Official letter No. 7422/TCHQ-TXNK dated November 28th, 2019 of the General Department of Vietnam Customs regarding VAT on special use machinery, equipment serving agriculture production
According to this Official letter, in case a company intends to import tractors to be used as movers for cultivators, harrows, etc. but they have not yet assembled with other machinery, equipment to perform the functions of ploughing, harrowing, milling, etc.), they are not eligible to be special use machinery, equipment serving agriculture production (cannot be used for other purpose).
As the result, such tractors shall not be entitled to VAT exemption according to Clause 2 Article 1 of Circular No. 26/2015/TT-BTC.