Korean enterprises want to understand clearly tax and customs policies

VCN - On the afternoon of September 17th, 2018, the Ministry of Finance in cooperation with the Korean Embassy and the Korea Chamber of Commerce and Industry held a dialogue on tax and customs policies and procedures with representatives of 250 South Korean enterprises in the Northern provinces.
korean enterprises want to understand clearly tax and customs policies Ministry of Finance had a dialogue with Korean enterprises: Willing to listen and solve problems
korean enterprises want to understand clearly tax and customs policies Customs always accompanies with South Korean enterprises
korean enterprises want to understand clearly tax and customs policies HCM City Customs guided and answered many questions from Korean enterprises
korean enterprises want to understand clearly tax and customs policies
The conference scene. Photo: T.Linh

Deputy Minister of Finance Vu Thi Mai and Mr. Kim Do Hyon, Ambassador Extraordinary and Plenipotentiary of the Republic of Korea to Vietnam co-chaired the meeting. Attending the meeting were Deputy General Director of Taxation Cao Anh Tuan; Deputy Director General of Customs Mai Xuan Thanh, and representatives of departments under the Ministry of Finance, General Department of Taxation and General Department of Customs.

Strong reform of tax and customs

Speaking at the conference, the Deputy Minister of Finance Vu Thi Mai emphasized that the Government of Vietnam always attached great importance to administrative reform, including reform of tax and customs procedures to create an increasingly favourable business environment for enterprises and facilitate the implementation of tax obligations with the state budget. In particular, Korean FDI enterprises play an important part in Vietnam’s economy and uses over 70,000 employees, and contributed about 30% of Vietnam’s total export value.

Over the past time, the Ministry of Finance also issued circulars on tax and customs and assigned the General Department of Taxation and the General Department of Customs to review and develop specific action plans to reduce administrative procedures for the time involved for tax payment and customs declaration for taxpayers and customs declarants, and to strongly apply IT to the tax and customs management.

However, in the process of applying policies into practice, there are difficulties and obstacles. Therefore, the Ministry of Finance is willing to listen to comments from enterprises to continue improving the policy in order for solving difficulties to enable boosting production and business activities of Korean enterprises, thus contributing to stepping up the investment environment in Vietnam.

Cao Anh Tuan, Deputy Director General of the Taxation said that up to now, the Ministry of Finance held 11 conferences not only to disseminate new policies but also to listen and solve problems for enterprises. Thus, helping management agencies improve their management policies.

At the conference, Deputy Director General of Customs Mai Xuan Thanh, shared that Customs has electronized many procedures, helping to reduce Customs administrative procedures, shorten customs clearance time and reduce the direct contact between customs officers and enterprises to restrict negative acts. At the same time, Customs is actively coordinating with ministries and sectors to complete the legal basis to implement the National Single Window mechanism to reduce customs clearance time and costs for enterprises in line with the development of international trade.

At the conference, there were 9 questions on tax and customs policies such as import duty, export duty; customs procedures, C/O, tax incentives, tax policies for enterprises enjoying tax incentives, etc. Some enterprises proposed to the Ministry of Finance for reform in the direction that enterprises which are exempted from import duty on raw materials according to Article 12 of Decree 134/2016. / NĐ-CP, are also exempted from import duty when hiring a third party for processing.

Representatives from the General Department of Customs said that pursuant to Clause 7 Article 16 of the Law on Import and Export Duties; and Clause 1, Article 12 of Decree No. 134/2016 / ND-CP, organizations and individuals, that import goods for export production but hire a third party to process goods and then receive processed products for further processing or receive finished products for export, are not eligible for enjoying tax exemption according to Decree No. 134/2016/ND-CP. Therefore, those enterprises are not exempted from import duty on imported goods which are processed by a third party.

Representatives from the General Department of Customs noted the proposals by enterprises and will review to amend Decree 134/2016 / ND-CP.

A number of questions related to norms and units of settlement for domestic sales of export processing enterprises (EPE); the registration of bar codes for products, which are not permitted to circulate in Vietnam and exported to foreign countries; tax incentives for expanded investment have been specifically answered by representatives from the General Department of Customs and the General Department of Taxation.

Desire to study policies of enterprises

Ambassador Extraordinary and Plenipotentiary of the Republic of Korea to Vietnam said that the trading scale between South Korea and Vietnam has been growing rapidly over the years and has been agreed by leaders of the two countries to reach a target of US $ 100 billion by 2020. This is considered as a top concern by South Korean enterprises. Especially in the globalization trend, the business environment and tax and customs policies are always a matter of concern for investors. For many years South Korea has maintained its position as the No.1 investor in Vietnam and the above results show the increasingly closer economic cooperation. However, the more the number of South Korean investors there are, the more the difficulties due to the lack of knowledge of tax and customs policies are.

