Investment Current

 

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Source: http://en.investinlongan.vn

Source: http://en.investinlongan.vn    

​Up to now, the whole province has 19 operating industrial clusters with a total area of 904.3 hectares, has leased 586.6 hectares. Industrial clusters attracted 544 projects with a total investment capital of VND15,635 billion. Of these, these are 60 foreign direct investment (FDI) projects with total investment capital of USD 209 million. The occupancy rate of industrial clusters is 86.55%.

A production line of a fertilizer enterprise in Tan An City's industrial cluster

In the first nine months of 2018, the provincial People's Committee has set up six industrial clusters covering an area of 379.6 hectares including Hoang Gia, Dua Hoa Dong, Thanh Yen, My Kim, Tan Dong Tien and Tan My.

Besides, the Long An Department of Industry & Trade has proposed People's Committee to establish two more An Long and Tu Phuong industrial clusters. As per result, Long An has now total 40 industrial clusters covering 1,908 hectares.

Reported by Gia Han

Translated by Lan Vy​​

• Pursuant to the Land Law in 2013;
• Pursuant to Decree No. 46/2014 / ND-CP on collection of land rents and water surface rents.

II.Content

1.  Exemption from land rent and water surface rent for the whole period of the lease in the following cases:

a)Investment projects in the fields of special investment incentives invested in economic areas - especially social difficulties.

b)Projects using land for construction of housing for workers in Industrial parks under projects approved by competent authorities, the investors do not count the cost of rent on the rental price.

c)Land use project build student dormitories with money from the state budget, units assigned to manage the use of students are not counted in the cost of rent on the rental price.

d) Agricultural land for ethnic minorities; implementation of the project land to plant protective forests and plantations encroaching.

đ)Land construction career public service organizations; Land for construction of scientific research of the scientific enterprise and technology if they meet the relevant conditions (if any) include: Land for construction of laboratories, land for construction technology incubators and business incubators, science and technology, building land empirical basis, land for construction of pilot production.

e) Land for construction of works provides aviation services other than land for construction of works in service of business aviation services.

g) The cooperative agricultural use as ground-based construction cooperative, drying, storage; building service facilities directly serving agricultural production, forestry, aquaculture and salt.

h)Land to build the station maintenance, repairs, parking (including ticketing area, the management and administration, public service areas) serving for the operation of public passenger transport as prescribed the law on road transport.

i)Land for construction of water supply projects including mining works, water treatment, pipeline and construction on the water supply pipe network and works to support the management and operation of water supply systems (home administrative, management, administration, factories, warehouses of supplies and equipment).

k)Land for construction of infrastructure for common use in Industrial parks, Industrial parks and export processing zones planned to be approved by the competent authority provided for in Clause 2 of Article 149 of the Land Law.

2.  Exemption from land rent and water surface rent exemption period after land rent and water surface rent of construction time as stipulated in Clause 2 of this article, as follows:

a)  Three (3) years for projects on the list of sectors in which investment incentives; production facilities for the new business of economic organizations implement planned relocation, relocation due to environmental pollution.

b)  Seven (7) years for investment projects in areas with difficult socio - economic difficulties.

c) Eleven (11) years for investment projects in areas with economic conditions - especially social difficulties; investment projects on the list of areas of special investment incentives; projects on the list of investment incentive sectors are investing in areas with difficult socio - economic difficulties.

d)  Fifteen (15) years for projects on the list of investment incentive sectors are investing in areas with economic conditions - especially social difficulties; projects on the list of areas of special investment incentives invested in areas with difficult socio - economic difficulties.

The list of sectors of investment incentives, areas of special investment incentives, areas with difficult socio - economic difficulties in areas with economic conditions - particularly difficult social comply with regulations investment law.

List of regions preferential land rent applies only to areas with specific administrative boundaries.

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• The exemption from land rent in the economic zones, high-tech zone comply with the provisions of the Government or the Prime Minister on investment incentives for economic zones, hi-tech parks.
• The exemption of land rent for the land use project for construction of public works for business purposes (socialization) in the fields of education, vocational training, health, culture, sports, environment, real comply with the provisions of the Government on policies to encourage socialization of activities in the fields of education, vocational training, health, culture, sports, environment.
• The land rent exemption for investment projects in agriculture and rural areas comply with the provisions of the Government on investment incentives in agriculture and rural areas.

