Quyết định 103/QD-TCHQ

DECISION

ON PROMULGATION OF THE PROCESS OF INSPECTION, CONSULTATION AND DETERMINATION OF TAXABLE VALUE FOR EXPORTS, IMPORTS DURING THE PROCESS OF CONDUCTING CUSTOMS PROCEDURES

DIRECTOR GENERAL OF GENERAL DEPARTMENT OF CUSTOMS

Pursuant to the Customs Law No.29/2001/QH10 dated June 29, 2001; the Law Amending and Supplementing a number of Articles of the Customs Law No.42/2005/QH11 dated June 14, 2005;

Pursuant to the Law on Export and Import Duties No.45/2005/QH11 dated June 14, 2005;
Pursuant to the Law on Tax Administration No.78/2006/QH11 dated November 29, 2006;

Pursuant to the Decree No.40/ND-CP dated March 16, 2007 of the Government on the determination of the customs value for exports and imports;

Pursuant to the Decree No.87/2010/ND-CP of August 13, 2010 of the Government detailing the implementation of a number of Articles of the Law on Export and Import Duties;

Pursuant to the Decision No.02/2010/QD-TTg dated January 15, 2010 of the Prime Minister defining functions, tasks, powers and organizational structure of the General Department of Customs;

Pursuant to the Circular No.205/2010/TT-BTC dated December 15, 2010 of the Ministry of Finance guiding the Government's Decree No.40/2007/ND-CP of March 16, 2007 of the Government on the determination of the customs value for exports and imports;

At the request of the Director of Department of Export, Import Duties,

DECIDES:

Article 1. To issue together with this Decision the Process of inspection, consultation and determination of the taxable value for exports or imports during the process of conducting customs procedures.

Article 2. This Decision takes effect from January 29, 2011 and replaces the Decision No.1636/QD-TCHQ dated August 17, 2009 of the General Director of the General Department of Customs promulgating the process of inspection, determination of taxable value for exports, imports; Appendix I of the Decision No.2396/QD-TCHQ on 9/12/2009 issued by the General Director of the General Department of Customs on Customs procedures, process for exports, imports conducted electronic customs procedures.

Article 3. Directors of Customs of the provinces, cities, heads of the units of the officers of General Department of Customs, customs officers in the course of inspection, consultation and valuation are responsible for the implementation of this Decision. 

PROCESS

OF INSPECTION, CONSULTATION AND DETERMINATION OF TAXABLE VALUE FOR EXPORTS, IMPORTS DURING THE PROCESS OF CONDUCTING CUSTOMS PROCEDURES
(Issued together with the Decision No.103/QD-TCHQ dated January 24, 2011 of General Director of the General Department of Customs)

Part 1.

GENERAL PROVISIONS

1. This process guides the order and procedures for checking the declared value, consultation and valuation of goods exported and imported during the process of conducting customs procedures; applies to the lots of goods subject to inspection of dossiers or of real goods and be done together with customs procedures process for exports and imports for trade; customs procedures process for exports and imports applying electronic customs procedures; process of review of customs documents; process of tax inspection and tax determination.

2. The purpose of examining the declaration of the taxable value is to check compliance with the law in declaring and determining the taxable value of the customs declarants to ensure the right-value declaration and the right methods of determination of value; accurate and enough collection of taxes to the state budget.

3. Principles, contents of inspection, consultation, determination of the taxable value: Comply with the provisions of the Decree No.40/2007/ND-CP dated 16/3/2007 of the Government on determination of customs value for goods exported or imported; the Circular No.205/2010/TT-BTC dated 15/12/2010 of the Ministry of Finance guiding the Government's Decree No.40/2007/ND-CP dated 16/3/2007 (hereinafter referred to as the Circular No.205/2010/TT-BTC) and other legal documents guiding the taxable value.

4. In the course of inspection, if the declaration is found incorrectly compared with guidance at the legal documents of the declaration, determination of the taxable value, the directors of the Departments of Customs of the provinces and cities; heads of branches of Customs take measures to prevent timely and handle according to current regulations.

5. Where the database system of taxable value does not automatically receive data from electronic data processing system or system of import and export data that has previously been updated, the update of information declared by the enterprises on the declaration of the value shall be done immediately after the customs agencies check, receive registration of the declaration of goods exported and imported.

6. The collection, update, extraction, use of price data for the process of inspection, consultation and determination of value is made under the Regulation of formation, management and use of database issued by Ministry of Finance.

Part 2.

