Decree No. 155/2005/ND-CP dated December 15, 2005 of the Government providing for customs valuation of imported and exported goods
SOCIALIST REPUBLIC OF VIET NAM
Independence - Freedom - Happiness
Hanoi, December 15, 2005
PROVIDING FOR CUSTOMS VALUATION OF IMPORTED AND EXPORTED GOODS
Pursuant to the December 25, 2001 Law on Organization of the Government;
Pursuant to Import Tax and Export Tax Law No. 45/2005/QH11 of June 14, 2005;
Pursuant to Customs Law No.29/2001/QH10 of June 29, 2001, and Law No. 42/2005/QH11 of June 14, 2005, amending and supplementing a number of articles of the Customs Law;
At the proposal of the Finance Minister,
Article 1.- Governing scope and objects of application
1. This Decree provides for customs valuation for the purpose of calculating tax and making statistics on imported and exported goods.
2. Imported and exported goods are objects of application of this Decree.
3. Where the treaties to which Vietnam is a party contracting contain provisions different from those of this Decree, the provisions of such treaties shall apply.
Article 2.- Interpretation of terms
1. "Transaction value" means the total money amount actually paid or to be paid directly or indirectly by the buyer to the seller in order to buy imported goods, adjusted under the provisions of Article 13 of this Decree.
2. "Sale for export to Vietnam" means a commercial activity whereby goods are transferred from the seller to the buyer through Vietnamese border-gates or borders or from non-tariff zones into the domestic market, for the purpose of transferring the goods ownership from the seller to the buyer.
3. "The export date" used in the method of transaction value of identical imported goods and the method of transaction value of similar imported goods is the date when goods are loaded onto means of transport according to the bills of lading; for goods transported by land, the export date is the date of registration of the customs declaration.
4. "The first border-gate of importation" means the destination port stated in the bill of lading. For international transport by land, railway or river, the first border-gate of importation as the destination port indicated in the contract.
5. "Available information" means all information relating to the examination and determination of the dutiable value, supplied by customs declarants to customs offices or gathered by customs offices by the time of examination and determination of the dutiable value. Such information must be archived, analyzed and managed at customs offices.
6. "Identical imported goods" mean goods which are the same in all aspects, including physical characteristics, quality and reputation; turned out in the same country, by the same producer or by another producer authorized by the former, which are imported into Vietnam.
7. "Similar imported goods" mean goods which, though not alike in all aspects, have the same basic characteristics, same raw materials or materials; the same function, and are interchangeable in commercial transactions; turned out in the same country, by the same producer or by another producer authorized by the former, and are imported into Vietnam.
8. "In the condition as imported" referred to in the method of determining dutiable value on the basis of the deductible value means goods whose shapes, characteristics, properties and/or utilities are not altered or whose value is not increased or reduced under any impact after importation.
9. The buyer and the seller shall have special relationships when:
a/ They are employees or directors of one another’s enterprise;
b/ They are partnership members, contributing capital in legally recognized businesses;
c/ They are employer and employee;
d/ The seller has the power to control the buyer and vice versa;
e/ They are both controlled by a third party;
f/ They both control a third party.
A person having the power to control another person as defined at Points d, e and f, Clause 9 of this Article is the person who can directly or indirectly restrict or instruct the other person.
g/ They have the following family ties:
- Husband and wife;
- Parents and children recognized by law;
- Grandparents and their grandchildren who have blood ties;
- Aunts, uncles and nephews, nieces who have blood ties;
- In-law brothers, sisters.
h/ A third person who owns, controls or holds 5% or more of the voting shares of both parties;
i/ Parties associated in business with one other in that a party is the sole agent, sole distributor or sole transferer of the other party, shall be considered having a special relationship if such relationship conforms with the provisions from Point a to Point h above.
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