Circular No. 31/2016/TT-BTC dated February 23, 2016 of the Ministry of Finance supplementing N-Hexan products used in the dried production of soya bean oil and vegetable oil, rice bran and rice bran oil into Chapter 98 of the preferential import tariff

THE MINISTRY OF FINANCE

Circular No. 31/2016/TT-BTC dated February 23, 2016 of the Ministry of Finance supplementing N-Hexan products used in the dried production of soya bean oil and vegetable oil, rice bran and rice bran oil into Chapter 98 of thepreferential import tariff

Pursuant to the Law on import tax and export tax dated June 14, 2005;

Pursuant to the Resolution No. 295/2007/NQ-UBTVQH12 dated September 28, 2007 of the National Assembly Standing Committee dated September 28, 2007, promulgating the Export Tariff according to the list of dutiable commodity groups and the duty rate bracket for each commodity group and the preferential import tariff according to the list of dutiable commodity groups and the preferential duty rate bracket for each commodity group;

Pursuant to the Resolution No. 87/2010/ND-CP dated August 13, 2010 of the Government detailing a number of articles of the law on import duty and exportduty;

Pursuant to the Resolution No. 215/2013/ND-CP dated December 23, 2013 of the Government defining the functions, tasks, powers and organizational structure of the Ministry of Finance;

At the proposal of the Director of the Tax Policy Department;

The Minister of Finance promulgates the Circular supplementing N-Hexan products used in the dried production of soya bean oil and vegetable oil, rice bran and rice bran oil into Chapter 98 of the preferential import tariff;

Article 1.To amend, supplement Section I – Notes and conditions for applying preferential import tax

1. To supplement Clause 1.39 into Point 1 Notes under Section I – Notes and conditions for applying preferential import tax in Chapter 98 as follows:

“1.39. Heading 98.42: N-Hexan is used in the dried production of soya bean oil and vegetable oil, rice bran and rice bran oil.”

2. To amend Point b.10 into Clause 3 Section I on conditions and import procedures for applying preferential import tax in the heading 9842.00.00 in Chapter 98 as follows:

“b.10) Imported goods in the heading 98.42

b.10.1) Conditions for applying:

- Imported goods being N-Hexan products used in the dried production of soya bean oil and vegetable oil, rice bran and rice bran oil.

- Imported by enterprises that produce soya bean oil and vegetable oil, rice bran and rice bran oil.

b. 10.2) Import procedures:

b.10.2.1 – Responsibilities of customs declarants:

The customs declarantmust register the list of imported goods in the Heading 98.42 (List) with the nearest Customs Department together with the annually imported amount that is in accordance with capacity scale/needs to produce annually before importing the first shipment. The application dossier includes:

- Application for granting the list;

- List of goods and reconciliation monitoring slip.

The application for granting the list, the list of goods and reconciliation monitoring slip shall be implemented according to regulations as stipulated under Clause 5 Article 104 of the Circular No. 38/2015/TT-BTC dated March 25, 2015 of the Ministry of Finance on customs procedures, customs supervision and inspection, export tax, import tax, and tax administration applied to exported and imported goods, of which replaces the word  “duty free” by “used in the dried production of soya bean oil and vegetable oil, rice bran and rice bran oil”.

If the registered list needs modifying or supplementing, the customs declarant shall modify or supplement but they have to submit documents to the Customs Department where they register the list before importing the next shipment involving the modified or supplemented list. The list proving that the modification is suitable. The application sent to the customs department issuing the modified list including:

- The application for granting the modified, supplement list;

- The modified, supplemented list of goods andreconciliation monitoring slip.

If losing the list and reconciliation monitoring slip, a customs declarant shall send a written request for re-grant of the list to the customs office having registered such list including:

- The application for re-grant of the list, reconciliation monitoring slip of which clearly states: reasons of losing, reconciliation monitoring slip and commitment of the customs declarant on the accuracy of the declared contents;

- The list of customs declaration documents (electronic or papers) of the imported goods according to the list;

- The List and reconciliation monitoring slip of the customs department where the import procedures for the last shipment are processed before the loss (01 copy with the certification of customs department);

The customs declarant shall submit and present the customs department where customs declaration documents are processed the following documents:

- Customs documents as stipulated;

- List of goods and reconciliation monitoring slip registered with customs departments (copy given to the customs declarant).