Reduction of land rent and water surface rent in the following cases:

a)  Cooperative Land leased for use as a production and business premises 50% reduction of land rent.

b) Lease of land and water surface rent for use for the purposes of agriculture, forestry, aquaculture or salt affected by natural disasters, fires cause damage below 40% of the rent to be reduced relative rotten; the loss is 40% or more will be free of rent for the year of loss.

c)  Lease land and surface water for use in production and business purposes and not for agricultural production, forestry, aquaculture or salt or not the cases provided for in Clause 2 of this Article when natural disasters, fires, accidents majeure, the 50% reduction of land rents and water surface in time to stop the production and business.

• The reduction of land rents in the economic zones, high-tech zone comply with the provisions of the Government or the Prime Minister on investment incentives for economic zones, hi-tech parks.
• The reduction of land rent for the investment projects in agriculture and rural areas comply with the provisions of the Government on investment incentives in agriculture and rural areas.
• Source: http://dpi.longan.gov.vn

​- ​From 01/01/2016, the regular corporate income tax of 20%.

- The tax rate of 17% applied 10 years for the project in areas with difficult socio-economic conditions, include: Kien Tuong town; Tan Thanh district, Duc Hoa district, Thanh Hoa district.

- The tax rate of 10% applied 15 years for the project in areas with special difficult socio-economic conditions, include: Duc Hue district, Moc Hoa district, Vinh Hưng district, Tan Hung district and Long An border Economic zone.

Vietnam Law No. 67/2014/QH13 dated November 26, 2014 of the National Assembly on Investment (Vietnam investment law) - Download

I. Incentives for invest in industrial parks of Long An province.

a. Tax exemption for 2 years, reduction of 50% of tax for the next 4 years for incomes from performing new investment projects when invest in all industrial park in Long An.

b. Tax exemption for 4 years, reduction of 50% of tax for the next 9 years for the project specified in Decree No. 118/2015/ND-CP date 12/11/2015.

c. Other incentives:

- Goods imported to create fixed assets of investment projects in domains entitled to import duty preferences or in geographical areas entitled to import duty incentives.

- Exemption from import duties for goods imported in Decree No. 87/2010/ND-CP dated August 13, 2010 of the Government detailing a number of articles of the Law on Import Duty and Export Duty. .

II. Incentives for invest in the economic zone of Long An province

(Pursuant to Decision 72/2013/QD-TTg date 26/11/2013 and Circular 109/2014/TT-BTC dated 15/08/2014 of the Ministry of Finance))

a. Corporate income tax incentives

- Tax rate of 10% within 15 years

- Exemption 4 years, 50% tax rate in the next 09 years.

b. Personal income tax incentives

Vietnamese and foreigners directly working or involved in production and business activities in border-gate economic zones, having incomes from their jobs and production and business activities in border-gate economic zones and being liable to personal income tax under the Personal Income Tax Law are eligible for 50% reduction of payable tax amounts.

c. Value-added tax incentives

Commodities and services ineligible for the value-added tax rate of 0% prescribed in Decision 72/2013/QD-TTg date 26/11/2013 and Circular 109/2014/TT-BTC dated 15/08/2014 of the Ministry of Finance.

d. Export duty and import duty incentives

Commodities exported, imported in border-gate economic zones are exempt by Decision 72/2013/QD-TTg date 26/11/2013 and Circular 109/2014/TT-BTC dated 15/08/2014 of the Ministry of Finance.

e. Land rent and water surface rent incentives

Investment projects in border-gate economic zones are exempt from land rent and water surface rent under the Government's Decree No. 142/2005/ND-CP of November 14, 2005, on the collection of land rents and water surface rents, and Decree No. 121/2010/ND-CP of December 30, 2010, amending and supplementing a number of articles of Decree No. 142/2005/ND-CP of November 14, 2005.

f. Land use levy incentives

Investors who wish to use land in border-gate economic zones as production and business grounds and choose the form of land allocation with land use levy payment, will be allocated land by the State and pay land use levy; enjoy land use levy exemption and/or reduction under the Government's Decree No. 198/2004/ND-CP of December 3, 2004, and Decree No. 44/2008/ND-CP of April 9, 2008, on the collection of land use levy and Decree No. 120/2010/ND-CP of December 30, 2010, amending and supplementing a number of articles of Decree No. 198/2004/ND-CP of December 3, 2004..

