Chương 4 Luật Đầu tư nước ngoài tại Việt Nam 1987: Quyền lợi và nghĩa vụ của tổ chức, cá nhân đầu tư nước ngoài

Chapter IV

RIGHTS AND OBLIGATIONS OF FOREIGN ORGANIZATIONS AND INDIVIDUALS

Article 26

Enterprises with foreign owned capital and foreign parties to business co-operation contracts shall be liable to pay profits tax at a rate of between fifteen (15) per cent and twenty five (25) per cent of profits earned.

In the case of profits derived from oil and gas and certain other valuable and rare resources, profits tax shall be levied at a higher rate in accordance with accepted international practice.

Article 27

Depending on the sector of the economy in which the investment is made, the location of investment, the scale of capital contribution, the volume of exports, the volume of substitutions for imports of those products which are as yet not produced or not produced in sufficient quantity in Vietnam, the nature and duration of the business, a joint venture enterprise may be exempted by the State body in charge of foreign investment from payment of profits tax for a maximum period of two years commencing from the first profit making year and it may be allowed a fifty (50) per cent reduction of profits tax for a maximum period of the two successive years.

Operating losses incurred by a joint venture enterprise in any year may be carried forward to the following year and set off against the profits of that year. Any losses remaining after such set off may be carried forward on the same basis for up to five successive years.

In respect of enterprises with one hundred (100) per cent foreign owned capital the Government may, in cases where encouragement of investment is needed, decide to give preferential treatment to those enterprises as regulated in paragraph 1 and paragraph 2 of this article.

Article 28

In special cases where encouragement of investment is needed, a reduction of profits tax may be granted by the State body in charge of foreign investment by an amount of up to ten (10) per cent of the profit earned and the period of exemption from or reduction of profits tax may be extended for a period longer than that provided for in article 27 of this Law.

Article 29

An enterprise with foreign owned capital and the foreign parties to a business co-operation contract shall pay rent for the use of land, water surface, and sea surface in Vietnam. They shall pay a royalty in the case of exploitation of natural resources.

Article 30

After payment of its profits tax, a joint venture enterprise shall appropriate five per cent of the remaining profits to establish a reserve fund. Such reserve fund shall be limited to twenty five (25) per cent of the prescribed capital of the enterprise. The percentage of profits which shall be used to set up other funds shall be determined by agreement between the parties and stated in the charter of the enterprise.

Article 31

An enterprise with foreign owned capital shall, in accordance with the laws of Vietnam, pay to the State Treasury of Vietnam the sums required for social insurance of the employees of the enterprise.

Article 32

Where any foreign organizations or individuals reinvest part of their share of the profits, they shall receive a refund from the tax authorities of the amount of profits tax already paid on that part of those profits.

Article 33

Upon transfer of their profits abroad, the foreign organizations or individuals concerned shall pay tax at a rate of between five (5) per cent and ten (10) per cent of the transferred profits.

In special cases where encouragement of investment is needed, exemption from, or reduction of, the tax may be granted by the State body in charge of foreign investment.

Article 34

Enterprises with foreign owned capital shall, during their operations, take all precautions necessary for protection of the environment.

Article 35

Products exported or imported by either an enterprise with foreign owned capital or the parties to a business co-operation contract shall be subject to export and import duty in accordance with the Law on Export and Import Duties on Commercial Goods.

In special cases where encouragement of investment is needed the State body in charge of foreign investment may grant exemption from, or reduction of, the export and import duty.

Article 35a

Export Processing Enterprises shall be entitled to:

1. exemption from payment of export duty on goods exported to foreign countries and from payment of import duty on goods imported from foreign countries.

2. enjoy preferential tax rates as stated in article 28 and article 33 of this Law. The Government shall stipulate specifically the preferential tax rates for each type of Export Processing Enterprise.