Circular No. 58/2012/TT-BTC dated April 12, 2012 of the Ministry of Finance guiding the implementation of the Decision No. 05/2012/QD-TTG dated January 19, 2012 of the prime minister on the pilot vat refunding for foreigner’s goods purchased in Vietnam carried upon exit of the port of Noi Bai international airport and Tan Son Nhat international airport

CIRCULAR

GUIDING THE IMPLEMENTATION OF THE DECISION No. 05/2012/QĐ-TTG DATED JANUARY 19, 2012 OF THE PRIME MINISTER ON THE PILOT VAT REFUNDING FOR FOREIGNER’S GOODS PURCHASED IN VIETNAM CARRIED UPON EXIT OF THE PORT OF NOI BAI INTERNATIONAL AIRPORT AND TAN SON NHAT INTERNATIONAL AIRPORT

Pursuant to the Law on Value Added Tax No. 13/2008/QH12 dated June 3, 2008, the Law on Tax Administration No.78/2006/QH10 dated November 29, 2006 and documents guiding the implementation of these Laws;

Pursuant to the Decision No. 05/2012/QD-TTg dated January 19, 2012 of the Prime Minister concerning the pilot VAT refunding for foreigner’s goods purchased in Vietnam carried upon exit of the port of Noi Bai international airport and Tan Son Nhat international airport.

Pursuant to Decree No. 118/2008/ND-CP of November 27, 2008 of the Government regulating the functions, duties, powers and organizational structure of the Ministry of Finance.

Considering the proposal of the Director General of Customs

The Minister of Finance issues the Circular guiding the implementation of a number of contents of the Decision No. 05/2012/QD-TTg dated January 19, 2012 of the Prime Minister concerning the pilot VAT refunding for foreigner’s goods purchased in Vietnam carried upon exit of the port of Noi Bai international airport and Tan Son Nhat international airport (hereafter referred to as Decision No. 05/2012/QĐ-TTg).

Chapter I

GENERAL PROVISIONS

Article. Scope of adjustment and subjects of application

1. Scope of adjustment:

This Circular makes guidance on the implementation of a number of contents concerning the pilot VAT refunding for foreigner’s goods purchased in Vietnam carried upon exit of the port of Noi Bai international airport and Tan Son Nhat international airport under the provisions in the Decision No. 05/2012/QD-TTg (hereafter referred to as VAT refunding to foreigner)

2. Đối tượng áp dụng:

Subjects of application:

a) The foreigners, Vietnamese people settling abroad, except for crew members in accordance with the law on air (hereinafter referred to as foreigners) holding valid passport or entry and exit papers issued by foreign countries and using these papers for entry into or exit from Vietnam to buy goods in Vietnam and bring these goods through the port of Noi Bai international airport and Tan Son Nhat international airport;

b) The customs agency, customs officer, tax agency, tax official involved in the pilot VAT refunding to foreigner;

c) The enterprise that isselected for the pilot value-added tax refunding to foreignersupon exit, include: enterprise, enterprise’s store and agent sales store for the enterprise(hereinafter referred to as enterprise making pilot sales);

d) The commercial bank selected isthe pilot VAT refunding agent to foreigners (hereafter referred to as commercial bank);

dd) The other organizations and individuals upon implementation related to the pilot VAT refunding agent to foreigners.

Article 2. Principles for conducting customs procedures, customs inspection and supervision, tax administration

The actual inspection of goods, customs supervision, tax administration for the pilot VAT refunding to foreigners shall comply with the principles prescribed in the Article 3 of the Decree No. 154/2005/ND -CP dated December 15, 2005 of the Government regulating the customs procedures, customs inspection and supervision regulation, the Article 3 of the Circular No. 194/2010/TT-BTC dated June 12, 2010 of the Ministry of Finance guiding the customs procedures, customs inspection and supervision, import and export tax and tax administration for exports and imports; the Article 4 of the Tax Administration Law No. 78/2006/QH10 dated November 29, 2006 and documents guiding the implementation.

