Circular 33/2025/TT-BKHCN criteria for enterprises implementing electronic device manufacturing projects eligible for corporate income tax incentives

CIRCULAR

Specifying criteria for enterprises implementing electronic device manufacturing projects to be entitled to corporate income tax incentives^[1]

Pursuant to Law No. 71/2025/QH15 on the Digital Technology Industry;

Pursuant to Law No. 67/2025/QH15 on Corporate Income Tax;

Pursuant to the Government’s Decree No. 55/2025/ND-CP of March 2, 2025, defining the functions, tasks, powers and organizational structure of the Ministry of Science and Technology;

At the proposal of the General Director of the Authority of Information Technology  Industry;

The Minister of Science and Technology promulgates the Circular specifying the criteria for enterprises implementing electronic device manufacturing projects to be entitled to corporate income tax incentives.

Article 1. Scope of regulation and subjects of application

1. Scope of regulation

This Circular details Clause 5, Article 40 of the Law on the Digital Technology Industry regarding criteria for enterprises implementing electronic device manufacturing projects to be entitled to corporate income tax incentives.

2. Subjects of application

This Circular applies to agencies, organizations and enterprises involved in projects on manufacture of electronic devices in Vietnam.

Article 2. Interpretation of terms

1. Electronic device manufacturing projects specified in this Circular means projects on manufacture of electronic products, computers and communication devices listed in Section C.26 (Electronic products, computers and optical products) of the Vietnam Product Classification System issued by the Prime Minister.

2. Vietnamese organizations and enterprises specified in this Circular means organizations and enterprises established or registered for establishment in accordance with Vietnam’s law and headquartered in Vietnam; and not falling into the cases prescribed at Points a, b and c, Clause 1, Article 23 of the Law on Investment. In case the provisions at Points a, b and c, Clause 1, Article 23 of the Law on Investment are amended, supplemented or replaced, the amending, supplementing or replacing provisions shall prevail.

Article 3. Criteria for enterprises implementing electronic device manufacturing projects to be entitled to corporate income tax incentives

An enterprise implementing an electronic equipment manufacturing project shall be entitled to corporate income tax incentives if they satisfy one of the following criteria:

1. Criterion on the use of semiconductor chip products designed, manufactured or packaged and tested in Vietnam in products of the electronic equipment manufacturing project, which shall be regarded as satisfied if falling into either of the following cases:

a/ Using a semiconductor chip product whose design is owned by a Vietnamese organization or enterprise or a Vietnamese citizen. In which, the ownership is established through self-designing or hiring others, including Vietnamese citizens, to design, or purchasing the design from another entity.

b/ Using a semiconductor chip product manufactured or packaged and tested at a Vietnam-based factory or production line.

2. Criterion on scientific research, technological development and innovation, which requires an enterprise to simultaneously satisfy the following two conditions:

a/ Having a scientific research, technological development and innovation division with at least 10 employees possessing university or higher degree, of whom at least 50% are Vietnamese citizens.

Small- or medium-sized enterprises prescribed in the Law on Support for Small- and Medium-Sized Enterprises are not required to have scientific research, technological development and innovation divisions but must have at least 3 employees possessing university or higher degree to carry out these activities, of whom at least 50% are Vietnamese citizens.

b/ Having total expenditures for scientific research, technological development and innovation equal to at least 2% of its average net revenue in 3 consecutive fiscal years or at least VND 200 billion per year in 3 consecutive fiscal years; in case the enterprise has been operating for less than 3 years, its average net revenue shall be calculated based on the entire period of operation since its establishment, which must not be shorter than 1 full fiscal year.

3. The products of Vietnam-based electronic device manufacturing project must have a design (including requirement specifications, system architecture, detailed design, schematic diagrams, printed circuit board layouts, and related technical documents) owned by the enterprise itself, in which, the ownership is established through self-designing or hiring others, including Vietnamese citizens, to design, or purchasing the design from another entity.

4. Criterion on developing domestic supply chains and technology transfer:

a/ At least 30% of the enterprises participating in, and performing contracts on, the assembly or supply of materials, supplies and components and provision of services directly for the electronic device manufacturing project are Vietnamese enterprises;

b/ Technology transfer must be carried out for at least 1 Vietnamese organization or enterprise within 5 years from the date of issuance of the investment registration certificate or the investment policy approval decision or the written agreement with a competent state agency. The form and content of technology transfer must comply with the law on technology transfer.

Article 4. Organization of implementation

1. This Circular takes effect on January 1, 2026.

2. Enterprises implementing electronic device manufacturing projects specified in this Circular shall:

a/ Self-prove their satisfaction of the criteria specified in this Circular to be entitled to corporate income tax incentives and be held responsible for the accuracy of the provided information.

b/ Provide and update information about the electronic device manufacturing projects entitled to the incentives on the National Information System on the Digital Technology Industry.

3. The Chief of the Office, the Director of the Authority of Information Technology Industry, heads of related agencies, and related organizations,  enterprises and  individuals shall implement this Circular.

4. Any problems or new issues arising in the course of implementation of this Circular should be promptly reported to the Ministry of Science and Technology (the Authority of Information Technology Industry) for study, consideration, guidance, or amendment and supplementation under regulations.-

Minister of Science and Technology
NGUYEN MANH HUNG