PROCEDURES AND TAX POLICY FOR IMPORTING drones, flycams (UNMANNED AIR VEHICLES)

PROCEDURES AND TAX POLICY FOR IMPORTING drones, flycams (UNMANNED AIR VEHICLES)
According to the provisions of Article 3 of Decree 36/2008/ND-CP regulations on unmanned aircraft as follows
Article 3. Explanation of terms
1. An unmanned aircraft is an aircraft whose control and maintenance of flight operations does not require the direct participation of the pilot or flight crew on that aircraft.
2. Ultra-light flying vehicles, including airships and flying models.
a) A balloon is a flying instrument whose lifting force is created by the gases contained in its envelope, which have a density lower than air. There are two types of airships:
– Airships with pilots;
– Unmanned airships, including airships that fly freely or are automatically controlled or are kept fixed at a position on the ground.
b) Flight model, including:
– Gliders are modeled after the shape and style of aircraft, equipped with engines powered by batteries or liquid, solid fuel or solar energy, controlled by radio or pre-programmed programs;
– Parachutes and kites flying with or without a pilot, except folk kites.
3. A flight permit is a document or order issued by a competent state agency, determining the conditions and limits of permitted operation of unmanned aircraft and ultra-light aircraft.
 
According to the provisions of Article 4 of Decree 36/2008/ND-CP, before importing unmanned aircraft, the Ministry of National Defense and the Ministry of Public Security must be consulted.
Article 4. Import, export, production and business of unmanned aircraft and ultra-light aircraft
1. Competent state agencies that license organizations and individuals to import, export, temporarily import for re-export, design, produce, test, and trade unmanned aircraft and ultra-light aircraft are only licensed after obtaining the unanimous opinion of the Ministry of National Defense and the Ministry of Public Security.
2. Organizations and individuals wishing to import, export, temporarily import for re-export, design, produce, test, and trade unmanned aircraft and ultra-light aircraft must send a written request to the Ministry of National Defense and the Ministry of Public Security for approval before submitting to competent authorities for decision.
 
 
 
 
According to the above regulations, it can be seen that applying for a license to import flycams and drones involves two steps:
Step 1: Ask for advice from the Ministry of National Defense
Profile includes:
– Official letter requesting import permit;
– Photo of the device (18×24);
– Explanation of technical specifications of the device;
– Legal documents of individuals and organizations
– Other documents related to the origin and processing of equipment.
Documents are sent by post to No. 1, Nguyen Tri Phuong, Quan Thanh Ward, Ba Dinh District, Hanoi City.
Implementation time:10 – 15 working days
Step 2: Approve import at the Ministry of Industry and Trade
According to the provisions of Article 8 and Article 9 of Decree 69/2018/ND-CP, it is stipulated as follows:
Article 8. Some export and import items are subject to separate regulations
4. Import of goods that directly affect national defense and security on the List specified in Appendix IV of this Decree but do not serve national defense or security purposes shall be carried out according to the license of the Government.Ministry of Industry and Tradebased on opinions of the Ministry of National Defense and the Ministry of Public Security.
In particular, Appendix IV of Decree 69/2018/ND-CP stipulates the list of goods affecting national defense and security including:“Other aircraft (for example, helicopters, airplanes); spacecraft (including satellites) and orbital aircraft and spacecraft launch vehicles (Only applicable to aircraft and helicopters not used in civil aviation without combat equipment and weapons).”
The application for a drone import license according to the provisions of Article 9 is as follows:
Article 9. Documents and procedures for granting export and import licenses
Documents and procedures for granting export and import licenses are specified in Clause 3, Article 7,Clause 4 Article 8This Decree and Clause 1, Article 14 of the Law on Foreign Trade Management implement as follows:
1. Licensing documents include:
a) Written request for a license from the trader: 1 original copy.
b) Investment certificate or business registration certificate, enterprise registration certificate: 1 copy with the trader's stamp.
c) Related papers and documents as prescribed by law.
2. The licensing process is as follows:
a) The trader sends 1 set of documents specified in Clause 1 of this Article directly or by post or online (if applicable) to the ministry or ministerial-level agency with licensing authority.
b) In case the dossier is not complete, in accordance with regulations or additional explanatory documents are needed, within 3 working days from the date of receiving the dossier, the ministry or ministerial-level agency shall notify the trader to complete the dossier.
c) Except where the law has other provisions on the duration of the license, within the maximum period10 working days, from the date of receiving the complete and prescribed dossier, the ministry or ministerial-level agency will have a written response to the trader.
d) In case the law stipulates that the ministry or ministerial-level agency with licensing authority must exchange opinions with relevant agencies, the time limit for processing the application is calculated from the time of receiving the response from the relevant agency.
d) Issuance of amendments and supplements to licenses and re-issuance of licenses due to loss or misplacement shall be carried out according to the following principles:
– Traders only have to submit documents related to the content that needs to be amended or supplemented.
– The time for issuance of amendments, supplements, and re-issuance is not longer than the time for granting export and import licenses.
– In case of refusal to amend, supplement or re-issue a license, the ministry or ministerial-level agency shall respond in writing, clearly stating the reason.
3. Ministries and ministerial-level agencies, based on the provisions of the Decree and relevant legal regulations, promulgate or submit to competent agencies to promulgate detailed regulations on licensing applications and announce agencies, organizations and addresses to receive traders' licensing applications.
Resolving agency:Ministry of Industry and Trade (Import and Export Department), address: 54 Hai Ba Trung, Hoan Kiem District, Hanoi.
Step 3: Check quality when importing,Pursuant to Circular No. 02/2022/TT-BTTT dated May 16, 2022, dated May 16, 2022, stipulating the List of potentially unsafe products and goods under the management responsibility of the Ministry of Information and Communications to handle import procedures for Flycam products in accordance with regulations, customs declarants must submit a registration for state quality inspection through the electronic customs data processing system.
II. Tax policy Importing drones, flycams (DRONE VEHICLES)
According to official dispatch No. 207/TCHQ-TXNK dated January 15, 2021 General Department of Customs and No.: 3831/TCHQ-TXNK No.: 3831/TCHQ-TXNK, this item has HS CODE 88.06
Regarding the classification of goods and application of tax policies, the General Department of Customs requires units to unify the classification and application of tax policies for Flycam products according to the instructions in the official dispatch.3831/TCHQ-XNKSeptember 15, 2022 of the General Department of Customs. Accordingly
AGRICULTURAL USE
NK: TAX EXEMPTIONS FOR CREATION OF FIXED ASSETS
VAT: not subject to VAT
SPECIAL CONSUMPTION: not subject to special consumption tax
USE OUTSIDE THE AGRICULTURAL FIELD
Import: Hs code 8806 – tax rate 0%
VAT: subject to 10% VAT.
SPECIAL CONSUMPTION: thensubject to special consumption tax at a rate of 30%. 
 
Lawyer Dương Minh Hòa