Insight for some specific issues
FTAs in negotiations:
- The Regional Comprehensive Economic Partnership between ASEAN and the six states with which ASEAN has existing FTAs (including China, Korean, Japan, India, Australia and New Zealand)
- Vietnam- Israel FTA
- Vietnam- EFTA FTA: EFTA States includes Norway, Switzerland, Iceland, and Liechtenstein)
CPTPP and EVFTA are new generation FTAs leveraging Vietnam broadly integrate into major economics over the world. EVFTA will allow EU exporters and investors to access a fast-growing market of 90 million people and to consolidate their presence in one of the most dynamic regions in the world. It is notable that when the EVFTA has taken effect, over 99% tariffs would be removed for EU products for 7-10 years. Vietnam will also open its market for most EU food products, both primary and processed, allowing EU high quality exports to reach its growing middle-class consumers. EU investments in Vietnam would be protected and enhanced. Participating in CPTPP, Vietnam not only commits to open market, eliminate tariff berries, liberalize trading but also public and transparent State managements of market development. Increasing competitiveness and building value chains with partners will help enterprises develop and bring investment efficiency.
Opportunities as Vietnam signed bilateral and multilateral FTAs:
- Create favorable conditions for Vietnamese enterprises to expand their markets, gain access to regional and global markets.
Majority of trading barriers and conditions has been reduced or eliminated; tariff barriers at 0% or less than 5% has offered a considerable competitive advantage and a bright growth prospect.
Legal procedures have been simplified attracting foreign enterprises investing in Vietnam and enabling domestic businesses to integrate international market.
- Enterprises have opportunities to have access and take advantage of foreign investment, technology and other important resources to develop.
2. Investment Incentives
Forms of incentives
- Tax-free period, reduced tax rates
- Lan rental and water surface rental fee reduction
- Import duty exemption
Projects eligible for investment incentives are those that fall into the sectors of investment incentives and/or located in the geographical areas of investment incentives.
Business lines given investment incentives
- High-tech activities, high-tech ancillary products; research and development;
- Production of new materials, new energy, clean energy, renewable energy; productions of products with at least 30% value added; energy-saving products;
- Production of key electronic, mechanical products, agricultural machinery, cars, car parts; shipbuilding;
- Production of ancillary products serving textile and garment industry, leather and footwear industry, and the products in Point c of this Clause;
- Production of IT products, software products, digital contents;
- Cultivation, processing of agriculture products, forestry products, aquaculture products; afforestation and forest protection; salt production; fishing and ancillary fishing services; production of plant varieties, animal breads, and biotechnology products;
- Collection, treatment, recycling of waste;
- Investment in development, operation, management of infrastructural works; development of public passenger transportation in urban areas;
- Preschool education, compulsory education, vocational education;
- Medical examination and treatment; production of medicines, medicine ingredients, essential medicines, medicines for prevention and treatment of sexually transmitted diseases, vaccines, biologicals, herbal medicines, orient medicines; scientific research into preparation technology and/or biotechnology serving creation of new medicines;
- Investment in sport facilities for the disabled or professional athletes; protection and development of cultural heritage;
- Investment in geriatric centers, mental health centers, treatment for agent orange patients; care centers for the elderly, the disabled, orphans, street children;
- People’s credit funds, microfinance institutions
Administrative divisions given investment incentives
- Administrative divisions in disadvantaged area or extremely disadvantaged areas;
- Industrial parks, export-processing zones, hi-tech zones, economic zones.
2.1. Corporate income tax incentive
- CIT incentives are granted based on regulated encouraged investment sectors and/or areas. CIT incentives are also expanded to incomes from conducting of large-scale projects, with high revenue or use of many employees;
- CIT incentives are now available to income derived from expanded investment of encouraged investment projects;
- Preferential tax rates: 10% for 15 years, 17% for 10 years or 15% will;
- Start from the first revenue generation year;
- Revert to the standard rate once the preferential rate expires;
- Tax exemption, tax reduction: a tax holiday of up to four (4) years and a 50% tax reduction period up to nine (9) years is available, whichever comes first, from:
- First profit making year; or
- The fourth revenue generation year.
- Additional reduction may be available for engaging in manufacturing, construction and transportation activities which employ many female staff, or ethnic minorities.
