Quyết định 1514/QD-BTC

DECISION

ON PROMULGATING "PLAN ON REFORMING, DEVELOPMENT AND MODERNIZATION OF THE CUSTOMS DURING 2011-2015 "

THE MINISTER OF FINANCE

Pursuant to the Law on Customs, of June 29, 2011 and Law on amending and supplementing a number of articles of the Law on Customs, of June 14, 2005;

Pursuant to the Government’s Decree No. 178/2007/ND-CP of December 03, 2007 defining the functions, tasks, powers and organizational structure of Ministries, Ministerial-level agencies;   

Pursuant to the Government’s Decree No. 118/2008/ND-CP of November 27, 2008 defining the functions, tasks, powers and organizational structure of the Ministry of Finance; 

Pursuant to the Decision No. 448/QD-TTg of March 25, 2011 of the Prime Minister on approving the Strategy in customs development till 2020;

At the proposal of Director General of the General Department of Customs,

DECIDES:

Article 1. To promulgate together with this Decision the "Plan on reforming, development and modernization of the customs sector during 2011-2015".

Article 2. Director of planning and finance department shall unify with director general of the General Department of Customs to submit the Ministry for approval of budget estimates and resources assured for implementation of this Plan.

Article 3. This Decision takes effect on the day of its signing.

Article 4. The Chief of Ministerial office, director general of the General Department of Customs, heads of Ministerial units shall implement this Decision.

THE PLAN

ON REFORMING, DEVELOPMENT AND MODERNIZATION OF THE CUSTOMS SECTOR DURING       2011-2015

(Promulgated together with the Decision No. 1514/QD-BTC, of June 22, 2011 of the Minister of Finance)

Part 1.

PLAN TO PERFORM THE PLAN ON REFORMING, DEVELOPMENT AND MODERNIZATION OF THE CUSTOMS SECTOR DURING 2011-2015

On March 14, 2008, the Minister of Finance issued the Decision No. 456/QD-BTC on “Plan on reforming, development and modernization of customs during 2007-2010” (hereinafter abbreviated as Plan 456), enclosed with 4 action programs including:  Program on reforming customs procedures; Program on reforming, improving effectiveness of customs management work; Program on modernization of material facilities and information technology application – customs statistics and Program on reforming apparatus organization, management and development of human resources.

The results of implementation of the Plan 456, the Directive No. 04/2008/CT-BTC of December 15, 2008 of the Minister of Finance on stepping up the customs reforming and modernization, prevention from inconvenience, harassment, negative in Customs, aiming to facilitate for export and import activities, the Directive No. 02/CT-BTC of August 04, 2009 of the Minister of Finance on accelerating implementation of administrative reforming, modernization of Customs during 2009-2010, are summarized and assessed on the following aspects:     

I. IMPLEMENTATION RESULTS OF PLAN 456

1. Institutions

To submit to competent authorities for promulgation of many legal documents guiding implementation of customs operations. The sufficiency, synchronous, uniformity of system of customs legal documents have been reviewed in order to propose for suitable amendments and supplementations; The systematization and classification of International treaties involving customs which Vietnam has signed or acceded to have been performed.

2. The reforming customs operations 

2.1. Customs procedures, customs inspection and supervision 

a. To reform administrative procedures, the focus is customs procedures according to the Scheme 30 of the Prime Minister  

- The reviewing, making statistics, systematization, publicizing of set of administrative procedures in customs have been executed, including 239 administrative procedures.   To propose for amendment of 44 procedures, supplementation of 03 procedures; to annul 06 procedures; to combine customs procedures performed by electronic methods and traditional methods with same nature into 1 procedure.    On that basis, to propose for simplifying 138 administrative procedures.  To continue implementation of third period of the Scheme 30.

- The process on customs procedures have been improved gradually in simply, harmonious and  transparent direction, meeting customs management requirements as well as ensuring to facilitate for commercial activities.

- The agreement on formulation and implementation of the National one-stop mechanism has been carried out, participation in ASEAN's one-stop mechanism has been performed, proposing the Government for consolidation of the directing apparatus, formulating and submiting for approval of “the master plan on carrying out the National one-stop mechanism and participation in ASEAN's one-stop mechanism in 2008-2012 period”, reviewing, modeling the processes, data of concerned Ministries, sectors, cooperating with international in searching support resources for executing the one-stop mechanism in Vietnam, participating in activities in ASEAN framework on one-stop mechanism.  

b. To continue the pilot electronic customs procedures

- To advise submission to the Prime Minister for promulgation of the Decision No. 103/2009/QD-TTg on implementation of pilot electronic customs procedures in 2009-2011 period. To formulate and submit the Ministry of Finance for promulgation of Circulars, processes guiding implementation.

- To direct local Customs Departments to formulate specific plans for implementation in localities, sticking close on objectives and roadmaps have been set according to plan.   To invest machines, information technology (IT) equipment serving implementation of electronic customs procedures (ECP) so on.

