On-the-Spot Import-Export at Cat Lai Port – Get It Right from the Start to Avoid Mistakes
In everyday customs practice, many businesses misunderstand or only partly understand the concept of on-the-spot import-export. In more than a few cases, it is only when they are hit with back-taxes or a post-clearance audit that they suddenly realise they used the wrong regime. In simple terms, on-the-spot import-export is a form in which:
- The goods remain within Vietnamese territory
- But legally, an export and import relationship still arises
- They must still open full customs declarations, under the correct regime
This form appears most often at:
- Export processing enterprises (EPE)
- FDI enterprises in industrial and export processing zones
- Transactions where the buyer is a foreign trader but delivery takes place in Vietnam
Legal Basis – What Many Businesses Overlook
In practice, when handling on-the-spot import-export, customs does not act "by habit" but relies very strictly on the legal texts. Businesses should be familiar with at least the following:
- The 2014 Customs Law
- Decree 08/2015/ND-CP (as amended and supplemented)
- Circular 38/2015/TT-BTC & Circular 39/2018/TT-BTC
This is also why, for the very same product, one business is cleared very quickly while another has its file held for inspection.
The On-the-Spot Import-Export Procedure at Vietnamese Ports – What Are the Steps?
Step 1: Sign the foreign trade contract
- It may be a sales contract or a processing contract
- It must clearly state the on-the-spot import-export form
- It must include the instruction to deliver in Vietnam
Step 2: Prepare the customs documents
- On-the-spot export customs declaration
- On-the-spot import customs declaration
- Sales or processing contract
- Commercial Invoice
- Packing List
- Proof of payment (if any)
- The foreign trader's delivery instruction
Step 3: Electronic customs declaration
- The on-the-spot exporter opens the export declaration
- The on-the-spot importer opens the import declaration
- The two declarations must be linked to each other in the customs system
Note: the goods information, value, HS code and quantity must match exactly.
Step 4: Clearance and handover of goods
- The goods are delivered directly at the warehouse, factory or designated location
- There is no need to move the goods out of Vietnamese territory
- Customs checks the file and may physically inspect the goods
Step 5: Finalization – tax refund (if any)
- Eligible businesses may obtain a VAT refund
- Export processing enterprises are exempt from tax as regulated
- Keep the records for inspections and post-clearance audits
Taxes in On-the-Spot Import-Export
Export – import duty
- Depends on the type of enterprise
- Export processing enterprises are usually tax-exempt
- Domestic enterprises may have to pay import duty
Value-added tax (VAT)
- On-the-spot exported goods can still enjoy the 0% rate if the conditions are met
- Valid proof of payment and a valid customs declaration are required
Common Errors When Handling On-the-Spot Import-Export
- Declaring the wrong regime
- Information on the two declarations does not match
- Missing delivery instruction from the foreign party
- Wrong HS code leading to the wrong tax
- Failing to keep records, leading to back-taxes
These errors can leave a business:
- Fined administratively
- Unable to obtain a tax refund
- Subject to a post-clearance audit
Tips for Handling On-the-Spot Import-Export Efficiently
- Carefully review the foreign trade contract
- Reconcile the information between the exporting and importing parties
- Use a professional customs declaration service
- Keep the documents for at least 5 years
- Stay updated on new legal texts
On-the-Spot Import-Export Support Services
Today, many businesses choose a full-service customs solution to:
- Shorten clearance times
- Limit legal risk
- Optimise cost and staffing
The service usually includes:
- Advising on the regime
- Electronic customs declaration
- Monitoring clearance
- Support with tax refunds
Embassy – A Reliable, High-Quality Provider of On-the-Spot Import-Export Procedures
On-the-spot import-export procedures are an effective solution for FDI enterprises, export processing enterprises and domestic companies as the domestic supply chain continues to grow. By understanding the process correctly, preparing complete documents and complying with customs law, a business can:
- Reduce risk
- Take advantage of tax incentives
- Improve the efficiency of its import-export operations
If you are looking for a reliable, high-quality on-the-spot import-export provider, contact us now via Hotline: 0936911656 for prompt advice and a quotation!
Contact for Consultation:
- 0936911656 (HCM) – Embassy Freight Services (VN) Southern Region
- 0937361637 (Hanoi) - Embassy Freight Services (VN) Northern Region
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