Article 3. Rights and obligations of the foreigner

1. Being refunded the VAT for goods that meet the conditions prescribed in the Article 3 of the Decision No. 05/2012/QĐ-TTg.

2. Being guided and provided with the relevant information and materials in order to implement obligations and interests on tax.

3. Checking the information recorded in VAT invoice -cum -tax refunding declaration (hereafter referred to as invoice- cum -tax refunding declaration) made by the enterprises making the pilot sales when they purchase goods under the form as prescribed in the Annex 3 of this Circular.

4. Being responsible before law for the accuracy, legality and honesty of the passports, entry and exit papers, goods and invoice- cum -tax refunding declaration presented the customs agencies and the record presented the commercial banks as VAT refunding agents upon exit.

5. Making complaint and initiating lawsuit against the administrative decision and acts with respect to their legal rights and interests.

6. Making denunciation of the acts of administrative violation of the customs officers, tax officials and other organizations and individuals concerned.

Article 4. Rights and obligations of the pilot sale enterprise

1. Being entitled to apply the forms of propagation and advertising of the pilot sales with VAT refunding to the foreigners upon exit as prescribed by the relevant laws.

2. Registering the pilot sales at the correct address and being responsible before law for the registration of the pilot sales.

3. Displaying the announcement board of the enterprise making pilot sales with the VAT refunding (content expressed in Vietnamese and English) and removing the board upon termination of the pilot sales.

4. Being guided by the tax agencies and customs agencies the implementation of the pilot sales with the VAT refunding to the foreigners.

5. Assisting and guiding the foreigners to implement the Decision No. 05/2012/QĐ-TTg and the guidance in this Circular.

6. Based on the information on valid passports or exit and entry papers and the goods purchased by the foreigners, the enterprises shall make the invoice cum tax refunding declation for goods subject to VAT refunding meeting the provisions in the Article 3 of the Decision No. 05/2012/QD-TTg under the prescribed form in the Annex 3 of this Circular and hand 01 sheet over to the foreigners used for customers.

7. Printing, issueing, controlling and using the invoice -cum- tax refunding declation, performing the reporting regulations in conformity with the regulations of the law on invoice of sales, service supply and guidance in this Circular.

8. Exercising the other rights and obligations as prescribed by the Tax Administration Law and the other relevant laws.

Article 5. Rights and obligations of the commercial banks

1. Being guided by the tax agency and customs agency the implementation of the pilot sales with the VAT refunding to the foreigner.

2. Displaying the announcement board of the commercial bank as the agent for the VAT refunding to the foreigner at the tax refunding counter in the isolated areas of Noi Bai international airport and Tan Son Nhat international airport (content expressed in Vietnamese and English) and removing the board upon termination of the pilot agent.

3. Being entitled to enjoy the tax refunding service fee upon refunding VAT to the foreigner as prescribed in the Article 7 of the Decision No. 05/2012/QD-TTg and the guindance in this Circular.

4. Making declaration and payment of tax as prescribed for the tax refunding service fee to be enjoyed upon the implementation of the VAT refunding to the foreigner.

5. Checking the tax refunding record, personnel and material facilities placement, advance and implementation of VAT refunding to the foreigner, making procedures of payment with the tax agency in accordance with the Decision No. 05/2012/QD-TTg and the guidance in this Circular.

6. Selling freely convertible currency to the foreigner refunded the tax when the foreigner requests the exchange of the refunded VAT amount into foreign currency and implementing the reporting regulations in accordance with the law.

7. Keeping the records with respect to the VAT refunding to the foreigner and the records of payment of advance, VAT refunding service fee to the foreigner in accordance with the law.

8. Exercising the other rights and obligations as prescribed by the Tax Administration Law and the other relevant laws.

Article 6. Responsibilities and power of the customs agencies.

1. Propagating, disseminating, guiding, explaining and providing information related to the pilot VAT refunding to the foreigner.

2. Checking passport or exit and entry papers, invoice cum tax refunding declaration, checking the foreigner’s goods presented at the checking counter of invoice cum tax refunding declaration.