The implementation of ECP by the end of day December 15, 2010 attains results: 17/33 Customs Departments, 70/161 Customs Sub-departments, of which 8/13 Customs Departments have carried out ECP at 100% their Sub-departments; number of perfomed types is 03 main types and other 06 types; number of enterprises performed ECP attains 3,135 (keep 6% of total enterprises doing customs procedures in localities); number of declarations attains 333,055 (keep 10% of total declarations in whole Departments), export turnover attains 42,230 million USD (keep 23% of total export turnover in whole Departments); rates of seperation with green flow is 74.7%, yellow flow (inspect on paper dossier) is 14.3%, red flow is 11%; average times of customs clearance are:  green flow takes from 3 to 15 minutes; yellow flow takes from 10-60 minutes; red flow depend on time of field inspection for goods. In comparison with implementation of ECP at point of time of 2009, it increases 35 times on number of Sub-departments, 7.78 times on number of enterprises, 18 times on number of declaration, 22 times on number of export turnover.

- Parallelly with implementation of ECD, customs has applied widely customs declaration through internet which attains about between 85% and 90%.

2.2. Tax administration

- To organize good implementation of budget collection including analyzing, assessment, foreseen on remitted amounts of budget and allocation of collection targets to Customs Departments. To perform synchronously and determinedly at operational stages for collection task. To well implement processes on management and monitoring fo tax debt; tax exemption, tax reduction, tax refund; investment incentives; impose tax, collection of tax arrears; tax enforcement and so on;

- To formulate and issue processes on inspection, determination of taxable valuation in customs sector, to finalize the price database serving exploitation and use; gradually finalise system of data information on taxable prices.  Regularly updating, supplementing catalogue of price risk management; formulating catalogue of key commodities that need to be managed.  To well implement the consult on price for a few of delicate commodity groups, with high tax rates, commodities that customs agencies have full database; the advice skills of customs officers are improved gradually, so on.

2.3. Technical operations

- The work of analyzing, classification has been consolidated from legal basis to the organizational model, profession processes, and technical equipment.

- Step by step improving skills in inspection and defining the goods origin for customs cadres, civil servants, assuring for goods to be enjoyed tariff and commercial incentives in accordance with law and in conformity with origin criteria of goods. 

- To adopt and implement the professional process on execution of intellectual property rights (IP) in the customs area under the Decision No. 2808/QD-TCHQ of December 31, 2008. From 2007 to now, the customs has received and executed border inspection and supervision for near 300 subjects of IP rights, arrested and handled 28,412 kg of telephone components; 14,691 cosmetic phials of all kinds; 107,430 packs of cigarette of all kinds; 10,000 alcohol bottles of all kinds, violations of IP rights. 

2.4. Customs control

a. To formulate, develop the system of customs professional information and risk management which meet requirement of task modernizing customs

- To adopt many documents serving as legal basis for applying the risk management in the process of customs procedures, perform collection and processing of customs professional information, specifying regulations, professional processes in area of work, assigning, decentralization in implementation for levels in customs sector.

- To consolidate system of specialized units in charge of the collecting and handling customs profession information and risk management.

- To upgrade, well operate the system of risk management of period I, to build the system of risk management of period II with outstanding features, to basically remedy problems, inadequacies of the system at the start.  

b. To implement intensive basic professional work as well as struggle, detect and arrest offenders.

- To formulate documents guiding on process, procedures, regimes, dossiers of a few of basic professional measures and organize inspection, guidance such as:  Decisions No. 1487/QD-TCHQ No. 54/QD-TCHQ Official Dispatch No. 45/TCHQ-SUBJECTS  To train, guide intensive control operations for customs control forces.

- To adopt near 200 documents directing, guiding, warning, and updating new methods and tricks, which are applied by smuggling subjects, for the customs control forces of whole sector.   

- To carry out plans, specialized topics, ad hoc cases to fight effectively for key commodities such as: narcotics, weapons, gold, foreign currency, petrol and oil, ore, minerals, tobaco, sugar, wild animals, acts violating the Law on Environment protection, Basel Convention, and so on; the hot and important events. 

- To further implement the Decision No. 187/2005/QD-TTg of July 22, 2005, of  the Prime Minister, on approving “the overall Scheme on narcotic control across the border by 2010” and the Decision No. 330/QD-TTg of February 17, 2006, of the Prime Minister, approving “the Scheme on strengthening capability of the customs sector in prevention and combat against narcotic”, Decision No. 165/2008/QD-TTg of December 11, 2008 of the Prime Minister, on promulgating the Plan to implement the Directive 21-CT/TW, of March 26, 2008 of the Political Bureau, on further strengthening the leadership and directing work of prevention, combating and controlling narcotics in new conditions.   

- To train and use the professionally-trained dogs at 23 Customs Departments of provinces and cities.

As result, in 03 years from January 2008 to December 2010, whole customs sector has detected and arrested 41,860 cases, value of goods from violation estimated near 1,243 billion dong. Of which, there are 235 narcotic-involved cases, collected 102,829.45 g heroin, 10,115.7 g opium, 8.8 ton cannabis resin, 14,988 synthetic narcotic tablets, 47.3 kg drugs cause addiction, 4.8 kg opium resin, 1.85 kg leaves and flowers of marijuana and 136,281 tablets causing addiction, psychotropic drugs.