SPECIFIC PROVISIONS

I. PROCESS TO INSPECT TAXABLE VALUE

Step 1: Inspection of dossier

1. For imports applied e-customs procedures:

1.1. In case the inspection is carried out on the basis of information on electronic customs declarations, electronic value declarations and accompanied documents in electronic form (if any):

1.1.1. Inspection of the contents of the declaration:

a) Requirements for inspection:

Assess the adequacy, accuracy, detail of the criteria declared by customs declarants on electronic customs declarations, electronic value declarations.

b) Contents of inspection:

Comply with the guidance at Item a, point 1.3.1.1, Clause 1, Article 24 of the Circular No.205/2010/TT-BTC and Appendix III of this process.

c) Handling of inspection results:

c.1) If customs declarants declared adequate, accurate criteria on the electronic customs declarations, electronic value declarations, at the same time met the detail level of the names of goods, unit, customs officers switch to examine under the guidance at Point 1.1.2 of this clause;

c.2) If the declaration of customs declarants have not met the detail level of names of goods, units, customs officers request the customs declarants to supplement information to meet the requirements;

If the customs declarants do not declare more information on the names of goods, unit or declared more information but not meeting the requirements for the detail level of the names of goods, unit or the process of inspection found that the customs declarants did not declare or declared insufficiently the transaction elements that affect value, applied not in compliance with order, method to determine value, declare insufficiently all the conditions determining the value as instructed in Item a.4, a.5, a.6 point 1.3.2.2, Clause 1, Article 24 of the Circular No.205/2010/TT-BTC customs officers record in the electronic data processing system, and propose to transfer customs inspection level to inspection level on the basis of the printed electronic customs declarations, printed electronic value declarations and the documents accompanied the declarations in the form of paper documents;

c.3) If there is doubtful question that the customs declarants did not declare or declared insufficiently the transaction elements that affect value, applied not in compliance with order, principle, method to determine value, declare insufficiently all the conditions for determining the value as instructed in Items a.4. a.5, a.6 point 1.3.2.2, Clause 1, Article 24 of the Circular No.205/2010/TT-BTC but there is not sufficient basis to conclude, customs officers switch to examine according to the guidance at point 1.1.2 of this Clause.

1.1.2. Inspection of the declared price.

a) Requirements for inspection: To assess the accuracy and truthfulness of the declared price.

b) Contents of inspection:

Follow the guidance at Item b point 1.3.1.1 Clause 1, Article 24 of the Circular No.205/2010/TT-BTC.

c) Handling of inspection results:

c.1) If there is no doubt about the price, customs officers accept the price declared, record in the electronic data processing system and switch to implement data update according to the guidance at point 1.2 .6 of this clause;

c.2) If there is no doubt about the price but there is doubtful question that the customs declarants did not declare or declared insufficiently, exactly the transaction elements that affect value, applied not in compliance with order, principle, method to determine value, declare insufficiently all the conditions for determining the value as instructed in Items a.4, a.5, a.6 point 1.3.2.2, Clause 1, Article 24 of the Circular No.205/2010/TT-BTC but there is insufficient basis to conclude, customs officers accept the declared value, and forward the questions of contradiction to the branch of post-clearance inspection to further clarify under the Form No.1 attached hereto. Customs officers note the full doubtful questions on the electronic data processing system and switch to perform data update under the guidance at point 1.2.6 of this Clause;

c.3) If there is doubt about the price, customs officers record in the electronic data processing system, and propose to transfer customs inspection level to inspection level on the basis of the printed electronic customs declarations, printed electronic value declarations and the documents accompanied the declarations in the form of paper documents.

d. Doubt about the price: Follow the guidance at Item b4 point 1.3.2.2, Clause 1, Article 24 of the Circular No.205/2010/TT-BTC.

1.2. In case the inspection is carried out on the basis of the printed electronic customs declarations, printed electronic value declarations and the documents accompanied the declarations in the form of paper documents.

1.2.1. Inspection of the contents of the declaration:

a) Requirements for inspection:

Follow the guidance at Item a point 1.1.1 step 1, Section I, Part II of this Process.

b) Contents of inspection:

Follow the guidance at Item a, point 1.3.2.1, Clause 1, Article 24 of the Circular No.205/2010/TT-BTC and Appendix III of this process.

c) Handling of inspection results:

c.1) If the customs declarants declare fully and accurately the criteria on the printed electronic customs declarations, printed electronic value declarations, at the same time the declaration meets the level of detail of names of goods, unit, customs officers switch to perform inspection under the guidance at Point 1.2.2 of this Clause.

c.2) If the declaration of customs declarants have not met the detail level of names of goods, units, customs officers request the customs declarants to supplement information to meet the requirements;

c.3) If the customs declarants do not provide more full information on names of goods, unit not meeting requirements of the inspection on value determination:

- For goods subject to inspection of the printed electronic customs declarations, printed electronic value declarations and the documents accompanied the declarations in the form of paper documents: customs officers record in the electronic data processing system, and propose to transfer customs inspection level, form to inspection of the printed electronic customs declarations, printed electronic value declarations and the documents accompanied the declarations in the form of paper documents and goods and submit to leaders of Branch of Customs for approval.

