Official Dispatch 683/TCHQ-TXNK 2024 determination of customs value of exported and imported goods

To: Kintetsu World Express Vietnam - Hanoi Branch.

(Address: 8^th Floor, TTC Tower, No. 19, Duy Tan Street, Dich Vong Hau Ward, Cau Giay District, Hanoi)

In response to Official Dispatch No. 24012024 dated January 24, 2024 of Kintetsu World Express Vietnam - Hanoi Branch - tax identification number: 0303721875-001, regarding the determination of customs value of exported and imported goods, the General Department of Customs gives the following opinions:

Pursuant to provisions of Article 3 of the Ministry of Finance’s Circular No. 39/2015/TT-BTC dated March 25, 2015, amended and supplemented under Clause 2 Article 1 of Circular No. 60/2019/TT-BTC dated August 30, 2019, prescribing customs value of exported and imported goods: Customs declarants shall themselves declare and carry out customs valuation according to the principles and methods of customs valuation prescribed in Article 86 of the Law on Customs No. 54/2014/QH13, Article 20 of Decree No. 08/2015/ND-CP dated January 21, 2015, which was amended and supplemented under Clause 8 Article 1 of Decree No. 59/2018/ND-CP dated April 20, 2018, Article 5 of Circular No. 39/2015/TT-BTC dated March 25, 2015, which was amended and supplemented under Clause 4 Article 1 of Circular No. 60/2019/TT-BTC dated August 30, 2019.

Accordingly, the customs value of exported goods and imported goods shall be determined based on FOB price at the border gate of exportation and CIF price at the first border gate of importation, respectively.

In case where goods are delivered to the recipients according to goods delivery conditions, which define that the goods price includes costs from the border gate of importation to the delivery location (such as DDU, DDP, DAP), and the customs declarants fail to have objective and quantifiable documents to separate such costs from the goods price, the customs declarants must keep that amount in the price of the goods to determine the customs value. At that time, the fact that the customs declarants determine and declare the customs value according to the goods price, including costs from the border gate of importation to the delivery location, shall not be considered an incorrect customs value declaration.

In case the goods are delivered under EXWork conditions, the customs declarant must determine and declare the customs value including the price at the delivery location (called the ExW price) and the costs at the border gate of exportation (exported goods) or costs at first border gate of importation (imported goods). If the customs declarant does not fully include the costs in the customs value, it is considered to have declared an incorrect customs value. The determination and declaration of customs value does not depend on whether or not the goods are subject to tax.

The Company should directly contact the customs office of the place where its declaration is registered for further instructions.

The General Department of Customs hereby informs Kintetsu World Express Vietnam - Hanoi Branch for implementation./.