3. Receiving the records and submitted to the Ministry og Finance for the selection of Commercial bank as an agent in accordance with the provisions in the Decision No. 05/2012/QD-TTg and the guidance in this Circular.

4. Updating the foreigner’s information and the VAT amount actually refunded into the database on the pilot VAT refunding to the foreigner.

5. Coordinating with the State Treasury and Department of Taxation of the same level to review and compare the VAT amount that the Commercial bank has advanced to refund to the foreigner, the tax refunding service fee paid to the Commercial bank to ensure the matching of data between the parties.

6. Settling complaint and denunciation related to the implementation of the VAT refunding to the foreigner within their assigned responsibilities.

7 . Sanctioning the acts of violation of regulations on VAT refunding to the foreigner under the provisions of law.

8. Exercising other responsibilities and power under the provisions of the Law on Tax Administration and other relevant law.

Article 7. Responsibilities and power of the tax agencies.

1. Assisting, propagating, disseminating, guiding, explaining and providing information related to the pilot VAT refunding to the foreigner.

2. Receiving records and selecting the enterprise making then pilot sales as prescribed in the Decision No. 05/2012/QD-TTg and guidance in this Circular.

3. Checking the records, making the payment procedures for the VAT amount advanced by the Commercial bank in order to pay the foreigner and the tax refunding service fee that the Commercial bank is entitled to enjoy in order for the State Treasury to make procedures for money transfer under the guidance in this Circular.

4. Keeping the records of the VAT payment, the tax refunding service fee that the Commercial bank is entitled to enjoy as prescribed by the law.

5. Presiding over and coordinating with the State Treasury and Customs Department of the same level to review and compare the VAT amount that the Commercial bank has advanced to refund to the foreigner, the tax refunding service fee paid to the Commercial bank to ensure the matching of data between the parties.

6. Settling complaint and denunciation related to the implementation of the VAT refunding to the foreigner within their assigned responsibilities.

7. Exercising other responsibilities and power under the provisions of the Law on Tax Administration and other relevant law.

Article 8. Responsibilities and power of the State Treasury.

1. Transferring the Commercial bank a VAT amount advanced by the Commercial bank and the tax refunding service fee that the Commercial bank is entitled to enjoy under the guidance in this Circular.

2. Coordinating with the Tax Department and Customs Department of the same level to review and compare the VAT amount that the Commercial bank has advanced to refund to the foreigner, the tax refunding service fee paid to the Commercial bank to ensure the matching of data between the parties.

3. Keeping the records, transferring and refunding the VAT amount that the Commercial bank has advanced and the tax refunding service fee that the Commercial bank is entitled to enjoy under the guidance in this Circular.

4. Settling complaint and denunciation related to the implementation of the VAT refunding to the foreigner within their assigned responsibilities.

5. Exercising other responsibilities and power under the provisions of the Law.

Chapter II

SPECIFIC PROVISIONS

Article 9. Goods refunded VAT

The goods refunded VAT are the goods meeting the provisions in the Article 3 of the Decision No. 05/2012/QD-TTg, in which:

1. Goods not in the list of goods banned from export, the list of goods exported under the permit of the Ministry of Trade (now the Ministry of Industry and Trade) or the list of goods exported subject to specialized management comply with the regulations in the Decree No. 12/2006/ND-CP dated January 23, 2006 of the Government and the guiding documents of this Decree.

2. Goods subject to value added tax as prescribed in the Article 3 of the Law on value added tax No. 13/2008/QH12 dated June 3, 2008 and documents guiding the implementation.

3. The goods are permitted to be carried on the plane prescribed in the Article 12 of the Law on Vietnam Civil Aviation dated June 29, 2006 and the documents guiding the implementation.

4. The goods purchased in Vietnam with the invoice cum tax refunding declaration to be issued within 30 (thirty) days from the date the foreigner leaves Vietnam for his country.