Source: ​Long An Economic Zone Authority (LAEZA)​

​Begin from 01/7/2015, Enterprise Law 2014 and Investment Law 2014 takes effect. Foreign investor may establish business organizations in accordance with law. Before establishing a business organization, the foreign investor must have an investment project and apply for a Certificate of investment registration following the procedures in Article 22 & 37 of Investment Law 2014. Investors invest in industrial parks and economic zones of Long An province should know following information:

Certificate of investment registration

Limit time: 10 (ten) working days, after receipt of a valid application

Perform at: Long An Economic Zone Authority

Address: 65B Chau Van Giac, Ward 2, Tan An City, Long An Province - maps

Phone: +84 72 3825445 - Fax: +84 72 3825442

Website: http://bqlkkt.longan.gov.vn/ - Email: bqlkkt@longan.gov.vn

Please visit another link:

https://dautunuocngoai.gov.vn/fdi

For instruction please contact:

Planning and Investment Division – Long An Economic Zone Authority

Phone: +84 72 3825 446 - Email: bqlkkt@longan.gov.vn

The investment registration procedures: download - File for reference:

Registration certificate of business organizations

Limit time: 03 (three) working days, after receipt of a valid application

Perform at: Department of Planning and Investment of Long An province

Address: 61 Truong Dinh Street, Ward 1, Tan An City, Long An Province - maps

Phone: +84 72 3837 127 - Fax: +84 72 3825 044

Website: http://skhdt.longan.gov.vn/ - Email: skhdt@longan.gov.vn 

The business organizations registration procedures:

For instruction please contact:

Business Registration Division - Department of Planning and Investment of Long An province

Phone: +84 72 3826 428 - Email: dkkd@longan.gov.vn

Source: Long An Economic Zone Authority (LAEZA)

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​​Pursuant to the Law on Corporate Income Tax dated June 3, 2008 and the Law amending and supplementing some articles of the Law on Corporate Income Tax dated June 19, 2013;

• Pursuant to the Law amending and supplementing some articles of the Law on tax dated November 26, 2014;
• Pursuant to Decree No. 12/2015 / ND-CP dated February 12, 2015 of the Government detailing the implementation of the Law amending and supplementing some articles of the Law on tax and amending and supplementing some articles of the Decree on taxes;
• Pursuant to Circular No. 96/2015 / TT-BTC guiding the corporate income tax in Decree No. 12/2015 / ND-CP of the Government dated 12/02/2015 detailing the implementation of the Law on Amendments and supplementing some articles of the Law on taxes and amendments to some articles of the Decree on tax and amending and supplementing some articles of Circular No. 78/2014 / TT-BTC dated 18/6 / 2014, Circular No. 119/2014 / TT-BTC dated 25/08/2014 of Circular No. 151/2014 / TT-BTC dated 10/10/2014 of the Ministry of Finance.

II.Content

LONG AN (according to the list of regions preferential Corporate Income Tax issued with Decree No. 218/2013 / ND-CP dated December 26, 2013 of the Government)

• Areas with difficult social and economic conditions: Kien Tuong town; Duc Hue, Moc Hoa, Tan Thanh, Duc Hoa, Vinh Hung, Tan Hung.

1.     Preferential tax rates

The preferential rate of 10% for a period of fifteen years (15 years) applies to:

a) Income from implementation of enterprise projects new investments in: a region with economic conditions - particularly difficult social provisions in the Annex issued with Decree No. 218/2013 / ND-CP economic zones, high-tech parks including the information technology area focus was established by decision of the Prime Minister.

b)The income of the business from the implementation of new investment projects in the following fields: scientific research and technological development; high-tech applications in the list of high-tech investment and development priorities in accordance with the Law on High Technology; High-technology incubators, business incubators, high-tech; venture capital for high-tech development in the list of high-tech development priorities in accordance with the law on high technology; construction investment - business incubators high technology business incubators tech; investment in the development of water plants, power plants, water supply and drainage systems; bridges, roads and railways; airports, seaports, river ports; airports, railway stations and infrastructure projects especially important due to the Prime Minister for decision; manufacturing software products; producing composite materials, construction materials, light, rare materials; producing renewable energy, clean energy, energy from waste disposal; biotechnology development.

