OFFICIAL LETTER NO. 330/TCT-CS FROM THE GENERAL DEPARTMENT OF TAXATION ON CORPORATE INCOME TAX POLICY

Current corporate income tax laws do not provide tax incentives for investment projects in industrial zones at the preferential rates applicable to investment projects in areas with difficult socio-economic conditions.

If industrial zones are identified as areas with particularly difficult socio-economic conditions according to the list of investment incentive areas issued with Decree No. 218/2013/NĐ-CP and Decree No. 31/2020/NĐ-CP dated March 26, 2021, guiding the Investment Law, then according to the provisions of Clause 3, Article 19 of Decree No. 218/2013/NĐ-CP: “At the same time, if an enterprise enjoys many different tax incentives for the same income, the enterprise is entitled to choose the most favorable tax incentive,” the company is entitled to choose the most favorable tax incentive for income from investment projects in areas with particularly difficult socio-economic conditions if they actually meet the investment incentive conditions.

In the case where the company has income from investment projects in the construction and business of industrial zone infrastructure, which is income from real estate transfer according to the provisions of Article 13 of Decree No. 218/2013/NĐ-CP dated December 26, 2013, it is not eligible for corporate income tax incentives.