry of Information and Communications shall provide for the determination of imported raw materials, supplies and components exempt from import duty that serve directly the production of information technology products, digital content and software.”

Article 2. Organisation of implementation

1. This Decree takes effect from 25 April 2021.

2. This Decree annuls, supplements and replaces the following:

a) To annul a number of provisions of Decree No. 134/2016/NĐ-CP, comprising:

Point c Clause 3 of Article 8, Point b Clause 4 of Article 20 and Clause 1 of Article 29 of Decree No. 134/2016/NĐ-CP;

The following phrases: the phrase “(in the case of duty exemption before carrying out customs procedures) or Form No. 03b in Appendix VII issued together with this Decree (in the case of an application for duty exemption after carrying out customs procedures)” in Point a Clause 3 of Article 20; the phrase “Where duty exemption is applied for before carrying out customs procedures” in Point a Clause 4 of Article 20; the phrase “Clause 2 of Article 8” in Clause 4 of Article 31; and the phrase “Where the goods are eligible for a duty refund but the duty has not yet been paid or is not payable as prescribed in Article 19 of the Law on Export Duty and Import Duty, the dossier and procedure shall be the same as the duty refund dossier and procedure” in Clause 3 of Article 33, Clause 3 of Article 34, Clause 3 of Article 35, Clause 6 of Article 36 and Clause 4 of Article 37.

b) To annul the following Circulars:

The Ministry of Finance's Circular No. 90/2011/TT-BTC of 20 June 2011 providing for export duty exemption for agarwood produced from planted Aquilaria trees; the Ministry of Finance's Circular No. 201/2012/TT-BTC of 16 November 2012 providing for import duty exemption for goods that are unprocessed agricultural products invested in and grown in Cambodia with Vietnamese support and imported back into the country; Circular No. 81/2013/TT-BTC of 19 June 2013 amending and supplementing Circular No. 201/2012/TT-BTC of 16 November 2012; and the Ministry of Finance's Circular No. 116/2013/TT-BTC of 20 August 2013 providing for export duty exemption for python skin originating from captive breeding.

c) To annul Article 5 of the Ministry of Finance's Circular No. 83/2016/TT-BTC of 17 June 2016 guiding the implementation of the investment incentives prescribed in the Law on Investment No. 67/2014/QH13 and in the Government's Decree No. 118/2015/NĐ-CP of 12 November 2015 detailing and guiding the implementation of a number of articles of the Law on Investment.

d) To replace Appendix VII issued together with Decree No. 134/2016/NĐ-CP with Appendix VII issued together with this Decree.

đ) To add Appendix VIIa and Appendix VIII issued together with this Decree.

3. Transitional provisions on import duty incentives for the entities exempt from import duty prescribed in Clause 9 Article 1 of this Decree:

Projects investing in and growing the agricultural products on the List prescribed in Appendix VIII issued together with this Decree that are enjoying duty incentives under the legislation on export duty and import duty before the effective date of this Decree shall continue to enjoy the import duty exemption policy prescribed in Clause 9 Article 1 of this Decree for the remaining term of the outward investment certificate issued by the competent State agency.

Where Cambodia adjusts its administrative boundaries such that the name of the Cambodian province stated in the outward investment certificate of an enterprise enjoying the duty exemption incentive prescribed in Clause 9 Article 1 of this Decree is no longer a province bordering Viet Nam, the enterprise shall continue to enjoy the import duty exemption incentive prescribed in Clause 9 Article 1 of this Decree for the remaining term of the outward investment certificate issued by the competent State agency.

4. Transitional provisions for goods exported and imported on the spot:

The application of duty rates to goods exported and imported on the spot as prescribed in Clause 1 Article 1 of this Decree shall apply from the effective date of the Law on Export Duty and Import Duty No. 107/2016/QH13.

5. Transitional provisions on the duty exemption procedure:

a) Where a list of duty-free goods was approved by the Prime Minister under Article 29 of Decree No. 134/2016/NĐ-CP before the effective date of this Decree, the taxpayer may continue to use that duty-free list until the entire quantity of goods stated in the approved duty-free list has been imported;

b) A duty-free quota book issued by the competent authority before the effective date of this Decree that is still valid may continue to be used until the expiry of the term stated in the book, or until there is an increase or decrease in the staffing (in the case of organisations and agencies).

6. Ministers, Heads of ministerial-level agencies, Heads of Government-attached agencies, Chairpersons of the People's Committees of provinces and centrally-run cities and the organisations and individuals concerned shall be responsible for implementing this Decree.

APPENDIX VII

FORMS FOR DUTY EXEMPTION, DUTY REDUCTION, DUTY REFUND AND NON-COLLECTION OF DUTY (Issued together with the Government's Decree No. 18/2021/NĐ-CP of 11 March 2021)

APPENDIX VIIA

DATA FIELDS ON DUTY AND TAX ADMINISTRATION FOR EXPORTED AND IMPORTED GOODS (Issued together with the Government's Decree No. 18/2021/NĐ-CP of 11 March 2021)

I. LIST OF DECLARATION FORMS

II. DECLARATION DATA FIELDS

APPENDIX VIII

LIST OF UNPROCESSED AGRICULTURAL PRODUCTS (Issued together with the Government's Decree No. 18/2021/NĐ-CP of 11 March 2021)