- CIT incentives do not apply three following incomes:
- Incomes from capital or capital contribution right transfer; real estate transfer; transfer of investment projects, right to participate in investment projects or right to explore or exploit minerals; production or business activities outside Vietnam;
- Income from the prospering, exploration and exploitation of petroleum and other precious and rare natural resources, and mining activities;
- Income from the provision of services liable to excise tax in accordance with the Excise Tax Law.
2.2. Import Tax incentive
Import duty exemptions
Exemption from import duty is granted, among others, for:
- Goods temporarily imported, then re-exported, for exhibition purposes if they meet certain requirements;
- Goods imported to form fixed assets of projects which are included in encouraged projects as prescribed, including: machinery and equipment; certain means of transportation raw material and spare parts M&E, and construction materials which cannot be produced in Vietnam;
- Certain goods imported for oil and gas activities;
- Goods temporarily imported (and then re-exported) for carrying out ODA projects;
- Goods (i.e. material, semi-finished products) imported for implementing export processing contract with foreign parties, etc.
2.3. Land Rental incentive
The table below summarises the incentives on Land Rental:
3. Setting up a business
Setting up a legal entity in Vietnam can take up to 3 months, including collection and submission of the founder document.
4. Running business day by day
5. Closing a business
Procedures for enterprises dissolution
- Ratify the decision on dissolution.
- Sole proprietorship’s owner, the Board of members, owner, or the Board of Directors shall directly organize the enterprise’s asset liquidation.
- Within 07 working days from the approval date, the decision on dissolution meeting minutes must be sent to the business registration authority, tax authority, and employees of the enterprise; the decision on dissolution shall be posted on National Business Registration Portal, the enterprise ’s headquarter, branches, and representative offices.
- Send the petition for dissolution to the business registration authority within 05 working days from the day on which all of the enterprise’s debts are settled.
Petition for enterprise dissolution
- A notification of the enterprise dissolution;
- A report on liquidation of the enterprise’s assets; a list of creditors and paid debts, including tax debts, outstanding social insurance contributions, and debts owed to employees after deciding the dissolution (if any);
- The seal and seal certificate (if any);
- The Certificate of Business registration.
6. Import & Export/ customary
Under the Labor Code, a foreign investor may either directly recruit Vietnamese employees or recruit via an authorized labor agency. The foreign investor is then required to register the list of recruited employees with the local labor department and submit reports on the utilization of and changes to staff to the labor department on a periodic basis.
According to the Vietnamese Labor Code, labor contracts signed by and between employers and employees must be made in one of the following forms:
- Indefinite term;
- A definite term; and
- Seasonal jobs or specific jobs with a term of less than 12 months.
An employer will be entitled to sign a maximum two subsequent definite labor contract with an employee. After that, if that employee continues to work for the employer, an indefinite labor contract must be signed.
Normal working hours are eight hours per day (or 48 hours per week based on a six-day working week). Enterprises are entitled to schedule the working hours daily or weekly but must notify the employees in advance. For heavy, noxious or dangerous jobs, working hours will be 6 hours per day.
Overtime hours will not exceed 50% of the normal working hours or 30 hours per month or 200 hours per year. In case a company wishes to extent the amount of overtime to more than 200 hours a year, it must seek the approval from the local Department of Labor, Invalids and Social Affairs (“DOLISA”). However, any approval is subject to a cap at 300 hours a year
The wage costs in Vietnam are generally low. However, the cost of Personal Income Tax (PIT) and other mandatory contributions such as Social Insurance, Health Insurance and Unemployment Insurance as mentioned below may significantly increase total labor costs.
In respect of expatriates, these costs depend on the residency status and the remuneration structure of the expatriates. There are other administrative costs associated with the employment of expatriate staff such as work permits, residency registration and insurance.
The minimum wage of Vietnamese employees working for foreign investment enterprises or other foreign organizations will vary depending on different zone classifications set forth by the Government
An employee who performs overtime work must be paid according to the wage unit or wage for his/her current job as follows:
- On normal days, at least equal to 150%;
- On weekends, at least equal to 200%;
- On public holidays and paid leave days, at least equal to 300%, excluding the wage for public holidays and paid leave days of employees who receive daily wages.
Legal annual leave
In addition to having time off on public holidays with full pay, an employee working for a full 12 months under normal conditions is entitled to 12 days of annual leave with full pay, with one additional day for every five years of service. Employees working in certain areas, of a certain age or who have been with an enterprise for a certain time, may be eligible for longer periods.
