cstmqt harmonized system slide presentation 2

Contents Theoretical base 1 Background of HS 1.1 The Hierarchy of the HS Class 1.2 Case of Vietnam 1.3 2... Background of HS Full name: The Harmonized Commodity Description and Coding s

Harmonized system

Contents

Theoretical base

1

Background of HS

1.1

The Hierarchy of the HS Class

1.2

Case of Vietnam

1.3 2

1 Background of HS

 Full name: The Harmonized Commodity

Description and Coding systems

 Caretaker: WCO

 Multipurpose: 6 digit international commodity

classification

The Hierarchy of the HS

 Consists of 21 sections, divided into 97 chapters which comprise about 5,000 commodity classes

 Sections Chapters (2 digits)

Headings (4 digits)

Subheadings (6 digits)

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Issues relating to HS in Vietnam

 Different applications of HS code in Vietnam may happen between customs and claimers

 Enterprises try to apply the HS code to lower the tax rate

 Some businesses have suffered from economic damages due to inadequate use of HS by VN

Customs

VIETNAM

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 the local HS code in Vietnam is a 10-digit code in compliance with 6 digit code as HS convention and 8 digit codes as ASEAN Harmonized Tariff

Nomenclature (AHTN)

REASON

specific leading to different application

between enterprises and custom agencies.

developed countries, causing much

challenges

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Recommendations

 More research to give specific classification to

more harmonize with international practices

 reduce different applications of HS code

 can use Vietnam Customs’ Data

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