On February 1st, 2019, the Government promulgated Decree No.13/2019/ND-CP regarding science and technology enterprises. Whereby:
– Enterprises are granted certificates of science and technology enterprises when meeting the following conditions:
+ Established and operated under the Enterprise Law
+ Ability to create or apply scientific and technological results assessed, evaluated and recognized by competent agencies.
+ Archiving turnover from trading and manufacturing products created from scientific and technological results at least by 30% of the total revenue.
The newly established enterprises under 5 years meeting the first two conditions shall be certified as science and technology enterprises.
– Income of science and technology enterprises from trading and manufacturing products made from scientific and technological results shall be given Corporate Income Tax incentives as enterprises implement new investment projects in the field of scientific research and technological development, specifically: tax exemption for 4 years and 50% reduction of payable tax for the next 09 years.
In addition, science and technology enterprises are entitled to exemption or reduction of land and water surface rental expenses in accordance with the Law on land, to be entitled to borrow State investment credit capital, to be given import and export taxes incentives on scientific research, technological development and production according to the law on export and import tax and many other incentives according to Current law.
Decree 13/2019/ND-CP takes effect from March 20th, 2019.