c)Income from implementation of business projects in the fields of new environmental protection, including equipment manufacturing environmental pollution treatment, monitoring equipment and environmental analysis; pollution treatment and environmental protection; collection and treatment of waste water, waste gas and solid waste; recycling and reuse of wastes.

d) High-tech enterprises, agricultural enterprises high-tech applications in accordance with the Law on high technology.

đ)Income from implementation of business projects of new investment in the manufacturing sector (excluding projects produced goods subject to excise tax, mining projects) meets one of two criteria:

• The project has an investment capital registered for the first time a minimum of 6 (six) trillion dongs, disburse no more than 3 years from the time of initial investment permitted under the investment law and A total minimum turnover of 10 (ten) trillion dongs /year at the latest after 3 years from the year the revenue from investment projects (4th slowest year since revenues have now reached total sales minimum fee of 10 (ten) trillion dongs /year).
• The project has an investment capital registered for the first time a minimum of 6 (six) trillion, disburse no more than 3 years from the time of initial investment permitted under the investment law and frequent use of over 3,000 employees at the latest after 3 years from the year the revenue from investment projects (4th slowest year since business revenue to achieve conditions of use regularly average number of employees 3,000 per year on labor).

e)Income from implementation of business projects in the manufacturing sector, excluding commodity production projects excise tax and mining projects, capitalized at a minimum investment of 12 (twelve) trillion, use of technology must be evaluated in accordance with the Law on high technology, science and technology law, shall disburse the total registered capital not exceeding 5 years from the date are permitted to invest in accordance with the law on investment.

g) Income from implementation of enterprise projects new investment product manufacturer on the list of products supporting industry development priorities to meet one of the following criteria:

• Industrial products supporting high technology as stipulated by the Law on high technology;
• Industrial products supporting product manufacturing industries: textile - apparel; Leather - Footwear; electronics and information technology; automotive production and assembly; mechanical engineering that these products as of 01 May 01, 2015 which cannot be manufactured or produced but must meet the technical standards of the European Union (EU) or equivalent.

The preferential rate of 10% during the operation applies to:

a)  Income from the operation of the business socializing in the field of education - education, vocational training, health, culture, sports and the environment, judicial assessment (hereinafter referred to as the field socialize).

b)  15% tax rate on corporate income from farming, livestock production and processing in the field of agriculture and fisheries in regions other than areas with socio-economic conditions or areas with difficult conditions special socio-economic difficulties."

c) The income of the publishing activities of the Publisher under the provisions of the Law on Publication.

d)  Income from print activities (including advertising in print) of the press agency under the provisions of the Press Law.

e) The income of the business from implementing investment projects - social housing business to sell, lease or lease-purchase for the objects defined in Article 53 of the Housing Law.

f)   Income from business: planting, care and protection; income from crops, livestock, aquaculture, agro-processing, fisheries in areas of socio-economic difficulties; Forestry farming conditions in areas with difficult socio-economic; Production, human and plant breeding animals; Manufacturing, mining and production of refined salt unless specified in Clause 1, Article 4 of Decree No. 218/2013 / ND-CP; Investment preservation of agricultural products after harvesting, preservation of agricultural, fisheries and food, including direct investment to preserve investment for rental or storage of agricultural products, fisheries and food. "

g)  The income of the cooperative activities in the field of agriculture, forestry, fisheries and salt not in the economic - social problems and economic areas - especially social difficulties.

The preferential rate of 20% in ten years (10 years) applies to:

a)  The income of the enterprise from the project implementation of new investment in a region with economic conditions - social difficulties specified in Annex issued with Decree No. 218/2013 / ND-CP .

b) The income of the business from the implementation of new investment projects: the production of high quality steel; producing energy-saving products; manufacturing machinery and equipment for production of agriculture, forestry, fishery and salt; irrigation equipment manufacturing; production and refining of animal feed, poultry and seafood; development of traditional industries (including construction and development of traditional industries in producing handicrafts, processed agricultural products and foodstuffs, cultural products).

