Decree 182/2024/ND-CP regulating the establishment, management and use of the Investment Support Fund

DECREE

On the establishment, management and use of the Investment Support Fund^[1]

Pursuant to the June 19, 2015 Law on Organization of the Government;

Pursuant to the June 19, 2015 Law on Organization of Local Administration;

Pursuant to the November 22, 2019 Law Amending and Supplementing a Number of Articles of the Law on Organization of the Government and the Law on Organization of Local Administration;

Pursuant to the June 17, 2020 Law on Investment;

Pursuant to the June 17, 2020 Law on Enterprises;

Pursuant to the June 3, 2008 Law on Enterprise Income Tax; the June 19, 2013 Law Amending and Supplementing a Number of Articles of the Law on Enterprise Income Tax; and the November 26, 2014 Law Amending and Supplementing a Number of Articles of the Tax Laws;

Pursuant to the June 13, 2019 Law on Tax Administration;

Pursuant to the November 13, 2008 Law on High Technologies;

Pursuant to the June 18, 2013 Law on Science and Technology;

Pursuant to the June 19, 2017 Law on Technology Transfer;

Pursuant to the June 25, 2015 Law on the State Budget;

Pursuant to Resolution No. 110/2023/QH15 of the 6^th session of the 15^th National Assembly;

At the proposal of the Minister of Planning and Investment;

The Government promulgates the Decree on the establishment, management and use of the Investment Support Fund.

Chapter I

GENERAL PROVISIONS

Article 1. Scope of regulation and subjects of application

1. This Decree provides the establishment, management and use of the Investment Support Fund (below referred to as the Fund).

2. This Decree applies to the Fund, enterprises established and operating in accordance with Vietnam’s law and satisfying the criteria and conditions specified in this Decree, and agencies, organizations and individuals related to the establishment, management and use of the Fund.

Article 2. Interpretation of terms

In this Decree, the terms below are construed as follows:

1. Original dossier means a dossier for carrying out procedures for provision of cost support as specified in Clause 2 of this Article, comprising papers that are primary-source documents, originals or valid copies, except foreign-language documents and Vietnamese translations thereof.

2. Valid dossier means a dossier comprising all the papers specified in this Decree and the contents of such papers are filled in fully and uniformly among the dossier components in accordance with law.

3. Dossier for carrying out procedures for provision of cost support means a dossier prepared by an enterprise to carry out procedures for requesting provision of cost support in accordance with this Decree.

4. Cost support means a financial support provided by the State to enterprises for actual cost items in accordance with this Decree.

5. Added production value of hi-tech products means a value determined to be equal to the cost price of all hi-tech products sold (exclusive of copyright royalty and technology transfer fee payable to foreign partners) minus the value of input materials imported from abroad (exclusive of the value of input materials produced and supplied by export processing enterprises or other organizations and enterprises eligible to apply regulations on non-tariff zones in accordance with the law on import duty and export duty) in the fiscal year determined on the basis of accounting books and audited financial statements.

6. Ratio of added production value of hi-tech products means a ratio of the added production value of hi-tech products as specified in Clause 5 of this Article to the cost price of all hi-tech products.

7. Papers of equivalent legal validity means documents or decisions of competent state agencies to decide on investment policy for or permit or approve investment in projects in accordance with the laws on investment, land, construction, housing, urban areas, bidding, and enterprises that are effective at the time of promulgation of such documents or decisions.

8. Fiscal year means an annual accounting period determined in accordance with the accounting and tax laws.

9. Fiscal year of the Fund begins on January 1 and ends on December 31 of a calendar year.

10. Dossier-receiving agency means a state agency competent to receive dossiers for carrying out procedures for provision of cost support and evaluate enterprises’ requests for cost support.

Article 3. Principles of application of support policies

1. Enterprises that satisfy the conditions of the cost items eligible for support specified in Clause 1, Article 16 of this Decree are entitled to support for such cost items. In case an enterprise concurrently satisfies the conditions of different cost items eligible for support, it is entitled to support for all such cost items.

2. The provision of cost support shall be made in Vietnam dong by the following methods:

a/ Provision of support based on annual cost items eligible for support as specified in Section 1, Chapter III of this Decree or based on fiscal year in which enterprises request the support. Enterprises are entitled to the support level corresponding to their level of satisfaction of the conditions for support enjoyment;

b/ Provision of support for initial investment costs as specified in Section 2, Chapter III of this Decree.

3. Enterprises shall declare by themselves and take responsibility before law for the lawfulness, accuracy and truthfulness of data, information and contents in their dossiers for carrying out procedures for cost support.

4. The cost support levels specified in Chapter III of this Decree are those proposed by enterprises that satisfy the support conditions and must comply with decisions on consideration and approval of support requests, and adhere to the principles specified in Article 27 of this Decree.

5. Each enterprise or project is entitled to support for up to 5 years, unless the support period is extended under the Prime Minister’s decision.

6. In case an enterprise is concurrently eligible for support from one fund and another fund or eligible for support in another form from the Government for the same cost item eligible for support, it may choose the type of support on the principle that the support may be provided for this item from only one fund or in only one form of support, unless otherwise provided by the Government or otherwise applied under the Prime Minister’s decision.

7. In case an enterprise is concurrently eligible for support as specified in Sections 1 and 2, Chapter III of this Decree, it may only choose the support specified in only one section.

8. The support specified in Chapter III of this Decree applies to enterprises whose investment projects have their investment policy approved by the competent authority or are granted investment registration certificates or legal papers of equivalent validity in accordance with the investment law before, on or after the effective date of this Decree.

9. Support for the cost items specified in Section 1, Chapter III of this Decree applies from a fiscal year in which a hi-tech enterprise earns turnover or a project of an enterprise specified in Clause 2, Article 16 of this Decree earns turnover and, at the same time, costs eligible for support arise. For the first year after being granted the hi-tech enterprise certificate or hi-tech application activity certificate or certificate of enterprise established from project on production of hi-tech products or certificate of investment project on production of hi-tech products or certificate of investment project on research and development center, costs eligible for support are those arising in the whole of such fiscal year.

Enterprises shall submit their dossiers for carrying out procedures for cost support after the end of the fiscal year in which they request the support under Chapter IV of this Decree.

