1. Phone components import policy
The process, procedures and policies on import of phone components are specified in the following legal documents:
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Circular 38/2015/TT-BTC dated 25/3/2015; amended and supplemented 39/2018/TT-BTC dated 20/04/2018;
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Decree 69/2018/ND-CP dated 15/05/2018;
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Decree No. 15/2018/ND-CP dated 02/02/2018;
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Decree 69/2018/ND-CP dated 15/05/2018;
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Decree No. 43/2017/ND-CP dated 14/4/2017;
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Decree 128/2020/ND-CP dated 19/10/2020;
According to the above legal documents, phone components are not on the list of goods banned from import. For used phone components on the list of prohibited imports. When carrying out procedures for importing phone components, it is necessary to note the following points:
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Used phone components are not allowed to be imported;
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When importing phone components, goods must be labeled according to 43/2017/ND-CP;
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Determine the correct HS code to determine the correct tax and avoid being fined;
Above are all legal provisions related to procedures for importing phone components. If you do not fully understand the above processes, please contact the hotline or hotmail for advice.
2. Determine the HS code of the phone component
Determining the HS code is the most important step when carrying out procedures for importing phone components. Identifying the HS code will determine the import tax, VAT and import policy. To determine the correct hs code of moisture-proof beads, you need to understand the characteristics of the goods: Material, what equipment to install that component for.
2.1 phone component hs code
HS (Harmonized System) code is a series of codes that are common to all goods around the world. Between different countries in the world, there is only a difference in the number of tails. Therefore, the first 6 digits of the worldwide hs code for an item are the same. Here, Just In Time would like to share with you the hs code table of phone components.
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HS Code
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Describe
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85177021
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Assembled printed circuit boards (PCB, mainboard, board)
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85177022
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Antenna and antenna parts
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85177023
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Microphones, speakers, headphones for phones
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85177029
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Other parts and components of the phone
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85076090
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Cell Phone Battery
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85249100
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The screen (LCD, OLED) of the phone
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85044030
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Charger (Adapter) for the phone
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85444200
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USB charging cable for phones
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85177029
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Phone case, frame
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2.2 Risks of applying the wrong hs code
Determining the correct HS code is very important when carrying out procedures for importing phone components. Identifying the wrong hs code will bring certain risks to you such as:
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Delay in customs procedures: Incorrect declaration of HS codes can lead to delays in customs procedures, as it takes time to check and verify accurate information about the type of goods;
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In case of incurring import tax, they will face a fine of at least 2,000,000 VND and a maximum fine of 3 times the tax amount;
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Shall be fined for incorrectly declaring hs codes according to Decree 128/2020/ND-CP;
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Delayed delivery: If the goods are found to have declared the wrong HS code, the customs authority may request correction or clarification of information. This can lead to delays in the delivery process and affect the production and business cycle of the business;
To accurately identify the hs code for a specific type of phone component. Please contact the hotline or hotmail for advice.
3. Import tax on phone components
Import tax is an obligation that the importer must fulfill with the state. There are two types of import taxes, namely import tax and import VAT. You can refer to the import tax calculation method below:
Import tax determined according to the import tax hs code is calculated according to the formula:
Import tax = CIF value x % tax rate
The CIF value is determined by the ex-factory value of the goods plus all costs to bring the goods to the first border gate of the importing country.
Import VAT is determined according to the formula:
Value Added Tax = (CIF Value + Import Tax) x % VAT rate
According to the above calculations, it can be seen that the import tax of phone components depends on the import tax rate. The import tariff rate is determined by the selected phone component hs code.
According to the import and export tariff, phone components have a preferential tax rate of 0%. Therefore, when importing phone components, only VAT is 10%.
The special preferential tax rate is usually 0% applied to goods imported from countries and territories with which Vietnam has signed trade agreements such as: China, South Korea, Japan, Chile, Europe, Australia, India and Asean countries. In order to be subject to special preferential import tariffs, that shipment must have a certificate of origin, also known as C/O.
4. Labeling of imported goods
Labeling imported goods is not a new regulation. However, since Decree 128/2020/ND-CP was issued, the labeling of imported goods has been monitored more closely. Labeling of goods aims to help administrative agencies manage goods, determine the origin and unit responsible for goods. Therefore, labeling on goods is one of the indispensable stages when carrying out procedures for importing phone components from different countries.
4.1 Label content
In addition to having to put a label, the label content is also very important. The content of labels of goods items is specified in Decree No. 43/2017/ND-CP. For phone components, the contents of a full label include the following information:
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Information of the exporter's family (address, company name);
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Information of the importer (address, company name);
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Name of goods and information of goods;
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Origin of goods;
Those are the basic label contents that need to be affixed to the goods. The information presented must be in English or other languages that must be translated. When carrying out procedures for importing phone components, if you encounter a red channel, customs inspection will pay great attention to the content of the label above.
4.2 Labeling Placement on Goods
Labeling the goods is necessary, but it is more important to put them in the right place. When importing, goods labels need to be pasted on the surfaces of the package such as: On cartons, on wooden bales, on product packaging. Or any place as long as it is convenient to check and easy to see. Labeling in the right place will help save inspection time when carrying out procedures for importing phone components of all kinds.
