Workers at a factory in Hải Phòng. — VNA/VNS Photo

HÀ NỘI — Việt Nam is laying out the red carpet for science and technology enterprises, with a draft decree proposing a wide range of incentives to boost innovation and commercialisation, the Ministry of Science and Technology has said.

The draft specifies support mechanisms covering taxation, land use, credit preferences and assistance for research activities and the commercialisation of scientific and technological results.

Enterprises in this sector will benefit from preferential corporate income tax rates, and tax exemptions or reductions for projects in specially incentivised investment areas. Income from the production and business of scientific and technological products will qualify for these preferences under current corporate income tax regulations.

For software-based services, products must be formally recognised as new services to receive preferential tax treatment. When new products are added to an enterprise's Science and Technology Enterprise Certification, the business will continue to enjoy the same tax benefits as initially granted, calculated from the date of the product addition.

Salaries and wages earned by researchers for scientific and technological tasks will also be exempt from personal income tax.

The decree outlines comprehensive credit preferences for enterprises engaged in research, technology development, innovation and production activities. Qualified businesses may access state investment credit loans for projects producing scientific and technological products in accordance with existing laws.

Additionally, enterprises may receive funding and interest rate support from the National Technology Innovation Fund, as well as from science and technology development funds operated by ministries, Government agencies and provincial authorities.

The proposed decree also includes land use incentives, with specific implementation details to be provided in subsequent guidelines. This comprehensive package aims to create favourable conditions for science and technology enterprises to enhance research capabilities and accelerate the commercialisation of innovative products. — VNS