New laws on innovation, corporate income tax enacted from October 1

Illustrative image (Photo: VNA)

The Law on Science, Technology and Innovation, spanning seven chapters and 73 articles, establishes a legal framework to elevate Vietnam’s sci-tech and innovation capabilities. Aimed at bolstering socio-economic development, national defence, and citizens’ quality of life while contributing to global progress, the law shifts governance toward risk management. It outlines a clear path for Vietnam to transition from a user to a master of strategic technologies.

Notably, the law designates May 18 as Vietnam’s annual Science, Technology and Innovation Day.

The Law on Corporate Income Tax, with four chapters and 20 articles, codifies key tax reforms outlined by the Party and State.

Article 10 introduces tiered corporate tax rates: a standard 20%, a rate of 15% for firms with annual revenue up to 3 billion VND (115,300 USD), and 17% for those with revenue between 3 billion VND and 50 billion VND. Higher rates apply to resource extraction - 25% to 50% for oil and gas, and 50% for mining platinum, gold, silver, tin, tungsten, antimony, gemstones, rare earths, and other resources. Mines in regions with severe socio-economic challenges, where at least 70% of the area qualifies, benefit from a 40% rate.

Separately, the Law on amendments and supplements to several articles of the Law on Credit Institutions, comprising three articles, will take effect on October 15.

A key change empowers the State Bank of Vietnam to issue special loans at a 0% interest rate without collateral, granting the central bank full authority to provide timely liquidity support for credit institutions through special lending./.

VNA

Source: https://en.vietnamplus.vn/new-laws-on-innovation-corporate-income-tax-enacted-from-october-1-post328514.vnp