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What Are Import-Export Taxes?

Import and export taxes are key economic policy tools used to regulate the flow of goods across national borders. These taxes represent financial obligations for individuals and organizations engaged in international trade.

• Export tax: Applied to goods leaving the national territory to protect domestic supply and promote local industries.
• Import tax: Levied on goods entering the country to safeguard domestic production and reduce unfair competition from imports.

Deadlines for Paying Import-Export Taxes

Under the 2016 Import-Export Tax Law, payment deadlines are outlined as follows:

Payment before clearance or goods release:

• Taxes must be paid before customs clearance unless guaranteed by a credit institution.

Guaranteed payment:

• The maximum guarantee period is 30 days from the customs declaration date.
• If taxes remain unpaid after the guarantee period, the guarantor is responsible for payment.

Priority cases:

• Taxes must be paid no later than the 10th day of the following month.

Special cases:

• For goods requiring analysis, inspection, or with no official price, provisional taxes apply and are adjusted once official results are available.

How to Calculate Import Taxes

Formula: Import tax = Taxable value × Tax rate

• Taxable value: The value of goods at the first port of entry.
• Tax rate: The applicable rate as per current regulations.

Required Documents for Import-Export

• Commercial contract
• Commercial invoice
• Packing list
• Bill of lading

>>Read more: What is Bill of Lading? 

Tax Payment and Clearance Process

Customs declaration:

• Conducted at the port or off-site customs office.
• Must be completed before the transport departs the port.

Document review:

• Verification and risk classification are performed based on provided documents.

Inspection and tax notification:

• Customs may waive inspections, conduct random checks, or inspect the entire shipment.

Tax payment and clearance:

• Ensure timely payment to facilitate smooth customs clearance.

Key Considerations for Import-Export Taxes

• Timely tax payments are mandatory to avoid penalties.
• Complete documentation ensures efficient customs clearance.
• Understanding specific regulations for each type of goods minimizes potential risks.

Contact King Freight Logistics Vietnam today for expert guidance on import-export procedures and cost-effective shipping solutions!