Entrusted Import and Export Service (Entrusted Import and Export) – THAGRI ., JSC specializes in providing import and export entrustment services in Hanoi, Hai Phong and Ho Chi Minh City. HCM with professionalism, dedication and prestige.
What is import and export entrustment service?
Import entrustment is a necessary operation when the goods owner wants to import goods to Vietnam, but does not do it himself, but entrusts it through a service company to carry out the import.
In other words, this is a form of importing goods through import-export intermediaries.
Why need import and export entrustment ?
– Your enterprise does not (or has not) had experience in international trade to be able to carry out the importation of goods by itself.
– Newly established enterprises, staffs do not have ability to provide professional export-import services, or do not know how to communicate and negotiate with top foreign sellers.
– Individuals do not have legal status, so they cannot sign contracts with partners who are foreign enterprises. At that time, if you want to import goods, you can sign an entrustment contract with an import-export service company to import these goods.
Notes when using the import entrustment service:
When entrusting an import-export service company, you need to take into account a few notes as follows:
– You must pay entrusted service fee (or entrusted commission)
– The trustee lacks initiative and information is more or less limited due to having to work through an intermediary
– You may be exposed to certain risks regarding supplier information and imported products. The trustee and the seller are used to dealing with each other, so they may forget their role as the real importer. There have been cases where a service company, after acting as a consignee, imported the same product from the same supplier (worse, became the exclusive agent in the region), competing directly with previously entrusted company.
Steps to perform import and export entrustment
– Check whether the goods are banned from import, or temporarily suspended from import. If this is the case, the goods will not be allowed to be imported into Vietnam. And of course it is not possible to conduct import entrustment.
Are goods subject to a permit? If so, the authorized or authorized company must apply for this license. It is advisable to apply for an import permit before importing goods.
– When there is a set of goods documents, the entrusted party will carry out import customs procedures according to current regulations. It should be noted with the entrustment import declaration: on the customs declaration, the consignee will be named “Import trustee”, below the name of the actual “Importer”. Of course, don’t forget the other important step in addition to the above process. That is to test the capacity and experience of the entrusted import company. You should note this before going to the next step…
Entrusted import contract
Basically, this is also a type of service contract, so it will include the main provisions on: service information, fees, rights and responsibilities of the parties, payment …
– This entrustment contract is closely related to the import contract. Moreover, many contents must match to avoid disputes in implementation.
– In this contract, it is also necessary to clearly specify the commission fee. The level of commission is high or low depending on the value of the shipment and the specific item.
In addition, the contract also clearly states the responsibilities of each party, as follows:
++ RESPONSIBILITIES OF THE ENTRUSTEE:
- Negotiate and sign foreign trade contracts with foreign sellers
- Do the necessary procedures to import goods
- Payment for foreign sellers
- Declare and pay taxes: import tax, VAT… for imported goods
- Store import and export documents: contracts, commercial invoices, packing slips…
- Export and return the imported goods to the consignee, with the VAT invoice for the imported goods (in addition to the VAT invoice for the import consignment service fee)
++ RESPONSIBILITIES OF THE ENTRUSTER:
- Provide full information about goods, models, specifications … for the consignee to order
- Coordinate with entrustee to negotiate contracts with foreign partners
- Transfer money for the consignee to pay the seller
- Coordinate receipt of goods (for example: with the consignee to inspect goods at the port)
- Payment of entrustment service fees
++ VAT IN IMPORT ENTRUSTMENT
There are 2 VAT charges associated with this import entrustment.
- VAT for trust service fee: 10% normal rate same as other services
- VAT on imported goods
When returning consigned goods for import, the consignee must issue a VAT invoice: Based on the import invoice, the customs declaration and the receipt of VAT collection on the imported goods, the entrusting party shall issue a value-added invoice according to the value of the imported goods. actually imported in the commercial invoice, separately the import tax and VAT according to the payable number (the tax notice number of the customs office). This invoice serves as the basis for calculating output tax for the import trustee and is the entrusting party’s input tax.
Note: In Circular 38/2015/TT-BTC, the import entrustment contract must clearly state that the price provided under this contract does not include value added tax.
Please contact THAGRI., JSC for advice on the most accurate service quotes and procedures.
** Business Registration Address: House No. 9B-lane 36B/ Lane 12 Nguyen Van Troi, Phuong Liet Ward, Thanh Xuan District, Hanoi, Vietnam
** Transaction office address: No 04/8B – Lane 95 Chua Boc, Dong Da, Ha Noi
Hotline: 024 7306 3886; Mr. Thanh (Logistics Manager): +84 93 6870 799