2.5. Post-clearance inspection 

Organization of apparatus and forces of Post-clearance inspection is consolidated initially.   The processes, professional guides on post-clearance inspection work have been issued; gradually technique on risk management in post-clearance inspection work has been applied. Through post-clearance inspections, inadequacies on mechanism and management policy have been detected and served for proposing amendments and supplementations. The post-clearance inspection work have contributed in enhancing consciousness in law compliance of enterprises.  In 2010, 837 inspections have been performed (increasing 6.90%), there were over 461.04 billion that have to perform collection of tax arrears, and collection of 240.03 billion dong has been performed.

3. The organizational apparatus, management and development of human resource

3.1. Organization of apparatus

- To advise submission to the Ministry of Finance to submit the Prime Minister for promulgation of the Decision No. 02/2010/QD-TTg defining function, task, organizational apparatus of the General Department of Customs. To submit the Ministry of Finance for promulgation of Decisions defining function, task, organizational apparatus of Departments, agencies of the General Department, organizational apparatus of provincial Customs Departments which initially meet requirement of reforming and modernizing.

- To establish an apparatus in specialized charge of risk management, narcotic control at key provincial Customs Departments.   To consolidate apparatus of the Center of analyzing and classification of exports and imports, apparatus doing the inspection and financial work at the provincial Customs Departments.

3.2. The management and development of human resource

- To formulate and approve the Strategy on humen resource management and Plan for implementation on the basis of assistance of the World Bank (WB) Project.

- Innitially consolidate the customs education apparatus, establish the Vietnam Customs school on the basis of the Center of training and improvement for customs offices; to hold many courses training basic and intensive customs operations, administrative management, politics; to hold many courses training for customs cadres, civil servants to serve the ECP implementation; to coordinate with concerned parties (Financial Academy, Vietnam Chamber of Commerce and Industry, associations of enterprises) in training enterprises.    Gradually forming a qualified lecturer staff.

4. Material facilities, technical equipment; information technology and customs statistics

4.1. Modernizing the material facilities

- At present, the Vietnam Customs has been financed 03 container scanners from international organizations:  02 container scanners financed by JICA Japan, 01 scanner in Cat Lai port  HCM city has been put into operation from June 01, 2010, 01 scanner in HaiPhong has been put into operation from May 2011. 01 container scanner in Lao Bao under project for countries in sub-region Mekong river GMS, that is anticipated to put into  operation in 2011.

- To submit to competent authorities for approval of the master plan on adjusting plan on investment in construction of the system of working headquarters by 2015; to formulate the system of working norms at office under modern customs management model (working area, area to lay machines, equipment, area used for transactions, meetings, etc).

4.2. Application of information technology and customs statistics

- To invest information technology equipment to meet basically requirement in ECP expansion according to the Decision No. 103 as well as other professional operations in the customs sector. To install, upgrade the infrastructure of WAN, LAN network in whole sector to serve information connection and exchanging between Sub-departments, Departments and General Department. To upgrade the data centers of Customs Departments and General Department to ensure security, safety, stable operation; to upgrade and develop new customs profession application systems satisfying management requirement.

- To carry out the Project on modernizing collection of the State budget between Tax-Customs-State Treasuries-Finance agencies;

- To finalize the statistic methodology, to use conceptions and definitions under international standard in statistic field and specified in the Decision No. 111/2008/QD-TTg of August 15, 2008 of the Prime Minister.    

5. Other content

5.1. Administrative management work

The system of quality control under the standard TCVN ISO have been performed application in 51 units of the General Department of Customs, of with: 35 units have been granted certificate of quality control system conformable with standard ISO 9001:2000 or ISO 9001:2008, 9 units are carrying out, 7 units are continuing study and shall carry out in next years; to advise for improving the sector report regime in according to direction of the Prime Minister in the Directive No. 10/2006/CT-TTg of June 23, 2006, as a result, it reduced 36 types, equivalent to 35% in comparison with the last time; to implement inter-connection and one-stop mechanism in agencies of general department and provincial departments.    In whole customs sector, to widely implement system "management of documents and administration through NET.Office" that helps forming system of the database included documents from 2003 to present to serve for search, and implementation of electronic report regime, save expenditure for printing and reduce time for report.

5.2. Coordination relationship

- To further expand international cooperation with customs of countries which have big economic and commercial relations with Vietnam.  To sign agreements, cooperation agreements with customs of some countries such as China, Korea, Laos, Cambodia, Mongolia, Belarus, England, aiming to support mutual in information exchange serving for prevention against smuggling, commercial cheats and transport of narcotic.