Enterprises to implement new investment projects in the field of geographical tax incentives provided for in this Clause from January 01, 2016 the tax rate of 17%.

The preferential rate of 20% during operation (from 01/01/2016 to apply the tax rate of 17%) to be applied to people's credit funds, banks and cooperative financial Organizations microfinance.

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For the People's Credit Fund, cooperative banks and micro finance institutions established in areas with new economic conditions - particularly difficult social provisions in Annex issued with Decree No. 218/2013 / ND-CP of the Government after the expiration of the tax rate of 10% specified in Clause 1 of this Article, to apply the tax rate of 20%; from 01/01/2016 to apply the tax rate of 17%.

2.      Incentives for tax holidays and tax reduction

Tax exemption for four years, 50% of the tax payable in the next nine years to:

a)  Income from implementation of business projects prescribed in Clause 1 of Article 19 of Circular No. 78/2014 / TT-BTC (as amended and supplemented in Clause 1, Article 11 of Circular No. 96/2015 / TT-BTC) ".

b)  The income of the business from the implementation of new investment projects in the field of social mobilization carried out in areas with difficult socio - economic difficulties or exceptional difficulties specified in the Annex attached to Decree No. 218/2013 / ND-CP.

2.2   Tax exemption for four years, 50% of the tax payable in the next five years for the income of the business from the implementation of new investment projects in the field of social mobilization carried out in areas not in the list of areas economic conditions - social difficult or extremely difficult specified in Annex issued with Decree No. 218/2013 / ND-CP of the Government.

2.3  Tax exemption for two years and 50% of the tax payable in the next four years on income from investment projects implemented new provisions in Clause 4 of Article 19 of Circular No. 96/2015 / TT-BTC and income of the business from the implementation of new investment projects in Industrial parks (except industrial park located in the urban districts of special grade, grade I under the central and industrial park located in desk municipalities provincially type I).

3.      The case of other tax breaks

• Business activity in the manufacturing sector, construction, transport use from 10 to 100 women workers, including women workers of more than 50% of the 150 employees a regular or frequent use over 100 female workers that some female workers accounted for over 30% of their regular employees of the Corporate Income Tax reduction corresponding payable now with the amount actually spent more for female workers under the guidance of Item clause 2.9 Clause 2 of Article 6 of Circular No. 96/2015 / TT-BTC if separately accounted.
• Business Employers are ethnic minorities are reduced Corporate Income Tax payable corresponds to the amount actually spent more workers from ethnic minorities guidance at Item b, Point 2.9, Clause 2, Article 6 Circular No. 96/2015 / TT-BTC if separately accounted.

• Enterprises to implement technology transfer under the priority areas transferred to organizations and individuals in areas with difficult socio - economic difficulties 50% reduction of corporate income tax payable on the income from technology transfer.
• Source: http://dpi.longan.gov.vn​

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Lemon, dragon fruit are two of the agricultural products with high export value of the province 

Accordingly, the exported products are various, the quality of exported products is improved, raising the competitiveness and reaching the market demanding high quality such as EU, US, Japan, and Korea.

In 800 export enterprises, there are 90 enterprises exporting over USD 10 million, focusing on commodities: Rice, seafood, cashew nuts, coffee, bear, shoes, textiles, steel, battery, plastic products, and electronic components. Especially, the province's products have 8 export markets over USD 100 million products of the province (China, Taiwan, Korea, US, Japan, Hong Kong, Cambodia, and Vietnam (in-place export), and 26 export markets over USD 10 million.

In the first 6 months of 2018, the province's export turnover was estimated at USD 2.55 billion, increasing by 20.9%; import turnover was estimated at USD 1.93 billion, increasing by 3.4% over the same period of 2017./.

Reported by Gia Han

Translated by Lan Vy ​

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The delegation of Long An province visits and works in Hyogo province, Japan (2012)

In addition, through visits, business trip, two-way investment and trade promotion activities between Long An and some localities in Japan, the two parties have initially agreed to promote cooperation on many fields. Accordingly, the Japanese side would support investors and scientists to improve cultivation processing techniques for key agricultural products and train and to train high-quality human resources in the agricultural section of the province, etc.   

