BEN TRE INCENTIVE POLICIES ON INVESTMENT
At present, Ben Tre province has two industrial parks (IP) belonging to National industrial park system including Giao Long and An Hiep in Chau Thanh district. Giao Long IP (100 hectares of phase 1) and An Hiep IP (72 hectares of phase one) and land is available for lease. In the long term development plan of industrial park to 2020, Ben Tre will have 5 additional industrial parks, with total area of 1,600ha. New industrial parks will be located in Chau Thanh, Mo Cay Bac, Mo Cay Nam and Giong Trom.
CHARGES AND COSTS IN GIAO LONG AND AN HIEP INDUSTRIAL PARKS - PHASE 1
Items
Current charge
Land leased charge for Giao Long industrial park
US$0.5/m2/year
Land leased charge for An Hiep industrial park
US$0.6/m2/year
Maximum leasing duration
50 years
Charge exemption
2 years
Charge exemption during factory construction time
Not over 24 months
Infrastructure-utility use charge
US$0.25/m2/year
Waste water treatment charge (Waste is categorized type C)
US$0.35/m3
Waste water treatment charge
US$0.15/m3
INVESTMENT OUTSIDE THE INDUSTRIAL PARKS
Information
Land leased charge
Up to each location leased, charge rate is from 0.5-2% comparing with the price of land declared annually by the Provincial Government.
Fixed charge
In 5 years
3-15 years up to each district, where the land located.
Water surface lease
From 10 to 100 million VND/year for fixed water surface use.
From VND 50 to 250 million VND for non-fixed water surface use.
CORPORATE INCOME TAX (CIT)
CIT rate
Applied objects
20% (applied in the first 10 years since the start of production or business activities.
Newly-established enterprises from investment projects which are located in Chau Thanh, Giong Trom, Mo Cay Nam, Mo Cay Bac, and Cho Lach districts.
10% (applied for the whole cycle of the project)
For projects in education – training, health care, culture, sport and environment
10% (applied in the first 15 years since the start of production or business activities.
Newly-established enterprises from investment projects located in Thanh Phu, Ba Tri, and Binh Dai districts.
Newly-established enterprises from investment projects in fields of: high technology as regulated in legal regulations, science research and technological development, production of software products.
Invest in upgrading water supply plant, electricity supply plant, supply and drainage system; bridges, roads, railways; air port, sea port, river port and other especially important infrastructure works which are decided by the Prime Minister.
Number of years of exemption and reduction
Condition
Exemption for 02 years when Enterprises earn profit and reduction to 50% amount of tax for the 04 subsequent years
For newly-established enterprises from projects located in Chau Thanh, Giong Trom, Mo Cay Nam, Mo Cay Bac and Cho Lach districts
Exemption for 04 years when Enterprises earn profit and reduction to 50% amount of tax for the 04 subsequent years
For newly-established enterprises in socialized fields and are invested in areas that are not ranked as difficult economy-social condition regions and especially difficult economy-social condition regions.
Exemption for 04 years when Enterprises earn profit and reduction to 50% amount of tax for the 09 subsequent years
For newly-established enterprises from investment projects locating in Thanh Phu, Ba Tri, and Binh Dai districts
For newly-established enterprises from investment projects in fields of: high technology as regulated in legal regulations, science research and technological development, production of software products.
For newly-established enterprises from investment projects on upgrading water supply plant, electricity supply plant, supply and drainage system; bridges, roads, railways; air port, sea port, river port and other especially important infrastructure works which are decided by the Prime Minister.
For newly-established enterprises in socialized fields and are invested in areas that are ranked as difficult economy-social condition regions and especially difficult economy-social condition regions.
Loss carried forward
Not over than 05 years
Existing documents related to establishment of an enterprise and granting an Investment Certificate:
- Documents of Application to establish enterprise (company, private enterprise), register tax code and carve seal.
- Documents of Application for granting Investment Certificate (documents of project evaluation).
- Environmental Impact Assessment.
- Document for Land lease.
- Documents of Application for Construction license.
- Labor certificate, Temporary Residence Card of legal representative.
1. Apply for establishing enterprise, granting investment certificate, registering tax code and carving seal: submit directly at One stop Office of Department of Planning and Investment of Ben Tre province. Address: No. 6, Cach Mang Thang Tam Street, Ward 3, Ben Tre City. Tel: 075-3822148.