Article 10. Tax refunding service fee, tax refunding amount and tax refunding currency:

1. Tax refunding service fee that the commercial bank is entitled to enjoy equal to 15% (fifteen percent) / total amount of value added tax of goods eligible for refunding carried by the foreigner when leaving at Noi Bai international airport and Tan Son Nhat international airport.

2. The amount of value added tax that the foreigner shall be refunded equal to 85% (eighty five percent) / total amount of value added tax of goods eligible for refunding carried by the foreigner when leaving at Noi Bai international airport and Tan Son Nhat international airport.

3. The tax refunding currency is Vietnam dong. In case the foreigner requests the exchange of the tax refunding amount from Vietnam dong into freely convertible currency, the Commercial bank shall make a sale of foreign currency to the foreigner under the regulations of the law.

The conversion rate is the rate listed by the commercial bank at the time of conversion and in accordance with the provisions of the State Bank of Vietnam.

Article 11. Conditions and the selection of enterprise making pilot sales

1. The conditions for the selection of the enterprise making pilot sales as prescribed at Point a, Clause 1, Article 4 of Decision No. 05/2012/QD-TTg. The place of business of the enterprise as stipulated in clause 1 of Article 4 of Decision No. 05/2012/QD-TTg includes one of the following locations in the city of Hanoi and Ho Chi Minh or in the center of handicraft villages in the destination of the travel and tourism routes:

a) Head office of the enterprise;

b) Branch and store of enterprise;

c) Location for sale agent of the enterprise

2. The enterprise’s record of pilot sales registration

a) The pilot sales registration dispatch under the form prescribed in the Annex 1 of this Circular;

b) Certificate of business registration or Certificate of enterprise registration: 01 copy with the enterprise’s seal;

c) Contract of agent sales signed between the enterprise registering the pilot sales with the agent sales store for the enterprise (for the case as being the sales agent store for the enterprise): 01 copy with the enterprise’s seal;

3. Procedures for selection of enterprise:

a) The enterprise shall send the registration record to the tax agency directly managing the enterprise;

b) The tax agency directly managing the enterprise shall receive and check the record and process as follows:

- If the record is incomplete, within three (03) working days from the date of receiving the record, a written notice shall be sent to the enterprise for supplementation of records;

- If the record does not meet the conditions as prescribed, within 07 (seven) working days from the date of receiving the record, a written response shall be sent to the enterprise;

- If the record is complete and meets the conditions as prescribed, within 07 (seven) working days, the tax agency directly managing the enterprise shall make report to the local Department of Taxation where the enterprise’s head office is located. Within 07 (seven) working days, that Department of Taxation shall send the enterprise a written notice under the form prescribed in the Annex 2 of this Circular.

Article 12. Registration for adjustment and termination of the pilot sales

In case the enterprise is notified as being qualified for the pilot sales by the local Department of Taxation where the enterprise’s head office is located, if there is adjustment or termination of the pilot sales registration, it shall be processed as follows:

1. In case of adjustment of pilot sales:

a) The enterprise shall send the tax agency of direct management an adjustment registration dispatch under the form prescribed in the Annex 8 of this Circular; Contract of agent sales signed between the enterprise registering the pilot sales with the agent sales store for the enterprise (for the case as being the sales agent store for the enterprise): 01 copy with the enterprise’s seal;

b) The procedures comply with the provisions in the clause 3, Article 11 of this Circular

2. In case of termination of pilot sales:

a) At least 30 days before the date of termination of the pilot sales, the enterprise shall send a written notice on termination of the pilot sales with the VAT refunding to the foreigner to the tax agency of direct management.

b) Within 30 (thirty) days from the date of receiving the enterprise’s dispatch, the tax agency of direct management shall inpsect and send report to the local Department of Taxation where the enterprise’s head office is located in order for the local Department of Taxation to send a document to the enterprise, customs agency, commercial bank for notification on the termination of pilot sales for the enterprise

The enterprise shall remove the announcement board of the enterprise making pilot sales with the VAT refunding to the foreigner sticked at the pilot sales store upon terminiation of the pilot sales.

Article 13. Conditions, number and procedures for the selection of Commercial bank as being the agent of VAT refunding.