An employee is entitled to fully paid days off on the following public and New Year holidays:
- Calendar New Year Holiday: 1 day (the first day of January of the calendar year);
- Lunar New Year Holidays: 5 days;
- Victory Day: 1 day (the thirtieth day of April of each calendar year);
- International Labor Day: 1 day (the first day of May of each calendar year);
- National Day: 1 day (the second day of September of each calendar year);
- Commemorative Celebration of Vietnam’s Forefather – Kings Hung: 1 day (the tenth of March of the lunar year).
Foreign employees in Vietnam, in addition, are entitled to 1 traditional new year holiday and 1 national day of their country.
Requirements for retirement benefits
Vietnamese employees who have paid social insurance contribution for full 20 years or more are entitled to a retirement pension when reaching 60 years of age for men or 55 years of age for women.
Grassroots level trade unions play the role of representing and protecting the rights and legitimate interests of trade union members and employees; participate in negotiating, signing and supervising the implementation of collective labor agreements, wage scales and wage tables, labor norms, wage payment regulations and bonus regulations, internal working regulations, democracy regulations in enterprises, agencies or organizations; participate in and assist the settlement of labor disputes; hold dialogues and cooperate with employers to build harmonious, stable and progressive industrial relations in enterprises, agencies or organizations.
Trade Union funds are paid by agencies, organizations and enterprises in 2% salary funds based to pay social insurance for laborers;
Social, Health, and Unemployment Insurance contributions
Regulations state that both employers in Vietnam and Vietnamese employees with a labor contract of three months or more (this will change to a month effective 1st January 2018) are required to make statutory Social Insurance (“SI”), Health Insurance (“HI”) and Unemployment Insurance (“UI”) contributions.
- Expatriates contractually employed by a local entity for 3 (three) months or more are required to make statutory HI contribution only.
- Expatriates who have work permits or licenses will be required to make SI contribution effective 1 January 2018.
- The basis for statutory SI and HI contributions is the contractual salary and is capped at 20 (twenty) times the national statutory minimum monthly salary.
- The basis for calculating statutory UI contribution is contractual salary and is capped at 20 (twenty) times of the regional statutory minimum monthly salary.
- Statutory SI, HI and UI contributions should be deducted, withheld and paid to the local social insurance authority on a monthly basis by the employer.
The rates for statutory SI, HI and UI contributions are as below:
8. Accounting & Auditing
Vietnamese Accounting Standards and related regulations issued by the Ministry of Finance have been used for accounting recognition and financial statements preparation and presentation.
There are total 26 VAS, which are as follows:
Accounting Law offers for contents of accounting works, accounting apparatus, accountants, accounting services, accounting management by regulatory bodies, and accounting associations. In addition, there are applicable implementation guidances.
Accounting Currency is Vietnam Dong (VND)
Language: Vietnamese. In case a foreign language is required to use on an accounting record, accounting book, or financial statement which is used in Vietnam, it is required to use both Vietnamese and that foreign language.
Accounting periods: 12 months. The first accounting period must not be longer than 15 months from the license date.
The basic set of financial statements prepared under VAS is comprised of the following:
i) Balance sheet, including a separate schedule for off balance sheet items
ii) Income statement
iii) Cash flow statement; and
iv) Notes to the financial statements
The enterprise is required to appoint a Chief Accountant who must satisfy the criteria and conditions stipulated by the Law on Accounting and guiding regulation.
A foreigner may be appointed to act as the Chief Accountant of the enterprise, provided that they have a certificate of accounting expertise or an accounting/ auditing certificate issued by a foreign professional body recognised by the MOF; or an accounting/auditing professional practicing certificate issued by the MOF; or a Chief Accountant certificate obtained after having passed the chief accountant’s training course as prescribed in regulations of the MOF; and they must have at least 2 years’ working experience in practicing accounting with at least 1 year experience in practicing accounting in Vietnam.
The Law on Accounting prohibits any individual responsible for direction and management of the entity to assume the role as accountant, storekeeper, cashier or the responsibility for purchasing and sales.
Internal control system
The enterprise must establish an internal control system to ensure its assets are safeguarded and protected from inappropriate and inefficient use; and transactions are approved by authorised persons and completely recorded to serve as the basis for preparation and presentation of the financial statements that give a true and fair view.
Decree 41/2018/ND-CP issued 12 Mar 2018 provides for penalties for administration violations in the fields of accounting.
