Investment incentives for industrial parks and economic zones.
Specific incentives for investment projects in the construction and operation of infrastructure in industrial parks and functional zones within economic zones, and investment projects within industrial parks and economic zones, are applied according to the provisions of tax law, land law, credit law, accounting law, and other relevant laws.
The Government issued Decree 35/2022/ND-CP dated May 28, 2022, regulating the management of industrial parks and economic zones. Accordingly, an industrial park is defined as an area with a defined geographical boundary, specializing in the production of industrial goods and the provision of services for industrial production; an economic zone is defined as an area with a defined geographical boundary, comprising multiple functional zones, established to achieve the goals of attracting investment, developing socio-economic conditions, and protecting national defense and security. The Decree stipulates investment incentives for industrial parks and economic zones as follows:
1. Industrial parks are areas eligible for investment incentives, enjoying investment incentives applicable to areas with difficult socio-economic conditions as prescribed by investment law.
Investment incentives for industrial parks as stipulated in investment law apply from the time the industrial park is established.
2. Economic zones are areas with preferential investment treatment, enjoying investment incentives applicable to areas with particularly difficult socio-economic conditions as stipulated by investment laws.
Investment incentives for economic zones, as stipulated by investment laws, apply from the time the economic zone is established.
3. The specific incentive levels for investment projects in the construction and operation of infrastructure in industrial parks and functional zones within economic zones, and investment projects within industrial parks and economic zones, are applied according to the provisions of tax laws, land laws, credit laws, accounting laws, and other relevant laws.
4. The costs of investing in the construction, operation, or purchase, lease-purchase, or rental of housing, service facilities, and public utilities for workers in industrial parks, economic zones, and technical infrastructure connecting to industrial parks and functional zones, by investors implementing investment projects for the construction and business of infrastructure in industrial parks and functional zones within economic zones, and by investors implementing investment projects within industrial parks and economic zones, are deductible expenses when determining taxable income according to the provisions of the law on corporate income tax.
5. Investment projects for the construction of housing, service facilities, and public utilities for workers in industrial parks and economic zones are entitled to incentives as prescribed by the law on social housing construction and other relevant laws.
6. Investors with investment projects in industrial parks and economic zones shall receive support from competent state agencies in carrying out administrative procedures related to investment, enterprises, land, construction, environment, labor, and trade through a "one-stop shop" mechanism, as well as support in labor recruitment and other related issues during the project implementation process.
This Decree takes effect from July 15, 2022.
