Is an export processing enterprise required to pay VAT when purchasing imported goods trực tiếp bóng đá hôm nay euro equipment for installation in Vietnam?
Is an export processing enterprise required to pay VAT when purchasing imported goods trực tiếp bóng đá hôm nay euro equipment for installation in Vietnam?
According to Clause 20, Article 5 of theLaw on Value-Added Tax 2008, it is stipulated as follows:
Non-taxable objects
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- Goods in transit through Vietnam; temporarily imported goods for re-export; temporarily exported goods for re-import; imported raw materials for the production trực tiếp bóng đá hôm nay euro processing of export goods under production contracts; export processing contracts signed with foreign parties; goods trực tiếp bóng đá hôm nay euro services traded between foreign countries with non-tariff zones trực tiếp bóng đá hôm nay euro among non-tariff zones.
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Additionally, according to Clause 20, Article 4 ofCircular 219/2013/TT-BTC, it is regulated as follows:
Objects not subject to VAT
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- Goods in transit through Vietnam; temporarily imported goods for re-export; temporarily exported goods for re-import; imported materials trực tiếp bóng đá hôm nay euro supplies for the production trực tiếp bóng đá hôm nay euro processing of export goods under production contracts trực tiếp bóng đá hôm nay euro export processing contracts signed with foreign parties.
Goods trực tiếp bóng đá hôm nay euro services traded between foreign countries with non-tariff zones trực tiếp bóng đá hôm nay euro among non-tariff zones.
Non-tariff zones include: export processing zones, export processing enterprises, bonded warehouses, tax-suspension zones, bonded areas, special economic-trade zones, commercial-industrial zones, trực tiếp bóng đá hôm nay euro other economic zones established trực tiếp bóng đá hôm nay euro benefiting from tax incentives similar to non-tariff zones according to the Prime Minister's Decision of the Government of Vietnam. Trade relationships between these zones trực tiếp bóng đá hôm nay euro the outside are considered export-import relationships.
The dossiers trực tiếp bóng đá hôm nay euro procedures for identifying trực tiếp bóng đá hôm nay euro handling non-subject to VAT tax situations are executed according to the Ministry of Finance guidelines on customs procedures; customs inspection trực tiếp bóng đá hôm nay euro supervision; export trực tiếp bóng đá hôm nay euro import taxes trực tiếp bóng đá hôm nay euro tax management concerning export trực tiếp bóng đá hôm nay euro import goods.
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Pursuant toCông trực tiếp bóng đá hôm nay euro 533/TCHQ-TXNK, the General Department of Customs responds as follows:
Based on the aforementioned regulations, if a contractor (located in a non-tariff zone) imports goods from abroad to build factories, office spaces, trực tiếp bóng đá hôm nay euro install equipment for an export processing enterprise, then the imported goods are not subject to VAT. If a subcontractor (not located in a non-tariff zone) imports goods to fulfill a contract with the main contractor to install equipment for the export processing enterprise, the subcontractor must issue a 10% VAT invoice to the main contractor (not located in a non-tariff zone) as per regulations.
Therefore, according to the above regulations, in cases where a contractor located in a non-tariff zone imports goods from abroad to install equipment for an export processing enterprise, the imported goods are not subject to VAT.
However, in cases where a subcontractor not located in a non-tariff zone imports goods to fulfill a contract with the main contractor to install equipment for the export processing enterprise, the subcontractor must issue a 10% VAT invoice to the main contractor not located in a non-tariff zone as per regulations.
Is an export processing enterprise required to pay VAT when purchasing imported goods trực tiếp bóng đá hôm nay euro equipment for installation in Vietnam? (Image from the Internet)
What conditions must an export processing enterprise meet to engage in other business activities in Vietnam?
According to Clause 6, Article 26 ofDecree 35/2022/ND-CP, it is stipulated that export processing enterprises are allowed to engage in other business activities according to the laws on investment, the laws on enterprises, trực tiếp bóng đá hôm nay euro other related legal provisions, provided that the following conditions are met:
- The storage area for goods serving export processing activities must be isolated from the storage area for other production trực tiếp bóng đá hôm nay euro business activities;
- Separate accounting for revenues trực tiếp bóng đá hôm nay euro expenses related to export processing activities trực tiếp bóng đá hôm nay euro other business activities is required;
- Assets, machinery, trực tiếp bóng đá hôm nay euro equipment enjoying tax incentives applicable to export processing enterprises must not be used for other production trực tiếp bóng đá hôm nay euro business activities. If assets, machinery, trực tiếp bóng đá hôm nay euro equipment enjoying tax incentives applicable to export processing enterprises are used for other business activities, the tax incentives that have been exempted or reduced must be reimbursed as per tax law regulations.
When do export processing enterprises enjoy investment incentives trực tiếp bóng đá hôm nay euro tax policies for non-tariff zones in Vietnam?
According to Clause 3, Article 26 ofDecree 35/2022/ND-CP, the stipulations regarding the timing for export processing enterprises to enjoy investment incentives trực tiếp bóng đá hôm nay euro tax policies for non-tariff zones are as follows:
Special provisions applicable to export processing zones trực tiếp bóng đá hôm nay euro enterprises
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- Export processing enterprises enjoy investment incentives trực tiếp bóng đá hôm nay euro tax policies for non-tariff zones starting from the point of investment objectives stated in the Investment Registration Certificate, adjusted Investment Registration Certificate, or the Export Processing Enterprise Registration Certificate issued by the competent investment registration authority. After the construction process is completed, the export processing enterprise must be confirmed by the competent customs authority as meeting the conditions for customs inspection trực tiếp bóng đá hôm nay euro supervision as prescribed by tax law regarding export trực tiếp bóng đá hôm nay euro import taxes before entering official operation. If an export processing enterprise is not confirmed as meeting the conditions for customs inspection trực tiếp bóng đá hôm nay euro supervision, it will not be eligible for the tax policies applicable to non-tariff zones. The inspection, confirmation, trực tiếp bóng đá hôm nay euro completion of conditions for customs inspection trực tiếp bóng đá hôm nay euro supervision for export processing enterprises are conducted in accordance with the laws on export trực tiếp bóng đá hôm nay euro import taxes.
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Thus, export processing enterprises enjoy investment incentives trực tiếp bóng đá hôm nay euro tax policies applicable to non-tariff zones starting from the point that the investment objectives for establishing an export processing enterprise are recorded in the Investment Registration Certificate, adjusted Investment Registration Certificate, or the Export Processing Enterprise Registration Certificate issued by the competent investment registration authority.
