Human resources for information technology will be reduced 50% income tax

Illustration photo        Source: Internet.

Accordingly, within the competence of the National Assembly, the Government would supplement the income of business from the implementation of projects producing digital information content, software services, manufacturing of key IT products, safety information troubleshooting service, safety information will receive preferential enterprise income tax as it is applicable to the project to produce software products under the provisions of the enterprise income tax Law .

At the same time, reduce 50% of the personal income tax payable on income from salaries and wages of the high-tech individuals and manpower working in the IT field, the team who has the qualifications and skills to meet the requirements of research, development and application of high technology in the field of IT; high-tech services in the field of IT, manage high-tech activities in the IT sector; operation of equipment, production lines of high-tech products in IT field; safety management information system.

Under the jurisdiction of the Prime Minister, the Government will decide on additional IT operations which need special incentives such as production and software services; design services, IT consulting; systems integration services; management services, maintain IT systems; outsourcing IT systems; security service information system does not use civilian screct code,  processing services, mining data and database; information search services on the Internet; data center services; outsourced services for export; electronic signature certification services in Portfolio activities in the fields of scientific research and technology development, high-tech Portfolio investment and development priorities and Portfolio of high-tech products is encouraging development

The case of new investment projects in the fields of IT need to encourage investment with regular use over 1,000 employees (including cases where the project has a timed 15-year tax rate of 10%), be extended for the period of application tax rate of 10% in 15 years.

In the Resolution, the Government assigned the Ministry of Finance guiding the implementation of the preferential enterprise income tax for the information technology operations of Portfolio fields of scientific research and technology development, high-tech Portfolio development investment priorities and Portfolio high-tech product development promotion as stipulated by the Prime Minister, completed in May 10-2016.

Besides, the Ministry of Finance also hosted, in collaboration with the Ministry of Justice, Ministry of Information and Communications and the relevant ministries, agencies submitted to the Government and report to Parliament amending and supplementing the personal income tax Law,  enterprise income tax Law to implement the solution in an appropriate time and to promote the information and propaganda of tax solutions in this Resolution to organizations and individuals to know and track, monitor the implementation.