10. Support from the Fund shall not be accounted into income amounts liable to enterprise income tax of enterprises.

Article 4. Reimbursement of cost support

1. An enterprise that has received cost support shall reimburse the received amount of cost support in the following cases:

a/ It fails to satisfy the criteria and conditions and to fulfill the commitments specified in Article 18 of this Decree;

b/ It fails to satisfy the conditions specified in Clause 3, Article 21 of this Decree;

c/ It has received support for the same cost items from another fund or in another form of support from the Government;

d/ It has forged its dossier, used illegal documents or inaccurately declared information, making the determined enjoyable amount of cost support higher than the support level the enterprise is actually eligible for.

dd/ It or the investor that has a project eligible for initial investment cost support fails to satisfy the criteria and conditions for, and items of, initial investment cost support specified in Section 2, Chapter III of this Decree and other commitments of investors when registering the investment project and requesting initial investment cost support (if any).

2. Methods of reimbursement of cost support amounts in the cases specified in Clause 1 of this Article:

a/ For the cases specified at Points a, b, c and dd, Clause 1 of this Article, the enterprise shall reimburse the whole received amount of cost support plus the interest thereon with an interest rate equal to the average of 12-month term deposit interest rates announced at the time of reimbursement by the 3 joint-stock commercial banks having state capital portions, namely the Joint-Stock Commercial Bank for Foreign Trade of Vietnam, the Vietnam Joint-Stock Commercial Bank for Industry and Trade and the Bank for Investment and Development of Vietnam; at the same time, it shall pay a fine equal to 10% of the received amount of cost support.

b/ For the case specified at Point d, Clause 1 of this Article, the enterprise shall reimburse the support amount difference plus the interest thereon with the interest rate of 0.03%/day; at the same time, it shall pay a fine equal to 10% of the difference to be reimbursed.

3. The 10% fine specified at Points a and b, Clause 2 of this Article shall not be applied in the following cases:

a/ The enterprise has fully reimbursed the amount of cost support or fully reimbursed the support amount difference before the competent agency announces a decision on examination or inspection at the enterprise;

b/ The enterprise has fully reimbursed the amount of cost support or fully reimbursed the support amount difference before the competent agency detects such difference not through examination or inspection at the enterprise;

c/ The enterprise has complied with competent agencies’ guiding documents and handling decisions related to the determination of criteria, conditions, costs and support levels.

4. The number of days for interest calculation specified in this Article shall be counted from the date the enterprise receives the amount of cost support to the date it remits the reimbursed amount of cost support, support amount difference, interest and fine (if any) into the state budget.

5. The time limit for remitting the reimbursed amount of cost support, support amount difference, interests and fines (if any) is stated in the decision on support provision issued by the competent agency. Past the time limit stated in the decision on support provision, if the enterprise still fails to remit the reimbursed amount into the state budget, the agency that has issued the decision on support provision may request the competent agency to apply the law on tax administration to compel the enterprise to reimburse the support amount.

6. The statute of limitations for requesting reimbursement or fine payment is 5 years from the date the enterprise receives the support amount.

7. In case of reimbursement made by the enterprise before the competent state agency announces the decision on inspection or examination at the enterprise or before the time the competent agency detects the difference not through examination or inspection at the enterprise, the enterprise shall submit the modification dossier to the dossier-receiving agency and concurrently remit the reimbursed amount and interest into the state budget. Dossiers and procedures must comply with the Fund’s regulations.

8. Enterprises shall remit all reimbursed amounts of cost support, support amount difference, interests and fines (if any) into the state budget under regulations.

9. The currency used for making reimbursement is Vietnam dong.

Article 5. Language used in dossiers for carrying out procedures for cost support

1. Dossiers for carrying out procedures for cost support, documents and reports to be sent to competent state agencies shall be made in Vietnamese.

2. In case a dossier for carrying out procedures for cost support contains foreign-language documents, the Vietnamese translations of such documents are required.

3. In case papers and documents in a dossier for carrying out procedures for cost support are made in both Vietnamese and a foreign language, the Vietnamese versions shall be used to make support requests.

4. Enterprises shall be held responsible for any difference between contents of translations or copies and those of the originals and for any difference between Vietnamese versions and foreign-language versions of papers and documents.

Article 6. Receipt of dossiers for carrying out procedures for cost support and settlement of procedures related to the provision of cost support

1. The receipt of dossiers for carrying out procedures for cost support and settlement of procedures related to the provision of cost support are as follows:

a/ Enterprises shall take responsibility before law for the lawfulness, accuracy and truthfulness of contents of their dossiers for carrying out procedures for cost support;

b/ The dossier-receiving agency that carries out procedures for cost support shall check the validity of dossiers and may not request enterprises to additionally submit other papers not directly related to the determination of conditions, criteria and costs eligible for support;

c/ In case of requesting modification or supplementation of a dossier, the dossier-receiving agency shall send to the enterprise one notice of all contents that need to be modified or supplemented. The notice must clearly state grounds, contents and time limit for dossier modification or supplementation. The enterprise shall modify or supplement its dossier within the time limit specified in Clause 2, Article 30 of this Decree;

d/ When requesting an enterprise to explain contents of its dossier as specified in Clause 5, Article 30 of this Decree, the dossier-receiving agency shall notify such in writing to the enterprise, clearly stating the time limit for explanation. In case the enterprise fails to give explanations within the time limit specified in Clause 5, Article 30 of this Decree, the dossier-receiving agency shall consider and notify the enterprise in writing of the suspension of dossier processing.

2. The collection of opinions among state agencies in the course of processing dossiers for carrying out procedures for cost support is as follows:

a/ The consulting agency shall determine contents put for consultation in accordance with functions and tasks of the consulted agencies and the time limit for giving opinions in accordance with this Decree;

b/ Within the time limit specified at Point a of this Clause, the consulted agencies shall give their opinions and take responsibility for their opinions falling under their functions and tasks. Past the law-specified time limit, if giving no opinions, the consulted agencies shall be regarded as having agreed with contents falling under their management.

