The General Department of Customs has imposed new tariff rates on new and second-hand luxury automobiles imported on or after October 18. Under the new tax directive, the taxes levied on new and used cars increase by $8,000 to $22,000 per unit.
The General Department of Customs said the issuance of the new tax directive would also help authorised agencies manage tax calculations and avoid trade fraud and tax evasion by importers.
The highest tax increase of $22,000 would be imposed on a new Lexus GX460, lifting the total tax to $65,000 per unit.
New Toyota Camry and Toyota Venza models would be subject to tariffs of $21,000 and $25,000, respectively, an increase of $3,000 per unit.
A used Honda Acura ZDX Advance would be levied a tariff of $60,000 per unit, an increase of $15,200, while an Audi Q7 would be subject to a tax of $39,000 per unit, an increase of $8,000.
By late September, the total number of automobiles imported so far this year had reached 19,800 units, worth $448 million, a decline of 56 per cent in volume and 47.2 per cent in value compared with the same period last year.
Vehicles of fewer than nine seats accounted for 9,880 units of this figure and a value of $104 million, a drop of 66 per cent in volume and 72 per cent from last year.
Imports of completely-built automobiles into Vietnam in September alone stood at 1,980 units, with a value of $62 million.
The temporary importing of used cars and motorbikes destined for a third country has been banned until further notice.
Deputy Minister of Industry and Trade Tran Tuan Anh said the ministry was working with other ministries to produce a circular on the regulations covering temporary imports.
Businesses involved in the process or in trading goods such as wine, beer, tobacco and cigars and others which carry a consumption tax must have operated in the export field for at least two years.
In addition, businesses involved in temporary importing must deposit at least VND5 billion ($239,000) as a bond against environment problems and the possibility that goods get damaged and could not be exported.
Temporary imports are permitted to stay in Vietnam for 45 days instead of the previous 180 days. However, customs may allow one extension of time for up to 15 days, after which the goods are liable to be confiscated.
The Ministry of Industry and Trade has issued Decision No 5737/QD-BCT dated September 28, detailing the list of goods suspended from temporary imports.
Business & Investment Opportunities
YourVietnamExpert is a division of Saigon Business Corporation Pte Ltd, Incorporated in Singapore since 1994. As Your Business Companion, we propose a range of services in Strategy, Investment and Management, focusing Healthcare and Life Science with expertise in ASEAN. Since we are currently changing the platform of www.yourvietnamexpert.com, you may contact us at: firstname.lastname@example.org, provisionally. Many thanks.