How to import medical equipment?

Question: JSC Export mechanical tools said, enterprises that export products in the form of all components are imported (10 components / products) and enterprises assemble into 1 complete product for export. DN asked, so businesses can use the form of export production or not? The products are not of export quality (waste products) but can be sold domestically and the materials used to produce this product are imported by the E31 form. How do businesses handle these products on tax?
Reply:
Regarding this issue, on tax policy for imported goods for export production, according to the General Department of Customs, Clause 7, Article 16 of the Law on Export Tax and Import Tax; Article 12 of Decree 134/2016 / ND-CP stipulates that raw materials, supplies, components, semi-finished products and finished products imported to produce exports are exempted from import tax. The basis for determining duty-free goods complies with Clause 2, Article 12 of Decree 134/2016 / ND-CP.
Accordingly, in case the enterprise imports all components to assemble into a finished product for export, if it satisfies the provisions of Clause 2, Article 12 of Decree 134/2016 / ND-CP, it is exempt from import tax.
Regarding the tax policy for products of poor export quality that must be transferred for domestic consumption, the General Department of Customs said, Clause 5, Article 25 of Decree 08 is amended and supplemented in Clause 12, Article 1 of Decree 59. on tax declaration and payment for goods with repurposing purposes. Also in Article 21 of Circular 38, which is amended and supplemented in Clause 10, Article 1 of Circular 39, the transfer of domestic consumption or change of purpose of use of goods for which import and export procedures have been carried out may only be carried out after the declarant declares them. customs to complete customs procedures for the new customs declaration; For goods changing their use purposes or transferred for domestic consumption, taxpayers must declare and fully pay tax and fine amounts (if any) according to regulations.
Article 71 of Circular No. 38 is amended and supplemented in Clause 49, Article 1 of Circular 39, scraps and faulty products collected during the production of export goods, when sold or sold domestically, are exempt from import tax but must be declared. , pay VAT, excise tax (if any), and environmental protection tax (if any).
Therefore, for waste products generated during the production process, which are within the actual norms, the case of destruction is not required to declare and pay import tax, and does not need to declare and pay VAT. Where after destruction but still in use value, the enterprise sells to the domestic market, it must pay VAT in accordance with the law on VAT.
For products of poor export quality, enterprises using this product for sale in the country must declare a change of purpose of use, pay all taxes on raw materials and supplies used to produce products for domestic consumption.
According to: General Department of Customs