IT ' S SMART

Guidelines for the implementation of the tax exemption, tax reduction by regulation at Decree No. 07 /1998-NE-CP on 15 January 1998 of the Government stipulated the implementation of the Law of Encouraging Investment In The Country (Amendment)

The base of the tax laws, the current tax ordinance.

Execution of Article 42 07 /1998/NĐ-CP On January 15, 1998, the Government provided the law to encourage domestic investment (modified), the Treasury Department directed the implementation of the exemption, reducing the regulation tax at this decree as follows:

A. SUBJECT APPLICABLE:

This information applies to the rules of regulation at Article 3 of the Digital Protocol. 07 /1998/NĐ-CP On January 15, 1998, the Government defined the implementation of the Law of Encouraging Domestic Investment (modified), including:

I. Businesses are in economic components:

State Business;

The business of political, political-social, professional and professional organizations;

Communes of the United States.

LLC and the holding company;

Private enterprise;

Personally, the business group operates under the 66-HSBT Protocol on 2 March 1992 of the Council of Ministers (now Government).

II. The Vietnamese-settled business abroad directly invested in Vietnam.

III. Foreign-resident businesses in Vietnam directly invest in Vietnam.

IV. The business was founded by Vietnamese citizens with Vietnamese settlers overseas, with foreigners residing in Vietnam.

V. Organization, Vietnamese citizens, Vietnamese residing abroad, foreigners residing in Vietnam buy their shares or contribute to domestic businesses, including state-owned enterprises that are diversified in their own or private equity investments. Yeah,

The subjects stated in section I, II, III, IV Part A This message is only entitled to tax incentives under the regulation of the Digital Protocol. 07 /1998/NĐ-CP and guide at this NWB section when:

It's a business that's registered business.

Tax filed.

B. GUIDELINES FOR TAX EXEMPTION, TAX RELIEF

I-tax-free, tax revenue tax and yield tax on investment projects established and develop a business production base:

Manufacturing facilities, transport, commerce, services have an investment project established and developed a manufacturing facility, business under the regulation at paragraph 1, Article 2 of the Digital Protocol. 07 /1998/NĐ-CP is entitled to enjoy tax-free incentives, tax cuts, tax rates by regulation at Articles 31, 32, 33, 34 of the Digital Decree. 07 /1998/NĐ-CP . In the 10-day period since the date of the investment certificate granted, the manufacturing facility, the business must carry out the tax registration and simultaneously send the filing to the tax authority directly governing the offer to enjoy the tax incentives that have been written in Paper. It's an investment certificate.

1. The profile includes:

The decision to establish (if any) and a Business Registration Certificate (a copy of a copy or copy signed by the company).

The certificate is preferable to investment by the Ministry of Planning and Investment or the Central Committee of the Central City of the Central Committee (a copy of which has a signed copy or copy of the name and stamp of the business).

The tax register.

The application is entitled to the tax incentives noted in the fully qualified investment certificate of the legal representative and the seal of the unit (if any).

For a maximum of 10 days from the date of receiving the filing, the direct tax authority managed to make an announcement on the implementation of the tax exemption, tax relief, and the exemption from tax-exempt, the tax reduction noted in the Investment Certificate of Investment. The case audit case of the unit is not valid or is not correct the regulation object of the Protocol 07 /1998/NĐ-CP And the instructions in this section of this Wednesday, in the slowest period, are 7 days from the date of receiving the file, the tax authorities have to inform the unit.

2. Do the tax exemption, annual tax relief: Revenue tax relief; tax exemption, yield tax cuts for established investment projects and the development of manufacturing facilities, business by direct tax authority management of the implementation of the annual tax. Every month of the year is tax-exempt, reducing the production base tax, the temporary business of filing and filing tax on the preferable tax rate listed in the investment certificate. The end of the year when the tax agency tax decision is formally announced on the amount of taxes must be filed, the tax number is exempt, reduced by the Investment Certificate of Investment. If the base tax number filed in the year is not enough for the tax number to submit in the notice, the base must submit sufficient tax on the correct deadline in tax notice, the base case in the year of submission compared to the tax count in the notice. Except for the tax return of the next semester. In the process of examining the tax decision if the basis of the basis of sexual misconduct, tax evasion, in addition to tax and statutory detention, the base tax must submit due to unexempt access, tax relief, according to the investment certificate.