3. Competent agencies and persons shall take responsibility only for the contents assigned to them for consent or approval or for settlement of other procedures related to cost support specified in this Decree based on dossiers submitted by enterprises; and are not be responsible for the contents that have been previously consented to, appraised, approved or settled by other competent agencies or persons.

Article 7. Handling of forged documents and illegal documents

1. When a competent agency, organization or person detects that an enterprise’s dossier for carrying out procedures for cost support contains forged information or that an enterprise uses illegal documents for determination of costs eligible for support, the agency that has issued the decision on support provision shall proceed with the following:

a/ Notifying in writing the enterprise of its violation;

b/ Cancelling or reporting to a competent agency or person to consider cancellation of the decision on cost support and other related documents (below referred to as documents and papers) that have been issued or cancelling the contents of documents and papers that have been written based on forged information or illegal documents;

c/ Restoring documents and papers issued on the basis of the latest valid dossier, recalculating the support amount on the basis of valid dossier and documents, requesting the enterprise to reimburse the received support amount related to the forged dossier and illegal documents, including also the interest and fine as specified in Article 4 of this Decree, and concurrently handling the violation or reporting the violation to a competent agency or person for handling in accordance with law.

2. Enterprises shall take responsibility in accordance with law and bear all damage caused by the act of forging dossiers and documents or using illegal documents.

Chapter II

THE INVESTMENT SUPPORT FUND

Article 8. Legal position and legal person status of the Fund

1. The Fund is a national fund established by the Government and assigned to the Ministry of Planning and Investment for management; and operating neither for the profit-making purpose nor for the purpose of preserving its financial sources.

2. The Fund is attached to the Ministry of Planning and Investment and operates similarly as a public non-business unit under this Decree’s separate provisions on organization and operation mechanism.

3. The Fund has the legal person status and its own seal and may open a cost estimation account at the State Treasury to receive sources from the state budget and open accounts at the State Treasury and commercial banks for non-state budget sources.

Article 9. Functions, tasks and powers of the Fund

1. Functions of the Fund

The Fund has the functions of managing and coordinating its financial resources to provide support for the subjects specified in this Decree.

2. Tasks of the Fund

a/ To receive, manage and use sources allocated from the state budget and other lawful sources in accordance with this Decree and regulations related to its operation;

b/ To provide support to enterprises based on the subjects, conditions, contents and support levels specified in this Decree;

c/ To implement reporting, financial management, accounting and auditing regimes and this Decree’s provisions related to its operation and relevant regulations.

3. Powers of the Fund

a/ To organize activities in accordance with its objectives and scope of operation;

b/ To hire organizations, experts, scientists and other individuals to support the performance of its tasks;

c/ To deposit its non-state budget financial sources at commercial banks or the State Treasury.

4. The Fund is exempt from enterprise income tax on its revenues.

Article 10. Organizational structure of the Fund

The organizational structure of the Fund consists of:

1. The Fund Management Council.

2. The Fund Executive Body.

Article 11. Organization and powers of the Fund Management Council

1. The Fund Management Council shall be established under the Prime Minister’s decision and has a term of office of 5 years and its personnel may be considered for reappointment.

2. The Fund Management Council is composed of its Chairperson, Vice Chairpersons and members. The structure and organization of the Fund Management Council must comply with the Prime Minister’s decision.

3. The Fund Management Council has tasks and powers decided by the Prime Minister, including the following tasks and powers:

a/ To decide on 5-year and annual operation strategies and plans of the Fund;

b/ To issue the Fund’s operation regulation in accordance with this Decree;

c/ To approve the Fund’s annual financial plan;

d/ To report to the Government for consideration and approval the total amounts of cost support for enterprises on the basis of socio-economic development and investment attraction orientations in each period and the annual capability to balance state budget funds; on that basis, to assign cost support plans to each locality for implementation, and concurrently send them to the State Treasury offices where transactions are carried out for expenditure control;

dd/ To approve periodical reports and account-finalization reports of the Fund;

e/ To supervise and inspect activities of the Fund Executive Body in complying with law and implementing resolutions and decisions of the Council;

g/ To issue decisions on provision of investment support for enterprises that have not yet commenced their operation and enterprises eligible for initial investment cost support specified in Section 2, Chapter III of this Decree;

h/ Other tasks and powers as decided by the Prime Minister.

4. A meeting of the Fund Management Council shall be considered valid when it is attended by at least 50% of its members (including authorized persons) and chaired by the Chairperson of the Council or an authorized Vice Chairperson of the Council. A member of the Council may not be absent from more than 2 consecutive meetings of the Council. Meetings of the Council shall be recorded in minutes, bearing signatures of the persons chairing the meetings and stamps. Minutes of the Council’s meetings serve as a basis for issuing resolutions, decisions and other documents of the Council.

5. The Fund Management Council may invite representatives of related agencies and organizations to attend its meetings when necessary. Representatives of such agencies and organizations may raise their opinions but may not vote.

6. The Fund Management Council shall work according to the collective regime under the management by its Chairperson. Concluding opinions shall be agreed upon on the principle of majority, except the case specified in Clause 7 of this Article. In case the numbers of votes for and votes against a resolution, decision or another document are equal and the total number of voting members reaches 50% of the Council’s members (including the members present at the meeting and members sending their paper votes to the Council), such resolution, decision or document shall be approved based on the vote of the Council’s Chairperson or the person authorized to chair the meeting.

7. Conclusions approving reports to be submitted to the Prime Minister and the Government on the total amounts of cost support for enterprises and support limits for localities shall be approved by at least two-thirds of total members of the Fund Management Council. Opinions of the Council’s members shall be given by voting at meetings or sent in paper form to the Council.

In case a report to be submitted to the Government on the total amounts of cost support for enterprises and the support limits for localities is not approved by at least two-thirds of total members of the Fund Management Council at 2 consecutive meetings but is approved by at least 50% of total members of the Fund Management Council, the Chairperson of the Fund Management Council shall send such report to the Prime Minister for consideration and approval.

In case a report to be submitted to the Government on the total amounts of cost support for enterprises and the support limits for localities are approved by less than 50% of total members of the Fund Management Council at 2 consecutive meetings, the Chairperson of the Fund Management Council shall assign the Fund Executive Body to notify the return of the enterprises’ dossiers of request for support or report such to the Prime Minister for consideration and decision.

