Invest Smart, Save Big: Tax Incentive in Saigon Hi Tech Park

Enticing tax incentive in Saigon Hi Tech Park is one of the key attractions for investors, designed to empower businesses and foster technological development. Let’s explore the exciting tax incentives that await you in this dynamic technology hub.

Saigon Hi-Tech Park (SHTP): Pioneering Innovation in Vietnam

Attractive tax incentive in Saigon Hi Tech Park 

Saigon Hi-Tech Park (SHTP) is a leading technology park located in Ho Chi Minh City, Vietnam. With a vision to become a globally recognized technology hub, SHTP offers a conducive environment for tech companies, startups, research institutions, and investors to collaborate and drive technological advancements.

World-Class Infrastructure and Facilities

SHTP offers state-of-the-art infrastructure and facilities that cater to the diverse needs of businesses. The park provides ready-to-use land and modern office spaces equipped with advanced amenities. 

A Vibrant Ecosystem for Collaboration

SHTP fosters a collaborative ecosystem where businesses, research institutions, and universities can interact and exchange knowledge. This environment encourages innovation and facilitates technology transfer, fostering a spirit of entrepreneurship and research-driven development.

Investment and Business Support

Tax incentive in Saigon Hi Tech Park fuel technological advancements

Priority Sectors at Saigon Hi Tech Park

Saigon Hi-Tech Park (SHTP) is a hub for cutting-edge technology and innovation, fostering a conducive environment for businesses to thrive. To promote economic growth and attract investments in specific technological domains, SHTP places special emphasis on encouraging ventures in the following priority sectors:

Micro-electronics, IT, and Telecommunications

The micro-electronics, information technology, and telecommunications industries are at the forefront of driving technological advancements and digital transformation. SHTP aims to create a vibrant ecosystem for research, development, manufacturing, and service delivery in these sectors, attracting businesses at the forefront of innovation.

Precision Mechanics, Automation, and Robotics

In today’s fast-paced world, precision mechanics, automation, and robotics have become crucial in increasing efficiency and productivity across various industries. SHTP actively invites investments in these cutting-edge technologies, offering favorable tax rates to promote their growth and adoption.

New and Advanced Materials, and New Energy Technologies

The pursuit of sustainable and renewable energy sources has become imperative for the future. Saigon Hi-Tech Park welcomes investments in advanced materials and new energy technologies to support the development of eco-friendly solutions and products, ensuring a sustainable and greener tomorrow.

Biotechnology for Pharmaceuticals and the Environment

The biotechnology sector has shown remarkable potential in revolutionizing healthcare and environmental preservation. SHTP encourages investments in biotechnology projects focused on pharmaceuticals and environmental applications, supporting businesses dedicated to addressing pressing global challenges.

Corporate Income Tax (CIT) Incentives

As a part of its strategy to foster technological advancement and business growth, SHTP offers attractive Corporate Income Tax (CIT) incentives to companies operating within the park:

Tax rate equals 10% for 15 years

This incentive comprises four years at 0%, followed by nine years at 5%, and concluding with two years at 10%. This favorable tax incentive in Saigon Hi-Tech Park structure encourages companies to invest in SHTP for the long term, providing a competitive advantage.

Tax rate equals 10% for up to 30 years

Large-scale projects that leverage high or new technologies, highly encouraged by the Vietnamese government, may enjoy a reduced CIT rate of 10% for an extended period. This long-term incentive aims to attract significant investments in advanced technological ventures.

Tax rate equals 10% for the entire project’s lifetime

To support vital sectors such as education and environmental protection, SHTP offers a flat CIT rate of 10% throughout the project duration for income derived from educational, vocational training activities, and environmental services.

Import Duty Exemption

Facilitating R&D with import duty waivers

SHTP provides import duty exemptions to facilitate research and development activities and to enable the acquisition of essential equipment and materials for businesses:

Equipment, machinery, and special-use means of transport

Companies investing in SHTP can import machinery, equipment, specialized means of transport, and raw materials for technology production without incurring import duties.

Components, details, spare parts, and accessories

Components, details, knocked-down parts, spare parts, fittings, and accessories accompanying imported machinery and equipment are also exempt from import duties.

Raw materials and supplies: Raw materials, supplies, and building materials that cannot be domestically produced yet, used for manufacturing equipment and machinery or included in technological lines, can be imported without import duties.

Import/Export Duty and VAT Exemption

SHTP provides further incentives by exempting import and export duties and applying a 0% VAT rate to goods imported for direct use in scientific research and technological development.

Soft Incentives

Apart from tax incentive in Saigon Hi Tech Park, there soft incentives to enhance the investment experience and foster a conducive environment for business growth:

Access to SHTP Open Labs resources

Companies at SHTP can enjoy free access to the park’s information library and state-of-the-art laboratories, ensuring they stay up-to-date with the latest trends and developments in their respective industries.

Subsidized training for employees

SHTP provides training support for hired and pre-hired employees at the SHTP Training Center, enhancing their skills and knowledge to meet the demands of advanced technological ventures.

Access to preferential loans and grants

Investors at SHTP can access preferential loans and grants from the Ho Chi Minh City Science and Technology Development Fund, providing a financial boost to their innovative projects.

Multiple entry visas for expatriates

Foreign investors and professionals benefit from multiple-entry visas, easing the process of traveling to and from SHTP for business purposes.

By offering a comprehensive range of tax and non-tax incentives, Saigon Hi Tech Park has become a magnet for high-tech investments, promoting technological advancements, fostering innovation, and contributing to the economic growth and development of the region and the nation as a whole.

Conclusion

Tax incentive in Saigon Hi Tech Park continues to attract tech-driven businesses, fostering innovation and driving economic growth. By providing a collaborative ecosystem and supporting research and development, SHTP empowers businesses to realize their full potential and contribute to Vietnam’s journey towards becoming a leading technology and innovation hub in the region.