Vietnam to develop road map to implementation of global minimum tax

Vietnam to develop road map to implementation of global minimum tax

According to the Directive, in order to prepare favorable conditions for attracting investment and business production, the Prime Minister of Vietnam assigns the Ministry of Finance of Vietnam to:

(i) Review inadequacies and inconsistencies of laws on tax with specialized laws on beneficiaries of tax incentives to propose, develop, or present them to competent authorities for promulgation of laws on tax in synchronicity with relevant laws or promulgate such laws under its jurisdiction in the 3rd quarter of 2023;

(ii) Review and complete current laws and develop a road map to implementation of global minimum tax based on international experience and in conformity with the actual context and situation of Vietnam for presentation at the 6th meeting session of the National Assembly of Vietnam in 2023;

(iii) In the 3rd quarter of 2023, present regulations on PIT incentives for foreign specialists, overseas Vietnamese specialists, and high-quality domestic personnel to the Government of Vietnam for amendments to increase high-quality personnel resources in Vietnam.

Additionally, the Prime Minister of Vietnam assigns People’s Committees of provinces and centrally affiliated cities to:

- Take charge and cooperate with relevant ministries and central authorities in developing and issuing criteria and conditions for investment rate per land area and criteria for the number of employed workers as prescribed in the Law on Investment and Decree No. 31/2021/ND-CP, performing as authorities issuing certificates of investment registration, conducting monitoring, inspection, and supervision.

- Proactively approach and acknowledge existing difficulties of investors to identify current difficulties and propose the completion of policies and laws. Urgently and resolutely resolve difficulties of enterprises caused by the implementation process.

- Regarding important and pervasive projects, cooperate with ministries and central authorities in developing schemes for incentives and support to communicate with investors, ensuring compliance with current laws and competitiveness compared to other countries.

- Review, develop, and direct the orientation to investment attraction to areas suitable for local socio-economic development plans and strategies during 2021-2030.

- Continue to improve the investment environment and proactively develop and implement effective investment promotion activities in conformity with the new situation.

- Shape the industrial production space and fields related to investors' orientations and assist provinces in establishing a connection for the efficiency of investment projects.

- Prepare planning for industrial production areas to develop environmental protection sustainably, associate industrial zones with urban areas, housing areas for specialists, and safe and healthy living environment conditions. Establish intensive industrial production areas to contribute to the development of economies of scale toward sustainable modernization and industrialization.

- Combine new digital technologies such as virtual reality and augmented reality to develop digital maps of industrial zones and industrial clusters with descriptions of the production status to assist foreign investors in visualizing and determining suitable investment locations in Vietnam.

See more details in Directive No. 14/CT-TTg promulgated by the Prime Minister of Vietnam on May 24, 2023.

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