"Thus, I think that the 11th dialogue conference on tax and customs with South Korean enterprises expressed the goodwill of Vietnam’s Government to South Korean enterprises. At the same time, the conference has significantly contributed to the development of the relationship of the two countries. I hope that through this conference, South Korean enterprises will better understand the regulations and policies on tax and customs of Vietnam and solve the difficulties and problems related to these two fields." Kim Do Hyon emphasized.

Closing the conference, Mrs. Vu Thi Mai noted that administrative procedures, tax and customs policies are always the top concern of enterprises. This conference expresses the attention and active support of the Ministry of Finance, General Department of Taxation, and General Department of Customs, which is considered as an important part in bringing policies into reality.

korean enterprises want to understand clearly tax and customs policies Binh Duong Customs explains Circular 39 for Korean enterprises

Deputy Minister Vu Thi Mai stressed that the conference is the chance for enterprises to listen and synthesize to understand more clearly new policies on tax and customs to better serve their operation in Vietnam. If there are still unclear contents, enterprises can directly ask or send questions via their Embassy, Korea Chamber of Commerce and Industry (KCCI), or the Korea Chamber of Business in Vietnam (Korcham) to the Tax Policy Department under the Ministry of Finance, General Department of Taxation or General Department of Customs for timely response.

Deputy Minister of Finance Vu Thi Mai:

"In order for the policies to best promote their efficiency in the coming time, the Ministry of Finance hopes to continue receiving many frank and constructive contributions from the Korean business community investing in production and business in Vietnam to renovate and improve the tax and customs policies in more increasingly transparent and specific manner, thus helping taxpayers implement tax policies conveniently and quickly, and contributing to encouraging investment, export and complying with international practices and international commitments in Vietnam's regional and world economic integration.

By Dao Le/ Huyen Trang

Related News

Vietnam secures VND 157 billion from state enterprise divestment in 2024

Vietnam secures VND 157 billion from state enterprise divestment in 2024

VCN - The Ministry of Finance reported that in 2024, the divestment of state capital in 5 enterprises (F1) generated VND 157 billion from an initial value of VND 145 billion
Focusing on inspecting inventory of public assets at units with large and complex assets

Focusing on inspecting inventory of public assets at units with large and complex assets

VCN - According to Official Dispatch No. 1456/BTC-QLCS on inspecting the preparation and implementation of the General Inventory of Public Assets recently issued by the Ministry of Finance, the inspection of the inventory of public assets focuses on units with large asset scale and large number of inventory items, complex assets, and slow implementation progress.
Vietnam gears up for potential inflation impact in 2025

Vietnam gears up for potential inflation impact in 2025

VCN - For sound price management and inflation control, Deputy Prime Minister Ho Duc Phoc directed officials to vigilantly track both domestic and international market dynamics. The goal is to proactively develop flexible strategies and solutions, enabling a swift response to any emerging challenges.
Director General Nguyen Van Tho: streamlining apparatus to meet the requirements of customs modernization

Director General Nguyen Van Tho: streamlining apparatus to meet the requirements of customs modernization

VCN - Director General of the General Department of Customs Nguyen Van Tho said that the customs sector will focus on arranging and streamlining the apparatus, ensuring that the new apparatus can be put into operation immediately, without interruptions.

Latest News

Personal income tax proposed for interest on some bank savings accounts

Personal income tax proposed for interest on some bank savings accounts

Instead of the current personal income tax exemption on interest from all individual bank savings accounts, the proposal would exempt tax only for low amounts of savings.
Banks set for aggressive bond issuance in 2025 to fuel growth

Banks set for aggressive bond issuance in 2025 to fuel growth

With a higher credit growth goal set by the SBV, banks are ramping up their efforts to secure funding through bond issuance.
Central bank cuts interest rate on bills for first time in 2025

Central bank cuts interest rate on bills for first time in 2025

According to data from the financial data provider Wichart, the SBV issued VNĐ19.6 trillion of bills in the past week. The interest rate on the bills decreased by 0.1 percentage point, from 4 per cent to 3.9 per cent on February 14.
The government seeks approval for revised GDP, CPI targets

The government seeks approval for revised GDP, CPI targets

VCN - The Government submitted to the National Assembly for consideration and comments on adjusting the target for the growth rate of gross domestic product (GDP) to 8% or more; the average growth rate of the consumer price index (CPI) to about 4.5-5%.