The current trend of international integration, the establishment and development of friendly relations between Long An and the localities in Japan, together with the above positive results, is an important foundation for strengthening the solidarity and friendship between the authorities and people of Long An with Japan, following the chain of friendship activities that Long An province has been implementing in 2018 in order to commemorate the 45^th anniversary of the establishment of diplomatic relations between Vietnam and Japan.

Reported by Truong Hoang Giang

Translated by Lan Vy ​

Source: http://en.investinlongan.vn

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Long Hau industrial zone in Can Giuoc district - a bright sport in FDI attraction in Long An (Source: VNA)

According to Can, the province has stepped up investment promotion both inside and outside Vietnam, targeting big groups.

It has also implemented administrative reform well, improved the business and investment climate, and increased its ranking on the provincial competitiveness index, especially in the fields of investment, land, taxation, customs, and labour.

In addition, Long An has regularly organised dialogues with investors to help them deal with difficulties and speed up the implementation of projects, while at the same time working to build a convenient, open, and transparent business and investment environment.

Attention has been paid to intensifying tax inspections over foreign-invested enterprises to detect violations early in order to ensure equality in tax declaration and payment for businesses.

Since the beginning of the year, Long An has granted investment licences to 51 projects worth 193.8 million USD. Moreover, 91.1 million USD has been added to 50 existing projects in the period. To date, the province has attracted 928 FDI projects with a total registered capital of over 5.9 billion USD, mainly in the fields of garment and textiles, footwear, and food processing.

Taiwan (China) ranks first in both the number of projects and capital amongst the 37 nations and territories investing in the locality, with a total of 192 projects worth 1 billion USD. It is followed by the Republic of Korea, Japan, China, and Singapore.

The export turnover for FDI enterprises enjoyed an average growth of 27.6 percent per year during 1996-2016, with the value hitting 2.6 billion USD last year. The number of foreign-invested exporters rose from 18 in 1996 to 300 at the last count.

Nguyen Van Tieu, Director of the provincial Department of Planning and Investment, said that FDI enterprises have made significant contributions to the locality's industrial production and exports. Their contributions to the State budget have increased year after year, but only accounted for 22 percent of the province's total budget collection in 2017. 

The figure has yet to meet the enterprises' potential in terms of development investment, he said.

He added that FDI enterprises currently employ some 126,000 labourers, equal to nearly half of the locality's total labourers./.

Source: VNA​

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Vice Chairman of the provincial People's Committee – Mr. Nguyen Van Duoc, Vice Chairman of the provincial Fatherland Front Committee – Mr. Le Van Hung reward typical enterprises

From early 2017 to now, the province has nearly 2,200 newly registered enterprises with registered capital of VND 31,580 billion. Up to now, Long An has more than 10,000 enterprises operating with a total registered capital of over VND 243,000 billion.

At present, the provincial People's Committee launches the emulation movement "Long An enterprises: integration and development" in the period 2017 – 2020. Accordingly, the province continues to improve the investment and business environment and support enterprises to enhance competitiveness and operating quantity. By 2020, the Provincial Competitiveness Index (PCI) strives to be in the top 10, the social investment rate/GRDP reaches 40-42%, 70% of laborers are trained, 150,000 jobs are created within 5 years, one enterprise/135 people, and filling at least 80% of industrial clusters and increasing the occupancy rate of industrial parks.

To timely encourage and recognize the contributions of enterprises, the provincial People's Committee rewarded 138 enterprises, including 9 golden trophies for outstanding enterprises, 14 emulation flags and 115 certificates of merit.

Vice Chairman of the provincial People's Committee – Mr. Nguyen Van Duoc is speaking at the conference

Speaking at the conference, Mr. Nguyen Van Duoc noted and praised the outstanding results, positive contributions of the business community to the overall development of the province. In the coming time, enterprises should actively study and apply advanced technologies in production in order to increase the productivity, thoroughly save costs to keep reasonable prices, and improve qualifications, skills and productivity, and pay special attention to raising incomes of laborers.

Reported by TV

Translated by Lan Vy

Source: http://en.investinlongan.vn

​ Source: http://en.investinlongan.vn