Tax incentives will be provided to enterprises operating in the field of high technology and those in agriculture with high-tech application, aiming to encourage enterprises to strive for more added values.
According to the amended Law on Corporate Income Tax, high-tech enterprises would be subject to a tax rate of only 10 percent in 15 years in comparison with the current normal rate at 25 percent which would be cut to 22 percent from January 1, 2014.
They would be provided tax exemption up to four years since having taxable income and 50 percent tax reductions in the nine following years.
The Ministry of Finance is drafting a decree which will provide detailed instructions for the implementation of the amended Corporate Income Tax law which was passed in June and will take effect from the beginning of next year.
The ministry said that currently, there are enterprises enjoying tax incentives at the highest level for their investments in high-tech and economic zones and in localities with difficult socio-economic condition.
The draft circular will point out how these enterprises – which already enjoy tax incentives – would continue to receive incentives if certified as high-tech.
The amended law will also provide incentives to enterprises' new investments in industrial zones.
Accordingly, enterprises with new investments will enjoy tax exemption for two years and 50 percent tax reduction in the four following years.-VNA
According to the amended Law on Corporate Income Tax, high-tech enterprises would be subject to a tax rate of only 10 percent in 15 years in comparison with the current normal rate at 25 percent which would be cut to 22 percent from January 1, 2014.
They would be provided tax exemption up to four years since having taxable income and 50 percent tax reductions in the nine following years.
The Ministry of Finance is drafting a decree which will provide detailed instructions for the implementation of the amended Corporate Income Tax law which was passed in June and will take effect from the beginning of next year.
The ministry said that currently, there are enterprises enjoying tax incentives at the highest level for their investments in high-tech and economic zones and in localities with difficult socio-economic condition.
The draft circular will point out how these enterprises – which already enjoy tax incentives – would continue to receive incentives if certified as high-tech.
The amended law will also provide incentives to enterprises' new investments in industrial zones.
Accordingly, enterprises with new investments will enjoy tax exemption for two years and 50 percent tax reduction in the four following years.-VNA
