Tax is a mandatory fee that individuals and businesses must pay to the government to support public expenditures. So what is the tax schedule?? How to look up the import and export tax schedule? Let's explore details with Cuong Quoc Logistics through the article below.

What is tax schedule?

Tax schedule (Tax Table) is a summary table of tax rates prescribed by the State, Used to calculate tax on taxable objects such as goods, service, income, or property.

Tax schedules are often specified in the form of proportional or fixed tax rates, can be totally progressive, incrementally, or regressive. The tax schedule includes different tax rates, The applicable level may change depending on the fluctuation of tax subjects.

The normal tax schedule has fixed tax rates, does not change according to the increase or decrease of tax subjects. Meanwhile, The progressive tax schedule has tax rates that gradually increase according to the level of taxable objects, includes two types: Fully progressive and partially progressive.

• Fully progressive tax schedule: Apply a higher tax rate to the entire tax subject if it belongs to a higher level.

• The tax schedule is progressive in parts: Apply different tax rates to each part of the tax object of the corresponding level.

What is the Import-Export Tariff?

Concept

The import-export tariff is a summary table of tax rates prescribed by the State to calculate taxes on goods, export or import services. Tax rates are expressed as percentages or flat rates.

Import-export tariffs help manage international trade activities, protect the domestic economy, and ensure budget revenue.

Types of Taxes in the Import-Export Tariff

According to Clause 3, Article 5 of the Law on Import and Export Tax, Import and export tariffs include the following types:

• Preferential tax rates: Applies to goods imported from countries, group of countries or territories that apply the most favored nation regime (MFN) in trade relations with Vietnam. Besides, Applicable to goods from the non-tariff zone imported into the domestic market if they meet the origin conditions from MFN countries.

• Special tax rate: Applies to goods from countries that have signed bilateral or multilateral trade agreements with Vietnam, like ACFTA (ASEAN-China, Co inim by), AT LEAST (ASEAN, CO form D), AJCEP (ASEAN-Japan, CO forms AJ), AKFTA (ASEAN-Korea, CO forms AK), VJEPA (Vietnam-Japan, CO form VJ), AANZFTA (ASEAN-Australia/New Zealand, CO form AANZ), AIFTA, VN-KFTA, VCFTA, VN-EAEU.

  Calculation formula: Special tax rate = Taxable value of imported goods × Import tax rate.

• 

  Normal tax rate: Applies to goods from countries that do not have preferential trade agreements with Vietnam. The normal tax rate is equal to 150% of the preferential tax rate, can be adjusted depending on each specific item.

Principles for Building Import-Export Tariffs

The import and export tariff schedule is built based on the following principles:

• Comply with international commitments on import and export taxes to which Vietnam is a member.

• Stabilize the market and ensure State budget revenue.

• Simple, transparent, easy to do, Support reform of tax administrative procedures.

• Uniform tax rates for essential goods, Equivalent structure and uses.

• Gradually reduce import tax rates from finished products to raw materials; Gradually increase export tax rates from raw materials to finished products.

Authority to Issue Tax Schedule

According to Article 10 of the Law on Import and Export Tax, The Government relies on the Export Tariff according to the List of taxable commodity groups and tax rate bracket issued with the Law, and international commitments, to issue:

• Export tariff schedule, preferential export tariffs.

• Preferential import tariff schedule, special preferential import tariffs.

• List of goods and absolute tax rates, mixed tax, import tax outside the tariff quota.

In case of need, The Government submitted amendments to the National Assembly Standing Committee, Supplementing the Export Tariff Schedule.

Anti-dumping tax, anti-subsidy, Self-defense is carried out according to separate legal regulations.

How to Look Up the Import-Export Tax Schedule

How to Look Up the Import-Export Tax Schedule

To look up the import and export tax schedule, You can use official sources such as the website of the General Department of Customs or related legal documents. The search process includes::

• Look up by row: Determine the product name or HS code (Harmonized System) of goods.

• Look up by column: See applicable taxes (endow, special, normally) and the corresponding tax rate.

If you know the product code:

• Use the search command (Ctrl + F) on tax documents.

• Enter the product code you want to find and press Enter or Find Next.

If you don't know the product code:

• Equipped with knowledge about goods classification, Use the List of import and export goods, HS annotations and related documents.

• Build on that knowledge, Identify product code, Tax rates and related policies from the tax table.

How to Calculate Tax on Import and Export Goods

The formula for calculating import and export tax includes::

• Import tax: Taxable value of imported goods × Import tax rate.

• Special consumption tax (TTDB): (Import tax calculation value + Import tax) × Special consumption tax rate.

• Environmental protection tax (Environmental protection): Quantity of goods × Absolute environmental protection tax rate.

• VAT: (Price to calculate import tax + Import tax + Special consumption tax + Environmental protection tax) × VAT rate.

Some Special Symbols to Note

In the tax schedule, Some special symbols included:

• (*): Goods are not subject to VAT.

• (5): Goods are subject to VAT and import tax of 5%.

• (10): Goods are subject to VAT and import tax of 10%.

• (*,5): Goods are not subject to import tax, but subject to 5% VAT when sold.

• 

  (*,10): Goods are not subject to import tax, but subject to 10% VAT when sold.

Support Services From Logistics Powerhouse

Logistics power, with more than 10 years of experience in the field of transportation and import-export, Support businesses to look up tax schedules and carry out related procedures. We provide free consulting services on import and export tariffs, Helps businesses optimize costs and comply with legal regulations.

Main services include:

• Consulting and support in looking up import and export tax tables.

• Handle customs procedures quickly.

• Transporting goods internationally and domestically.

• Import-export entrusted service.

Conclude

Tax schedules are an important tool for calculating and managing taxes in business activities, especially in import and export. Understanding how to look up and calculate tax schedules helps businesses avoid legal risks and optimize costs. Hope the article has provided useful information. Follow Cuong Quoc Logistics to update more knowledge about logistics and import-export!

Cuong Quoc Freight Forwarding Company Limited

Office: 7th floor, Parami Building, 140 Bach Dang, Tan Son Hoa Ward, Ho Chi Minh City

Hotline: 0972 66 71 66

Email: info@cql.com.vn

Website: https://cql.com.vn/