HCMC Enjoys Corporate, PIT Exemption

2:46:54 PM | 2/8/2024

The Government promulgated Decree 11/2024/ND-CP dated February 2, 2024 providing special policy mechanisms for corporate and personal income tax exemption in Ho Chi Minh City.

The fresh policy shall be applicable for five years in response to National Assembly's Resolution 98 on piloting special mechanisms and policies for the development of Ho Chi Minh City.

The tax benefits target to enhance the city's appeal for foreign investors.

Personal income tax and corporate income tax for individuals and organizations with income deriving from capital contributions to start-ups will also be exempted.

Individuals and start-up businesses must meet specific conditions and obtain certification. These conditions include operating in priority sectors, engaging in innovative activities, and possessing certification for tax exemption consideration.

Ho Chi Minh City, the country's largest economic hub, has great potential for economic growth and job creation thanks to its thriving start-up ecosystem.

The southern metropolis is drafting regulations and guidelines to support these start-up activities, ensuring that the tax exemption policies are implemented properly.

Ho Chi Minh City is home to over 2,000 start-ups, making up about 50 percent of all start-ups in Viet Nam.

Source: VGP