1. Conditions: Being a commercial bank entitled to operate in foreign exchange and supply foreign exchange services in accordance with the law on foreign exchange.

2. The number of commercial bank as being the pilot tax refunding agent: 02 banks in which:

a) 01 commercial bank as being the pilot tax refunding agent at Tan Son Nhat airport;

b) 01 commercial bank as being the pilot tax refunding agent at Noi Bai airport;

3. Selection procedures

The commercial bank shall submit to the Ministry of Finance (General Department of Customs) the following papers:

a) The registration dispatch for participating in the pilot VAT refunding agent to the foreigner;

b) The document issued by the State Bank to the Commercial bank entitled to operate in foreign exchange and supply foreign exchange services: 01 copy with the seal of the Commercial bank

4. Ministry of Finance (General Department of Customs) shall receive and check the record sent by the Commercial bank.

a) If the records are incomplete, within three (03) working days from the date of receiving the record, a written notice shall be sent to the bank for supplementation of the record.

b) If the record does not meet the conditions specified, within seven (07) working days from receiving the record, a written response shall be sent to the bank;

c) If the record is complete and meets the conditions specified, within ten (10) working days from the date of receiving complete record, the Ministry of Finance (General Department of Customs) in collaboration with the State Bank shal have a written notice to the commercial bank for its eligibility to participate in the pilot VAT refunding agent.

Article 14. Termination of the pilot tax refunding agent

In case the commercial bank is notified by the Ministry of Finance on the eligibility to be the pilot VAT refunding agent, if terminating the pilot VAT refunding agent, the commercial bank shall:

1. Record: Within 60 (sixty) days prior to the date of termination of the pilot tax refunding agent, the commercial bank shall send the Finance Ministry (General Department of Customs) a written notice to request the termination of the pilot tax refunding agent.

2. Procedures:

a) Within 10 (ten) working days from the date of receiving the official dispatche from the commercial bank, the General Department of Customs shall present the Ministry of Finance the written notice of termination of the pilot tax refunding agent for the commercial bank, at the same time sending the tax agency, the State Bank and the units concerned;

b) The commercial bank shall remove the announcement board as being the pilot VAT refunding agent bank to the foreigner at the tax refunding counter upon termination of the pilot sales.

Article 15. Time for tax refunding

1. The time for VAT refunding to the foreigner on exit is carried out right after the foreigner has completed the checking procedures of the invoice cum tax refunding declaration and prior to the time on board of the plane at Noi Bai International Airport and Tan Son Nhat International Airport

2. The customs agency and commercial bank shall appoint officials and public employees to work in all days including holidays, Sundays and non-work time to perform the VAT refunding to the foreigner in accordance with provisions of this Circular.

Article 16. Printing, issuing, controlling and using the invoice cum tax refunding declaration

1. The enterprise may print the invoice cum tax refunding declaration under the form prescribed in the Annex 3 of this Circular.

The printing, issuing, controlling and using invoice cum tax refunding declaration shall comply with the provisions of Decree No. 51/2010/ND-CP dated May 14, 2010 of the Government regulating the invoice of sales and services supply and the Circular No.153/2010/TT-BTC dated September 28, 2010 of Ministry of Finance guiding the implementation of the Decree No. 51/2010/ND-CP of the Government.

2. Upon purchasing goods, the foreigner shall present the valid passport and exit and entry papers (the original) issued by foreign countries to the enterprise making the pilot sales. The enterprise shall rely on the information on the passport and exit and entry papers and the goods purchased by the foreigner and then make invoice cum tax refunding declaration under the form prescribed in the Annex 3 of this Circular.

3. The foreigner shall check the information recorded by the store, If it is incorrect, he shall ask for the correction, if it is correct, he shall sign the invoice cum tax refunding declaration

4. For the sales enterprise upon monthly VAT declaration, in the "note column" of the list of invoices and vouchers of goods and services sold under the form 01-1/GTGT issued together with the Circular No. 28/2011/TT-BTC dated February 28, 2011 of the Ministry of Finance, record the phrase "Decision No.05/2012/QD-TTg" corresponding to the invoice line as a basis for summing up the report as stipulated in this Circular.

