The Ministry of Health (MoH) of Vietnam – Department of Medical Equipment and Construction joins force with the General Customs Department to finalize the rate of Value Added Tax (VAT) to be applied on medical devices

Under the guidance in Clause 8, Article 1 of Circular No. 26/2015/TT-BTC, Point 1 of Official Dispatch No. 8159/BTC-TCT of June 18, 2015, Official Dispatch No. 17278 /BTC-TCT of November 20, 2015. , Official Letter No. 743/BTC-TCHQ dated 17/01/2017 of the Ministry of Finance, and the Official Letter No. 1336/TXNK-CST dated 24/4/2017 of the General Department of Customs, the items to be applied with corresponding VAT rates are as follows:

1·  Specialized medical equipment and other imported medical equipment (not specifically mentioned in Clause 8, Article 1 of Circular No. 26/2015 /TT-BTC and Clause 5, Article 4 of Circular No. 83/2014/TT-BTC, or those not included in the list of medical equipment imported under the Health Ministry's permits issued together with Circular No. 24/2011/TT-BYT of June 21, 2011). These must be certified by the Ministry of Health and shall be applied with a VAT rate of 5%.

2·  Items not certified by the Ministry of Health but have HS codes in the VAT Table promulgated together with the Finance Ministry's Circular No. 83/2014/TT-BTC of June 26, 2014, such as: radiographic equipment serving medical examination and treatment, equipment and instruments for surgery and injury treatment; ambulances; instruments for blood pressure measurement, cardiovascular equipment, blood infusion, syringes; birth control equipment, and other medical equipment certified by the Ministry of Health. These shall comply with the provisions of the VAT Table promulgated together with Circular No. 83/2014/TT-BTC.

In order to create favorable conditions for importers, the customs office shall handle the goods release procedures for special-purpose medical equipment and instruments, shall apply 5% VAT on the basis of written commitments and shall take responsibility before the law for the declaration.

Within 30 days after registering the goods import declaration, the enterprise shall submit the written certification of the Health Ministry to the customs office.

Failure to submit within the given time period would require enterprises to supplement the customs dossiers with the VAT rate of 10%, and some additional costs due to late payment. The additional cost to be applied shall be calculated cumulatively from the incurred fees starting from the date of goods release until the date of submission.

In cases where an enterprise has paid 10% VAT on goods classified as specialized medical equipment and instruments and written certifications by the Ministry of Health, the customs office shall handle the overpaid tax amounts for the enterprises as prescribed in Article 49 of Circular No. 38/2015/TT-BTC dated March 25, 2015 of the Ministry of Finance.


Hai Quan Viet Nam - Vietnam Customs (2017). Value Added Tax to be applied on Imported Medical Devices