Feb. 9 – According to the Authority for Hanoi Industrial and Export Processing Zones, the city has so far attracted US$4.14 billion worth of projects in its industrial parks.
Of the total 508 licensed projects, 240 are domestic projects worth US$3.533 billion while the rest is composed of 268 foreign-invested projects. In 2009, the IPs were able to sign in US$130.79 million of projects, including US$91.4 million of foreign direct investment. Read the rest of this entry »
Feb. 5 – The Ministry of Finance has sent Letter 118/BTC-TCT informing provincial tax authorities on how to treat interest income earned for companies in their pre-operating phase.
Interest income earned for a company in construction or pre-operating phase shall not be included under corporate income tax (CIT) incentives. The company must pay CIT on interest income following applicable regulations and the tax recognition of this income will not begin the commencement of the CIT incentive period. Read the rest of this entry »
HANOI, Feb. 4 – The city will host the first International Fair for Investment and Trade from February 5 to 7 in My Dinh Sport Complex to facilitate investment, exports, brand advertising and franchising deals between foreign and local businesses.
The event was organized by Hanoi’s Association for Vietnamese Overseas, the Hanoi Business Association, the Vietnam Chamber of Commerce and Industry and Vietnam Television. It will feature 500 booths showcasing various products and services as part of an international trade and investment promotion program to benefit the domestic market. Read the rest of this entry »
Feb. 3 – Vietnam’s Ministry of Planning and Investment has enumerated six obstacles to foreign direct investment in Vietnam based on a survey.
Businesses cite Vietnam’s legal system, cumbersome administrative procedures, underdeveloped infrastructure and transport systems, high input, high expenses for land and ineffective investment promotions as reasons that hinder investment in the country. Read the rest of this entry »
Feb. 2 – All maritime cargo heading to the United States are now required to file a pre-notice to U.S. customs on their shipments 24 hours prior to vessel loading.
The rule was implemented since 2008 but was not strictly enforced but beginning January 26 it will be on its mandatory filing and enforcement phase. Penalties worth US$5,000 will be charged to companies that fail to comply with the new rule in addition to possible increased inspections and delay of cargo.
Feb. 1 – The Vietnam Chamber of Commerce and Industry and the U.S. Agency for International Development’s Vietnam Competitiveness Initiative have recently released a report ranking the competitiveness of each province in the country in 2009.
The index is useful for investors looking at entering Vietnam because it gives a comprehensive look of the country’s 63 provinces and more importantly gets into the details of why certain provinces have better economic growth than others. Read the rest of this entry »
Jan. 29 – Vietnam’s Finance Ministry has announced that local companies will be given value added tax exemptions for goods sold overseas.
The new circular does not exempt local companies from export and import tariffs, corporate income taxes and double taxation avoidance agreements with other countries. Local companies reported revenue losses or profits abroad although not reaching taxable threshold will just need to submit their financial reports to the government to calculate for corporate tax income. Read the rest of this entry »
HANOI, Jan. 27 – Authorities want to target US$180 million worth of new investment projects for 2010, an increase of 37.62 percent compared to the previous year.
Last year, 16 local projects worth VND728 billion and 27 foreign direct investment projects capitalized at US$91.4 million were approved in Hanoi. The city now has a total of 14 industrial parks, behind Dong Nai with 28, Binh Duong with 21 and Ho Chi Minh City with 17. Read the rest of this entry »
Jan. 26 – Vietnam’s Ministry of Finance is now allowing foreign firms in the country to choose the currency unit they want to use for accounting purposes.
Previously, accounting records were required to be maintained in Vietnamese dong. Foreign companies wanting to use another currency for their financial records needed to submit an application form to the ministry. Read the rest of this entry »
Jan. 25 – Vietnam will impose a new special consumption tax of 45 percent on beer and other alcoholic drinks until 2012.
The General Department of Taxation announced that beer and spirits higher than 40 proof will slapped a 45 percent tax and 50 percent afterward. Alcohol with less than 40 proof will be meted a lower tax of 25 percent.
Previously, wine labeled less than 40 proof was charged a 20 percent tax and stronger drinks were charged a 30 percent to 65 percent tax. Vietnam has been imposing high tax rates on alcohol in the past years. For 2006-2007, beer was taxed 30 percent and 40 percent to 75 percent for 2008-2009.
Dezan Shira & Associates provide a range of services for companies looking to undertake foreign direct investment into Asia, These include corporate establishment, accounting, tax, payroll, audit 
and due diligence. To learn more about the firm, please contact one of our specialists at vietnam@dezshira.com, download our corporate brochure or visit at us www.dezshira.com
