Procedures for importing forklift spare parts

1. Forklift parts import policy

Procedures for import of forklift spare parts and components are specified in the following legal documents:

• Circular 38/2015/TT-BTC dated 25/3/2015 amending and supplementing 39/2018/TT-BTC dated 20/04/2018;
• Decree 69/2018/ND-CP dated 15/05/2018;
• Decree No. 43/2017/ND-CP dated 14/4/2017;
• Decree 128/2020/ND-CP dated 19/10/2020;
• Circular 12/2022/TT-BGTVT dated 30/06/2022;

According to the above documents, forklift spare parts are not on the list of goods banned from import. However, when carrying out import procedures for this item, it is necessary to pay attention to the following points:

• Used forklift spare parts and components on the list of goods banned from import;
• When importing forklift spare parts and components, goods must be labeled according to 43/2017/ND-CP;
• Determine the correct HS code to determine the correct tax and avoid being fined;

The above is the entire legal document regulating policies and procedures for importing forklift spare parts and components. If you do not understand the above regulations, please contact the hotline or hotmail for advice.

2. Determine the hs code of forklift spare parts

Lookup the hs code is the most important job before carrying out procedures for importing forklift parts. To be able to accurately identify the hs code, it is necessary to understand the properties, ingredients, functions, and raw materials from which the product is produced.

2.1 Forklift spare parts hs code

HS (Harmonized System) code is a series of codes used for 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. Just In Time would like to introduce some hs codes for forklift parts for your reference as follows:

• Other body parts and accessories with subsection codes: 8707 and 8708
• Tires with subsection codes: 4011, 4012, 4013, 4016
• Vehicle mirrors and safety glasses with subsection codes: 7007 and 7009
• Light unit with subsection code: 8512
• Electrical parts with subsection codes: 8511, 8544
• Forklift Tire: 4011.20
• Lifting Wheel: 8483.60
• Forklift Motor: 8407.90
• Oil Filter: 8421.23

Above are the subsection codes of forklift spare parts. The hs code of many types of forklift parts needs to be determined according to each specific type of spare parts and components to accurately determine the hs code.

2.2 Risks of applying the wrong hs code

Determining the correct HS code is very important when carrying out procedures for importing forklift parts. Identifying the wrong hs code will bring certain risks to you such as:

• 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;
• 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;
• Shall be fined for incorrectly declaring hs codes according to Decree 128/2020/ND-CP;
• 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;

To accurately determine the hs code for each specific type of forklift spare parts and components. Please contact the hotline or hotmail for advice.

** See more Procedures for importing motorcycle spare parts

3. 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 goods is one of the indispensable stages when carrying out procedures for importing forklift parts.

3.1 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 forklift spare parts, the contents of a full label include the following information:

• Information of the exporter's family (address, company name);
• Information of the importer (address, company name);
• Name of goods and information of goods;
• Spare parts code;
• 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 forklift parts, if you encounter a red channel, customs inspection will pay great attention to the content of the label above.

3.2 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 forklift parts. 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.

3.3 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:

• Being fined according to regulations, the fine level is specified in Article 22 of Decree 128/2020/ND-CP;
• Not entitled to special preferential import tax because the certificate of origin will be rejected;
• 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 put a label on the goods when checking in for forklift parts. If you don't fully understand the regulations on labels. Please contact the hotline or hotmail for advice.

4. Import tax on forklift parts

Import duty is an obligation that the importer must fulfill when it is a procedure for importing forklift parts. Tax obligations are mandatory and goods are only cleared when the tax obligation has been fulfilled. There are two types of import taxes, namely VAT and import tax. The import tax depends on the hs code of the selected goods. The import tax calculation method is as follows:

4.1. How to calculate import tax on forklift parts

Import taxes on curling irons are calculated according to the same formula as other items. There are two types of import tax on this item, namely import tax and import VAT.

Import tax determined according to the import tax hs code is calculated according to the formula:
Import tax = CIF value x % tax rate

Import VAT is determined according to the formula:
Value Added Tax = (CIF Value + Import Tax) x % VAT.

