Implementation of special export and import tax incentives with 6 member countries of CPTPP. On June 26, the Prime Minister signed Decree 57/2019 / ND-CP promulgating Vietnam’s Special Preferential Import and Export Tariff to implement the CPTPP Agreement from 14/1/2019 to the end. December 31, 2022. Thus, Vietnam will implement special preferential import tax incentives with 6 countries.

519 tariff lines enjoy preferential treatment

The decree issued to countries including Mexico, Japan, Singapore, New Zealand, Canada and Austraylia are the countries in which the CPTPP Agreement has come into force under the conditions of eligibility for tax rates. special preferential export tax and special preferential import tax rates.

Under the provisions of the CPTPP Agreement, the first six countries that ratify the treaty have the right to notify the following ratifying countries of the timing of the tax cut roadmap. Based on that regulation, 5 countries including Australia, Canada, Japan, New Zealand, Singapore announced the application of the second tax reduction for Vietnam from 14/1/2019.

For these five countries, Vietnam also applied a second tax cut from 14 January 2019. Mexico announced the first tax cut for Vietnam from January 14, 2019, in which Vietnam also applied the first tax cut from January 14, 2019. The application of two separate routes for these two groups of countries ensures compliance with commitments and guarantees for Vietnam.

Regarding preferential export tax for the implementation of CPTPP Agreement, the Preferential Export Tariff includes 519 tariff lines; Non-preferential items of this Export Tariff will apply preferential export tax of 0% when exported to member countries where the CPTPP Agreement has taken effect. In order to enjoy preferential export tax rates, exported goods must have transport documents and import declarations expressing the destination within the territory of the member countries to which the CPTPP Agreement has entered into force.

At the time of customs clearance, customs declarants shall declare export declarations, apply export tax rates, calculate tax and pay tax according to the export tariff according to the list of taxable goods in the Decree. 125/2017 / ND-CP of the Government (Decree No. 125/2017 / ND-CP) amending and supplementing a number of articles of the Government’s Decree No. 122/2016 / ND-CP on the Export Tariff, Preferential import tariff, list of goods and absolute tax rates, mixed taxes, non-quota import duties and amendments and supplements.

Within 1 year from the date of registration of the export declaration, the customs declarant shall submit a copy of the transport document and the copy of the import customs declaration, make additional declarations in accordance with the customs law to apply preferential export tax rate under CPTPP Agreement. Customs offices shall check dossiers and check preferential export tax rates. If export goods fully satisfy the conditions prescribed in the decree, the preferential export tax rates shall apply. CPTPP Agreement and processing overpaid tax for customs declarants in accordance with the law on tax administration.

Some conditions must be met to obtain tax incentives

Regarding preferential import tariffs, particularly the implementation of the CPTPP Agreement, the Special Preferential Import Tariff consists of 10,647 tariff lines at the 8-digit level and 350 tariff lines are detailed at the 10-digit level and the list of goods and taxes. special import incentives for used cars applying tariff quotas to implement the CPTPP Agreement.

Imported goods subject to special preferential import tariffs under the CPTPP Agreement must meet the conditions under the Special Preferential Import Tariff or the List of Special Preferential Import and Export Tariffs. with used cars; imported into Vietnam from member countries of the effective CPTPP Agreement, including goods imported from the non-tariff area into the domestic market; be transported into Vietnam from the member countries of the effective CPTPP Agreement (in case of transits or transitions, they must meet the transit and transitional conditions prescribed by the CPTPP Agreement) and meet the regulations on origin of goods and documents of certification of origin of goods under the provisions of the CPTPP Agreement.

Regarding the effective time of the decree, due to the effective CPTPP Agreement for Vietnam from January 14, 2019 and the decree will be signed by the Government after the agreement comes into effect, the decree stipulates for the period from 14/1/2019 to the effective date of the decree; accordingly, the customs declarations of exported and imported goods registered from 14/1/2019 to the effective date of this decree, if all conditions for enjoying export tax are met. Special preferential tax and import tax rates stipulated in the decree and already paid higher tax rates shall be handled by customs offices for overpaid tax amounts according to the provisions of law on tax administration.

According to the roadmap, in 2019, for Mexico, there are 6,884 tax lines to 0%, including some types of live poultry; fresh or chilled fish; cotton fiber; some types of lignite, peat, coke; sticky rice; some fruits like labels, me …

For countries: Australia, Canada, Japan, New Zealand, Singapore in 2019; and Mexico in 2020, there are 6,888 tax lines to 0%, applied to some items like pears; Cherry.

In 2020, with Australia, Canada, Japan, New Zealand, Singapore and 2021 for Mexico, there are 6,996 tariff lines to 0%, applicable to some types of meat, fresh or chilled cattle or Frozen; some types of milk and cream have not added sugar; some citrus fruits; water pumps…

In 2021, with Australia, Canada, Japan, New Zealand, Singapore and in 2022 for Mexico, there were 9,110 tariff lines of 0%, applied to some items, such as: Sheep and live goats; bird eggs and poultry eggs; tomato; vegetables; some wooden furniture; automobile tractors used to pull trailers with cylinder capacity of no more than 1,100 cc.

In 2022, with Australia, Canada, Japan, New Zealand, Singapore, there were 9,178 tariff lines to 0%, applied to some items such as edible by-products after slaughter of cattle; rapeseed oil; chocolate; peanut butter; tomato sauce … /.