For investment projects that are in favour of tax-free, tax rate reduction and the yield tax in accordance with Articles 16, 17, 18, 19 Decree No. 29 /CP on 12 May 1995 of the Government are continuing to enjoy tax incentives for the rest of the day. The rest of the space has been issued in the grant-issued investment certificate and the tax exemption, tax relief in the direction in Section I, Part B This is.

For investment projects established and developed the manufacturing base, business but not eligible for preferable revenue tax, the tax-under-regulation tax rate of investment incentives in the country (revision) and the U.S. Digital Agenda. 07 /1998/NĐ-CP 15 -01-1998, it was not under the applicable scope of this information. Tax exempts, tax relief for these subjects still implement the provisions of the Revenue Tax Act, the current Profit Tax Act.

II. Tax exempts for investment projects that extend the scale, enhance production capacity, research development and technological innovation of manufacturing facilities, existing business. Article 35 of the Digital Decree 07 /1998/NĐ-CP regulation: " Production facilities, transport, trade, services have an investment project in the form of regulation at paragraph 2, Article 2 of this decree is exempt from 01 years of tax returns for the added portion of profits since the year of the tax profit. The profits used to reinvest are not counting on tax returns ". To be exempt under the above regulation, the manufacturing facility, the business must ensure enough of the following conditions:

There is a real investment, not to tell the real number from the budget capital, the source of self-capitalization: the underlying capital building, development investment fund, basic depreciation.

The investment must be tied to economic efficiency expressed at the profitability of the following year higher than the previous year (year of investment).

For profit margins of the year, if the business has made to reinvest under the investment project that has been approved by the competent authority it does not count on taxable profits for the year.

In the year of tax exemption, the manufacturing facility, the business stated at Section II.B This private is temporarily retained by a portion of the tax return tax, but no more than 50% of the profit portion of the profit portion increases according to the investment project and no more than 30% of the tax return tax. must submit to the year's plan of the facility. The end of the year when the tax agency tax decision checks out against the above conditions for notification of tax exemption or the reason for refusing tax exemption for the facility. In the case of a tax-exempt basis, the amount of tax suspended in the year of the facility is subtracted from the number of taxes required by the following period.

Example:

Company A in 1997 raised its capital to expand its production. The total tax return in 1997 was $500 million and the total tax profit of 1998 was $600 million. As such, the extra profit is exempt from the tax exemption of 100 million.

For example, if the company A in 1998 used 50 million co-profits to spend reinvestment under the approved investment project, this profit does not count on taxable profits. Then the total tax profit of 1998 was 550 million and the added profit was given a tax exemption of 50 million.

III. Exempt tax returns or personal income tax on the profit portion of the organization, the individual directly buys shares or contributes to businesses in the country, including the state-owned enterprise that is diversified owned or financed by self-financed investment funds. Yeah,

By regulations at Article 39 the number of digits 07 /1998/NĐ-CP then: Organization, Vietnamese citizens, Vietnamese settlers overseas, foreigners residing abroad in Vietnam buy their shares or contribute to domestic businesses, including state-owned enterprises that are diversified or autonomous investment. financial, exempt from the income tax or personal income tax, including the additional income tax (if any) for the profit portion enjoyed for a continuous three-year period since the first being enjoyed. The tax exemption is determined by the fiscal year of the businesses or the financial autonomy investment raised above. In order to make the tax exemption under the above regulation, the business or fund inviteholder finances the interest of organizations, individuals who purchase shares or which have to have a decision to split interest, which notes the content:

Time starts to buy shares or funds.

Capital purchase or capital purchase.

The number of gains and the rate of interest is divided by each organization, the individual who buys shares or funds.

