CASE STUDY: On November 2023, Coca-cola bevarage Vietnam

limited – Hanoi branch imported 15 full containers of High fructose corn

syrup 55% with total value is 163,350 USD. HS number: 1702.60.20 from
Quingdao, China to Hai Phong port, Viet Nam. The type of goods code is
A12. Coca-cola opened a customs declaration at Hoa Lac Customs
Sub-Department (01M1). According to the system of channeling the goods
are classified into the yellow channel.
These containers were brought into the non-tariff zone to serve the
company’s production process.
Knowing that: VAT rate is 8%, customs duty: 0%.
Answer:
Determine HS code of the product:
- Based on rule 1: Chapter note and identification (identification method), the
company determines that the above item belongs to chapter 17: Sugars and sugar
confectionery. Reading the chapter note, there is no problems so the company
continues to apply rule 6, according to level 1 dash, 2 dash, the company finds
that the above item belongs to heading 1702, suheading 170260: Other fructose
and fructose syrup, containing in the dry state more than 50% by weight of
fructose, excluding invert sugar: HS code (8 digits):1702.60.20
The business do not sustain any tax liabilities because the goods were
brought into the non-tariff zone
- After declarant get the channeling result, the company will pay all taxes and wait
for customs officer to approve the declaration. then the declarant receive clearance
notices and customs clearance declarations.
- In this case, the declaration is classified as yellow, so you will need to send the
scanned original BL, INV, and CO and channeled declaration to the customs
officer.
- If the documents is not valid, additional documents will be requested. Declarant
have to provide informations and documents until the documents are completed.
- If there are no doubts, the customs registration will enter information into the
system and proceed with customs clearance of the goods.
- After receiving customs clearance notice, the customs declarant will finish all
taxes duty and Clearanced.