- For goods subject to inspection of the printed electronic customs declarations, printed electronic value declarations and the documents accompanied the declarations in the form of paper documents and goods: the customs officers record in the electronic data processing system information necessary to determine for used as basis for handling in the following steps:

1.2.2. Inspection of the accuracy; honesty, conformity for the content of dossiers; legality of the documents relating to the determination of taxable value.

a. Requirements for inspection:

Assess the legality of the documents and the conformity of the content between the documents in the customs dossier and other documents relating to the determination of taxable value such as contract of sale of goods, purchase order, and contents declared on the value declaration, payment vouchers, and other documents.

b. Contents of inspection:

Follow the guidance at Items b and c point 1.3.2.1, Clause 1, Article 24 of the Circular No.205/2010/TT-BTC which pay attention to the following contents:

- Examine the terms of the contract of sale of goods such as: Terms of delivery, price, payment method, etc… The conformity of content between the documents in the customs dossier and other documents relating to the determination of value (contract of sale of goods, commercial invoice and other documents).

- Examine the legality of the contract of sale of goods and the accompanied documents.

c) Handling of inspection results:

c.1) If electronic data processing system records that the customs declarants do not declare more information on names of goods, unit or declared more information but not meeting the requirements of the inspection of determination of the value, customs officers submit to heads of the branches for rejecting the declared value, for determining the taxable value under guidance at Section III of Part II of this process, to make the decision to set taxes and send Announcement to the customs declarants for them to pay tax according to regulations, and switch to perform data update under the guidance at point 1.2.6 of this Clause.

c.2) If there is no conflict of procedures and records as directed in Items a.2, a.3, a.4 point 1.3.2.2, Clause 1, Article 24 of the Circular No.205/2010/TT-BTC customs officers switch to perform the inspection under the guidance at Point 1.2.3 of this Clause.

c.3) If it is found to have one of the conflicts on procedures and dossier as directed in Items a.2, a.3, a.4 point 1.3.2.2, Clause 1, Article 24 of the Circular No.205/2010/TT-BTC customs officers submit to heads of the Customs branches for rejecting the declared value, for determining the taxable value under guidance at Section III of Part II of this process, make decision on tax determination and issue Announcement for the customs declarants to know, pay taxes in accordance with provisions, and switch to perform data update under the guidance at point 1.2.6 of this Clause.

c.4) If there is one of the doubts of conflict of procedures, dossier as directed in Items a.2, a.3, a.4 point 1.3.2.2, Clause 1, Article 24 of the Circular No.205/2010/TT-BTC but there is insufficient basis for conclusion, customs officers switch to perform the inspection under the guidance at Point 1.2.3 of this Clause.

1.2.3. Inspection of the compliance with the principles, conditions, order and method of determining the taxable value.

a) Requirements for inspection:

Assess the compliance with the principles, conditions, order and methods of determining the taxable value under the provisions of the Decree No.40/2007/ND-CP dated 16/3/2007 of the Government; guidance at the Circular No.205/2010/TT-BTC.

b) Contents of inspection:

Follow guidance at Item d point 1.3.2.1, Clause 1, Article 24 of the Circular No.205/2010/TT-BTC and Appendix I of this process.

c) Handling of inspection results:

c.1) If the customs declarants apply the right principles, conditions, order and method of determining the taxable value under the provisions of the Decree No.40/2007/ND-CP dated 16/3/2007 of the government and guidance at the Circular No.205/2010/TT-BTC customs officers switch to perform the inspection under the guidance at Point 1.2.4 of this Clause.

c.2) If it is found to have one of the conflicts on principles, conditions, order and method of determining the taxable value as directed in Items a.5, a.6, point 1.3.2.2, Clause 1, Article 24 of the Circular No.205/2010/TT-BTC customs officers submit to heads of the Customs branches for rejecting the declared value, for determining the taxable value under guidance at Section III of Part II of this process, make decision on tax determination and issue Announcement for the customs declarants to know, pay taxes in accordance with provisions, and switch to perform data update under the guidance at point 1.2.6 of this Clause.

c.3) If there is one of the doubts of conflict of procedures, dossier as directed in Items a.2, a.3, a.4, a.5, a.6 point 1.3.2.2, Clause 1, Article 24 of the Circular No.205/2010/TT-BTC but there is insufficient basis for conclusion, customs officers switch to perform the inspection under the guidance at Point 1.2.4 of this Clause.

1.2.4. Inspection of the prices declared:

a) Requirements for inspection: Assess the truthfulness and accuracy of the declared price.

b) Contents of inspection:

Follow the guidance at Item e point 1.3.2.1, Clause 1, Article 24 of the Circular No.205/2010/TT-BTC.

c) Handling of inspection results:

c.1) If there is no doubt of the price, no doubt of conflict of procedures, dossier, follow the guidance at Item c point 1.3.2.2, Clause 1, Article 24 of the Circular No.205/2010/TT-BTC customs officers accept the declared value and switch to make the data update according to the guidance at point 1.2.6 of this Clause.

c.2) If there is no doubt of the price but there is doubt of conflict of procedures, dossier, follow the guidance at Item b.1 point 1.3.2.2, Clause 1, Article 24 of the Circular No.205/2010/TT-BTC customs officers accept the declared value, at the same time forward the doubt to the branches of post-clearance inspection to further clarify under the Form No.1 issued together with this process and switch to implement the data update according to the guidance at point 1.2.6 of this Clause.