The decision to divide the interest must have the signature of the legal representative and the stamp of the business or financial autonomy fund as the base for the tax authority to implement tax exempts for organizations, individuals who purchase shares or funds.

The tax authority only performs tax-free for the organization, the individual appears to be determined to share the interest of the business or the investment fund (a copy of which has a firm ' s stamped or branded copy) and exempts its own tax on each donation or equity. Part of the organization, the individual.

The tax authority directly manages the payment of the organization's income tax or personal income tax, the individual buys the shares or contributes to a tax exemption or personal income tax on the portion of the profits divided and must issue a notice of the tax number issued. No, no, no, no, no, no, no.

Example:

Company A had two purchase shares of Company B and Company C. The Company purchased the Company B in February 1998 and was profitable in 1998. The Company's purchase share of the Company C in June 1998, but in 1998 with no interest, until 1999 was first split. The exemption for each of the above shares is done as follows:-Free tax returns for the period of 3 consecutive years 1998, 1999, 2000 for profits enjoyed from the purchase of Company B.

Tax exemption benefits for a period of 3 consecutive years 1999, 2000, 2001 for profit entitled from the purchase share of Company C.

IV. Reducing resource tax by regulation at Article 38 Digital Protocol 07 /1998/NĐ-CP.

By regulations at Article 38 07 /1998/NĐ-CP then: the objects set forth at Item I, II, III, IV of Part A This profile has an investment project under the category A made in regions of Category B category or in regions of the C category attached to the Digital Protocol. 07 /1998/NĐ-CP So above if there is mineral resource extraction (except for oil) that is reduced by 50 percent of the resource tax that must be filed in the year for the first time of the 03-year period since the beginning of the extraction.

The Certificate of Investment Certificate in Investment, the direct tax authority that governs the implementation of the implementation of the resource tax on the basis of the annual tax decision. In the year of tax relief, the mining facility still has to submit enough of the resource tax to submit. The end of the year when the tax agency tax decision comes out the tax rate is officially reduced. The official reduced resource tax number will be subtracted from the amount of the resource tax that must submit to the next tax filing of the facility.

For investment projects issued a Certificate of Investment Certificate prior to the date of the Digital Protocol. 07 /1998/NĐ-CP It ' s going to take effect, if you ' re going to start mining the mineral resources to the date of the United States. 07 /1998/NĐ-CP Valid for less than three years, the resource tax is reduced to the rest of the time.

Example:

The X Company was granted the investment certificate certificate in February 1996 with the construction project of the Road (Category A) in the Polish-Quảng Ninh District (category B) and had the quarry to implement the project from April 1997 (the first time the mineral resource was mined). product) is reduced the resource tax for the rest of the time as follows:

Down 50% of the resource tax must submit from February 1998 to April 31, 2000 (digital decree) 07 /1998/NĐ-CP Effective 1 February 1998.

In the same time, if the business has an investment project that has just been reduced by regulation at Article 38 Digital Protocol 07 /1998/NĐ-CP, It is tax-exempt, reducing the resource tax on the provisions of the resource tax ordinance, which is only exempt from taxation, tax cuts by one of the two regulations.

V. Free, reduce land rent.

The exemption, lowering of land rent to businesses by regulation at Article 27, 28 of the Digital Protocol 07 /1998/NĐ-CP due to the direct tax authority management of the business made when the tax decision. Every year, in time of free, reducing land rent when tax decisions, the tax authority must announce the amount of land rent exempt, down to the business. For businesses with a production investment project, business into the sectors of category A in the Industrial Zone, the manufacturing sector, high tech sector, the tax agency announced a 50% reduction in rent by the principle that the State for rent, not including: the value of the infrastructure of the infrastructure companies. The tax agency ' s announcement is that the text has a legal value to businesses deduction on the amount of rent payable to the company that develops infrastructure in the country under the lease of the contract between the two parties.

