Headlines 14/06/2021 17:08 CH

Regulations on more beneficiaries of corporate income tax incentives are ready to take effect

Dương Phạm

On June 4, 2021, the Government promulgates the Decree No. 57/2021/ND-CP regulating amendments to point g of clause 2 of Article 20 in the Decree No. 218/2013/ND-CP regarding corporate income tax incentives (CIT) for supporting product production projects.

According to this document, more enterprises will be entitled to CIT incentives when the following conditions are met:

- Having (new and expanded) investment projects for manufacturing of products on the list of supporting products prioritized for development, implemented before January 1, 2015.

- Satisfying the conditions imposed on projects for manufacturing of supporting products according to the 2014 Law on amendments to tax laws.

- Obtaining certificates of fulfillment of conditions for supporting product manufacturing incentives.

The Government previously promulgated the Decree No. 12/2015/ND-CP amending the Decree No. 218/2013/ND-CP but did not provide the transitional clause governing supporting product manufacturing projects licensed and operated before January 1, 2015.

Hence, the Decree No. 57/2021/ND-CP provides a legal basis to ensure application of tax-related investment incentives to supporting product manufacturing projects operated before January 1, 2015 is lawful.

Decree No. 57/2021/ND-CP is entering into force as of June 4, 2021.

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