More News

Fiscal, monetary policies support demand stimulation, price stabilisation

Fiscal, monetary policies support demand stimulation, price stabilisation

These efforts, in conjunction with the implementation of monetary policies and other macroeconomic policies, aim to solve difficulties for businesses and the public, stabilise the macroeconomy, control inflation, ensure the balance of the economy, promote economic growth, and secure social welfare and people’s livelihoods.
VN’s credit conditions in 2025 expected to be stable

VN’s credit conditions in 2025 expected to be stable

The credit conditions for Việt Nam will stabilise in 2025, after improving substantially over the past year, the rating agency VIS is forcasts.
State revenue in first month of the year equal to 14% of the estimate

State revenue in first month of the year equal to 14% of the estimate

VCN - According to the Ministry of Finance, in January - the first month of 2025, the total state budget revenue is estimated at VND275.9 trillion, equal to 14% of the estimate; meanwhile, the total state budget expenditure is estimated at VND134.4 trillion.
Securities 2025 expects a breakthrough in scale and quality

Securities 2025 expects a breakthrough in scale and quality

VCN – The positive factors inherent in the macro economy and the Vietnamese stock market will continue to create the foundation for the market to maintain stability, good liquidity, and growth in both scale and quality in the new year of At Ty 2025, Chairwoman of the State Securities Commission Vu Thi Chan Phuong said.
Cash reserves in stock accounts at six-quarter low amid margin rise

Cash reserves in stock accounts at six-quarter low amid margin rise

These funds are readily available in investor accounts, but remained undeployed as of the year-end.
Five solutions for developing stock market in 2025

Five solutions for developing stock market in 2025

VCN - On February 5, 2025, at the Gong-beating ceremony to open the stock trading at the Ho Chi Minh City Stock Exchange (HOSE), Deputy Minister of Finance Nguyen Duc Chi introduced five solutions for comprehensive development of the stock market.
Minister of Finance Nguyen Van Thang works with GDVC at the first working day after the Tet holiday

Minister of Finance Nguyen Van Thang works with GDVC at the first working day after the Tet holiday

VCN- On February 3, the first working day after the Tet holiday, Minister of Finance Nguyen Van Thang and the delegation visited and worked with the General Department of Vietnam Customs (GDVC).
The stock market after Tết 2025 presents both challenges and opportunities

The stock market after Tết 2025 presents both challenges and opportunities

Việt Nam’s stock market following the 2025 Lunar New Year (Tết Nguyên Đán) presents a complex landscape of risks and potential gains, driven by foreign capital inflows, economic resilience, and looming corporate bond maturity pressures, according to one securities expert.
Opportunities and challenges in Việt Nam

Opportunities and challenges in Việt Nam's crypto boom

Việt Nam boasts one of the most active investment communities in the cryptocurrency sector. However, protecting investors and promoting sustainable growth requires a robust legal framework.
Read More

Your care

Latest Most read
Personal income tax proposed for interest on some bank savings accounts

Personal income tax proposed for interest on some bank savings accounts

Instead of the current personal income tax exemption on interest from all individual bank savings accounts, the proposal would exempt tax only for low amounts of savings.
Banks set for aggressive bond issuance in 2025 to fuel growth

Banks set for aggressive bond issuance in 2025 to fuel growth

With a higher credit growth goal set by the SBV, banks are ramping up their efforts to secure funding through bond issuance.
Central bank cuts interest rate on bills for first time in 2025

Central bank cuts interest rate on bills for first time in 2025

According to data from the financial data provider Wichart, the SBV issued VNĐ19.6 trillion of bills in the past week. The interest rate on the bills decreased by 0.1 percentage point, from 4 per cent to 3.9 per cent on February 14.
Focusing on inspecting inventory of public assets at units with large and complex assets

Focusing on inspecting inventory of public assets at units with large and complex assets

VCN - According to Official Dispatch No. 1456/BTC-QLCS on inspecting the preparation and implementation of the General Inventory of Public Assets recently issued by the Ministry of Finance, the inspection of the inventory of public assets focuses on units
The government seeks approval for revised GDP, CPI targets

The government seeks approval for revised GDP, CPI targets

The Government submitted to the National Assembly for consideration and comments on adjusting the target for the growth rate of gross domestic product (GDP) to 8% or more
Mobile Version