Regarding the exemption of import tax on car components for VinFast in the process of exporting abroad for testing, the Government had required the Ministry of Finance to ensure the publicity and transparency, preventing fraud.

Implementing the Government’s Resolution No. 41 / NQ-CP dated April 9, 2020 on agreeing to the proposal for tax exemption for the importation of automotive components for VinFast to manufacture cars and component assemblies export for testing purposes, the Ministry of Finance has officially submitted to the Prime Minister a draft decision revolving around this issue.

Exemption tax on imports of automotive parts manufactured by VinFast Manufacturing and Trading Co., Ltd. will take effect from November 12, 2018 to December 31, 2020 for the manufacture and assembly of 200 cars and 100 component export to abroad for testing.

Next, the imported components used in the manufacture and assembly of 200 whole cars and 100 component assemblies when imported must pay the import tax in accordance with the usual procedure. Corresponding to the actual number of cars and component assemblies exported abroad for testing and testing, VinFast will be exempt from import tax and be treated with the paid tax in accordance with the law.

In the case that VinFast re-imports the cars and parts that has been exported, the parts that VinFast has used to manufacture and assemble the cars and the components will not be tax free. If previously, said components have been refunded for the overpaid tax, VinFast will have to pay the corresponding import tax amount. Accordingly, when submitting an application for the handling of the overpaid tax, VinFast will have to submit the test results of the foreign partner corresponding to the number of exported cars and component assemblies (1 a certified copy) enclosed with the customs dossier in accordance with the customs law. This decision will take effect from the date of signing and applies to import declarations of auto parts from November 13, 2018 to December 31, 2020.

Source: tinxe.vn