Vietnam offers tax, working conditions incentives for high-tech parks

Vietnam will provide tax and working conditions incentives for high-tech parks and businesses therein under new Government Decree 10/2024, effective March 25.

The decree encourages individuals and groups to make infrastructure investments in high-tech parks. Such projects will be eligible for land lease fee exemption and reimbursement of land clearance expenses. Investors can also access loans with preferential interest rates and mobilize capital within existing legal frameworks.

The decree enjoins local authorities to build suitable living areas and social infrastructure around high-tech parks for workers. Those facilities can be built under the public-private partnership (PPP) format or use just private sources.

State budget funding priority will be given to building infrastructure, labs and high-tech incubation facilities as also training facilities in high-tech parks.

Manufacturing and export businesses in high-tech parks can enjoy export tax exemptions or reductions similar to those at non-tariff zones.

Besides the above-mentioned incentives, projects can also enjoy other benefits available under other regulations.

Vietnam currently operates four high-tech parks: Danang Hi-tech Park in the eponymous central coastal city; Hoa Lac Hi-Tech Park in Hanoi; Saigon Hi-Tech Park in Ho Chi Minh City; and Dong Nai Biotechnology Hi-tech Park in the eponymous southern province.