Article 12. Responsibilities and powers of the Chairperson of the Fund Management Council

1. To approve on behalf of the Fund Management Council quarterly and annual operation plans of the Council.

2. To sign on behalf of the Fund Management Council documents falling within the Council’s competence.

3. To decide to convene meetings of the Fund Management Council, and chair the Council’s meetings.

4. To authorize a Vice Chairperson of the Fund Management Council to convene and chair the Council’s meetings.

5. To direct the Fund Executive Body to perform other tasks to meet the Fund’s management requirements.

6. To organize the performance of tasks of the Fund Management Council.

7. To direct the Fund Executive Body in performing the Fund’s tasks.

8. To organize supervision, directly supervise, and evaluate results of, the implementation of strategic objectives, operation plans and operation results of the Fund and the Fund Executive Body, and results of the management and administration of the Fund’s Director.

9. Other responsibilities and powers as decided by the Prime Minister.

Article 13. Responsibilities and powers of members of the Fund Management Council

1. To perform tasks as assigned or authorized by the Chairperson of the Council and take responsibility before the Chairperson of the Council and before law for the tasks they are authorized to perform.

2. To mobilize human resources, working facilities and research facilities under their management to fulfill their assigned tasks.

3. To attend all meetings of the Council, give their opinions on contents put for consideration and evaluation and vote on the Council’s conclusions. In special cases in which they are unable to attend meetings, they shall authorize their competent representatives to attend meetings and give written opinions on contents put for consultation.

4. To take responsibility for their opinions and votes.

5. Other responsibilities and powers as decided by the Prime Minister.

Article 14. Organization and powers of the Fund Executive Body

1. The Fund Executive Body is the standing agency of the Fund Management Council, established under the Minister of Planning and Investment’s decision, and has the following tasks and powers:

a/ To perform the tasks of the Fund’s standing agency as specified in this Decree;

b/ To summarize reports on proposals for investment support of localities and  reports on evaluation of dossiers for carrying out procedures for cost support of enterprises as specified at Point b, Clause 2, Article 29 of this Decree for reporting to the Fund Management Council;

c/ To organize the implementation of resolutions and decisions of the Council;

d/ To assume the prime responsibility for evaluating dossiers of request for cost support of enterprises that have not yet commenced their operation and enterprises eligible for initial investment cost support specified in Section 2, Chapter III of this Decree;

dd/ To perform other tasks assigned by the Chairperson of the Council;

e/ To prepare dossiers of payment request under regulations and send them to the State Treasury.

2. The Fund Executive Body is composed of:

a/ The Fund’s Director;

b/ The Fund’s Deputy Directors;

c/ The Chief Accountant and a number of members who are cadres, civil servants and public employees of the Ministry of Planning and Investment and work on a part-time basis as appointed by the Minister of Planning and Investment.

3. The Fund’s Director is the Fund’s legal representative and account holder who has the tasks of organizing and administering activities of the Fund Executive Body; assigning tasks to Deputy Directors, the Chief Accountant and members of the Fund Executive Body in the performance of tasks and exercise of powers of the Fund Executive Body; signing reports and account-finalization reports, and disclosing the Fund’s finance and documents under the competence of the Fund Executive Body.

4. The Fund’s Deputy Directors are assistants of the Fund’s Director and perform tasks assigned or authorized by the latter.

5. The Fund’s Chief Accountant shall perform the tasks assigned by the Fund’s Director, and take responsibility for the accounting work, financial statements and account-finalization reports of the Fund in accordance with law and this Decree.

6. Members of the Fund Executive Body shall perform tasks assigned by the Fund’s Director.

Chapter III

INVESTMENT SUPPORT POLICIES

Section 1

COST SUPPORT

Article 15. Cost support method

The Fund will directly provide monetary support for the cost items specified in Clause 1, Article 16 of this Decree.

Article 16. Cost items and subjects eligible for cost support

1. Cost items eligible for the Fund’s support include:

a/ Human resource training and development cost;

b/ Research and development cost;

c/ Cost for investment in the creation of fixed assets;

d/ Cost for production of hi-tech products;

dd/ Social infrastructure investment cost;

e/ Other costs as decided by the Government.

2. Subjects eligible for cost support include:

a/ Hi-tech enterprises;

b/ Enterprises having investment projects on production of hi-tech products;

c/ Enterprises having hi-tech application projects;

d/ Enterprises having investment projects on research and development centers.

Article 17. Investment projects on production of hi-tech products

1. Criteria for determining investment projects on production of hi-tech products must comply with guidance of the Minister of Science and Technology.

2. Order and procedures for certification of investment projects on production of hi-tech products

a/ A dossier of request for certification must comprise:

An application for a certificate of investment project on production of hi-tech products under guidance of the Minister of Science and Technology;

A copy of the business registration certificate or investment registration certificate;

Commentaries stating that the enterprise’s project satisfies the criteria specified in Clause 1 of this Article under guidance of the Minister of Science and Technology.

A dossier of request for certification shall be made in Vietnamese and in 2 sets to be hand-delivered or sent by post to the Ministry of Science and Technology.

b/ Order and procedures for grant of certificate of investment project on production of hi-tech products

Within 5 working days after receiving a dossier of request for certification, the Ministry of Science and Technology shall check the completeness and validity of the dossier;

In case the dossier is incomplete and invalid, within 5 working days, the Ministry of Science and Technology shall hand-deliver or send by post to the concerned enterprise an official letter requesting dossier supplementation and completion. Within 10 working days after receiving the official letter requesting dossier supplementation and completion, the enterprise shall supplement and modify the dossier and send it back to the Ministry of Science and Technology. Past the above time limit, if the enterprise fails to supplement and complete the dossier or if the dossier supplementation or completion is unsatisfactory, the Ministry of Science and Technology shall issue a notice of refusal to grant the certificate to the enterprise;

Within 30 working days after receiving a complete and valid dossier, the Minister of Science and Technology shall decide to establish a dossier appraisal advisory council and organize dossier appraisal. Funding sources for dossier appraisal come from the non-business funding source for science and technology activities managed by the Ministry of Science and Technology. Composition and operation of the appraisal advisory council must comply with guidance of the Minister of Science and Technology.

