Stronger tax incentives
According to the Ministry of Finance, tax incentives for science, technology and innovation at the moment are comparable to, or much more beneficial than, these of many nations within the area.
Under the Corporate Income Tax Law, efficient from October 1, 2025 and relevant to the 2025 tax yr, enterprises could deduct analysis and growth (R&D) bills at up to twice their precise worth for tax functions.
The legislation additionally permits firms to allocate up to 20% of pre-tax income to science and technology growth funds, double the earlier cap of 10%.
High-tech and strategic technology initiatives are eligible for a preferential 10% company tax charge for 15 years, a four-year tax exemption and a 50% discount in payable tax for the next 9 years.
The Personal Income Tax Law, efficient from July 1, 2026, exempts revenue derived from scientific analysis, technology and innovation actions. Highly expert technology professionals and high-quality digital technology employees can even take pleasure in a five-year exemption on employment revenue.
Import tax incentives have been expanded to cowl equipment, tools, supplies and parts used instantly in science and technology actions and the digital technology trade. Scientific organisations, high-tech enterprises and newly established high-tech manufacturing initiatives will obtain import tax exemptions for 5 years from the beginning of analysis or manufacturing actions.
Supporting expertise, innovation
Associate Professor and Dr Ly Phuong Duyen of the Academy of Finance mentioned the brand new measures mirror the Party and State’s dedication to attracting extremely certified human sources to precedence sectors.
She famous that the revised PIT Law incorporates tax exemptions launched underneath National Assembly resolutions on particular mechanisms to speed up science and technology, innovation, digital transformation and private-sector growth.
Tax incentives are one of the vital essential instruments for encouraging companies to spend money on analysis and growth, Duyen mentioned, including that decrease technology funding prices would encourage enterprises to commercialise analysis outcomes and strengthen competitiveness.
Nguyen Van Duoc, General Director of Trong Tin Accounting and Tax Consultancy Co., Ltd., mentioned PIT incentives for science and technology professionals kind an essential a part of broader insurance policies geared toward selling innovation, with human sources on the centre.
The incentives, he mentioned, will enhance employees’ revenue, assist enterprises appeal to and retain expert expertise, draw overseas specialists and scale back mind drain. However, clear implementation tips will likely be wanted to guarantee constant utility, he burdened.
Boosting enterprise competitiveness
Nguyen Cao Giap, CEO of GHT Group, mentioned tax incentives would give technology startups larger monetary flexibility to reinvest in R&D, product growth and market growth, notably throughout their early years.
The insurance policies are additionally expected to encourage the institution of latest technology enterprises and innovation-driven enterprise fashions, contributing to higher-quality progress within the personal sector.
Nguyen Van Dung, General Director of Lancom JSC, mentioned the company tax incentives would stimulate funding in science and technology whereas rising sources for innovation and digital transformation.
He famous that the measures would assist startups overcome early cash-flow challenges and strengthen Vietnam’s technology ecosystem in regional competitors.
The incentives are additionally expected to appeal to and retain scientists and technology specialists whereas offering enterprises with extra sources to improve competitiveness in strategic sectors akin to synthetic intelligence, semiconductors, software program and biotechnology./. VNA