The following enterprises, organizations will require annual statutory audit:
- Foreign invested enterprises;
- Credit institutions;
- Financial organizations, insurance/re-insurance companies, insurance broker companies;
- Public companies, Security issuing/trading organizations;
- State-owned enterprises.
Annual audited financial statements must be submitted to relevant competent authorities within 90 days from the end of each fiscal year.
The Vietnamese taxation system has undergone (and is expected to continue undergoing) many major transformations that include major changes in Corporate Income Tax, Value Added Tax, Foreign Contractor Tax and Personal Income Tax. The changes generally occur frequently, however, the enforcement mechanism as well as the ruling process is often limited in capacity.
9.1 Corporate income tax (CIT)
Corporate income tax is tax imposed on the income of entities conducting their business activity in Vietnam both domestic and foreign enterprises, regardless of whether they have a permanent establishment in Vietnam.
Taxable incomes include income from production, trade of goods and services and other sources from all business sectors and industries.
CIT payable = taxed income x tax rate
Deductible expenses for corporate income tax purposes are reasonable expenses, satisfying both 2 conditions:
- Actual incurred expenses related to production and business activities,
- And accompanied with adequate invoices and documents as prescribed by law.
- Fail to satisfy the deductible expense conditions.
- Inappropriate fixed asset depreciation.
- Employee remuneration expenses which are not actually paid or paid without documents or invoices as prescribed by law.
- Administrative penalties, fines.
- Expense in excess of the law-prescribed norm for the deduction and setting up of provisions.
- Business administration expense allocated by foreign enterprises to their Vietnam-based permanent establishments in excess of the level calculated according to the allocation method prescribed by Vietnamese law, …
- The standard CIT rate is 20%
- Searching, exploration and extracting of oil and gas and other rare natural resources in Vietnam is imposed CIT rate from 32% to 50% (depending on each project or business establishment).
- Prospecting, exploration and extraction of precious and rare natural resources (including platinum, gold, silver, tin, tungsten, antimony, gemstones and rare earth other than petroleum) is applied CIT rate from 40% to 50%, depending on the location.
Losses carried forward
- Tax losses may be carried forward for a maximum of five (5) consecutive years.
- Ordinary losses may be offset against income that does not enjoy tax incentives and vice versa.
- Losses from transfer of real estate, transfer of investment projects and transfer of the right to participate in investment projects can be offset against profits from the main business activities.
9.2 Personal income tax (PIT)
- Individuals who are residents have worldwide incomes, regardless of where the income is paid.
- Individuals who are non-residents are subject to tax on their Vietnam sourced income only, regardless of where the income is paid.
Resident taxpayers are those who satisfy one of two conditions:
- Stay in Vietnam for an aggregate of 183 days or more in 12 consecutive months from the first date of arrival or in a calendar year; or
- Have a regular residential location in Vietnam (including a permanent/registered residence, or a house lease in Vietnam where the lease contract has a term of 183 days or more within a tax year) and unable to prove tax residence in other country.
Non-resident taxpayers are those who fail to meet the conditions of resident taxpayer, mentioned above.
Taxable income and tax rate
The progressive tax rates
. Tax reductions
- Personal relief of VND 9 million per month or VND 108 million per year is automatically granted to the taxpayer.
- Dependants’ relief of VND 3.6 million per month per dependant or
- Compulsory statutory contributions in accordance with the provisions of the Law.
- Contributions to certain charitable, humanitarian and educational promotion funds.
9.3 Value added tax (VAT)
Value-added tax is a tax imposed on the added value of goods or services arising in the process from production, circulation to consumption.
Output tax is collected from clients by adding VAT at the applicable rate to the amount charged. Input tax is payed to suppliers by a business.
Goods and services used for production, trading or consumption in Vietnam are subject to value-added tax. VAT is also applied in the imported goods stage.
There are 26 categories objects out of the scope of VAT application, namely:
- Transfer of land use rights;
- Life insurance, health insurance, insurance for animals, insurance for boats, reinsurance, …
- Certain financial, banking and securities services: credit services, securities services, capital transfer, selling debts, trading in foreign currencies, derivative financial services, …
- Healthcare and animal health services
- Goods transferred out of border gate or transited via the Vietnamese territory; goods temporarily imported for re-export; goods temporarily exported for re-import; raw materials imported for the production or processing of goods for export under contracts signed with foreign parties; goods and services traded between foreign countries and non-tariff areas and between non-tariff areas.
- Technology transfer, transfer of intellectual property rights, ….
