MoF circular provides for preferential policies to be made available at incubator park.
The Ministry of Finance has issued Circular No. 214/2015/TT-BTC providing guidance on applying incentives on taxes and credit to develop the Korea-Vietnam Incubator Park (KVIP) in the Mekong Delta’s Can Tho city.
Businesses and organizations established under the laws of Vietnam and other relevant individuals involved in incubator projects and applying manufacturing technology in incubators can access the incentives.
Regarding credit incentives, projects investing in incubators and projects applying manufacturing technology in incubators can borrow from the Vietnam Development Bank.
The Circular also provides tax incentives. Machinery, equipment, parts, supplies and means of transport and technology that are not capable of being produced in the country and imported scientific documents, books and electronic resources on science and technology serving the activities of the incubator will be exempted from import duties.
Income of projects investing in incubators and projects applying manufacturing technology in incubators will enjoy tax incentives of 10 per cent over 15 years, four years of tax exemptions, and 50 per cent cuts in taxes for the following nine years.
The Circular will be effective from February 14, 2016 to December 31, 2020.
The Korea-Vietnam Incubator Park (KVIP) has been officially opened at the Tra Noc Industrial Zone 2 in O Mon district, Can Tho city under a partnership between South Korea and Vietnam regarding industrial, agricultural, and technological capacities.
Construction began two years ago on an area of 13,000 sq m with investment of $21.13 million, $17.7 million of which came from South Korea’s official development assistance and the remainder from the Vietnamese Government.