|High-tech enterprises will enjoy several tax incentives|
Accordingly, revenue from high-tech products of these high-tech enterprises must be at least 70 per cent of the total annual net revenue of the enterprise.
These enterprises will have to reach a certain ratio of total expenditure on research and development (R&D) of the enterprise (including depreciation of investment in infrastructure, fixed assets, annual recurrent expenditures on research and development; expenses for training, training support for workers who conduct research and development, science and technology organizations, training institutions in Vietnam; fees of royalty, conveyance, the right to use industrial property objects in service of research and development activities; registration fees for recognition or protection of inventions, and utility solutions in Vietnam) per value of total net revenue minus input value (including the value of raw materials, components for import production and domestic purchase) annually.
For enterprises with a total capital of VND6 trillion($260.87 million) and a total of 3,000 employees or more, this ratio must be at least 0.5 per cent. Enterprises having a total capital of VND100 billion ($4.35 million) and a total of 200 employees or more must reach at least 1 per cent. Enterprises not falling into these two categories must reach at least 2 per cent.
In addition, high-tech enterprises also have to hit a ratio of employees who graduated from college or another higher education institution, vis-a-vis the total number of employees. These employees have to directly conduct R&D activities and have signed labour contracts for a term of one year or more, or contracts with indefinite terms. Workers with college degrees cannot exceed 30 per cent of the total workforce at high-tech enterprises.
For enterprises with a total capital of VND6 trillion and 3,000 employees or more, this must be at least 1 per cent. Enterprises having a total capital of VND100 billion and a total of 200 employees or more, must reach at least 2.5 per cent. Enterprises not falling into these two cases must reach at least 5 per cent.
Nguồn: Vietnam Investment Review