c.3) If there is doubt of the price unless those mentioned in Item b.4.7 point 1.3.2.2, Clause 1, Article 24 of the Circular No.205/2010/TT-BTC and there is doubt or non-doubt of conflict of procedures, dossier: Follow the guidance at Item b.2 point 1.3.2.2, Clause 1, Article 24 of the Circular No.205/2010/TT-BTC customs officers handle as follows:

c.3.1) If the imported goods on the list of imports risk of General Department level or list of imports risk of Department level, Customs officers switch to implement the inspection according to the guidance at point 1.2.5 of this clause.

c.3.2) If the imported goods are not on the list of imports risk of General Department level or list of imports risk of Department level, Customs officers accept the declared value, at the same time forward the doubt to the branches of post-clearance inspection to further clarify under the Form No.1 issued together with this process and switch to implement the data update according to the guidance at point 1.2.6 of this Clause.

c.4) If there is doubt of the price in Item b.4.7 point 1.3.2.2, Clause 1, Article 24 of the Circular No.205/2010/TT-BTC and there is doubt or non-doubt of conflict of procedures, dossier, follow the guidance at Item b.3 point 1.3.2.2 Clause 1, Article 24 of the Circular No.205/2010/TT-BTC customs officers accept the declared value, at the same time forward the doubts to the branches of post-clearance inspection to further clarify under the Form No.1 issued together with this process and switch to implement the data update according to the guidance at point 1.2.6 of this Clause.

d) The cases of conflict of procedures, dossier; doubt of the price; doubt of conflict of procedures, dossier:

d.1) Conflict of procedures, dossier: Follow the guidance at Item a.2, a.3, a.4, a.5, a.6 point 1.3.2.2, Clause 1, Article 24 of the Circular No.205/2010/TT-BTC.

d.2) Doubt of the price: Follow the guidance at Item b.4 point 1.3.2.2, Clause 1, Article 24 of the Circular No.205/2010/TT-BTC.

d.3) Doubts of conflict of procedures, dossier: Are the doubts as instructed in Item a.2, a.3, a.4, a.5, a.6 point 1.3.2.2, Clause 1, Article 24 of the Circular No.205/2010/TT-BTC but there is not enough bases for conclusion.

1.2.5. Handling of items doubted of the price on the list of imported goods risk of General Department level or list of imports risk of Department level:

a) Customs officers inspecting the taxable value make Announcement of the doubtful question of the declared value and taxable value determined by the customs authorities under Form No.1 issued together with the Circular No.205/2010/TT-BTC (hereinafter referred to as Announcement of Doubt under Form No.1), to submit to the head of customs branch for approval. In case of requiring more information for commodity inspection in reality to serve the inspection, consultation, valuation, it shall be extended the time of submission for signing Announcement but not more than the time specified in Article 19 of the Customs Law.

b) After the head of customs branch signed for approving the Doubt Announcement under Form No.1, the customs officers shall immediately notify within the date that the Announcement is signed for the customs declarants to know the basis of the question of the declared price, method, the price determined by the customs offices and it is handled as follows:

b.1) If the customs declarants agree with the price and method of valuation determined by the customs authorities, then issue Announcement of the taxable value of imported goods under  Form No.4 issued together with the Circular No.205/2010/TT-BTC (hereinafter referred to as the Announcement of value under Form No.4), issue decision on determination of tax as specified and state clearly on the import declarations the method of value determination, the price determined before customs clearance of goods and switch to implement the data update according to the guidance at point 1.2.6 of this clause.

b.2) If the customs declarants do not agree with the price and method of valuation determined by the customs authorities, at the same time request for consultation in order to explain, prove the truthfulness, accuracy of the declared price, the customs officers make Announcement of determination of warranty amount in accordance with Form No.2 issued together the Circular No.205/2010/TT-BTC submit to leader of customs branch for approval for the cases the goods are subject to full payment for tax before receiving goods, at the same time take the steps of preparing consultation, organizing consultation and handling consultative result according to guidance at Section II of Part II of this Process.

1.2.6. Data update:

a) Requirement for update: Make sure all the information related to the inspection of the declared price, determination of the reliability of the declared price; consultation and determination of the taxable value to be updated fully and timely according to guidance into the database system of taxable price.

b) Contents of update:

The update of data on inspection of the declared price, consultation and determination of taxable value shall be made in accordance with guidance at the Regulation on formation, management and use of the price database issued by the Ministry of Finance and guided in Appendix II of this process.

2. For imports not yet applied e-customs procedures:

Follow the guidance at Clause 2, Article 24 of Circular No.205/2010/TT-BTC namely:

2.1. Inspection of the contents of declaration: Under the guidance at Point 1.2.1, Clause 1 of Section II of Part II of this process, but in Item c.3, customs officers handle as follows:

- For goods subject to detailed inspection of dossier: record into "order of form, customs inspection level", and propose to transfer the form, level of customs inspection to the actual inspection of goods, submit to the leader of the customs branches for approval.