- To closely coordinate with state management agencies in formulating policies, procedures relating to state management on customs; to set up the close relationships, regular exchange of information with function agencies:  Police, border police, market control;

6. Work of directing and implementation

- On the basis of the Plan 456 has been issued, the General Department has directed the provincial Customs Departments in formulation of plans in their units to submit them to General Department for approval and implementation. According to direction of the Prime Minister and the Ministry of Finance, the General Department of Customs has formulated and submited to the Minister of Finance for issuance of Directive No. 04/2008/CT-BTC of December 15, 2008 of the Minister of Finance on stepping up the customs reforming and modernization, prevention from inconvenience, harassment, negative in Customs, aiming to facilitate for export and import activities, the Directive No. 02/CT-BTC of August 04, 2009 of the Minister of Finance on accelerating implementation of administrative reforming, modernization of Customs during 2009-2010, and enclosed plans aiming to concretize some contents of reforming, modernization, prevention from inconvenience, harassment.     Regularly monitor, summarize reports on implementation of the Plan 456, Directive 02, Directive 04 serving work of leadership and direction.

- During the course of implementation, base on summarization, assessment, there have been some suitable adjustments on orientation in ECP expansion that remedy difficulties of preceding periods. 

- To consolidate the specialized apparatus, apparatus of coordination to implement activities of reforming and modernizing in units of customs sector, ensuring promotion of resources for implementation of plans. 

II. SHORTCOMINGS AND REASONS

1. Shortcomings and restrictions

- In comparison with the general objective of Vietnam customs sector by 2010 given out in the Plan 456, result of implementation in whole customs sector still has many things failing to attain, in particular: The automatic level of customs data treatment system is still low and it has not yet performed centralized processing at Department level, modern technical equipment in some focus localities under the Plan 456 is still slow to be equiped, premise conditions for change of the modern human management method have not yet been sustainable.

- Some specific targets in Programs enclosed with the Plan 456 have not yet attained, specifically in customs clearance for goods, classification and defining goods code, modernizing technical equipment, management of human resources. Some specific targets in association with each objective set out in programs have not yet attained, in particular:  receipt of e-manifest information, actual goods inspection by container scanner, customs declaration through agents, connecting to exchange electronic information with relevant Ministries,sectors and parties.

- Some activities set out in programs enclosed with the Plan 456 have not yet performed or not yet completed as planned, in particular: Perform the advance receiving electronic information on passengers, goods with concerned agencies, customs clearance before goods arrive for enterprises with high compliance, formulate system of customs agents, classification of goods before import, equiping system of scanners, camera, implement some activities of WB project (detail assessment of activities according to each program in the atatched Annex)   

- The leadership and direction work, organizing implementation in some place have not yet been drastic, not yet stuck close with content of program and plan set out.   Many units have not yet paid attention to the report, summarizing of information that causes difficulty in monitoring, regulating implementation in whole sector.

2. Reasons of shortcomings, restrictions

- Volume of affairs set out in the Plan 456 is too much; the set objective is higher than ability to execute of whole sector.  The plan formulation of General Department as well as Departments, and local Customs Departments still are wide, carry too many things and have not yet been close with capability of implementation, have not yet expected all difficulties, problems, lateness of administrative procedures obstructing implementation under proper progress;

- The direction and management of a part of leaders of all levels still are lack of determination, closeness. Consciousness of many cadres, civil servants in sector on work of reforming, modernization still are limited, lack of activeness in proposing measures to perform plan. Some activities influenced by settlement of procedures from function agencies which make process delayed. The coordinate relation between units in sector in carrying out tasks of reforming and modernization still have many restraints.

- Staffs who are in charge of task of advising, directing implementation of plan from the General Department to provincial Customs Departments are lacked skill on management and control for a big reforming plan. 

- The work of information and propagation on reforming, modernization still is one-sided. Many enterprises have not yet actually and proactively support and enthusiastically participate in activities of reforming, modernization of sector.

3. Lessons from implementation of plan on reforming and modernization

- The political determinations of key leaders in sector are transformed into specific, continuous and drastic measures on directing and managing, play a top and important role in carrying out plan, follow closely the objective program set out, search measures to remedy difficulties, problems in localities, coordination of sectors in localities, sympathizing and support of enterprise community in implementation of the reforming and modernization task.   To unify consciousness and action in customs officer contingent of all levels, especially at the execution level in the course of implementation of reforming and modernization activities.  

- The work of planning need close with practice, set out targets in conformity with resources in sector as well as the development extent of concerned agencies.  Activities set out in plan need be clear, have focus, important point, specific target, able to quantify, define clearly unit taking responsibility and the coordinating units, have clear assignment between tasks of General Department and tasks of provincial Customs Departments.  During the course of implementation, it is neccessary to regularly monitor, urge, assess, summarize shortcomings, problems in order to have suitable and timely decisions on adjustment.

- It is neccesary to have close association in implementation of reforming and modernization tasks with regular tasks of sector, showing in the course of making general work plan as well as direction of specific programs, schemes.

- It is necessary to associate assessment of implementing results of the reforming and modernization tasks of each unit, individual in the general assessment on implementing results of tasks, affairs and emulation assessment. Having mechanism of timely reward and discipline;

- Is is neccesary to step up propagation, popularization, raising awareness in society, operation partners of Customs, enterprise community, people for understanding exactly on work of customs reforming and modernization aiming to formulate a effective cooperation relation.

Part 2.