For retail goods on the market, it is necessary to show more information. Such as manufacturer, quantity of goods, specifications, date of manufacture, safety warnings.
4.3 Risks encountered when not labeling
Labeling goods is caught in accordance with the law. If the goods are not labeled when imported or the content of the goods label is wrong. The importer faces the following risks:
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Being fined according to regulations, the fine level is specified in Article 22 of Decree 128/2020/ND-CP;
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Not entitled to special preferential import tax because the certificate of origin will be rejected;
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Goods are easily lost or damaged due to the absence of warning labels for loading, unloading and transportation;
With the above risks, we recommend that you apply labels to goods when importing phone components. If you do not fully understand the regulations on goods labels. Please contact the hotline or hotmail for advice.
5. Dossier of procedures for import of phone components
The set of dossiers for carrying out procedures for importing phone components in particular, carrying out procedures for importing other items in general. Specified in Circular 38/2015/TT-BTC dated 25/3/2015; amended and supplemented 39/2018/TT-BTC dated 20/04/2018.
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Customs declaration;
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Bill of lading;
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Commercial invoice;
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Packing list;
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Sale contract;
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Certificate of origin (c/o) if any;
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Catalogs;
Above are all the documents in the dossier for carrying out procedures for importing phone components. The following documents are the most important: Customs declaration, bill of lading, commercial invoice. For other documents, they will be provided upon request from the customs.
Certificate of origin is a document that is not required. However, this is a very important document for importers to enjoy preferential import tax rates. Therefore, the importer should negotiate and ask the seller to provide a certificate of origin.
If you do not understand the application for importing phone components. Please contact the hotline or hotmail for advice.
6. Procedures for importing phone components
The process of importing phone components as well as many other items. It is very specifically stipulated in Circular 38/2015/TT-BTC dated 25/3/2015 amending and supplementing 39/2018/TT-BTC dated 20/04/2018. We summarize the steps in a short description so that you can visualize the big picture. The following are the main steps to carry out procedures for importing phone components of all kinds.
Step 1. Declaration of customs
declaration After having all import and export documents: Contract, commercial invoice, packing list, sea waybill, certificate of origin, notification of arrival and identification of hs code of phone components. Then the declaration information can be entered into the customs system via the customs declaration software.
The declaration of customs declarations on customs software. Importers are required to have an understanding of data entry into the software. Customs declarations should not be filed on your own when you are not familiar with the job. Self-declaration can easily be stuck with points that cannot be corrected on the customs declaration. At that time, it will take a lot of money and time to fix.
Within 30 days from the date of arrival of goods at the port, the customs declarant must make a customs declaration. If this time limit is exceeded, the importer must face a fine fee from the customs side.
This is the most important step in the process of importing phone components. All declared contents will be pushed to the customs system. If there is an error affecting taxes or the origin of goods. Then the importer may face fines according to the customs law. Therefore, it is necessary to pay attention to the information entered on the declaration such as HS code, tax rate, name of goods, origin.
Step 2. Opening the customs declaration After
the customs declaration is completed, the customs system will return the results of the declaration channeling. If there is a flow of declarations, print out the declaration and bring the import dossier to the customs sub-department to open the declaration. Depending on the green, yellow and red channels, the steps to open the declaration are taken.
The opening of the declaration must be carried out as soon as possible, no later than 15 days from the date of declaration of the declaration. The declarant must bring the dossier to the Sub-department of Customs to open the customs declaration. Within more than 15 days, the declaration will be cancelled and you will face a penalty fee from customs.
Note: After having an official declaration, it is necessary to contact the Customs Sub-Department to carry out procedures for importing phone components. It is not recommended to leave the declaration for a long time before bringing it down for import procedures.
Step 3. Customs clearance of goods
: After checking the dossier, if there are no questions, the customs officer will accept the customs clearance of the declaration. You can now pay import duties on the customs declaration to clear the goods.
In some cases, the declaration will be released to bring the goods to the warehouse for pre-storage. After completing the dossier, the customs will proceed to customs clearance of the customs declaration. When the declaration has not yet been cleared, it is necessary to carry out procedures for customs clearance. If you are past the deadline, you will face a penalty fee and it will take a lot of time.
Step 4. Bringing goods for preservation and use
of customs clearance declarations, liquidation of declarations and carrying out necessary procedures to bring goods to warehouses. In order to be able to pick up your goods smoothly, you need to have a full release order, a means of transport and an accepted order for the goods to pass through the monitoring area.
Above are the four steps to carry out procedures for importing phone components. If you do not understand the steps, please contact us via hotline or hotmail for advice.
7. Notes when importing phone components
When importing phone components, you need to pay attention to the following points:
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Import tax is an obligation that the importer must fulfill to the state;
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It is necessary to find a reputable supplier and choose the right payment method to avoid fraud;
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Accurately identifying the HS code of phone components is very important to determine taxes and avoid penalties for applying the wrong HS code;
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When importing phone components, it is necessary to label the goods;
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Goods may only be consumed on the market when the declaration is cleared from customs;
If you have difficulties in customs clearance, you can choose Just In Time as a companion.
Just In Time's staff is always enthusiastic to support you to handle your work quickly and professionally.
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