HCMC Customs talks with European enterprises

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Director of HMC Customs Department Dinh Ngoc Thang exchanged with businesses. Photo: T.H

Orienting businesses to comply with law

At the conference, Director of HCMC Customs Department Dinh Ngoc Thang has informed the European enterprises about the application of modern management programs to facilitate businesses over the past time. The goal of the Customs sector is orienting the businesses to the self-compliance with customs law under the consultancy and support from Customs.

However, besides those enterprises that have complied well with the customs law, some enterprises have taken advantage of loopholes in customs procedures to violate the law. The customs office will handle the cases deliberately violating the law.

Answering the question of the shipping lines on the case that Anti-smuggling Body of the Customs detained the transshipped containerized cargo in transit through Vietnam as old motorcycles, which has not been handled, Mr. Thang explained that some enterprises have not complied with the customs law and took advantage of the loopholes in Customs procedures to illegally transport goods to Vietnam. The above case is a typical example. This consignment is being detained by the Anti-Smuggling Investigation Department under General Department of Customs for investigation and clarification.

As for scraps backlogged in ports of Ho Chi Minh City, Mr. Thang said that since the Chinese market refused to import, the amount of scraps to Vietnam was very high. Beside well-complied enterprises, some enterprises have abused this opportunity to import scraps to Vietnam. In order to prevent this situation, the management agencies have introduced control solutions.

Recently, the Customs sector has prosecuted a criminal case involving a number of businesses that illegally imported scraps to Vietnam. "Currently, at the ports of Ho Chi Minh City more than 3,000 containers of scraps have not been cleared. They are goods of enterprises which are not granted import licenses of scraps, causing the backlogs at the ports. The customs authorities create favorable conditions for enterprises to import scraps as raw materials for production, but resolutely combat against enterprises importing scraps that do not meet the standards and affect the environment to Vietnam,” Mr. Thang added.

Answering more than 80 questions

After more than 4 hours of dialogue, nearly 80 questions from enterprises related to customs policies and procedures have been answered by HCMC Customs Department, Thereby, giving specific guidance and explanation on contents related to additional amounts to the Customs value such as: CIC fee, D/O fee, container cleaning fees, Customs value, re-processing, leasing a third party for processing, import procedures for chemicals.

In response to a question from Rangrover Vietnam Company on how to determine the price of non-commercial goods, Mr. Nguyen Quoc Toan, Deputy Head in charge of the Import-Export Tax Division said that non-commercial goods are exempted from tax if the goods are worth under VND 2 million, or over VND 2 million, with a tax payable of under VND 200,000 shall also be exempt from tax. Individuals enterprises import 4 times a year.

HCMC Customs Department leaders thanked the European Business Association for its companionship with the customs. Photo: T.H

A number of companies have questioned that when the EU-Vietnam Free Trade Agreement (FTA) is launched, the rules of origin, cell culture and / or fermentation will not be considered as origin process of the source generation.

In response to this question, representatives from HCMC Customs Department said that the contents of the agreement depend on the EU Member States and Vietnam. When the EU-Vietnam FTA is implemented, the determination of origin must be in compliance with the Rules of origin stipulated in the Agreement. The cell culture and / or fermentation will therefore be or will not be considered as the origin process of the source generation, which depends on the rules of origin determination specified in the Agreement.

To conclude the conference, Mr. Dinh Ngoc Thang has directed competent divisions to compile specific contents answering 80 questions from 45 enterprises at the conference today to send to enterprises for implementation. At the same time, new documents related to the contents of Decree 59 and Circular 39, competent divisions shall continue to compile, summarize the new contents, important information to send to enterprises for the better understanding and implementation.

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One of the problems that many businesses encountered is taxable value, Mr. Dinh Ngoc Thang requested the General Tax Division to synthesize documents related to the taxable value to provide specific guidance to enterprises, as well as border gate Customs units to carry out properly and consistently.