- For goods subject to the actual inspection of goods: record into "order of form, customs inspection level" as a basis for handling in the following steps:

2.2. Inspection of the accuracy; honesty, conformity for the content of dossier; legality of the documents relating to the determination of taxable value: Under the guidance at Point 1.2.2, Clause 1, Section I, Part II of this process, but in Item c.1, replace if "electronic data processing system recorded ..." with the dossier recorded in the "Order of form, the level of customs inspection"...

2.3. Inspection of the compliance with the principles, conditions, order and method of determining the taxable value declared by the enterprises: Under the guidance at Point 1.2.3, Clause 1, Section I of Part II of this process.

2.4. Inspection of the declared prices: Under the guidance at Point 1.2.4, Clause 1, Section I of Part II of this process.

2.5. Handling for the items to be doubtful of the price on the list of imports risk of General Department level or the list of imports risk of Department level: Under the guidance at Point 1.2.5, Clause 1, Section I of Part II of this process, but the time to make Announcement of the question for declared value and taxable value determination in accordance with Form No.1 issued together with the Circular No.205/2010/TT-BTC to submit to head of Customs branch for approval right in the date of registration of the declaration or the following working day. In case of requiring more information for actual inspection of goods to serve the inspection, consultation, valuation, it shall be extended the time to submit for signing Announcement but not more than the time specified in Article 19 of the Customs Law.

2.6. Data Update: Under the guidance at Point 1.2.6, Clause 1 of Section I of Part II of this process.

3. For exports:

3.1. Inspection of the declared prices:

a) Requirements for inspection:

Assess the truthfulness and accuracy of the declared value for goods on the list of exports risks of Department level.

b) Contents of inspection:

Follow the guidance at Item 1.1.1, point 1.1, Clause 1, Article 22 of the Circular No.205/2010/TT-BTC.

c) Handling of inspection results:

c.1) If there is no doubt of the declared price: Follow the guidance at Item 1.1.2.1 Point 1.1, Clause 1, Article 22 of the Circular No.205/2010/TT-BTC Customs officers shall accept the declared price and switch to implement the data update under the guidance at Point 3.3 of this Clause.

c.2) If there is doubt of the declared price: Follow the guidance at Item 1.1.2.2, point 1.1, Clause 1, Article 22 of the Circular No.205/2010/TT-BTC customs officers switch to implement the inspection under the guidance at Point 3.2 of this Clause.

3.2. Inspection of procedures and dossier:

a) Requirements for inspection:

Assess the legality and conformity between the purchase and sale of goods contract with the contents declared on the customs declarations or electronic customs declaration.

b) Contents of inspection:

Follow the guidance at Point 2.1, Clause 2, Article 22 of the Circular No.205/2010/TT-BTC.

c) Handling of inspection results:

c.1) If the contract of purchase and sale of goods is illegal or content between the contract of purchase and sale of goods and the contents declared on the customs declarations or electronic customs declarations with conflict, customs officers determine the taxable value according to the guidance at Section III, Part II of this process, and switch to implement the data update under the guidance at Point 3.3 of this Clause.

c.2) If there is doubt that dossier is illegal or doubt of the declared price, customs officers accept the declared price of the customs declarants, transfer to the customs branch of post-clearance inspection in accordance with Form No.1 issued together with this process, and switch to implement the data update under the guidance at Point 3.3 of this Clause.

c.3) If the inspection results are not of the cases guided in Item c.1, c.2 of this point, customs officers accept the declared price of the customs declarants, and switch to implement the data update under the guidance at Point 3.3 of this Clause.

d) The doubtful question of price: Follow the guidance at clause 3 of Article 22 of the Circular No.205/2010/TT-BTC.

3.3. Data update:

a) Requirement for update:

Make sure all the information related to the inspection of the declared price, determination of the taxable value to be fully updated, timely, accurately into taxable value database system.

b) Contents of update:

Implement once having specific guidance.

Step 2: Actual inspection of goods

1. Determination of the names of the goods in the actual inspection of goods.

a) Requirements for inspection:

Determine the correct, full names of goods and basic characteristics of goods, to meet the requirements of inspection, determination of the taxable value under the guidance at item a point 1.3.1.1, clause 1, Article 24 of the Circular No.205/2010/TT-BTC and Appendix III of this process.

b) Contents of inspection:

Officers inspecting actually goods compare the names of goods on the declarations with imports in reality to determine any missing information needs to be supplemented; incorrect information needs to be repaired or removed. In the course of inspection, customs officers need to clarify the basic characteristics of the goods that affect the value determination, but not yet shown in the dossier, the declaration of the importer under the guidance at Appendix III of this process.

c) Handling of inspection results:

c.1) Record, reflect fully the actual inspection results of goods on the customs declaration to meet the inspection requirements, value determination.

c.2) Identify the errors committed by the enterprises in the false declaration compared with actual goods such as: Declare wrong names, wrong type, wrong origin, ... affecting the determination of taxable value, submit to the Customs branch's leader for consideration and forwarding dossier to the officer to examine price, tax to carry out the value inspection according to this Process.