Article 17. Checking the invoice cum tax refunding declaration

1. Before making the shipping procedure and getting the boarding pass, the foreigner shall present the customs agency at the checking counter of invoice cum tax refunding declaration, goods and the papers as follows:

a) Passport or exit and entry paper;

b) Invoice cum tax refunding declaration;

c) Goods.

2. The customs agency shall actually check the goods at the checking counter of invoice cum tax refunding declaration, goods. The checking is performed as follows:

a) Comparing and determining each content is consistent between the information on passports or exit and entry papers with the information on the invoice cum tax refunding declaration and the provisions on the goods that are refunded tax specified in the Article 3 of the Decision 05/2012/QD-TTg and the Article 9 of this Circular;

b) Actually checking the goods for the goods that must be checked actually by the principle of risk management;

c) Recording the checking result; identifying the goods items, calculating the VAT amount the foreigner shall be refunded actually as prescribed in the Article 10 of this Circular; signing and sealing the invoice cum tax refunding declaration for the confirmation of checking;

d) Updating information about the foreigner, the VAT amount the foreigner shall be refunded actually into the database of the customs agency on the VAT refunding to the foreigner under the form prescribed in the Annex 4 of this Circular.

Article 18. Refunding tax to the foreigner

1. The foreigner must present the commercial bank at the tax refunding counter:

a) The boarding pass;

b) The invoice cum tax refunding declaration that has been checked, identified the goods items and calculated the VAT refunding amount that the foreigner shall be refunded and sealed for certification (the original).

2. The commercial bank shall:

a) Check the boarding pass; the invoice cum tax refunding declaration checked and sealed for certification by the customs agency;

b) Recording the number, date and month of the flight in the invoice cum tax refunding declaration;

c) Refunding the tax amount to the foreigner by the VAT amount the foreigner is actually refunded calculated and recorded in the invoice cum tax refunding declaration by the customs agency, at the same time the invoice cum tax refunding declaration is signed and sealed for certification of tax refunding to the foreigner

d) Returning the boarding pass to the foreigner;

dd) Keeping the tax refunding record as prescribed by the law.

Article 19. Making payment and refunding the advanced tax amount and the tax refunding service fee.

1. Periodically once for every ten (10) days, the commercial bank shall reply on the actual situation to make and send the record for the payment and refunding of the advanced tax amount, the tax refunding service fee enjoyed to the Department of Taxation of Hanoi city or the Department of Taxation of HCM city. The record includes

a) The written proposal for the payment and refunding of the advanced tax amount, the tax refunding service fee of the payment period under the form prescribed in the Annex 5 of this Circular.

b) The list of payment request under the form prescribed in the Annex 6 of this Circular.

2. Within two (02) working days from the date of receiving the request for payment of the commercial banks, the Department of Taxation of Hanoi and HCM City shall issue the payment Decision under the form prescribed in the Annex 7 of this Circular and at the same time make an refunding order of the state budget revenues under the form No. 01/LHT issued together with the Circular No. 28/2011/TT-BTC dated February 28, 2011 of the Ministry of Finance guiding the implementation of some articles of Law on Tax Administration and Decree No. 85/2007/ND-CP dated May 25,2007 and Decree No. 106/2010/ND-CP dated October 28, 2010 of the Government to send to the commercial bank and State Treasury of the same level to make the transfer of money to commercial bank.

3. Based on the payment Decision and refunding Order issued by the Department of Taxation of Hanoi and HCM City, the State Treasury shall make the transfer of money to commercial bank. The money source for the payment is deducted from the fund of VAT refunding.

4. The recording and transferring of documents shall comply with provisions in clause 1 and 3, Article 53 of the Circular No. 28/2011/TT-BTC dated February 28, 2011 of the Ministry of Finance.