Within 15 working days after the appraisal conclusion minutes is made, the Minister of Science and Technology shall grant a certificate and send it to the enterprise. In case of refusal to grant a certificate, it shall issue a notice, stating the reason.

The model certificate of investment project on production of hi-tech products must comply with guidance of the Minister of Science and Technology.

c/ A certificate shall be revoked in the following cases:

Within 12 months after being granted a certificate, the project still fails to commence its operation;

The dossier of application for certificate is forged;

The enterprise commits one of the prohibited acts specified in Article 8 of the Law on High Technologies;

In the course of operation, the project does not comply with the provisions of this Decree;

Competent agencies so decide or request when the enterprise commits law-breaking acts in the course of operation.

3. The Minister of Science and Technology is competent to grant and revoke certificates of investment projects on production of hi-tech products.

4. A certificate of investment project on production of hi-tech products becomes effective from the date of its grant and is valid until the termination of the project.

Article 18. Criteria and conditions for enjoyment of cost support

1. An enterprise eligible for cost support specified at Point a, b or c, Clause 2, Article 16 of this Decree must satisfy one of the following conditions:

a/ Being a hi-tech enterprise with an investment project capitalized at VND 12 trillion or more or generating a turnover of VND 20 trillion per year or more;

b/ Being an enterprise with an investment project on production of hi-tech products, or an enterprise with a hi-tech application project capitalized at VND 12 trillion or more or generating a turnover of VND 20 trillion per year or more;

c/ Being a hi-tech enterprise, an enterprise with an investment project on production of hi-tech products, or an enterprise with a hi-tech application project investing in the chip industry, semiconductor integrated circuits or artificial intelligence data centers capitalized at VND 6 trillion or more or generating a turnover of VND 10 trillion per year or more;

d/ For a hi-tech enterprise, an enterprise with an investment project on production of hi-tech products, or an enterprise with a hi-tech application project, of which high technologies and hi-tech products are on the Prime Minister-issued List of breakthrough high technologies and hi-tech products prioritized for research and development, it is not required to satisfy the capital or turnover criterion specified in this Decree;

dd/ For an enterprise with a microchip design project, it is not required to satisfy the capital or turnover criterion specified in this Decree but shall commit to employing at least 300 Vietnamese engineers and managers after 5 years of operation in Vietnam and annually helping Vietnam train at least 30 high-quality engineers in the field of microchip designing.

2. Enterprises eligible for support based on the capital criterion specified at Point a, b or c, Clause 1 of this Article must satisfy or commit to satisfying the conditions for investment capital disbursement as follows:

a/ An investment project that is granted an investment registration certificate, an investment policy approval decision or an investor approval decision on or after the effective date of this Decree must complete the disbursement of at least VND 12 trillion within 5 years or VND 10 trillion within 3 years after being granted such certificate or decision for the first time.

An investment project in the chip industry, semiconductor integrated circuits or artificial intelligence data centers must complete the disbursement of at least VND 6 trillion within 5 years or VND 4 trillion within 3 years after being granted the investment policy approval decision, investor approval decision or investment registration certificate for the first time.

b/ For an investment project with the registered investment capital amount not yet reaching the minimum level of VND 12 trillion before the effective date of this Decree and undergoing increase of its investment capital on or after the effective date of the Decree to reach the minimum level of VND 12 trillion or VND 6 trillion for the field of chip industry, semiconductor integrated circuits or artificial intelligence data centers:

In case the capital increase is less than VND 10 trillion, the total investment capital to be disbursed for the whole project must be at least VND 10 trillion within 3 years from the date of modification of the investment policy approval decision or the investment registration certificate.

In case the capital increase is VND 10 trillion or more, the total investment capital to be disbursed for the whole project must be at least VND 12 trillion within 5 years from the date of modification of the investment policy approval decision or the investment registration certificate.

For an investment project in the field of chip industry, semiconductor integrated circuits or artificial intelligence data centers, in case the capital increase is less than VND 4 trillion, the total investment capital to be disbursed for the whole project must be at least VND 4 trillion within 3 years from the date of modification of the investment policy approval decision or the investment registration certificate. In case the capital increase is VND 4 trillion or more, the total investment capital to be disbursed for the whole project must be at least VND 6 trillion within 5 years from the date of modification of the investment policy approval decision or the investment registration certificate.

c/ For an investment project with the registered minimum investment capital of VND 12 trillion or VND 6 trillion for the field of chip industry, semiconductor integrated circuits or artificial intelligence data centers as stated in the investment certificate, investment registration certificate, investment policy approval decision, investor approval decision or another paper of equivalent legal validity which is granted for the first time or modified before the effective date of this Decree for which capital disbursement has not yet been completed, the time limit for disbursement completion must comply with one of the above documents or it is required to complete the disbursement of at least VND 12 trillion or VND 6 trillion for the field of chip industry, semiconductor integrated circuits or artificial intelligence data centers within 5 years from the date of initial allocation or adjustment of investment capital as stated in one of the above documents at the latest adjustment before the effective date of this Decree;

d/ For an investment project with the registered minimum investment capital of VND 12 trillion or VND 6 trillion for the field of chip industry, semiconductor integrated circuits or artificial intelligence data centers as stated in the investment certificate, investment registration certificate, investor approval decision or another paper of equivalent legal validity which is granted for the first time or modified before the effective date of this Decree for which capital disbursement has been completed before the effective date of this Decree, it will be entitled to support of the cost items specified in Clause 1, Article 16 of this Decree.

3. Enterprises eligible for support based on the turnover conditions specified at Point a, b or c, Clause 1 of this Article must satisfy the conditions on turnover of hi-tech enterprises, turnover of hi-tech application projects and projects on production of hi-tech products in the fiscal year in which they request the support. Turnover of projects receiving support in accordance with this Decree shall be separately accounted.

4. Enterprises specified in Clause 2, Article 16 of this Decree must have no overdue tax arrears and state budget debts at the time of submission of dossiers of request for support.

5. The identification of hi-tech enterprises, investment projects on production of hi-tech products and projects on hi-tech application must comply with the law on high technologies and this Decree.