For the business that was granted a Investment Certificate Investment Certificate prior to 1 February 1998 (Digital Resolution Day) 07 /1998/NĐ-CP taking effect) is applying for the exemption, reducing land rent by regulation at Article 27, 28 of the Digital Protocol. 07 /1998/NĐ-CP for the remainder of the remainder since 1 February 1998.

In the same time, if the business is subject to the object, reduce land rent by regulation at Article 27, 28 Digital Protocol 07 /1998/NĐ-CP, The government, which has just been subject to the subject, reduces the lease by regulation at Decree 85 /CP on December 17, 1996, of the Government of the Government of the United States on 17 December 1996, the government's executive order, and the obligations of the organization in the country, by the State of the State, for the lease of the land, to the ground, only to be reduced. One of the two regulations.

VI. Free import tax.

1. Free import of import tax once for devices, machines, transport vehicles for the provision of capital investment projects at paragraph 1, Article 37 of the United States Digital Protocol. 07 /1998/NĐ-CP is done as follows:

The investment certificate base, the business manufacturing facility that has been granted a license to form or be adapted to expand production scale, business, substitution, technological innovation must have an economic equation-the technique in which the number of numbers, the catalog machinery of equipment, transport vehicles by each purpose stated at paragraph 1, Article 37 Digital Protocol 07 /1998/NĐ-CP and send the Department of Commerce to decide the specific tax-free category.

Machine catalog base, equipment, transport of tax-free import one by regulation at paragraph 1, Article 37 of the Digital Protocol. 07 /1998/NĐ-CP by the Ministry of Commerce issued to each facility, the Bureau of Customs of the Provinces, the Central City of the Central Committee to implement the exemption for the facilities when the imported reality (the case of importing the mandate is the customs authority that requires the import of the export mandate). The co-trustee in which the name of the machinery, equipment, means of transport is consistent with the Ministry of Commerce's tax-exempt portfolio.

2. Importer of import tariffs on raw materials, imported items to form fixed assets of business by regulation at paragraph 2, Article 37 of the Digital Protocol. 07 /1998/NĐ-CP:

The Certificate of Investment Certificate in Investment, businesses with established investment projects and development of a business production facility have been granted a license to establish or register the addition of a business profession, when there is a need to import raw materials, supplies to form. a fixed asset must plan an import plan, specify a material portfolio, imported materials under the purposes stated at paragraph 2, Article 37 Digital Protocol 07 /1998/NĐ-CP and send the Department of Commerce to browse the tax-free portfolio according to specific purposes. (For raw materials, materials imported under paragraph 2.b, Article 37 states that the business must have the validation of the Ministry of Science-Technology and the Environment).

The import plan base of the business and portfolio of materials, imported duty-free supplies imported by the Department of Commerce to the business, the Department of Customs of the Provinces, the Central City-based Central City visa exemption for business when in fact. It's imported. The quarterly valuation of the Customs Department must assemble the import tranche and the number of duty-free imports for businesses by regulation at paragraph 1, 2 Article 37 of the Digital Protocol. 07 /1998/NĐ-CP report on the Ministry of Finance and Customs General.

Imports of duty-free in the above cases, if used for other purposes or are allowed to be resold, the import tax must be traced to the State Budget. The import tax rate is determined on a tax basis, tax price, the valuation rate of the export tax law, the import tax at the time of the concession or use of other purposes. In the 02 day period since the date of the concession or use of imported goods on other purposes, the business must declare to the customs agency where the business registers the receipt of importing goods or customs grounds where the business is based, or the business. The customs of the goods, the customs of the goods. It is too late that the business does not declare, if it is discovered that, in addition to having to access the amount of imported taxes, is subject to the regulation of the export tax law, the import tax.

The tax authority directly governing the business is responsible for overseeing the use of duty-free imports in the above cases, if the use of the use of the target illegal imports is out of the revenue tax collection, the yield tax (if available) by statute. The Revenue Tax Act, the Yield Tax Act, is entitled to the decision to access the import and sancration tax on the provisions of the export tax law, the import tax; the case of retrieving the import tax is not under its jurisdiction, it must be. Transfer the files to the tax authorities on the resolution.