SOLUTIONS AND ACTIVITIES TO IMPLEMENT OBJECTIVES

I. OBJECTIVES OF PLAN IMPLEMENTATION AND FOCUS TASKS

1. The overall objectives of Vietnam Customs by 2020

To build modern Vietnam Customs, having full and transparent mechanisms and policies, simple and harmonious customs procedures satisfying international standards, on the foundation of information technology application, performed centralized data processing and widely application of risk management method, attaining qualification equivalent to advanced countries in Southeast Asia. To build Customs forces attaining professional and intensive qualification with modern technical equipment, operating effectively, contributing to faciliate for legal commercial activities, tourist development, calling foreign investment, ensuring national security, social safety, protecting benefits of state, lawful rights and obligations of organizations, individuals.  

2. The focus tasks of reforming, development and modernization during 2011-2015

a. To perform electronic customs procedures according to the following contents: To carry out receipt and processing of e-manifest information; processing e-clearance data; perform payment of tax and customs fee by electronic method (e-payment); to receive and exchange information on e-permits and e-C/O with concerned agencies.

b. To carry out the Scheme on risk management, which make focus on enhancing effectiveness of risk management application before, during and post-customs clearance.

- To build locations to check goods concentrated in key localities (seaports, airports, international road border-gates, key economic zones) in accordance with the approved master plans; to invest in system of modern machines, equipments to serve inspection and supervision (container scanners, luggage scanners, camera system for supervision, sets of support instruments).

d. To carry out program on specially-prioritized enterprises in conformity with international standards and particular conditions of Vietnam.

e. To formulate and operate the system of indices to assess operation of sector.

II. CONTENT OF PLAN

1. Institutions

1.1. Objectives

The customs legal framwork basically ensure sufficiency, synchronism, internal legislation of international standards in according to the commited roadmap, meeting requirement on administrative reforming, supplementing regulations of national law in conformity with practical requirements on customs management aiming to serve the customs reforming and modernization  in accordance with “the Strategy on customs development by 2020” has been approved by the Prime Minister.

1.2. Content

To formulate a Decree to replace the Decree No. 154/2005/ND-CP of December 15, 2005, creating legal framework for unifying the traditional customs procedures and electronic customs procedures, pushing up application of customs international standards in international agreements of which Vietnam is member, further reforming and simplifying customs procedures according to the Scheme 30, creating basis for formulating new Law on Customs replacing the current Law on Customs.

Amending and supplementing legal documents related to the customs sector in order to ensure synchronism, uniformity with promulgation of new Decree replacing the Decree 154.

To formulate and submit National Assembly for promulgation of new the Law on Customs and documents guiding implementation in order to finalize mechanism, Policy on customs state management in modern direction, meeting national requirement on socio-economic development and in conformity with international commitments of which Vietnam is member.

1.3. Operations and roadmap

(Detailed in Annex No. 1)

2. Customs procedures, customs inspection and supervisio

2.1. Objectives

By 2015, basically procedures and regime on customs management shall be simply, harmonious, comply with international standards and common practices, customs procedures shall be performed mainly by e-method in key localities; mechanism on specially-prioritized enterprises in procedures and security shall be applied according to standards of WCO, the risk management is applied systematically in customs professional stages; step by step applying the customs clearance data processing concentrated at level of Customs Departments from 2012; performing basically the national customs one-stop mechanism and participating in ASEAN one-stop mechanism; average time for releasing import goods attains the advanced rank in comparison with countries in region. To ensure the unified implementation of traditional and electronic customs procedures. Applying modern technical equipment in customs inspection and supervision.

Some specific targets

- Regrading the ECP implementation:

+ 100% of provincial Customs Departments, 100% of Customs Sub-Departments in key localities (seaports, airports, international road border-gates, key economic zones), 60% of basic customs types, 70% of export-import turnover, 60% of enterprises shall perform the electronic customs procedures; 

+ To ensure 90-95% of tax and fee collection and remittance by electronic method.

+ Rate of import-export permits that are performed in the national customs one-stop mechanism by 2015 shall be 50%.

+ Time for customs clearance of goods shall be equal to the average time for customs clearance of advanced countries in Sothest Asia by 2010. Accordingly, the time for customs clearance of: Green flow: customs clearance performed after system accepts content of customs declaration:  About 15 minutes; Yellow flow: customs clearance performed after receiving and checking dossier, time for customs clearance is about 60 minutes; red flow: Manually checking from 1 hour to 2 hours.

- Time for actual goods inspection: Checking by container scanner: 3-5 minutes; manually checking combining with checking by container scanner: 30-60 minutes

- To standardize catalogue for all goods of line management according to HS code, under form of electronic data; the inspection on policy for commodities will be performed mainly on system (except case of manually declaration);

- Rate of import-export permits that are performed in the national customs one-stop mechanism will attain 50%;

- Maximum rate of detail inspection for dossier is 15% of total declarations; Rate of actual goods inspection is under 10% of total declarations; rate of consignments defined for actual goods inspection on the basis of analysing risk assessement attains 60%.

- To formulate and implement effective cooperation mechanism between customs agencies and Vietnam Chamber of Commerce and Industry, trade associations and enterprises participating in export and import activities.

- All activities of customs supervision in localities of customs operation at key border-gates and important transport routes are performed mainly by technical instruments (cameras, navigation satellites, electronic seals and other technical devices).