2. Application for granting Investment Certificate inside Industrial parks: submit directly at provincial IP Authority. Address: No. 65, Dong Khoi Revenue, Ward 2, Ben Tre City. Tel: 075-3817718, 3817474.
3. Request for information on investment and business related procedures: please contact directly at Investment Promotion and Support Center of Ben Tre province (IPC Ben Tre). Address: No. 28, Le Dai Hanh Street, Ward 3, Ben Tre City. Fax: (84-75) 3825340, 3817358, Email: ipcbentre@vnn.vn.
LABOR SUPPORTING POLICY
- Support to train rural and poor youth workers;
- Support to recruit unskill workers;
PERSONAL INCOME TAX (PIT)
Rank
Under-tax Income/year
(million VND)
Under-tax Income/month (million VND)
Tax rate (%)
1
To 60
To 5
5
2
From 60 to 120
From 5 to 10
10
3
From 120 to 216
From 10 to 18
15
4
From 216 to 384
From 18 to 32
20
From 384 to 624
From 32 to 52
25
6
From 624 to 960
From 52 to 80
30
7
Over 960
Over 80
35
TRANSPORTATION
Products from Ben Tre can be exported to other countries by road; or by water-way (container barge). Average time for transporting by truck is 3 hours and container barge takes 12-14 hours. Ben Tre usually exports goods from Ho Chi Minh City’s ports. Airway transport is made via International Tan Son Nhat Airport.
Flow of passenger traveling into and off the province is rather high. Ben Tre has opened public bus route, serving the need of travel of tourists and local people. These routes are from Ben Tre City to Ba Tri, Chau Thanh, Mo Cay, Giong Trom, Thanh Phu, and Binh Dai districts. There are also bus routes passing An Hiep and Giao Long IPs, meeting the need of people
HUMAN RESOURCE
Ben Tre has two colleges and around 60 vocational training units. Each year, around 30,000 persons are trained and employed and about 1,000 labors are exported to Asian nations (Malaysia, Korea, Japan, Taiwan). Ben Tre has 31 high schools with 40,000 students and an average of 12,000 students graduated from high school and 3,000 entering to the universities, colleges per annum.
BASIC WAGE
Description
Figure
Basic salary for FDI projects (VND)
VND 920,000
Basic salary for domestic projects
VND 650,000 x salary scale
Skilled workers and staff
Up to the qualification and experience
Health insurance and Social insurance:
23% total salary of the Enterprise, in which employees pay 6% and employers pay 17%.
SOME BASIC COST FOR REFERENCE
Products
Cost
Water
VND4,100/m3 – VND5,440/m3
Electricity
VND425/KWh – VND1,590/KWh
Telecommunication
VND20,000/monthly fixed charge
Phone charge
VND200 per minute (internal phone)
Taxi
Cost per km
ADSL
Fixed cost and cost per Kbps
Hotel, building lease rent
Type
Two stars hotel
VND 240,000 – 560,000 per night
Three stars hotel
VND 260,000 – 900,000 per night
Office for rent
Depends on kinds of office
House for rent
VND 5-10 million (depends on number of rooms and facilities)
Houses for workers
Available around Industrial park (especially Giao Long IP)
Other services: design, construction, supervision, translation, teaching Vietnamese for foreigners, housekeeping… are always available.
Investment consultant: Investors only need to contact to IPC Ben Tre for fully support and cooperation.
DOCUMENTS AND PROCEDURE FOR ISSUING AN INVESTMENT CERTIFICATE
1. Registration for Investment Certificate:
Regarding projects which have an invested capital less than VND 300 billion and not included in sectors in which investment is conditional. Project file for investment registration is as follows:
- Request for issuance of an Investment Certificate (on the stipulated form);
- Investment project (For foreign investors who invest in Vietnam for the first time).
- Report on financial capability of the investor (which the investor shall prepare and for which the investor shall be liable);
- Business co-operation contract in the case of the investment form of a business cooperation contract; and
- Business registration file corresponding to each form of an enterprise.
In case the investment project goes with the
establishment of an economic organization, business
registration file includes:
a) Draft charter of the company;
b) List of founding members/shareholders;
c) Certification of the legal status of the investor (an investor being an organization shall submit a copy of the establishment decision or business registration certificate or other equivalent document; and an investor being an individual shall submit a copy of his or her passport or identity card);
d) Legal copy of practising certificate (for business lines for which practising certificate is required);
e) Certification on legal capital (for business lines for which legal capital is required); and
f) A joint venture contract in the case of establishment of a joint venture economic organization between a domestic investor and a foreign investor.