- The standard rate is 10%
- 5% is imposed on essential goods and services such as clean water; fertilizers; feeds for domestic animals; unprocessed cultivation, husbandry and fishery; preliminarily processed rubber latex; etc…
- 0% is imposed on exported goods and services, international transportation and goods and services not liable to value-added tax as exporting, except cases of transfer of technologies or intellectual property rights abroad; offshore reinsurance services; credit provision, capital transfer and derivative financial services; post and telecommunications services; and exported products which are unprocessed mined resources and minerals.
In case the invoice total value (i.e. sale price plus VAT) is VND20 million or more, a bank payment proof must be made available for the input VAT to be claimable.
9.4 Foreign Contractor withholding Tax
- A foreign contractor or foreign sub-contractor conducting a business in Vietnam or earning income in Vietnam are satisfied:
- Having a permanent establishment in Vietnam or being a resident of Vietnam.
- The period of business operation on Vietnam under the main contract or subcontract is 183 days or longer from the effective date of the contract.
- Applying Vietnam’s accounting practice, applied for tax registration and issued with a taxpayer ID number (TIN) by a tax authority.
- Organizations established and operated under Vietnam’s law or registers its operation under Vietnam law; business entities that:
- Purchasing services, services attached to good, or paying income under main contracts or subcontracts in Vietnam.
- Purchasing goods in the form of domestic import or under Incoterms.
- distributing goods or provide services on behalf of foreign entities in Vietnam
The FCT includes two taxes: VAT and income tax:
- VAT and CIT is imposed to foreign contractor that is an entity.
- VAT and PIT is imposed to an individual foreign contractor.
FCT payment methods
- Paying VAT using credit-invoice method.
VAT payable = Output VAT – Creditable input VAT
- Paying CIT according to declare revenue and expense.
CIT payable = taxable income x CIT rate
- Paying VAT and CIT according to fixed rate:
VAT payable = VAT taxable revenue x VAT rate as percentage of taxable revenue
CIT payable = CIT taxable revenue x CIT rate as percentage of taxable revenue
- Paying VAT under declaration method.
- Paying CIT under direct method.
The deemed VAT and CIT rates under the Direct method
9.5 Import & export duty
The import tax and export tax payable = the unit volume of each good as inscribed in the customs declarations x the official tax calculation price x tax rate of each item
The dutiable value of imported goods is the price actually paid or payable for the imported goods to the first check-point of importation of Vietnam,
Import duty tariffs fall into three categories: standard rates, preferential rates and special preferential rates.
Most goods and services being exported are exempt from tax. Export duties are only imposed on a few items, mainly natural resources such as minerals, plants and parts of plants of a kind used primarily in perfumery, in pharmacy and scrap metal. These range from 0 to 40% and are computed at the selling price of goods at exporting checkpoint exclusive of international insurance cost (I), international freight cost (F).
9.6 Special sales tax
Special sales tax is a tax imposed on certain imported and domestically produced goods and certain provisions of services which are not encouraged for domestic consumption or those considered luxurious.
Subjects of SST include:
- Commodities: cigarettes, beer, spirits, automobiles having less than 24 seats, motor vehicles with cylinder capacity above 125cm3, aircraft and yachts , fuel, air conditioners up to 90,000 BTU, playing cards, votive paper; and
- Services: casinos, betting entertainment (i.e. horse and motor racing), discotheques, massage, karaoke, jackpot games, slot games , golf clubs and lotteries
- For domestically produced goods, the taxable price is the selling price exclusive of SST and VAT, and is determined as follows:
|SST taxable price||=|
|Sales price excluding VAT / (1 + SST rate)|
- For imported goods: taxable price is the dutiable price (which is the CIF price) plus import duty
- Taxable price for certain goods (i.e. canned beer, etc.) or particular cases that are provided in SST regulations
SST rates vary from 10% to 70% as follows:
9.7 Business license tax
A FOE is required to pay business license taxes on an annual basis (at the beginning of the calendar year) at the following rates:
|Objects||BLT payable per year (VND)|
|Registered capital over VND 10 billion||3,000,000|
|Registered capital up to VND 10 billion||2,000,000|
|Branches, representative offices, business location, public service providers and other business organizations||1,000,000|
9.8 Property tax
Property Tax in Vietnam is levied in the form of a “land use fee” or “land rental”. A foreign investor requiring land for an investment project may apply to the land management authority by way of an allotment and paying the land use fee or by way of lease and paying the land rental. The land rental rates vary depending on the location, infrastructure and industrial sector where the business operates.
