To support exporters to carry out their businesses effectively, the General Department of Vietnam Customs has quickly solved issues reported by export-driven companies when they follow Circular 38/2015/TT-BTC of the Ministry of Finance. Basically, the General Department has sought out solutions to their issues.
Simplifying tax refund forms
Before April 1, 2015, tax refund documents applied to export-driven production companies obligatorily complied with Article 17 of Circular 128/2013/TT-BTC and Circular 22/2014/TT-BTC. Accordingly, export and import companies had to establish many tables and forms and performed liquidity and settled payments on customs authorities’ software system - the foundation for customs authorities and businesses to carry out VAT refund or exemption.
To reform administrative procedures, customs authorities based on the Customs Law 2014 and other directive documents to remove the regime that enterprises must notify the list of imported raw materials and supplies for export production, material consumption norms, and the list of exports provided by customs authorities. Besides, the regime of settling payment/liquidity on customs authorities’ system was also removed to ensure the principle of respecting corporate facts. According to Circular 38/2015/TT-BTC, tax reimbursement documents have been basically simplified.
Circular 38/2015/TT-BTC does not provide an appended VAT refund forms. In case declaration requires many import/export forms, taxpayers can present them in an appended table. When checking tax refunds, customs authorities can easily look up data for refund.
The regulations on tax refund and non-tax collection documents specified in Circular 38/2015/TT-BTC suit actual management and operations of businesses, increase their autonomy and law respect, reduce the time required to preparing forms, samples and reports as specified in the previously Circular 128/2013/TT-BTC.
Clear in tax refund time
The examination of tax refund documents as per Circular 38 is based on the Law on Tax Administration and Decree 83/2013/ND-CP. Accordingly, the work may be performed at customs offices or at headquarters of taxpayers, depending on the results of tax refund document classification.
Circular 38 does not specify the application of risk management principles and assess law obedience observance of taxpayers in some cases which may lead to shortcomings in examination at the head office of taxpayers. Therefore, to handle this issue, on June 15, 2015, the Ministry of Finance issued Official Dispatch No. 7892/BTC-TCHQ guiding some provisions of Circular 38/2015/TT-BTC, including the regulation on tax refund in advance and inspection in arrears. As a result, the issue concerning the time of handling tax refund documents and inspections according to Circular 38 has been resolved.
In addition, according to Circular 38, in export-driven outsourcing and production, companies must submit reports on the use of materials, machines, equipment and commodities of a fiscal year within 90 days after such fiscal year ends. Documents recorded prior to April 1, 2014 shall not be fined.
Le Hien
Vietnamese