2. Evaluation in respect of investment projects which have invested capital of three hundred (300) billion VND or more and are not in sectors in which investment is conditional:
The file for investment evaluation shall contain the following documents:
- Certification of the legal status of the investor (an investor being an organization shall submit a copy of the establishment decision or business registration certificate or other equivalent document; and an investor being an individual shall submit a copy of his or her passport or identity card);
- Economic-technical explanatory statement comprising the following main items: objectives, scale, location of investment, Invested capital, schedule for implementation of the project, land use requirements, and technological and environmental solutions; and
- Business co-operation contract in the case of the investment form of a business cooperation contract;
- With respect to cases where investment procedures are conducted at the same time as business registration procedures, in addition to the above documents, the investor shall also submit:
+ File for business registration corresponding to each form of an economic organization as stipulated in the law on enterprises and relevant laws: as mentioned in Article of “Registration for Investment Certificate”. The file includes eight sets, in which one set is original.
3. Evaluation in respect of investment projects which have invested capital of less than three hundred (300) billion VND and are included in sectors in which investment is conditional:
- File for business registration corresponding to each form of an economic organization as stipulated in the law on enterprises and relevant laws: as mentioned in Article of “Registration for Investment Certificate”; and
- Explanatory statement on the ability to satisfy conditions which the investment project must satisfy in the case of projects in sectors in which investment is conditional.
4. Evaluation in respect of investment projects which have invested capital of three hundred (300) billion VND or more and are in sectors in which investment is conditional
The file shall contain the following documents:
+ File for business registration corresponding to each form of an economic organization as stipulated in the law on enterprises and relevant laws: as mentioned in Article of “Registration for Investment Certificate”;
+ Explanatory statement on the ability to satisfy conditions to enter the market stipulated as applicable to investment projects in sectors in which investment is conditional.
5. Investors shall not be required to carry out procedures for investment registration of domestic investment projects which have invested capital of below fifteen (15) billion VND and are not in sectors in which investment is conditional.
6. Registration file for Construction License, which is applied for all kinds of work:
- Request for issuance of a Construction License
- Legal copy of legal certification on Land use’s right (1 set).
- Legal copy of Extraction of Technological file of the land area (1 set).
- Design doccuments as stipulated on relevant law (3 sets).
For construction facilities of Enterprises:
a) Legal copy of Business Registration Certification (1 set);
b) Legal copy of Plan Certification (if any) (1 set).
For construction facilities that have risks of burning or exploding such as: storage houses, producing manufactories, petrol and fuel stations, markets, retaurants, hotels, schools, hospitals,… : an evaluation document made by Flameproof body on safe flameproof and flame treatment shall be attached (1 set).
Once there is requirement to confirm on work completion, the Investors shall hand in these documents:
- Request for confirmation on work completion;
- Construction License and approved design documents;
- Work completion drawings with confirmation of the Investors, Executing agency, Supervising agency (in case the construction does not follow the issued license).
8. Procedure for issuing Work owning’s right Certification:
- Request for issuing Work owning’s right Certification;
- Legal copy of Construction Certification (if any);
- Legal copy of Investment Certification or Business Registration Certification;
- Drawings of construction diagram;
- Receipts on financial duties as regulated on Law ;
- Pay fee as regulated on relevant regulations (once the Investors receive Work owning’s right Certification).
9. Land handover, land lease:
The file shall contain the following documents (02 sets) :
- Request for Land handover or land lease;
- Agreement on location or agreement on construction of authorized body;
- Decision on investing the project or legal copy of Investment Certificate;
- Documents made by Department of Resource and Environment on obeying Law on Land of requested units of formers projects which had been handed over or leased land.
10. Evaluation on Report on Environmetal Impact Assessment:
The file shall contain the following documents
- Request on evaluation and appovement on Report on Environmetal Impact Assessment of the project (on the stipulated form);
- Report on Environmetal Impact Assessment of the project (07 sets);
- Investment project.
For further information regarding procedure and incentive policies of Ben Tre province, please contact us at
Investment Promotion and Support Center of
Ben Tre province (IPC Ben Tre)
Address: 28 Le Dai Hanh Street, Ward 3,
Ben Tre City, Ben Tre province
Tel : (84-75) 3817358, 3825340
Fax : (84-75) 3825340
Email : ipcbentre@vnn.vn or bentreipc@yahoo.com
Website : www.dpi-bentre.gov.vn