3. The import of import tariffs on raw materials, departure, spare parts and supplies for the production of prescribed goods at Article 37 Decree No. 37. 07 /1998/NĐ-CP is done in the direction at 1.1 Digital News 84 /1997/TT/BTC November 13, 1997, on November 13, 1997, the revised guidance, added a number of points in the 72nd A/TC-TCT on August 30, 1993, number 107 TC/TCT on December 30, 1993 and the number 53 TC/TCT on 13 July 1995 by the Ministry of Finance for export taxes, import duties.

4. patents, technical tips, technological processes, technical services that are used for the exemption of taxes related to technology transfer.

For projects that have been granted investment incentives prior to 1 February 1998 (the date of the digital decree). 07 /1998/NĐ-CP taking effect) is applicable to the import of import duties under regulation at Article 37 of the Digital Protocol. 07 /1998/NĐ-CP and guide to Section VI, Part B This Information Section for the remaining preferable time period, since 1 February 1998.

VII. Tax returns overseas.

The Vietnamese settled abroad capitalization in the form of regulation at Article 2 of the Census. 07 /1998/NĐ-CP, Foreign-inhabited foreigners in Vietnam buy shares, call capital, increase capital or contribute to business by regulation at paragraph 3 Article 2 of the U.S. Census. 07 /1998/NĐ-CP, It ' s a tax return that ' s only going to be paying a tax rate of 5 percent of the money that ' s moving abroad.

The way to determine the tax number must submit, the payment procedure is applied to a point 2, point 3 Section II, Section II of the 74TC/TCT on October 20, 1997 instructing the implementation of the tax regulation on the form of investment under the Foreign Investment Law in Vietnam.

C. THE ORGANIZATION.

After being entitled to the prescribed tax incentives at the Numerical Decree 07 /1998/NĐ-CP And the guidance on this privacy, if there is a change in the investment, then the new investment will continue to enjoy the tax-free, tax-lowering that has been on the investment certificate for the rest of the time and has the responsibility to fully implement the obligations. the old investment owner ' s case for tax-free, tax relief.

The case has been entitled to tax incentives under the registered conditions of the investment project, but in the course of the execution, the investment holder has a change in the registered conditions that led to a change in tax incentives by the Digital Protocol. 07 /1998/NĐ-CP At the time of the 05-day period, the owner of the investment must report to the authorities to regulate the investment preferences.

The owner of the investment has a cheat behavior to enjoy tax incentives, or when changing the investment conditions intentionally not to declare to benefit higher taxes, in addition to reimbursable tax credits, depending on the level of violations that the owner has to offer. to be sentenced to administrative detention or to pursue criminal responsibility under the rule of law.

Tax cadres, other individuals who take advantage of the office, the right to intentionally mislead the guidelines of this privacy cause damage to the State Budget, according to the degree of violations that are subject to disciplinary action, administrative sanctions, or the search for criminal responsibility according to regulation. of the law. The tax authority provides close management of investment projects under the Law of Incentives For Investment In The Country, the conditions on which the investment holder has registered for each of the management of the management site involved in tax-free, tax-lowering, one-sided. create favorable conditions for the investment owners in the project deployment; on the other hand in time to detect, prevent acts of use to evade tax. The tax authority must set up a watch book, keep in full of documents related to the waive, tax relief for each investment and quarterly valuation project, the year must report on the interim Tax Tax Directorate as long as the exemption, decreased, the actual tax number exempts. I ' m going to enjoy the investment in terms of regulation at the Digital Decree. 07 /1998/NĐ-CP of the Government.

This announcement came into effect on March 1, 1998 and superseded the 4th TC/TCT on December 22, 1995 of the Ministry of Finance Guide procedures, sequence, jurisdiction, tax reduction, in accordance with the Law of Education and Protocol No. 29 /CP. 12 May 1995 by the Government of the Government to enforce the Law of Investing Encouragement in the country.

In the course of execution if there is a problem with the problem, the facilities, the sectors, the local response to the Ministry of Finance to study the complementary ./.