Annually, no later than the ninetieth after the fiscal year, the customs declarant shall submit the report on the use of “N-Hexan products used in the dried production of soya bean oil and vegetable oil, rice bran and rice bran oil” to be appliedpreferential import tarifffor the heading 98.42 in the fiscal year to customs department according to regulations as stipulated under Article 41 of the Decree No. 08/2015/ND-CP dated January 21, 2015 of the Government and Article 60 of the Circular No. 38/2015/TT-BTC dated March 25, 2015 of the Minister of Finance;

b.10.2.2­–Responsibilities of Customs Department:

b. 10.2.2.1 – Upon receipt of the List:

- Right after receiving the List, Customs Department where the customs declarant has registered shall examine, open a monitoring book  and affix its seal for certification to 2 import lists and a reconciliation monitoring slip (keeping 1 original list and handing the other together with the original reconciliation monitoring slip to the customs declarant to present the customs department to process reconciliation for actually imported goods and tax calculation according to regulations as stipulated under Circular No. 38/2015/TT-BTC dated March 25, 2015 of the Ministry of Finance and Point b.10.2.2.2).

- In case a customs declarant needs to modify or supplement the list and reconciliation monitoring slip, the customs branch having registered the list shall examine and make a monitoring slip and affix its seal for certification to 2 lists and the reconciliation monitoring slip that need modification or supplementation (keeping 1 original list and handing the other original list and the original reconciliation monitoring slip to the customs declarant to present the customs department to process reconciliation for actually imported goods and tax calculation according to regulations as stipulated under Circular No. 38/2015/TT-BTC dated March 25, 2015 of the Ministry of Finance and Point b.10.2.2.2).

- If the customs declarant loses the list and reconciliation monitoring slip: at  the request of a customs declarant and certification of other customs departments, customs department having registered the list shall conduct examination and re -grant the list, reconciliation monitoring slip of “N-Hexan used in the dried production of soya bean oil and vegetable oil, rice bran and rice bran oil” in the Heading 98.42 that is not imported according to the Circular No. 38/2015/TT-BTC dated March 25, 2015 of the Minister of Finance.

Time for settlement of customs departments for cases of registering the list, modification, supplementation of the list, re-grant of the list shall be implemented according to Article 104 of Circular No. 38/2015/TT-BTC dated March 25, 2015 of the Minister of Finance.

b. 10.2.2.2 – Upon clearance of import procedures

In addition to implementing customs procedures as prescribed, the customs office shall, based on customs dossiers, process reconciliation of goods in the Heading 98.42 already imported by the customs declarant, sign for certification according to regulations, and file in the customs dossier 1 copy of the list and the reconciliation monitoring slip in which reconciliation has been made.

When goods written in the reconciliation monitoring slip are all imported, a leader of the last customs branch clearing import procedures shall certify that“all goods are imported according to list No….” on the original reconciliation monitoring slip of the customs declarant, keep 1 copy, give the customs declarant 1 copy and send the original to the customs branch having issued the reconciliation monitoring  slip for examination of goods for which customs procedures have been cleared according to regulations.

In case the customs branch receiving the list registration concurrently carries out import procedures for goods, after its leader certifies the importation of all goods on the reconciliation monitoring slip, the customs department shall keep the original, grant a copy to the customs declarant and forward another copy together with the list registration dossier for examination of goods for which customs  procedures have been cleared according to regulations.

c. 10.2.2.3 – Right after receiving the original reconciliation monitoring slip sent to by the customs department that processes the last procedures, the customs department having registered the list and grant the reconciliation monitoring slip shall collect registration documents to transfer to the department for the examination of goods for which customs procedures have been cleared according to regulations on risk management on using imported goods that have been applied preferential import tariff in the Heading 98.42 according to regulations under Article 98 of the Decree No. 08/2015/ND-CP dated January 21, 2015 of the Government;

If the use of goods in the Heading 98.42 is not in accordance with the purpose, import tax shall be calculated according to preferential import tariff applied for codes of goods in Chapter 97 at the time of registering the list with the customs department.”

Article 2. To amend, supplement Section II –Codes and preferential import tax rates in Chapter 98

To amend the heading 98.42- N-Hexan used in the dried production ofsoya bean oil and vegetable oil, rice bran and rice bran oil into Section II – Codes andpreferential import tax ratesin Chapter 98 as follows:

Article 3. Effect

This Circular takes effect on April 08, 2016.

For Minister

Deputy Minister

Vu Thi Mai