6. A project on an enterprise’s research and development center specified at Point d, Clause 2, Article 16 must satisfy the following conditions:

a/ The center is established and registered for operation, for science and technology organizations defined in the law on science and technology;

b/ The center is engaged in fields of scientific and technological activities including research and development activities aimed at creating high technologies on the List of high technologies prioritized for development investment, or hi-tech products on the List of hi-tech products eligible for development promotion promulgated together with the Prime Minister’s decision;

c/ The center has an investment capital of at least VND 3 trillion and completes the disbursement of at least VND 1 trillion within 3 years from the date of grant of the investment policy approval decision, investor approval decision, investment registration certificate or a paper of equivalent legal validity.

Article 19. Human resource training and development cost support

An enterprise eligible for cost support specified in Clause 2, Article 16 and satisfying the criteria and conditions for cost support specified in Article 18 of this Decree is entitled to human resource training and development cost support as follows:

1. Support levels

a/ Not exceeding 50% of the project’s costs arising in the fiscal year and actually spent on training and development of human resources who are Vietnamese workers;

b/ Cost support must adhere to the principles specified in Article 27 of this Decree.

2. Human resource training and development costs eligible for support include:

a/ Cost of training, including long-term or short-term training at home and abroad;

b/ Training support;

c/ Other human resource training and development costs;

d/ Payment of salaries to Vietnamese engineers and managers;

dd/ Cost of implementation of training, research and enterprise incubation programs for Vietnam at universities, innovation centers and enterprises.

Article 20. Research and development cost support

An enterprise eligible for cost support specified in Clause 2, Article 16 and satisfying the criteria and conditions for cost support specified in Article 18 of this Decree is entitled to research and development cost support as follows:

1. Support levels

a/ Annual support shall be provided at the following percentages for the project’s costs arising in the fiscal year and actually spent on research and development activities;

b/ Cost support must adhere to the principles specified in Article 27 of this Decree.

Annual research and development cost support calculated at partially progressive levels shall be applied to different eligible subjects according to the following percentages:

2. The method of calculation of research and development cost support is as follows:

The amount of cost support is the total of amounts of support levels. The amount calculated for each support level is equal to the cost amount in such support level multiplied by (x) the corresponding percentage of such support level.

3. Research and development costs eligible for support include:

a/ Annual recurrent expenditures for research and development activities;

b/ Costs of training support, supply of equipment and machinery, and provision of donations for state management agencies, science and technology organizations and education institutions in Vietnam. These costs exclude training costs for which human resource training and development support has been provided under Article 19 of this Decree;

c/ Costs of research and development cooperation or provision of donations for organizations and individuals to implement research and development projects of enterprises;

d/ Payment of copyright royalty and fee for transfer of ownership and licensing of industrial property subject matters to serve research and development activities; registration fee for recognition or protection of inventions and utility solutions in Vietnam; copyright royalty and licensing fee under contracts on transfer of high technologies for application in hi-tech application projects for which technology transfer registration certificates have been granted by competent state agencies (except cases in which registration is not mandatory under the law on technology transfer);

dd/ Depreciation of investment in infrastructure and fixed assets for research and development activities;

e/ Charge for rent of capacity of data centers and technological infrastructure facilities of enterprises in Vietnam;

g/ Other research and development costs.

Article 21. Fixed asset creation investment cost support

Enterprises eligible for cost support specified in Clause 2, Article 16 and satisfying the criteria and conditions for cost support specified in Article 18 of this Decree are entitled to fixed asset creation investment cost support as follows:

1. An enterprise shall be provided with fixed asset creation investment cost support at the percentages specified in Clause 4 of this Article which are calculated on historical costs of fixed assets in which the enterprise has actually made the additional investment in the fiscal year in which it requests the support.

2. Support levels:

a/ Support levels shall be calculated under Clause 4 of this Article but the maximum support amount per year must not exceed 0.5% of the total investment capital stated in the investment policy approval decision or investment registration certificate, for projects that satisfy the criteria and conditions for cost support specified in Article 18 of this Decree;

b/ Cost support must adhere to the principles specified in Article 27 of this Decree

3. Additional fixed assets eligible for support must satisfy the following conditions:

a/ They are used for hi-tech production, application and business activities of the enterprise for at least 3 consecutive years after they are put into use;

b/ They may not be sold, transferred or assigned to other organizations or enterprises for use within 3 years after they are put into use.

4. Annual fixed asset creation investment cost support amounts shall be calculated according to partially progressive levels applicable to different eligible subjects at the following percentages:

5. The method of calculation of fixed asset creation investment cost support must comply with Clause 2, Article 20 of this Decree.

Article 22. Hi-tech product production cost support

Enterprises eligible for cost support specified in Clause 2, Article 16 and satisfying the criteria and conditions for cost support specified in Article 18 of this Decree are entitled to hi-tech product production cost support as follows:

1. Enterprises shall be provided with annual hi-tech product production cost support at the percentages calculated on the added production value of products as follows:

a/ An enterprises specified at Point a or c, Clause 2, Article 16 of this Decree is entitled to support equal to 1% of the added production value of their hi-tech products in the fiscal year. The enterprise is entitled to support not exceeding 3% of the added production value of its hi-tech products in a fiscal year if satisfying one of the following conditions:

Its turnover reaches at least VND 200 trillion, its personnel reaches at least 10,000, and the rate of the added production value of its hi-tech products reaches at least 30%;

It is engaged in production in the field of chip industry, semiconductor integrated circuits or artificial intelligence data centers.

b/ An enterprise specified at Point b, Clause 2, Article 16 of this Decree is entitled to support equal to 0.5% of the added production value of its hi-tech products in the fiscal year. The enterprise is entitled to support equal to 1% of the added production value of its hi-tech products in a year if fully satisfying the following conditions:

Its turnover reaches at least VND 200 trillion and its total personnel reaches at least 10,000.

The rate of the added production value of its hi-tech products reaches at least 30%.

c/ Cost support must adhere to the principles specified in Article 27 of this Decree.

2. Hi-tech products specified in this Article that are eligible for cost support include products on the List of hi-tech products eligible for development promotion in accordance with the Law on High Technologies and relevant guiding documents.

