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Vietnam´s International Financial Center: Unlocking Landmark Tax Incentives
- ASEAN Newsflash - Q2 2026
- Issuance of Decree 324/2025/NĐ-CP
- Preferential CIT rates up to 30 years with substantial tax reliefs
- PIT exemptions to attract Top Talent by 2030
Vietnam’s Decree 324/2025 introduces a competitive tax framework to develop the International Financial Center, offering significant CIT and PIT incentives to attract global investment and talent.
While highly beneficial, businesses and individuals must carefully assess eligibility, structure, and compliance to fully leverage these tax advantages.
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Issuance of Decree
No. 324/2025/NĐ-CP
The Vietnamese Government’s issuance of Decree No. 324/2025/NĐ-CP on 18 December 2025 marks a major milestone in the development of the International Financial Center (IFC), introducing a distinct and highly competitive tax framework aimed at attracting global capital and talent.
Preferential CIT Rates for up to 30 years with generous tax reliefs
From a business perspective, companies generating income from new investment projects within the IFC can benefit from significant Corporate Income Tax (CIT) incentives. Projects operating in priority sectors may enjoy a preferential 10 % CIT rate for up to 30 years, combined with a tax exemption of up to four years, and a 50 % tax reduction for up to nine subsequent years. Projects outside priority sectors may also qualify for incentives, including a 15 % CIT rate for up to 15 years, along with applicable tax exemption and reduction periods. Where multiple Corporate Income Tax incentives apply to income from a new investment project within the IFC during the same period, companies may claim the most favorable incentive in accordance with applicable tax laws.
PIT Exemptions to Attract Top Talent by 2030
Equally noteworthy are the Personal Income Tax (PIT) incentives. Until 2030, managers, experts, scientists, and highly skilled professionals working in the IFC may be eligible for PIT exemption on certain employment income, provided they meet the conditions set out in the Decree. In addition, PIT exemptions may apply to certain income derived from capital or share transfers among IFC members, subject to specific legal conditions and exceptions.
While these incentives offer significant opportunities, their application in practice requires careful assessment of eligibility criteria, investment structure, and compliance requirements. Companies and individuals wishing to obtain a more detailed analysis of the tax implications arising from their activities within the IFC, are most welcome to contact us.