How to calculate environment protection tax in Vietnam ?

List of Taxable objects and Objects not liable to Environmental Protection Tax in Vietnam see here: http://vietnamthings.com/2019/08/23/taxable-objects-and-objects-not-liable-to-environmental-protection-tax-in-vietnam/

According to Article 4 of Circular 152/2011 / TT-BTC, the environmental protection tax is calculated according to the following formula:

Tax calculation method

Payable environmental protection tax shall be calculated according to the following formula:

Payable environmental protection tax = Quantity of taxed goods units x Specific tax amount on a goods unit

Environmental tax bases :

  1. The quantity of taxed goods is specified as follows:

1.1. For domestically produced goods, it is the quantity of produced goods which are sold, exchanged, used for internal consumption, donated, or used for sales promotion or advertising.

1.2. For imported goods, it is the quantity of imported goods.

In case the quantity of goods subject to environmental protection tax sold and imported is calculated in a unit of measurement other than the unit of tax calculation specified in the Environmental Protection Tariff issued by the National Assembly Standing Committee, the former unit must be converted into the latter for tax calculation.

1.3. For mixed fuel containing petrol, oil or grease of fossil origin and bio-fuel, the quantity of taxed goods in a period is the quantity of petrol, oil or grease of fossil origin contained in the quantity of mixed fuel imported or produced which is sold, exchanged, donated or used for internal consumption, converted into the unit of measurement specified for tax calculation applicable to relevant goods.

The method of determination is as follows:

Pursuant to competent agencies’ technical standards on processing of mixed fuel (even in case of change in the percentage (%) of petrol, oil or grease of fossil origin contained in mixed fuel), taxpayers shall themselves calculate, declare and pay environmental protection tax for the quantity of petrol, oil or grease of fossil origin; and concurrently notify tax offices of the percentage (%) of petrol, oil or grease of fossil origin contained in mixed fuel and submit such notices together with tax declaration forms of the month following the month in which mixed fuel is sold (or which sees change in the percentage of petrol, oil or grease of fossil origin contained in mixed fuel).

1.4. For multi-layer nylon bags produced or process from HDPE, LDPE, LLDPE membrane, and other kinds of plastic membrane (PP, PA,…) or other substances such as aluminum or paper etc., the environment protection tax are calculated by the proportion of HDPE, LDPE, LLDPE in the multi-layer nylon bags. Depending on the amount of HDPE, LDPE, LLDPE used in the production of multi-layer nylon bags, the producer or importer of multi-layer nylon bags must make declaration and bear responsibility for their declaration.

 Environmental tax schedule

According to Clause 1, Article 1 of Resolution 579/2018 / UBTVQH14, the absolute tax rate per unit of goods is determined by the State for each kind of goods as follows:

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