Article 23. Social infrastructure investment cost support

Enterprises eligible for cost support specified in Clause 2, Article 16 and satisfying the criteria and conditions for cost support specified in Article 18 of this Decree are entitled to social infrastructure investment cost support as follows:

1. An enterprise shall be provided with support not exceeding 25% of costs arising in the fiscal year and actually spent on investment in the construction of social infrastructure facilities specified in Clause 2 of this Article and cost support must adhere to the principles specified in Article 27 of this Decree.

2. Social infrastructure facilities are facilities that directly serve employees of enterprises entitled to support specified in this Decree, including: social houses for lease to workers, schools, kindergartens, health establishments, cultural works, and sports facilities.

Section 2

INITIAL INVESTMENT COST SUPPORT

Article 24. Subjects eligible for initial investment cost support

Subjects eligible for initial investment cost support are enterprises having investment projects on research and development centers in the fields of semiconductor and artificial intelligence.

Article 25. Criteria and conditions for provision of initial investment cost support

1. Enterprises specified in Article 24 of this Decree have no overdue tax arrears or overdue state budget debts at the time of dossier submission, and satisfy the conditions specified at Points a, b, and c, Clause 6, Article 18 of this Decree.

2. Investment projects on research and development centers exert positive impacts on the innovation ecosystem and development of breakthrough new technologies and products at the national level.

Article 26. Initial investment cost support levels

1. Enterprises specified in Article 24 of this Decree are entitled to support not exceeding 50% of their projects’ initial investment costs in adherence to the principles specified in Article 27 of this Decree.

2. The Government shall consider and decide on support levels other than those specified in Clause 1 of this Article.

Chapter IV

DOSSIERS AND PROCEDURES FOR PROVISION OF COST SUPPORT AND EVALUATION OF COST SUPPORT

Article 27. Principles of approval of cost support requests

1. The Fund shall provide cost support to enterprises that satisfy the conditions specified in this Decree.

2. The Fund shall provide enterprises with support not exceeding its financial sources specified in Article 35 of this Decree.

3. Based on requests for reports on cost support provision proposals of provincial-level People’s Committees and enterprises, and the Fund’s fund-balancing capacity in the fiscal year, the Fund Management Council shall evaluate and report to the Government for consideration and decision the total amount of cost support for enterprises based on socio-economic development and investment attraction orientations in each period, and the Fund’s budget.

4. Provincial-level People’s Committees and the Fund Management Council shall, within the ambit of their competence specified in this Decree, consider and decide on a specific support amount for each enterprise within the allocated budget.

Article 28. Dossiers for carrying out procedures for provision of cost support

A dossier for carrying out procedures for provision of cost support for enterprises eligible for cost support under Clause 2, Article 16 of this Decree must comprise:

1. A written request for cost support.

2. Valid copies of the investment policy approval decision and the investment registration certificate (if any) or another document of equivalent legal validity.

3. A valid copy of one of the following papers: the hi-tech enterprise certificate, hi-tech application activity certificate, certificate of enterprise established from project on production of hi-tech products, certificate of investment project on production of hi-tech products, certificate of investment project on research and development center, and written certification on recording of hi-tech enterprise information issued by a competent agency before the effective date of the Law on High Technologies.

Enterprises with investment projects engaged in hi-tech activities in hi-tech parks are not required to submit the documents specified in this Clause.

4. A report on project implementation in accordance with the law on investment in the period of requesting cost support.

5. A valid copy of the financial statement of the year in which support is requested. The financial statement shall be audited by an independent audit firm on the list of audit firms approved to audit public-interest units in the field of securities as announced by the State Securities Commission in the year prior to the year of financial statement formulation. A supported cost report audited by an independent audit firm must be accompanied by a statement of costs requested for support in accordance with this Decree. Costs requested for support must have lawful invoices and documents archived at enterprises in accordance with the law on accounting.

6. A valid copy of the document showing results of the periodical inspection of the performance of the organizations granted a hi-tech enterprise certificate, hi-tech application activity certificate, certificate of enterprise established from project on production of hi-tech products, certificate of investment project on production of hi-tech products, certificate of investment project on research and development center, or certificate of technology transfer registration, in case the enterprise requests cost support specified at Point d, Clause 3, Article 30 of this Decree.

At the time of dossier submission as specified in Article 30 of this Decree, if the enterprise has yet to obtain periodical inspection results, it shall additionally submit documents to the dossier-receiving agency no later than January 15 of the calendar year following the year of submitting dossiers for carrying out procedures for provision of cost support.

If the enterprise obtains the competent agency’s written certification of recording of hi-tech enterprise information before the effective date of the Law on High Technologies, it is not required to submit the documents specified in this Clause.

7. A list of employees currently employed by the enterprise, accompanied by the original or a copy of the insurance agency’s written certification of the employees’ insurance participation.

8. The original or a valid copy of the written certification by the tax office managing the enterprise regarding the latter’s fulfillment of tax obligations.

9. A written commitment on support enjoyment that must adhere to the principles specified in Articles 3 and 4 of this Decree, and a waiver of the right to file international lawsuits (if any) related to cost support activities under this Decree.

10. Other relevant documents as specified by law (if any).

Article 29. Evaluation of cost support requests

1. Evaluation of a cost support request covers:

a/ Evaluation of conformity with the criteria and conditions applicable to the subject eligible for support;

b/ Evaluation of adherence to the principles of application of support policies;

c/ Evaluation of the criterion of satisfaction of the conditions for determination of cost support level;

d/ Evaluation of conformity between the enterprise’s requests for cost support and support cost items specified in this Decree;

dd/ Evaluation of the project’s implementation of its committed schedule of investment capital disbursement;

e/ Evaluation of the enterprise’s employment status and compliance with regulations on social insurance premium payment for employees and the fulfillment of tax obligations;

g/ Evaluation of the enterprise’s fulfillment of other commitments in order to receive support under this Decree.