Effective from 1 January 2012, owners of houses and apartments are required to pay land tax charged on a square meter basis at progressive rates from 0.03% to 0.15%.
9.9 Natural resource tax
Natural Resources Tax is imposed on the exploitation of Vietnam’s natural resources including petroleum, mineral resources, forest products, seafood and natural water.
Tax rates vary depending on the specific classification of natural resource, ranging from 1% to 35% and are applied to the production output at a specified taxable value per unit.
9.10 Environment protection tax
Effective from 1 January 2012, Vietnam introduced Environment Protection Tax (“EPT”) which is aimed to impose tax on goods that may cause damage to the environment.
|No.||Goods||Unit||Tax rate (VND/unit of goods)|
|1||Petrol, oil and grease (apart from etanol)||Liter/kg||300-3,000|
|3||Dung dịch Hydro-chloro-fluoro-carbon (HCFC)||kg||4,000|
|5||Restricted use chemicals||kg||500-1,000|
10. Profit Transfer
Lawful profits shared or earned from direct investment activities in Vietnam under the Investment Law after finished fully financial obligations with the Vietnam State under regulations, foreign investors are permitted to remit abroad in cash or in kind.
Time for profits remittance overseas:
- Annual profits remittance abroad;
- Profits remittance abroad when finished direct investment activities in Vietnam.
A foreign investor is required to submit a notification of profit remittance abroad to tax authority at least 7 working days prior to the date of profit remittance.
11. Enforcing contracts
Vietnam made enforcing contracts easier by adopting a new code of civil procedure and by introducing a consolidated law on voluntary mediation. According that, the time for resolving a commercial dispute through courts is 400 days. This process is quicker than East Asian & Pacific and OECD norm, over 150 days. The cost is 29 % of claim value, which includes attorney fees, court fees and enforcement fees.
12. Getting Credit (borrowing)
Vietnam is home to quite a stable credit environment, and obtaining capital is a relatively smooth process for entities. According to Doing Business 2018 of World Bank, Viet Nam’s Getting Credit Index in 2018 ranked 29/ 190 economies surveyed.
World Bank attributed the positive changes to the country’s legal framework regarding the expansion of collateral assets and the completion of the credit information system from 2008 to 2017. Specifically, the Civil Law 2015, which came into effect on January 1, 2017, has expanded the scope of assets to be used as mortgages, which helps improve access to credit and facilitate businesses and investors.
Further information, please click here.
13. Domestic capital market
14. Dealing with construction permit
Before starting construction of works, project owners shall obtain construction permits granted by competent state agencies.
The investors need 166 days to obtain necessary the licenses and permits, submit all required notifications, request and receive all necessary inspections and obtain utility connections. The cost is estimated about 0.7% of warehouse value, is lower than that East Asia & Pacific and OECD norm.
Inspections must be carried out by the Department of Construction and the municipality, and certificates should be obtained from the Firefighters Prevention Department, the Department of Construction and the Department of Natural Resources and Environment
More details information, please see The construction Law issued by The Nation Assembly in June 18, 2014 and click here: The procedure, time and cost to deal with construction permits is issued by World Bank.
15. Intellectual Property (IP)
In 2005, Vietnam’s National Assembly issued the Law on Intellectual Property Rights (IPRs); this law was later amended and supplemented in 2009.
The Vietnamese IP system is divided into three areas:
- copyright and related rights – administered by the Copyright Office of Vietnam;
- industrial property rights – administered by the National Office of Intellectual Property (NOIP);
- rights to plant varieties – administered by the Plant Variety Protection Office.
NOIP holds the chief coordinator role.
Duration of Protections (industrial property rights)
Once protections are granted, they are effective throughout the territory of Vietnam.
