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Vietnam Petroleum Association asks for lower import duty on oil products

By Bui Hong Nhung, Ha Phuong   May 5, 2016 | 04:54 pm GMT+7
Vietnam Petroleum Association asks for lower import duty on oil products

The association has sent a proposal to the Prime Minister asking for import taxes on oil products to be cut while raising consumer taxes to make up losses to the state revenue.

On March 21 this year, the Ministry of Finance adjusted retail tax rates for imported gasoline and diesel to 18.35 percent and 2.32 percent, while kerosene and mazut remained exempt.

The Vietnam Petroleum Association, however, said that these rates create a gap between the import duties they are obliged to pay and the amount they are paid by customers.

vietnam-petroleum-association-asks-for-lower-import-duty-on-oil-products

Source: Petrolimex, the Ministry of Industry and Trade

They asked the government to lower the import duty on gasoline to 10 percent instead of 20 percent and asked to be exempt from paying import taxes on diesel, kerosene and mazut.

The association added that the government should increase special consumption tax rates as well as the environmental tax collected from customers to make up the state budget deficit.