The Ministry of Information and Communications is collecting opinions from relevant authorities on a draft decree providing for information technology (IT) parks.
IT parks, under the 39-article draft decree, would take the form of software technology zones, software parks, IT complexes, IT zones, IT centers, IT trading centers or other zones specialized in the manufacture and trading of IT products, provision of IT services and other IT-related activities.
As prescribed in Article 24 of the draft, enterprises that invest in building IT parks would be eligible for concessional loans from the Vietnam Development Bank for developing technical infrastructure systems. In case of capital shortage, they may raise funds through the issuance of project bonds. Land for construction of technical infrastructure and not-for-profit social infrastructure facilities would be exempted from land use levy.
Meanwhile, IT enterprises operating in IT parks would enjoy the corporate income tax (CIT) rate of 10 per cent for 15 years after earning turnovers, CIT exemption for four years after the generation of taxable income and a 50% reduction of the payable tax amount for the subsequent nine years.
The draft also offers the value-added tax rate of 0% for exported software products and value-added tax exemption for machinery and equipment imported to create fixed assets and materials imported for manufacturing software products, digital contents and hardware products which cannot be produced at home.
In addition, Vietnamese and foreign individuals would enjoy equal reduction of 50 per cent of personal income tax.