|An invention patent||twenty (20) years after the filing date|
|A utility solution patent||ten (10) years after the filing date|
|An industrial design patent||five (5) years after the filing date||renewable for two consecutive 5-year terms,|
|A certificate of registered mark||renewable indefinitely consecutive 10-year terms|
Whether you’re resident in and doing business in Vietnam, or trading internationally with the country, there are a number of professional organizations that can offer you advice and support:
- UK diplomatic posts – there is a British Embassy in Hanoi and a Consulate-General in Ho Chi Minh City: http://ukinvietnam.fco.gov.uk/en
- UK Trade & Investment Vietnam has a range of online information on doing business in Vietnam: http://www.ukti.gov.uk/export/countries/asiapacific/southeastasia/vietnam/doingbusiness.html
- The British Business Group Vietnam (BBGV) supports British businesses through professional and social networking, exploring and representing members’ views and interests and supporting local charities: http://www.bbgv.org
- The Vietnam National Office of Intellectual Property (NOIP) is responsible for developing IP strategy in Vietnam, and publishes advice on protecting different forms of IP: http://www.noipvietnam.com/
- The Vietnam Chamber of Commerce and Industry (VCCI) represents businesses in Vietnam, and promotes trade and investment between Vietnam and other countries: http://vccinews.com
Local law firms in Vietnam can offer you legal advice and services specific to your business. The Chambers and Partners website offers a search facility listing Vietnamese local law firms: http://www.chambersandpartners.com/Asia/Search/Location/230
16. Registering Property
Registering property takes approximately 58 days to accomplish, which is far higher than the OECD norm (22 days) but quicker than such average for East Asia and Pacific (75 days). According to Doing business 2018, the ranking of economies on the ease of registering property is 63/190 economies.
The transferor and transferee would sign the contract before paying income tax on assignment of the land-use right and the registration fee.
17. Co-working space
- No 2, Alley 59, Lang Ha Street, Ba Dinh District, Ha Noi
- No 64, Alley 49, Huynh Thuc Khang Street, Dong Da District, Ha Noi
- Head Office: UP Luong Yen: Level 8, No. 1 Luong Yen street, Hanoi Creative City Building, Hanoi
- BKHUP: Level 3, No. 17 Ta Quang Buu street, A17 Bach Khoa Building, Hanoi
- UP Kim Ma: Level 5, No. 519 Kim Ma street, VIT Tower, Hanoi
- UP Bach Khoa HCM: No. 268 Ly Thuong Kiet Street, District 10, Ho Chi Minh City
- UP@VPBank Level 21, No. 89 Lang Ha Street, VPBank Tower, Hanoi
- Creative Lab by UP, Container Area: No. 1 Luong Yen street, Hanoi Creative City Building, Hanoi
Address: No.34, Alley 28B, Dien Bien Phu street
- Freelances who need refreshing and green space to work on their own projects.
- Start-ups who seek a roomy and functional space for their whole team.
- Representatives of foreign entities in Vietnam who need a professional yet friendly office environment.
- Normads who are looking for an attractive place to work and surf the Internet.
- 2nd Floor, 25T2 Building, Hoang Dao Thuy Str., Cau Giay District, Hanoi
- 3rd Floor, No.8 Trang Thi Str., Hoan Kiem District, Hanoi
- 3rd Floor, The Oxygen Shopping mall, No. 628C Hanoi Highway, District 2, HCMC
- 126 Nguyen Thi Minh Khai Str., District 3, HCMC
- 20 Nguyen Thi Minh Khai Str., District 1, HCMC
- 87 Ham Nghi Str., District 1, HCMC
- Individual plans: independent workers and freelance team
- Service Office: A fully furnished office for micro, small, and medium enterprises which want to settle down.
- Meeting Room & Events Space
- 7th Floor, 7 Xa Dan, Dong Da, Hanoi
- Meeting Room & Events Space
- Virtual office: city-center business address, telephone answering bi-lingual, and package mail receiving.
- Individual plans
- Alley 76 Villa 15 To Ngoc Van, Tay Ho District, Hanoi, Vietnam
- Meeting room
- Private studio
Entry visa is required for foreigners, except for those entering Vietnam with diplomatic, official and special passports who can enjoy the exemption for up to 90 days in accordance with Bilateral Treaties. Visa is allowed to be extended after entering Vietnam.
Temporary Resident Card
Temporary Resident Card is required for foreigners staying long term in Vietnam. Its period will depend on the period of the work permit and will replace the need for a visa.
Work permit – Requirements
Foreigners working in Vietnam are required to obtain work permits, except for certain cases, e.g. volunteers, and those who transfers within the group under some industries (construction, distribution, education, etc) except foreign employees transferred internally between companies operate in 11 service fields in Schedule of Specific Commitments in Services of Vietnam with WTO.
Timing and extension
Work permit shall be granted within 10 days after receiving complete and valid dossiers. Work permits are valid for a maximum of 2 years and are allowed to be extended, but extension period is no longer than 24 months/each extension.