This Decision stipulates the level, time and conditions for applying special investment incentives to investment projects specified in Clause 2, Article 20 of Law on Investment. The Decision is based on the provisions of Clause 6, Article 20 of Decree No. 31/2021/ND-CP and the principles relating to special investment incentives are applied to new and expanded investment projects.
During the enjoyment period of special investment incentives, those satisfying conditions incentives at actual level shall enjoy for the remaining incentive time which is determined by the incentive period according to the actual incentive conditions minus the corresponding number of years in terms of corporate income tax (CIT) exemption and reduction, preferential income tax rate as well as land and water surface leasing exemption and reduction previously applied.
The Decision offers special investment incentives for CIT and its preferential time and land and water surface leasing.
In which, the preferential tax rate of 9% in 30 year-period applies to those performing investment projects belonged to the categories specified at Point b, Clause 2, Article 20 of Law on Investment.
The preferential tax rate of 7% in 33 year-period is for those belonged to one of the following cases: Newly established investment projects (including the expansion of such newly established projects), centers for innovation and research and development with a total investment capital of VND 3,000 billion upward, disbursing at least VND 1,000 billion within 3 years since the date of the investment certificate issuance or decision on approval of investment policy.
Investment project belongs to categories specified at Point b, Clause 2, Article 20 of Law on Investment and satisfies 1 of the 4 criteria: Being a high-tech project at the 1st level; having local enterprises participating in the chain of the 1st level; added value accounting for over 30% to 40% of the total cost of final output products provided by economic organizations and meeting the criteria for technology transfer at the 1st level.
The preferential tax rate of 5% in 37 year-period applies to those belonged to a national innovation center established under a decision of the Prime Minister. An investment project belongs to categories specified at Point b, Clause 2, Article 20 of Law on Investment and meets 1 of the following 4 criteria: Being a high-tech project at the 2nd level; having local enterprises participating in the chain of the 2nd level; added value accounting for more than 40% of the total cost of final output products provided by economic organizations and meeting the criteria for technology transfer at the 2nd level.