2. Data update.

a) Requirements for inspection:

Ensure the full, detailed and accurate update of information on the goods into the basis of price data to serve the inspection, consultation and valuation in the following stages.

b) Contents of update: Follow the guidance at clause 3 of Part II of Appendix II of this process.

c) A number of special cases:

For the declarations registered at one Customs branch, but the real inspection of goods is made by another Customs branch (ask for goods inspection), task of the basic professional stages as mentioned above, however, the customs officers in charge of receiving and examining dossiers should be noted the following points:

c.1) For the declarations for conducting electronic customs procedures: Upon receipt of the declaration, based on the tasks assigned, to communicate with customs declarants the problems and requests via e-mail, save the data with electronic records and supplement together with paper records when the enterprises apply dossiers for use as basis for the next stages to conduct the procedures.

c.2.) For the declarations asking for goods inspection, declared content must be ensured completely, it should be noted strict performance of the professional requirements of inspecting declaration, requirements of the enterprises to comply with regulations and commitment of time to circulate, return dossier for the next stages to continue the works in accordance with the order, specified time.

c.3) When examining dossiers (before forwarding them to other places to ask for goods inspection), it needs to check carefully dossiers, if there is any doubt, state clearly the requests for other places to clarify as inspection of goods. When dossiers are turned back, compare results of goods inspection with dossiers to solve lots of goods as prescribed.

Step 3: Performance of other tasks related to price.

Prepare and submit the report on the work of the price management at the request of the Department-level, the General Department-level.

II. Consultation process:

Right after receipt of the request for consultation of the customs declarants under the guidance at Item b.2 point 1.2.5 Step 1 of Section I of Part II of this process or the customs offices have grounds for doubtful question of the special relationship affecting the transaction value, the customs authorities perform the following steps:

Step 1: Classification of dossier by competence of consultation

Customs officers at customs branch level make the classification of dossiers according to competence of consultation under the guidance at clause 1 of Article 26 of the Circular No.205/2010/TT-BTC and handle as follows:

1. If dossiers to be of consultation competence of the Department level: Customs officers report Leader of the customs branch to forward all customs documents (copies) and the bases, questionable data to the Department. Specifically:

1.1. For imported goods applied electronic customs procedures of forwarding within working day, the customs declarants sign, and request for consultation in the Doubt Announcement under Form No.1.

1.2. For imported goods not yet applied e-customs procedures of forwarding within the date of customs declaration registration or the following working day.

On the basis of consultation documents forwarded by the customs branch, the customs officers at the Department level carry out the works as instructed in Step 2 of Section II of Part II of this Process.

2. If dossiers are decentralized consultation at the customs branch level: Customs officers at the customs branch level continue to implement the works as instructed in Step 2 of Section II of Part II of this process.

Step 2: Sending invitation letters of consultation to customs declarants

1. Customs officers assigned consultation research dossier of the lot of goods, check and compare with the guidance at clause 3 of Article 26 of the Circular No.205/2010/TT-BTC submit to leader of the Department (in case of consultation in Department), or the leader of the customs branch (in case of consultation in the customs branch) for signing invitation letter of consultation under Form No.3 issued together with the Circular No.205/2010/TT-BTC and immediately send to the customs declarant by certified mail, in particular:

1.1. For imported goods applied e-customs procedures: within 03 working days from the date that the customs declarant signed to request for consultation in the Doubt Announcement under Form No.1.

1.2. For imported goods not yet applied e-customs procedures: within 03 working days from the date of registration of the customs declaration.

2. Specific consultation time, depends on the case by case, leader of Department or the leader of the customs branch decide so that it is in accordance with the period of consultation and determination of taxable value as guided at Point 4.3, Clause 4, Article 26 of the Circular No.205/2010/TT-BTC and in accordance with the study of dossier, preparation of documents for the consultation.

Step 3: Collection of information and data

Collection, preparation of documents and data related to lot of goods scheduled consultation. Specifically:

1. Look up information on the enterprises, the business lines, the import and export of the enterprises available on the information system of the customs offices.

2. Look up taxable price applied to identical goods or similar goods which are available on the taxable price database system within 60 days before or 60 days after the date of export of the goods which are expecting the consultation. In case of unable to find the similar, identical items within the above period, it is extended a period of time but not later than 90 days before or 90 days after the date of export of goods which are expecting the consultation.

If look-up does not find the prices of identical or similar goods available on the taxable price database system, then expand the concept of identical goods, similar goods according to the guidance at Item b.4.6 point 1.3. 2.2 Clause 1, Article 24 of the Circular No.205/2010/TT-BTC.

