The Government is expected to shortly issue a decree on investment and tax incentives for administrative units newly established due to adjustment of administrative boundaries.
According to the draft decree, administrative units which are divided, split or upgraded from units previously pertaining to localities eligible for investment or tax incentives but now entitled to neither investment incentives under Government Decree No. 108/2006/ND-CP, guiding the Investment Law, nor tax incentives under Government Decree No. 124/2008/ND-CP, guiding the Law on Corporate Income Tax, would be eligible for investment and tax incentives given to their predecessors.
For an administrative unit newly founded in geographical areas meeting with socio-economic difficulties or extreme socio-economic difficulties, current investment and tax incentives would also be applied.
Meanwhile, those set up after the adjustment of boundaries of administrative units in areas currently eligible for investment or tax incentives at different levels would be entitled to the highest incentive level.-