2.2. Content

- To finalize regulations on customs procedures aiming to: Simplifying dossiers and procedures; reducing stages, steps in procedures; 

- To formulate and promulgate fully the management mechanisms, processes, procedures for customs management regimes, in particular on:   Import and export; management of bonded warehouses, processing and exporting zones and free-duty zones; temporary regimes; procedures for transit, transfer; procedures for entry and exit passengers; postal matters, parcels, express mail; procedures and regimes on management of means of transport related to entry and exit, and so on. To ensure customs regime to be simply, harmonious, and abide by regulations of the Kyoto protocol amended and other standards of WCO. 

- To change strongly method to perform customs procedures, from manual methods to electronic methods on the basis of full application of e-Manifest, e-Clearance, e-Payment, e-Permits, e-C/O; step by step apply model of processing concentrated customs clearance electronic data.

- To finalize mechanism of advance decision and mechanisms of self-declaration, self-responsible of subjects performing customs procedures. 

- Widely applying the technique of risk management before, during and post-customs clearance;

- Applying the specially-prioritized regime for enterprises that have a high compliance, regulations on interfering in foreign currency and compliance after customs clearance.

- Developing activities of customs agents; regulations binding responsibility among relevant parties; sanctions to handle upon violation.

- Applying modern technical equipment in customs inspection and supervision.

2.3. Operations and roadmap

(Detailed in Annex No. 2)

3. Tax administration

3.1. Objectives

To improve qualification, capability in tax administration of Vietnam customs to be equal to countries in zone. To ensure tax administration to be fair, transparent, feasible, effective and suitable with international standards. To enhance self-awareness in compliance with tax law of taxpayers. To ensure benefits, take full advantages, limit disadvantages during integration.  To ensure revenues for the State budget aiming to serve  national industrialization and modernization.

3.2. Content

Modernizing work of monitoring, managing tax collection and payment on the basis of finalizing the database, information related to tax administration, finalizing policy mechanisms, processes, procedures, stepping up application of information technology, carrying projects on information exchange, stepping up popularization, propagation to enhance compliance of taxpayers in implementation of tax law; some content specified as follows:

- To amend regulations on procedures in tax administration in order to unify with regulations on customs procedures and specific regimes on customs management;

- To amend regulation on grace in tax payment in order to limit delaying, tax debt;

- To supplement the guarantee mechanism to be suitable to international standard; transparence, uniformity in tax preferential regimes; to amend regulations on taxable prices in order to perform fully the Agreement on defining valuation of GATT, formulate a suitable inspection mechanism in order to prevent fraudulent through price; to amend for completion of the tariff catalogue in order to perform classification of goods in accordance with principle on general classification of the World Customs organization; to supplement regulations on tax payment by electronic method.

Some specific targets:

- Annual quantity of tax debit and debited tax amounts reduce 20% in comparison with the previous year (2010); from 2011, reduce 10% each year.

- Every year collecting 20% - 25% debited tax amounts of previous years that are forwarded. 

- To mitigate 20% of the debit tax amounts that have no ability to collect for state budget every year in comparison with the previous year, mitigate cases of tax payment enforcement.

- To amend preferential import tariff in direction of reducing tax levels: 2011: 25 levels; 2012: 20 levels; 2013: 15 levels; 2014: 10 levels; 2015: 5 levels.

3.3. Operations and roadmap

(Detailed in Annex No. 3)

4. Customs control

4.1. Objectives

Customs control contributes effectively in national security protection, health safety of community, prevent loss of revenue of tax, to create healthy business environment, to ensure compliance of state policies for activities of export, import, transit. 

4.2. Content

- To finalize legal basis in order to implement customs control including: Reviewing, amending and supplementing functions, tasks, powers of customs control forces in order to perform investigation, handling; finalizing, standardizing processes, regulations relating to the customs control work.

- To modernize system collecting professional information to serve for the customs control work. To widely apply risk management technique for customs operations; to form system of customs professional information that is concentrated, modern and high-quality. 

- To modernize the material and technical facilities to serve for the customs control work.

- To organize the professional and intensive implementation for basic professional work, fight with focus against smuggling, illegal transport across the border of banned commodities, narcotics, precursor substances, weapons, explosives, documents containing bad content. To effectively implement necessary measures, perform international commitments in prevention against terrorism, money laundering, execute the intellectual property right protection in the customs sector, cooperate customs on general control.

4.3. Operations and roadmap

(Detailed in Annex No. 4)

5. Post-clearance inspection

5.1. Objectives

By 2015, the post-clearance inspection shall basically attain professional qualification, effectively operate, base on principle of risk management application; the professional process on post-clearance inspection shall be standardized on the basis of information technology application; export and import enterprises are classified; and export and import enterprises, types, commodities with high risk shall be controlled. 

Some specific targets:

- Activities of post-clearance inspection that are performed according to popular practices of Customs of countries are post-customs clearance audit (PCA).

- The post-clearance inspection shall gradually replace for in-clearance inspection, by 2015, inspection of customs mainly is post-clearance inspection. 