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 tax is the cost included in the cost of goods sold of an order. Therefore, you must check the correct HS code to get the best import tax code.

4.2 Notes when determining import tax on forklift parts

When determining the import tax of forklift parts, it is necessary to pay attention to the following points:

• For countries that have signed trade agreements with Vietnam such as: Europe, India, Australia, Chile, China, South Korea, Japan, Asean countries. It is necessary to note that the special preferential tax rate is usually 0%;
• To enjoy the preferential tax rate, a certificate of origin is required;
• The taxable value is the CIF value. For orders purchased under other conditions. When calculating import tax, the value must be converted into CIF value for import tax calculation;
• Import taxes will also be subject to VAT;

Those are the notes when calculating import tax on forklift parts. If you don't understand how to calculate taxes and the notes above. Please contact the hotline or hotmail for advice.

** See more Procedures for importing used machinery and equipment

5. Dossier of import of forklift parts

The set of dossiers for carrying out procedures for importing forklift spare parts in particular, carrying out procedures for importing other items in general. Stipulated in Circular 38/2015/TT-BTC dated 25/3/2015; amended and supplemented 39/2018/TT-BTC dated 20/04/2018.

• Customs declaration;
• Bill of lading;
• Packing list;
• Commercial invoice;
• Sale contract;
• Certificate of origin, if any;

In the above set of forklift parts import dossier, there is a certificate of registration of standard conformity, which will depend on the type of spare parts that will be available or not. The import dossier of ordinary forklift parts only needs a customs declaration, bill of lading, invoice, certificate of origin (if any) to carry out import procedures. However, depending on each specific case or at the request of customs, other documents will have to be added.

6. Process of procedures for importing forklift parts

The import process depends on whether the type of spare parts is subject to specialized inspection or not. Here, Just In Time will send you the procedures for importing forklift parts that must be inspected by the industry. For spare parts that are not subject to specialized inspection, it is okay to skip the steps related to specialized inspection. The process of importing forklift parts includes the following steps:

Step 1. Customs declaration
After having all import and export documents: Contract, commercial invoice, packing list, bill of lading, certificate of origin, notification of arrival and identification of hs code of forklift parts. Then the declared information can be entered into the customs system via software.

The declaration of customs declarations on customs software. It requires importers 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.

Step 2. Open the import
declaration After having a complete set of import dossiers, it will go to the customs sub-department to submit the declaration and customs clearance of goods. Customs clearance steps for goods will proceed normally. If there is no doubt, the customs officer will conduct customs clearance of the goods, at this time they can pay import tax on forklift parts.

The declaration of the declaration must be carried out as soon as possible, within 15 days from the date of declaration of the declaration. The declarant must bring the dossier to the Sub-department of Customs to declare the customs declaration. Within more than 15 days, the declaration will be cancelled and you will face a penalty fee from customs.

Step 3. Customs clearance of customs declaration 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 to the warehouse
The customs clearance declaration shall proceed with the liquidation of the declaration and carry out necessary procedures to bring the goods to the warehouse. In order to be able to bring goods to the warehouse, you need to prepare a delivery order, a pick-up slip at the port, and arrange a pick-up vehicle. Avoid the situation that the declaration has been completed but there is an order from the shipping line to take the goods out of the port.

Above is the process of steps to carry out procedures for importing forklift parts. If you do not understand the steps, please contact us via hotline or hotmail for advice.

7. Notes when carrying out procedures for importing forklift parts

When importing forklift spare parts and components, it is necessary to note the following:

• Import tax is an obligation that the importer must fulfill with the state;
• If they have a certificate of origin, they can enjoy special preferential import tax on forklift parts
• When importing forklift parts, goods must be labeled according to 43/2017/ND-CP;
• Determine the correct HS code to determine the correct tax and avoid being fined;
• Used forklift parts are not allowed to be imported;

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.

 

JUST IN TIME JOINT STOCK COMPANY

Address: No. 5, Dong Da, Ward 4, Tan Binh, Ho Chi Minh City.

Hotline: +84 83 9910066

Email: info@justintimevn.com

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