3. Collect the prices of the goods scheduled consultation from other sources of information such as: information on the offered price for export on the Internet, in magazines, books; prices sold in the Vietnamese market, prices provided by trade associations,…

4. Convert the information collected into the same conditions, time with lot of goods prepared consultation according to guidance at the Regulation on formation, management and use of the price database issued by the Ministry of Finance.

5. Synthesize, analyze the information collected to assess the reliability of information and remove inappropriate information.

The information, data above mentioned after the lookup, collection must be printed, specified the collection, lookup time, signed by customs officers and submitted to the leader of department for approval if it is consulted at the Department level or leader of customs branch for approval if it is consulted at the customs branch level and stored together with consultation dossiers.

Step 4: Review of records, preparation of questions

The dossiers review should focus on clarifying the legality, conformity between the documents in the customs dossiers; between actual goods inspection results and declaration of the customs declarants.

Compare between the declared price and information, data collected in step 3 of Section II of Part II of this process.

On the basis of the careful review of dossier declared by customs declarant, the information and data collected in step 3 of Section II of Part II of this process, expect the questions in the consultation process.

The expected questions need to be focused on to clarify the doubtful question, avoid asking rampantly, doing for form’s sake. Depending on the specific case of consultation, the contents of question need to be clarified, include:

- On enterprises’ trading items, business lines;

- On enterprises’ partners;

- On method to negotiate and sign the contract of purchase and sale of goods;

- On issues related to the doubtful question of price;

- On issues of payment;

- The detailed information on goods;

- The issues of after-import sales...

- The conditions for application of the method of transaction value of the imported goods.

Step 5: Organization of consultation

1. Officials who are assigned to implement consultation propose representatives of enterprises to produce their ID cards when they come for consultation and the power of attorney in case of being authorized before the consultation. If people come for the consultation are not the ones stated in the invitation letters and they can not also present power of attorney, then consultations are not held.

2. Officials who are assigned to implement consultation need to explain clearly rights and obligations of the customs declarants in the consultation to have true collaboration with the customs offices in making transparent the declared value. This explanation should state clearly the benefits of the consultation to fight against price fraud such as loss of revenue for the budget, to create equality for the enterprises; inform the enterprises to know responsibilities and powers of the customs offices when performing consultations, and inform to handle according to law if enterprises are detected as intentional fraud and tax evasion (through post-clearance inspection, anti-smuggling investigation, coordination in investigation between the Vietnam Customs and Customs of the concerned countries or investigated and found by other functional forces ...).

3. Ask questions of consultation and listen to the answer of the enterprises, should not impose on the enterprises, focus on questions to clarify doubts, so that compare to find out inconsistencies in the enterprises’ information (answer, import documents and information available of the customs offices verified). It should be pointed out the unreasonableness of the declared value of the lot of goods compared to other identical, similar lot of goods, or with information about domestic and oversea market prices. It needs to point out the unreasonableness of the declared price of the lot of imported goods compared to cost of imported basic materials that make up the product...

Note: During the consultation process, it is not necessary to raise all questions or only encapsulate in the prepared questions but must be based on each specific lot of goods and specific happening in consultations to take appropriate action.

4. Make records of consultation in which record fully, honestly the question and answer during the consultation process, the contents of the consultation. Ending records of consultation, based on the answer of the enterprises, the price data information, customs authorities state clearly "accept" or "reject" the declared price, cite the legal documents, the bases for rejecting or accepting the declared price, the expected price. The consultation participants must together sign in the minutes of the consultation. In case after the consultation the customs declarants do not agree to sign in the record of consultation, request the customs declarants to specify the reasons of not signing in the record. The cases of "reject" or "accept" the declared price must comply with the guidance at Point 4.4, Clause 4, Article 26 of the Circular No.205/2010/TT-BTC.

5. Report leaders of Department or leaders of customs branches (in case of consultation at customs branch) the results of consultation and propose handling plan after the consultation.

Step 6: Handling the result of consultation

1. The cases of rejecting the declared value: To determine the taxable value under the guidance at Section III, Part II of this Process; make Announcement of value under Form No.4 and decision to set taxes according to regulations.

2. The cases of accepting the declared value:

2.1. Customs officers make Announcement of value under Form No.4, submit to the leader of the Department (or leaders of customs branches) for approval.

2.2. After obtaining the approval of the leader of the Department (or leaders of customs branches), send Announcement of value under Form No.4 to the customs declarants for knowing the accepting of the declared value.

3. The time limit for issuing Announcement of value under Form No.4: A maximum period of 05 days from the date of ending the consultation, but no later than 30 days from the date of registration of the declaration.

4. Time limit, method to send Announcement of value under Form No.4: Follow the guidance at Step 5 of Section III of Part II of this Process.

Step 7: Storage of the consultation dossiers

1. In case of consultation at customs branches: All documents and records relating to the consultation must be stored together with the customs records of such lot of goods.

2. In case of consultation at the Departments:

2.1. Forward a copy of the record of consultation together with 01 original of Announcement of value under Form No.4 for the customs branch for archiving together with the dossier of the lot of imported goods; to save the original of record of consultation and 01 original of Announcement of value under Form No.4 at the place of consultation.