- To form the database on enterprises that is full for classification of risk level of enterprises which regularly have activities of export and import, enterprises which have export and import turnover at average level of higher.

- Every year there are about 5% of enterprises being inspected, assessed on compliance.

- To formally apply regime on specially-prioritized enterprises in state management on customs.

- To formulate and apply system of measurement indices in post-clearance inspection in order to unceasingly raise effectiveness of post-clearance inspection activities.

- The process of post-clearance inspection is sufficient and fairly standardized on foundation of information technology application.

- The payroll of post-clearance inspection forces attains 10% of payroll of sector. Cadres, civil servants in charge of post-clearance inspection meet intensive qualification and professional requirements in operations.

5.2. Operations and roadmap

(Detailed in Annex No. 5)

6. To formulate the system of indices to measure operation of sector

6.1. Objectives

To formulate and carry out the system of indices to assess the effectiveness of activities of whole sector as well as customs unit in sector for some basic fields.

6.2. Content

- To finalize methodology on indices to measure activities.

- To formulate system of indices, to formulate and promulgate processes on data collection and analyzing, handling, organize the training course for units in sector in order to able to measure operational indices in some basic fields such as:    Inspection, supervision, control, tax, post-inspection

- Annually measure the operational indices for fields set out.

- On the basis of measurement results, advice and propose handling of inadequate problems relating to policy mechanisms, professional processes.

6.3. Operations and roadmap

(Detailed in Annex No. 6)

7. The organizational apparatus, training and development of human resource

7.1. Objectives

- The organizational apparatus of the customs sector is designed, re-organized to meet requirement of modern customs management based on model of electronic customs procedures, modern information technology system, handling of clearance data is concentrated, Apply risk management technique in all-sided and use maximally, effectively modern equipment and technique. 

- Initially apply the new method of human resource management based on description of work positions.

- To formulate, train, improve customs cadres, civil servants in order to have a through grasp of guidelines of Party, policy and law of State, have professional and intensive skills and operations, step by step meet requirement on modern customs management.

Specific targets:

- The management of human resource:

+ By 2015, activities of analyzing work, formulate descriptions of general and personal work positions shall be carried out in whole customs sector and become regular operation of each unit.

+ By 2015, defining requirements for additionally training, improving for 100% of customs cadres, civil servants through reviewing, assessment of whole cadres, civil servants on the basis of capacity dossiers enclosed with the descriptions on work positions.

+ By 2015, initially carrying out application of descriptions on work position in allocation, arrangement, appointment, rotation, training and improving capability of cadres, civil servants at key provincial Customs Departments. 

+ By 2015, 50% of cadres, civil servants of key provincial Customs Departments shall meet requirement and standard of work position before being allocated, arranged, appointed, rotated in new position.

- The training and development of human resource

+ To formulate a modern and regular training facility equipped fully with necessary equipment to serve teaching and learning;

+ By 2015, the form of online training for some main customs operations shall be carried out at agencies of General Department and all key provincial Customs Departments meeting requirement of distance-training, self-training and training on the spot.

+ By 2015, 80% of cadres, civil servants working at positions required for foreign language qualification which is trained and improved to meet with requirement of work positions and assigned tasks.

+ By 2015, to formulate a contingent of teachers, lecturers who are qualified and meet requirement in training on reforming and modernization of the customs sector.

+ By 2015, 80% of cadres, civil servants working as advisor and executor of policies in agencies of General Department and key Customs Departments shall be trained intensive professional skills and operations, have foreign language and informatic qualification meeting requirement of work positions.

7.2. Operations and roadmap

(Detailed in Annex No. 7)

8. Information technology and customs statistics

8.1. Objectives

To formulate the intergrate customs information technology system meeting professional requirements and perform electronic customs procedures in direction of concentratedly handling electronic data on model designed in service direction, play an essence role of information technology system of National one-stop mechanism; develop and maintain stable activities of communication infrastructure, connect with units in the customs sector and concerned agencies, ensure satisfying requirements on bandwidth and provision ability.  

The specific target by 2015

a. To form system of customs information technology with 05 basic parts including:

(i) e-Manifest: Receiving and handling information of going-goods/ arriving-goods/ transit goods.

(ii) e-Clearance: Receiving and handling information to seve for customs clearance of export/import/transit goods.

(iii) e-Permits: Exchanging and handling information of license/documents in service of issuing decisions of customs agencies in customs clearance for export/import/transit goods in framework of the National one-stop mechanism.

(iv) e-C/O: Exchanging and handling information of goods origin in service of regional and international intergration in framework of free commercial/multilateral and bilateral tariff incentives agreements within the National one-stop mechanism.

(v) e-Payment: Payments of Tax/charge/fee and other revenues of customs agencies under form of electronic payments are performed through connection and information exchange with system of commercial banks and other relevant agencies in framework of the National one-stop mechanism.

(vi) other applications serve particular customs management regimes and make state statistics of customs.

b. To finalize systems of the basic database to support for system of customs information technology including:

(i) the database that gives intelligence information and manages compliance (manage risk and inspect post clearance).

(ii) the database of customs valuation.

(iii) the database of tax administration.

