VCN - According to regulations, when domestic enterprises import goods to produce and process goods for export, then hire enterprises to produce and process them, they must declare and pay tax on those products when importing into the domestic market.
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According to the General Department of Customs, BHFLEX VINA CO., LTD, a domestic enterprise with 100% foreign investment capital hires an export processing enterprise, the company must carry out customs procedures for goods ordered for processing overseas specified in Article 67 of Circular 38/2015 of the Ministry of Finance as amended and supplemented in Clause 44, Article 1 of Circular 39/2018 of the Ministry of Finance
Regarding the tax declaration and payment when importing goods back into the country, the General Department of Customs said if a domestic enterprise imports goods to manufacture or process them for export, then delivering the imported goods and semi-finished products to another enterprise for manufacturing and processing, when they re-import them into the domestic market, they must declare and pay import tax according to of Clause 2, Article 22 of Decree 134/2016/ND-CP for processed products when imported into the domestic market.
In which, the import taxable value is the cost of processing service, the value of raw materials used in the processing provided by the export processing enterprise and other fees (if any) as prescribed in Clause 3 of Article 17 of Circular 39/2015 of the Ministry of Finance. The value of supplies and raw materials that domestic enterprises send for processing at the export processing enterprise will not be included in the taxable value.
By Nu Bui/Ngoc Loan