Article 20. Handling of violations

The foreigner, tax agency, customs agency, tax officials, customs officers, enterprise making the pilot sales, commercial bank or other organization and individual concerned violating the provisions in the Decision No. 05/2012/QD-TTg and this Circular shall be penalized as stipulated in the Decree No. 97/2007/ND-CP dated June 07, 2007 amended and supplemented by Decree No. 18/2009/ND -CP dated February 18, 2009 of the Government stipulating the handling of administrative violations and enforcement of administrative decisions in the area of customs, the Decree No. 98/2007/ND-CP dated June 07, 2007 amended and supplemented by the Decree No. 13/2009/ND-CP dated February 13, 2009 of the Government regulating the handling of tax law violations and enforcement of tax administrative decision and the documents guiding the implementation of these Decrees.

Article 21. Reporting regulations

1. The commercial bank is responsible for making report to the State Bank on the foreign currency sales turnover to the foreigner as prescribed.

2. On the 20th day of the month following the quarter arising tax obligations, the enterprise making pilot sales shall make report to the tax agency of direct management on the sale to the foreignes under the form in the Annex 9 of this Circular.

3. Periodically on the 10th date of the following month at the latest, the Department of Taxation of Hanoi and HCM City shall preside over and coordinate with the State Treasury, the Customs Department of the same level to review and compare the VAT amount that the enterprise making the pilot sales has declared or paid, the VAT amount and the tax refunding service fee paid to the commercial bank in order to match the data among parties. In case the data do not match properly, the agencies shall coordinate to find out the cause and make handling of it to ensure the pilot VAT refunding is in conformity with the regulations.

4. The Department of Taxation of Hanoi and HCM City shall sum up and make report on the result and the situation of payment and refunding of the advanced tax and the tax refunding service fee to the commercial bank. The Departments of Taxation of the central run provinces and cities shall make report and the situation of sales to the foreigner of the enterprise making the pilot sales in the area of management to the General Department of Taxation under the regulations on the tax management and this Circular.

5. Periodically once for every 06 months on the 10th date of July and the 10th date of January, the General Department of Taxation and General Department of Customs shall make report to the Ministry of Finance on the implementation of the provisions of VAT refunding to the foreigner upon exit under the provisions in the Decision No. 05/2012/QD-TTg and this Circular

Chapter III

IMPLEMENTATION ORGANIZATION

Article 22. Responsibility for implementation

1. The Director General of Customs shall base on the provisions in the Decision No. 05/2012/QD-TTg dated January 19, 2012 of the Prime Minister and the guidelines in this Circular to issue the process of customs procedures on the checking of the invoice cum tax refunding declaration, the foreigner’s goods upon exit, preparing the material facilities and official arrangement and coordinating with the General Department of Taxation to make guidance to the customs units to perform the pilot VAT refunding to the foreigner properly and ensure to create favorable conditions for the import and export activities and perform well the work of customs management.

2. The Director General of Taxation shall base on the provisions in the Decision No. 05/2012/QD-TTg and the guidelines in this Circular in order to issue the Process of selection of enterprise making the pilot sales; make guidance to the tax agency of all levels, enterprise making the pilot sales, commercial bank as being the tax refunding agent, organization and individual concerned to comply with the Decision No. 05/2012/QD-TTg and the guidelines in this Circular within the assigned responsibilities.

3. The customs agency, tax agency, customs officer, tax official, foreigner, enterprise making the pilot sales, commercial bank as being the pilot tax refunding agent, organization and individual concerned are responsible for properly complying with the provisions in the Decision No. 05/2012/QD-TTg and the guidelines in this Circular

Article 23. Effect

1. This Circular shall take effect from June 01, 2012. The contents regulated in the Articles 9, 10, 15, 16, 17, 18, 19, 20 and 21 of this Circular shall take effect from July 01, 2012.

2. In case the relevant documents mentioned in this Circular are amended and supplemented or superseded, these amended and supplemented documents shall be complied.

3. Any problem arising in the course of implementation should be promptly reported to the Ministry of Finance (General Department of Taxation) for guidance and settlement.