(iv) National database of exports/imports in service for making state statistics on customs.

(v) the database of goods classification

(vi) other reference database in service for state management on customs.

c. To form Concentrated Center of handling electronic data of the General Department of Customs that is equipped full machines, system softwares and auxiliary devices ensuring availability, timeliness, capability of expansion to meet professional requirements as well as security, safety of data. To prepare carrying out contents relating to customs structural parts in framework of carrying out the backup data center of the Ministry of Finance.

d. To ensure supply of information on public administrative services for the national databse on public administrative services.

e. To supply information from the customs database into the national finance database under specific plan in each period of the Ministry of Finance. 

g. To develop applications for using available data to support leaders in issuing decision.

8.2. Operations and roadmap

(Detailed in Annex No. 8)

9. Material facilities and technical equipment

9.1. Objectives

To further carry out and accelerate procurement, investment in modern technical equipment aiming to serve the management requirement of sector. To invest in synchronously equipping container scanners, camera system for supervision, electronic scales, warehouses and grounds for pending inspection, pending results, house for manual inspection and other specialized equipment at place concentratedly checking export and import goods.   To perform scheme on equipping ships for the forces of control and fighting smuggling on the sea after being approved by the Ministry of Finance.

To ensure that by 2020 head offices for work and transaction of customs units shall be invested synchronously, assure for the work area and conditions in accordance with regulations of state, the technical equipment serving management of sector is equipped fully.

According to the plan on building system of working offices of the customs sector that has been approved by the Ministry, total investment portfolio for capital construction in the plan by 2015 shall include 233 works, with capital demand of 5,044 billion dong.

Some specific targets

+ 100% of seaports, airports and international roads shall be equipped system of scanners for goods and luggages, supervision system by camera and other support devices;

+ 100% of key localities shall be built locations for concentrated checking goods with full equipment serving goods inspection and supervision.

+ To build customs laboratorie meeting VILAS standard.

9.2. Operations and roadmap

(Detailed in Annex No. 9)

10. Other contents

- Activities of cooperation and international integration aiming to assist and promote strongly the process of reforming and modernization, especially building of automatic system in customs process and procedures, fully applying international standards on customs operations and management. Concurrently, strengthening and expanding cooperation relations with customs of countries being important economic and trading partners of Vietnam.

- Performing information, propagation on law policy, customs processes and procedures; making use of coordination and consent of organizations, individuals in executing laws on Customs. 

- To formulate and perform unified model of quality control system.

- To study, formulate and carry out the program on Customs – enterprise partner relation according to the following principal contents: To formulate and perform mechanism to encourage enterprises, organizations, individuals to participate in social critic for policies, legal documents, customs processes and procedures; formulate mechanism on collection of feedbacks and assessment of enterprises, organizations, individuals regarding execution of laws on customs; gradually applying standards, international recommendations in development of Customs-enterprise partner relation.

* Operations and roadmap

(Detailed in Annex No. 10)

Part 3.

PLAN ORGANIZATION AND IMPLEMENTATION

1. General Department of Taxation, State Treasuries, Office of Ministry, the Tax Policy Department, the Legal Affair Department, the State budget Department, Administration and finance department, organization and personnel department, Informatic and financial statistic Department and relevant units of Ministry shall coordinate with the General Department of Customs in formulation of annual plan ensuring synchronism with program on modernization of Financial sector, provide full funding for effective implementation and coordination in implementation of Plan.

2. The General Department of Customs shall:

- Propagate, popularize this Plan to leaders of all levels and all cadres and civil servants of the customs sector, enterprise community and related subjects for effective implementation;

- Concretize, update, adjust annual objectives, activities performing orientations set out suitable with conditions upon carrying out; regulate activities in order to perform well Plan; direct, guide, inspect, supervise Customs units of all levels for implementation of this Plan, annually summarize situations and report to the Minister of Finance;

- Proactively coordinate with relevant Ministries, sectors and provincial People’s Committees in implementation of this Plan;

- Periodically conduct preliminary and final reviews of implementation of this Plan, timely encourage units, individuals that performed well and point out shortcommings for remedy.

ANNEX

ACTIVITIES CARRYING OUT PLAN ON REFORMING, DEVELOPMENT AND MODERNIZATION OF THE CUSTOMS SECTOR DURING 2011-2015

ANNEX 1

INSTITUTIONS

ANNEX 2

CUSTOMS PROCEDURES

ANNEX 3

TAX ADMINISTRATION

ANNEX 4

CUSTOMS CONTROL

ANNEX 5

POST-CLEARANCE INSPECTION

ANNEX 6

FORMULATION OF THE SYSTEM OF OPERATION MEASUREMENT INDICES OF SECTOR

ANNEX 7

THE ORGANIZATIONAL APPARATUS, TRAINING AND DEVELOPMENT OF HUMAN RESOURCES

ANNEX 8

INFORMATION TECHNOLOGY AND CUSTOMS STATISTICS

ANNEX 9

MATERIAL FACILITIES AND TECHNICAL EQUIPMENT

ANNEX 10

OTHER CONTENTS

ANNEX 11

EXPECTED FUNDING

Calculation unit: million dong