According to Clause 4 Article 7 of Circular No. 38/2018/TT-BTC , customs authorities shall accept the additional submission of a proof of origin issued to replace, amend the formerly issued one. Read more
The aforesaid regulation means that if an original proof of origin was wrongly issued, enterprise is allowed to additionally submit the proof of origin issued to replace, amend the wrongly-issued one for enjoyment of incentives. This regulation also applies to proof of origin under the EVFTA.
Regarding REX number, in case a customs authority determines that a declared REX number is valid, the declaration of the phrase "Exporter Reference No..." does not affect the proof of origin's validity.
Relating to the self-certification of origin for imported goods to be entitled to EVFTA duty, the Customs Department of Ho Chi Minh city notes some issues below: Read more
- “Exporter “eligible to self-certify origin of a shipment with the total value exceeding 6,000 euro is only accepted if the exporter registered a REX number. It is not allowable to self-certify origin with regard to an exporter that registered an EORI number.
- Form and contents of an EVFTA proof of origin must conform to the regulations at Article 24 and Annex VII of Circular No. 11/2020/TT-BCT .
- Goods eligible for EVFTA duty must be declared “EU” or “European Union” origin rather than being declared origin in the name of a European country (point 2 of Official letter No. 6464/TCHQ-GSQL dated October 5th, 2020)
- It is allowable to declare late submission of C/O for enjoyment of EVFTA within 2 years, from the date of registration of the import declaration and within the validity duration of the C/O.
According to Clause 5 Article 3 of Circular No. 11/2020/TT-BTC, the seller and the issuer of invoice for a shipment originating in the European Union may be in a country other than AVFTA member state (a third country). Read more
Accordingly, in case a company in Vietnam imports goods from the Netherlands (the EVFTA’s non-party member) but the shipment’s origin is certified by an exporter in Germany (the EVFTA’s member), the shipment is still eligible for duty preferences under the EVFTA.
According to opinions of the General Department of Vietnam Customs, goods entitled to EVFTA duty must meet the conditions provided at Clause 3 Article 5 of Decree No. 111/2020/ND-CP, including: They are included in the Special Preferential Import Tariff Schedule; They are imported to Vietnam from EVFTA member states and have proofs of origin as provided for in the EVFTA. Read more
Regarding “exporter” under the EVFTA, it is regulated in details at Clause 5 Article 3 of Circular No. 11/2020/TT-BCT . Accordingly, the “exporter” of a shipment entitled to EVFTA duty may be either the manufacturer or the seller and is not necessarily the party that issues the sales invoice – in other words, the sales invoice of the shipment may be issued by a third party that is not the EVFTA member.
Currently, Vietnam offers preference to shipments originating in the EU based on statements on origin made out by exporters that have registered REX number.
Relating to the self-certification of origin under the EVFTA according to the regulations at Circular No. 11/2020/TT-BCT , the General Department of Vietnam Customs has provided guidelines at Official letter No. 5575/TCHQ-GSQL dated August 21st, 2020 Read more
Accordingly, any EU exporter (that has a REX number) may make out statement on origin on sales invoice, delivery note or other commercial documents which fully contain information about the goods.
The statement on origin may be made out in the forms of typing, stamping or printing the text of origin declaration on a document. The text and language of the declaration is regulated at Annex VII of Circular No. 11/2020/TT-BCT .
“Exporter” may be either the manufacturer or the person carrying out the export formalities and he is not necessarily the seller that issues the sales invoice.
Relating to the certification of origin under the EVFTA, the General Department of Vietnam Customs has these additional guidelines: Read more
- The EU only allows stating origin after registration of REX number – in other words, a statement on origin is only valid if it is issued after the effective date of a REX number. If the statement on origin is issued before the date on which the REX number takes effect, it is invalid (Official letter No. 5575/TCHQ-GSQL dated August 21st, 2020).
- In case declaring late submission of a proof of origin because of wrong issuance, it is allowable additionally submitting the amendment or replacement proof of origin (Clause 4 Article 7 of Circular No. 38/2018/TT-BTC ).
- It is allowable additionally submitting proof of origin in accordance with Decree No. 111/2020/ND-CP for entitlement to special preferential duty rates under the EVFTA for customs declarations registered before August 1st, 2020 to the date prior to the effective date of this Decree.
- Statements on origin issued before the date on which the EVTFA takes effect shall not be accepted.
- With regard to statements on origin on which place and date of issue are not presented, customs authorities shall base on place and date of issue on the packing list.
Because the European Union (EU) has notified that it only applies the mechanism for self-certification of origin under the REX system (Official letter No. 5575/TCHQ-GSQL dated August 1st, 2020), Vietnam only accepts the entitlement to tariff incentives under the EVFTA if shipments have proofs of self-certification of origin made out by exporters that have already registered REX numbers, not accept C/O. Read more
According to Article 15 of Protocol 1 of the EVFTA and the regulations at Clause 1 Article 19 of Circular No. 11/2020/TT-BCT , goods imported from the EU of which origins may be certified by one of the following documents
(b) Proof of self-certification of origin made out by any exporter
(c) Proof of self-certification of origin made out by exporters registered in an electronic database in accordance with the relevant legislation of the EU (the REX system).
However, the EU has the right to notify that it only applies the mechanism for self-certification of origin mentioned at point (c) and does not apply the mechanism for self-certification of origin as stipulated at point (a) and point (b).
According to this Circular, proofs of origin for enjoyment of EVFTA duty shall be also submitted at the time of following customs procedure. Read more
If a proof of origin is not available at the time of following customs procedure, the customs declarant has to declare the late submission on the import declaration and may additionally submit the proof of origin within its validity duration but not more than 2 years from the day on which the import declaration has been registered.
In case the proof of origin is submitted after the validity duration because of force majeure or other reasonable causes out of the importer's control, the Ministry of Finance (the General Department of Vietnam Customs) shall consider deciding each specific case.
The examination and identification of goods origin in order to apply special preferential import duty rates under the EVFTA shall comply with Circular No. 38/2018/TT-BTC , Circular No. 62/2020/TT-BTC and related instructional documents.
This Circular takes effect from March 11th, 2021.
With regard to import declarations registered from August 1st, 2020 to the date prior to the effective date of this Circular, if the goods meet all regulations for enjoyment of special preferential import duty rates under the EVFTA, Decree No. 111/2020/ND-CP and duties have been paid according to higher rates, it is allowable additionally submitting proofs of origin for handling the overpaid duties.
According to Official letter No. 5575/TCHQ-GSQL dated August 21st, 2020, Vietnam shall offer tax incentives with regard to shipments of self-certification of origin originating in the EU if the proofs of origin are issued by the exporters who have registered REX numbers or by any exporter with regard to consignment of a value below 6000 EUR. Read more
According to Official letter No. 7735/TCHQ-GSQL dated December 8th, 2020, any EU exporter who has a REX number is not required to sign on proof of origin, even shipments the total value of which exceed 6,000 euros. Read more
Accordingly, proof of origin issued by an EU exporter who has a REX number without his signature shall be still accepted.
The terms “exporter” and “seller” under the EVFTA are mentioned at Clause 5 Article 3 of Circular No. 11/2020/TT-BTC .
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