Order No

Locations /sectors

Corporate Income Tax (Decree No. 124/2008/ND-CP dated 11th December 2008 and Circular No. 130/2008/TT-BTC dated 26th December 2008)

Rental rate of Land, water surface (Decree No. 142/2005/ND-CP dated 14th October 2005)

Tax level (%)

Duration of application(year)

Duration of exemption (year)

50% of CIT reduction duration(year)

Duration of exemption (year)

1

New establishment Enterprises from:

Investment projects in areas with specially difficult socio-economic conditions (Type C locations)

10

15

4

9

11

Investment projects in economic, hi-tech zones formed with approved by the Prime Minister of Government.

10

15

4

9

11

Investment projects on the sectors of high technology as stipulated in the law, sciential research and technological development; Investment and development in waterworks, power plants, supplying and drainage systems, bridges, roads, railway, airport, sea port, riverport, railway stations and other especially important infrastructures approved by the Prime Minister of Government; production of software products.

10

15

4

9

7

In the fields of education and training, vocational education, health care, culture, sport and environment performing in areas with difficult socio-economic conditions or in Type C locations.

10

Duration of project operation time

4

9

Duration of project operation time

In the fields of education and training, vocational education, health care, culture, sport and environment performing in areas that not belonging to the list of areas with difficult socio-economic conditions or that not belonging in Type C locations.

4

5

2

Investment projects in the list of specially encouraging investment sectors  (list A)

7

3

Investment projects in the list of encouraging investment sectors (list B)

3

4

Investment projects belonging to list B, performing in Type C locations

15

Import tax: Enterprises shall be entitled to exemption of import tax on imported goods to create fixed assets according to regulations in Article 16- Decree No.149/2005/ND-CP dated 8th December 2005 of the Government  detailed regulations for the implementation of the Import-Export Tax Law.

Note:

- List A: List of specially encouraged investment issued with Decree 108/2006/ND-CP dated 22th September 2006 of the Government (Item A - Appendix I).

- List B: List of encouraged investment issued with Decree 108/2006/ND-CP dated 22th September 2006 of the Government (Item B - Appendix I).

- Type C locations: Locations with specially difficult socio-economic conditions (including all districts: Ninh Hai, Ninh Phuoc, Ninh Son, Bac Ai, Thuan Bac) issued with Decree No.108/2006/ND-CP dated 22th September 2006 of the Government (Appendix II) and Appendix of Decree No. 124/2008/ND-CP dated December 11th 2008 of the Government.

- New establishment Enterprises from investment projects to be entitled the preferential CIT are the enterprises of which business registration for the first time from investment projects.

- Application time of incentives CIT rate shall be charged for the first year getting turnover of Enterprises.

- Application time of CIT exemption or reduction shall be charged for the first year getting taxable income of Enterprises; in case Enterprises have not taxable income in the first three years including the first year getting turnover, the time of CIT exemption or reduction shall be applied from the fourth year.