Customs sector: Checking revenue source in context of Covid-19 epidemic

According to the General Department of Vietnam Customs, in 2020, the Customs sector is assigned to collect VND 338,000 billion by the National Assembly and VND 354,000 billion is assigned by theMinistry of Finance. Meanwhile, the estimation of revenue collection in 2020 is set on the basis of growth of GDP by 6.8 percent; total export turnover by 7 percent, import turnover by 9 percent; free trade agreements (FTAs) in the period of sharp reduction, some new FTAs are signed and valid in 2020 with most goods lines having import tariff reduce to 0 percent.

Professional activities at Quang Ninh Customs Department. Photo: Q.H

To achieve the target in the current context, the General Department of Vietnam Customs requested units in the whole sector comply with Directive No.1040/CT-TCHQ dated February 21, 2020 of the Director General of Vietnam Customs about the synchorous and drastic implementation of solutions for trade facilitation and loss prevention in the task deployment of revenue collection in 2020 and targets for each provincial customs department.

Accordingly, the General Department of Vietnam Customs requested Customs departments of provinces and cities on the basis of the assigned tasks to deploy the allocation of targets for each customs branch and unit.

Besides that, it is necessary to strengthen checking and grasp revenue sources, accelerate implementation of measures to combat loss of revenue and expected results. At the same time, researching, proposing and implementing solutions to boost revenue and prevent loss of State revenues in accordance with the characteristics and situation at grassroots level. In parallel with that, the General Department of Vietnam Customs required units in the sector to focus on checking and grasping the situation of tax debt at the unit; classifying recoverable debt group, irrecoverable debt group and each debt group should have a detailed assessment of each enterprise, declaration, tax debt status of the enterprise, the reason the debt has not been recovered, and handling measures in accordance with regulations.

The General Department of Vietnam Customs also requested units evaluate the impact on the State revenue of the implementation of FTAs, especially the CPTPP and EVFTA agreements; research, propose and implement solutions to increase revenues and combat loss of State revenues; monitor and evaluate the impact of the Covid-19 epidemic and international integration commitments affecting State revenue, to propose and report to the General Department and the Ministry of Finance.

In particular, units need to regularly organise dialogues with enterprises to promptly solve arising difficulties and problems under their competence related to customs procedures, tax policies, tax administration, accounting regime, tax refunds and tax exemption regimes; reforming administrative procedures, customs procedures, tax administration procedures, reducing cargo clearance time; implementing the National Single Window and the ASEAN Single Window; continue maintaining and improving the efficiency of the customs - enterprise working group.

The General Department of Vietnam Customs also directed its subsidiaries to promote anti-smuggling, trade fraud and illegal transport of goods across border, focusing on import and export goods with conditons such as foreign wine and gasoline and closely supervising independent transport shipments, temporary import and re-export, temporary export and re-import and transit. Thereby, working to prevent the situation of exporting goods with incorrect quantity of goods to enjoy VAT refund and fraud of goods origin to evade taxes.