Duties applied to imported gifts and presents

Question: I intend to send a package of gift which weights 9.3 kilogram and contains clothes, cosmetic products and chocolate to my family in Viet Nam. Which import duties do my family have to pay?     

Answer: Under Item 2, Article 13 of the Government’s Decree 87/2010/ND-CP, detailing a number of articles of the Law on Import Duty and Export Duty, gifts or sample products from foreign organization or individual senders to Vietnamese receivers or vice versa may be considered for duty exemption within allowable quotas.

According to Point b, Item 4, Article 105, Circular. No. 194/2010/TT-BTC, guiding customs procedures, inspection and supervision, gifts or donations from overseas organizations or individuals to Vietnamese individuals which are valued up to VND 1 million or higher and of which the total payable duty is under VND 50,000 might be exempted from duty (without having to go through import duty exemption procedures).

In other cases, your family will have to pay the following duties: 

Import duty:

Under the 2005 Law on Import Tax and Import Tax, dutiable import duty  = Value of goods x Import tariff

VAT: 

Under Article 7 and 8, the Law on Value-Added Tax, VAT rate is 10%.