More subjects exempted from corporate income tax

Preparing to be submitted to the National Assembly for approval at the 9th Session (opening early next May), the Draft Law on Corporate Income Tax (version 7) was commented on by the National Assembly Standing Committee at the recent 43rd session.

Here, National Assembly Chairman Tran Thanh Man emphasized the need to urgently amend, supplement, and synchronously complete legal regulations on taxes to encourage the development of science, technology, innovation, and digital transformation, according to the requirements stated in Resolution No. 57-NQ/TW of the Politburo on breakthroughs in the development of science , technology, innovation, and national digital transformation.

Previously, the National Assembly issued Resolution No. 193/2025/QH15 on piloting a number of special mechanisms and policies to create breakthroughs in science, technology, innovation and national digital transformation, which stipulates preferential corporate income tax policies for science and technology development.

43rd session, National Assembly Standing Committee.

In order to legalize the provisions of these two resolutions, the Ministry of Finance has revised the Draft Law on Corporate Income Tax, allowing enterprises to deduct funding for scientific research, technology development and innovation. The draft also adds non-profit scientific and technological organizations and public higher education institutions to the list of subjects exempted from corporate income tax.

In his report, Deputy Minister of Finance Cao Anh Tuan said that the Ministry of Finance has seriously established a Steering Committee to implement Resolution No. 57-NQ/TW, headed by the Minister. Deputy Minister Cao Anh Tuan also stated that, according to current laws, there have been many incentives related to science and technology development. The draft Law on Corporate Income Tax (amended) has provisions to supplement other expenses in deductible and non-deductible expenses when determining taxable income. At the same time, the Draft also assigns the Government to specify in detail the deductible expenses, additional expense levels, and scope of application for expenses for research and development activities of enterprises, environmental protection, and innovation, ensuring a legal basis for application when necessary.

The Standing Committee of the Economic and Financial Committee - the agency in charge of the review - agreed with the drafting agency on the above-mentioned adjustments and opinions. At the same time, it believed that the preferential contents through corporate income tax in Resolution No. 193/2025/QH15 need to be breakthrough to encourage businesses to increase investment in research and development.

According to the Standing Committee of the Economic and Financial Committee, the form of cost-based incentives, especially the policy of additional deductions for enterprises' research and development costs, is one of the policies that has been effectively applied by countries in recent times. It needs to be put into practice to encourage enterprises' research and development activities in a substantial way.

Therefore, the Standing Committee of the Economic and Financial Committee proposed to add to the Draft the content of assigning "The Government to specify in detail the deductible expenses, additional deductible expense levels, scope of application for expenses for research and development activities of enterprises, innovation" to create a legal basis and still be flexible for the Government in researching, developing policies, and organizing implementation appropriately.

Need to continue researching and supplementing regulations

Presenting his opinions at the meeting, National Assembly Chairman Tran Thanh Man expressed his agreement with some suggestions to consider adding preferential policies based on costs that have been stipulated in some resolutions of the National Assembly on specific mechanisms of some localities. Mr. Tran Thanh Man suggested that if it can be applied, the Government should specify in detail the deductible costs, the additional expenditure levels, and the scope of application for expenditures on research and development activities of innovative enterprises.

Discussing at the meeting, some opinions of National Assembly deputies suggested considering adding a cost-based tax incentive policy, allowing enterprises to deduct 150% of their actual expenses for research and development activities as stipulated in a number of National Assembly resolutions on specific mechanisms of some localities to contribute to the implementation of Resolution No. 57-NQ/TW.

Mr. Le Quang Huy, Chairman of the National Assembly's Committee on Science, Technology and Environment.

According to Mr. Le Quang Huy, Chairman of the National Assembly's Committee on Science, Technology and Environment, the Draft Law on Corporate Income Tax (amended) has shown interest in institutionalizing the requirements of Resolution No. 57-NQ/TW, but still needs further review. Because, in science, technology, national digital transformation, innovation, there are not only research and development, but also a series of other activities such as testing, application, design, transfer, etc. If the law only mentions a few stages, it will be difficult to be comprehensive when guiding the implementation of the law.

Chairman of the Law and Justice Committee Hoang Thanh Tung stated that Resolution No. 57-NQ/TW places a very high requirement on institutionalizing and amending relevant laws in 2025. “The Law on Corporate Income Tax has a great impact on incentives and encouragement in the development of science and technology, so it is necessary to continue reviewing to absorb, complete and possibly institutionalize policies related to the development of science and technology in this law,” Mr. Tung stated his opinion.

Stating that this is a very difficult law, affecting the business community and socio-economic development, Vice Chairman of the National Assembly Vu Hong Thanh requested the agency in charge of reviewing and the agency in charge of drafting the regulations to be more specific, demonstrating transparency in taxable income and other income. Vice Chairman of the National Assembly Vu Hong Thanh also requested to continue researching and legalizing the regulations in Resolution No. 57 -NQ/TW and Resolution No. 193/2025/QH15 of the National Assembly, expanding tax incentives for other scientific and technological activities, as suggested at the National Assembly Standing Committee.

Source: https://thoidai.com.vn/uu-dai-thue-thu-nhap-doanh-nghiep-ho-tro-manh-me-cho-doanh-nghiep-doi-moi-sang-tao-211352.html