2.2. Other documents, dossier relating to the consultation are kept at the Department.

III. Taxable valuation process:

Step 1: Inspection of the bases, the bases for determining the taxable value

Customs officers only perform the determination of value for the lots of exports, imports under the guidance at Clause 3, Article 8 of the Circular No.205/2010/TT-BTC.

Step 2: Collection of information, data to determine the taxable value

Customs officers based on the price database available at the time of the determination of value or the concerned information on price provided by the agencies, units, enterprises to collect information as grounds, bases for the determination of value. Specifically:

1. For determination of the value of exported goods:

1.1. Information on FOB or DAF prices of identical or similar exported goods;

1.2. Information on prices in the domestic market of identical or similar goods;

1.3. Other information relating to the lot of exports needs to be determined the value.

2. For imports:

2.1. Information on taxable price of the previous batch of goods which has been accepted the declared value by the customs office according to the method of determining the taxable value, except for the lots of goods with doubtful question on value;

2.2. Information on the taxable prices of the previous lots of goods which have been determined taxable value by the customs offices according to the methods of determining the taxable value;

2.3. Information on the public offering price on the internet, magazines, books and newspapers;

2.4. Information on retail prices on the domestic market;

2.5. Information from the organizations and trade associations;

2.6. Information provided by other concerned agencies and organizations;

2.7. Other sources of information collected by the customs offices.

The information collected must be printed out, shown clearly the source of information, persons who gather information and time to collect information and saved together with the dossier of the lot of imports.

Step 3: Analysis and synthesis of the information collected

1. To assess the reliability of the source of information collected to remove the information of low reliability.

2. To convert the information collected into the same condition, time with the lot of goods being determined value according to guidance at the Regulation on formation, management and use of the price database issued by the Ministry of Finance.

Step 4: Making statement on determination of the taxable value

Customs officers prepare statements on determination of the taxable value to submit to leader of Department (in case of valuation at the Department) or leader of customs branch (in case of valuation at customs branch). Contents of the statement include:

1. Reason to determine value (due to consultation’s conclusion as “reject”; violated by customs declarants in the course of inspection of records, the order and method of valuation; or other reasons).

2. Sources of information available at the time of valuation after have been converted and assessed reliability.

3. Bases and method of determining the value in which clearly state the grounds to use the method of determining value, sources of information used to determine value.

4. Bases for analysis, calculation as using information sources to determine the value.

5. Price specified.

Step 5: Issue of Announcement of value under Form No.4

1. Make Announcement of value under Form No.4: When the leaders of the Department or customs branch approve the statement on determination of value, customs officers make Announcement of value under Form No.4 and submit to the leaders of the Department or customs branch for approval.

2. Send Announcement of value under Form No.4 by certified mail within the date of signing the Announcement of value according to Form No.4 or the following working day:

2.1. Customs branch sends Announcement of value under Form No.4 to the customs declarants for performance, at the same time sends to the Customs Department to report results for the cases of consultation or determination of taxable value by customs branch level.

2.2. Department of Customs sends Announcement of value under Form No.4 to the Customs branch and the customs declarants for performance for the cases of consultation by Department level.

3. Period for determining value:

3.1. For the case of consultation: A maximum period of 05 days from the date of ending the consultation, but no later than 30 days from the date of registration of the declaration.

3.2. For the case rejected the declared value in the process of conducting customs procedures: During the customs procedures as prescribed.

3.3. For other cases: A maximum period of 05 days from the date that the customs office determines taxable value.

Step 6: Issue of decision on tax determination

1. For the case of consultation: Head of customs branch issues decision on tax determination at the same day with the date of issuing the Announcement of value under Form No.4 or the date of receiving the Announcement of value under Form No.4 sent by the Department level or no later than the following working day.

2. Other cases: Head of customs branch issues decision on tax determination at the same day with the date of issuing the Announcement of value under Form No.4 or no later than the following working day.

Step 7: Storage of dossiers of tax determination

1. In case of determining value at customs branch: All documents, records, documents collected related to the determination of value must be stored together with customs dossier of such lot of goods.

2. In case of determining value at Department:

2.1. Forward 01 original of Announcement of value under Form No.4 to the customs branch to archive together with the dossier of the lot of imports and save 01 original of Announcement of value under Form No.4 at the place of determining value.

2.2. Other documents, dossier relating to the determination of value are kept at the Department.

Part 3.

IMPLEMENTATION ORGANIZATION

1. Directors of Customs Departments of provinces, cities take responsibilities before the Director General of the General Department of Customs in the direction of implementation of the above contents.

2. Based on the above guidance, the Customs Departments of provinces, cities, depend on the characteristics of the units to provide detailed guidance of the professional skills and internal report period in accordance with guidance of the General Department.

3. In the course of the implementation of this document, if any problems arise, the Customs Departments of provinces, cities should promptly report to the General Department for consideration and handling./.