2. Agencies receiving and processing dossiers for carrying out procedures for provision of cost support:

a/ Enterprises that have projects in the production and business phase shall submit dossiers for carrying out procedures for provision of cost support to the management boards of economic zones, industrial parks or hi-tech parks (for projects located in economic zones, industrial parks or hi-tech parks), or to provincial-level Departments of Planning and Investment (for projects located outside economic zones, industrial parks or high-tech parks). Dossier-receiving agencies shall assume the prime responsibility for evaluating enterprises’ cost support requests and reporting them to provincial-level People’s Committees for consideration and decision;

b/ Enterprises that have not yet commenced their operation and those eligible for initial investment cost support specified in Section 2, Chapter III of this Decree shall submit dossiers for carrying out procedures for provision of cost support to the Ministry of Planning and Investment. The Fund Executive Body shall receive and process dossiers, and assume the prime responsibility for evaluating enterprises’ cost support requests.

Article 30. Order and procedures for evaluating cost support requests

1. An enterprise shall hand-deliver or send by post 8 sets of dossiers for carrying out procedures for provision of cost support (including 1 original set) to the division in charge of receiving dossiers for and notifying results of settlement of administrative procedures at the dossier-receiving agency before July 10 of the year following the fiscal year for which support is requested.

2. In case the dossier is invalid or contains information requiring clarification, the dossier-receiving agency shall, within 5 working days after receiving the dossier, notify such to the enterprise, specifying the reason for requesting dossier modification or supplementation, or for dossier rejection. Within 10 days, the enterprise shall make dossier modification or supplementation as requested.

3. Within 3 working days after receiving a valid dossier, the dossier-receiving agency shall forward the dossier to same-level units of the provincial-level Department or Ministry for the latter’s opinion, for the cases specified in Clause 2, Article 29 of this Decree, regarding the contents specified in Clause 1, Article 29 of this Decree. In case of necessity, the dossier-receiving agency shall send a written request for seeking opinions of related units at other levels.

4. Within 15 days after receiving the dossier, consulted units shall give their opinions on the contents falling under their state management to the dossier-receiving agency.

5. In case consulted units request the enterprise to further explain contents in the request dossier, the dossier-receiving agency shall sum up explanation requests and send them to the enterprise within 3 working days after receiving them. Within 30 days after receiving a request from the dossier-receiving agency, the enterprise shall provide explanations, add relevant documents, and modify its cost support request (if any).

6. After receiving the enterprise’s complete dossier of request for cost support, opinions of consulted units, and the enterprise’s written explanation (if any), the dossier-receiving agency shall make a report on evaluation of the enterprise’s request for cost support under Clause 1, Article 29 of this Decree.

7. For the case specified at Point a, Clause 2, Article 29 of this Decree, provincial-level People’s Committees shall sum up enterprises’ investment support requests and report them to the Fund Executive Body no later than October 1 every year.

8. The Fund Executive Body shall sum up enterprises’ cost support requests it has received and investment support requests reported by provincial-level People’s Committees, and make and submit an evaluation report thereon to the Fund Management Council no later than October 15 every year.

9. Within 15 days after the Fund Executive Body submits the report, the Fund Management Council shall evaluate it and report thereon to the Government for consideration and decision on the total amount of cost support for enterprises in adherence to the principles specified in Article 27 of this Decree.

10. Procedures for provision of cost support must comply with Clause 2, Article 39 of this Decree.

Article 31. Contents of decisions on provision of investment support

A decision on provision of investment support for an enterprise must have the following contents:

1. Information about the enterprise.

2. Fiscal year in which costs eligible for support arise.

3. Cost support items and cost support amounts.

4. Method of provision of cost support.

5. Commitments to satisfying the conditions for receiving support under this Decree.

Article 32. Selection of consultants for the evaluation of dossiers for carrying out procedures for provision of cost support

1. In case of selection of contractors to provide consultancy on the evaluation of dossiers for carrying out procedures for provision of cost support, the Fund Management Council or provincial-level People’s Committees shall decide to hire contractors that are fully capable and experienced to provide consultancy in accordance with law.

2. The order and procedures for selection of consultancy contractors must comply with the bidding law.

Article 33. Dossier, order and procedures for evaluation of requests for initial investment cost support

1. A dossier of request for initial investment cost support must comprise:

a/ A written request for cost support;

b/ A certified copy of the investment policy approval decision or investment registration certificate (if any) or another paper of equivalent legal validity;

c/ The original or a certified copy of the written certification of fulfillment of tax obligation issued by the tax agency directly managing the enterprise, except where the enterprise is newly established to implement the project;

d/ A document on determination of initial investment costs;

dd/ A written commitment to adhering to the principles specified in this Decree when receiving support;

e/ Other relevant documents as required by law (if any).

2. The order and procedures for evaluation of requests for initial investment cost support must comply with Article 30 of this Decree.

Article 34. Schedule of provision of initial investment cost support and fulfillment of commitments by enterprises eligible for support

1. Enterprises shall propose and explain schedules of receiving initial investment cost support in their cost support request dossiers, opting for either lump-sum support amounts or annual support amounts for several years.

2. Enterprises receiving initial investment cost support shall put into operation research and development centers under their investment projects approved by competent agencies, comply with the criteria and conditions specified in Article 24 of this Decree, and implement contents negotiated and committed with the State of Vietnam.

3. In the course of implementation of investment projects on research and development centers, enterprises that have received initial investment cost support but fail to satisfy the conditions and commitments specified in Clause 2 of this Article shall refund the received support amounts to the State of Vietnam in adherence to the principles specified in Article 4 of this Decree.

4. At the end of a fiscal year, enterprises shall make written reports on realization of their commitments to receive support. These reports shall be submitted to provincial-level People’s Committees of localities where enterprises’ head offices are located and to the Fund Executive Body.

Chapter V

FINANCIAL MANAGEMENT AND SUPERVISION

Article 35. Financial resources of the Fund

1. The central budget, including:

a/ Other estimated development investment expenditures as specified at Point c, Clause 1, Article 36 of the Law on the State Budget (corresponding to the whole amount of additionally collected enterprise income tax under global anti-base erosion model rules);

b/ The central budget’s additional allocations based on the balancing capacity;

2. Off-budget sources, including:

a/ Contributions, aid and donations from organizations, enterprises and individuals at home and abroad, and other lawful sources;

b/ Interest amounts on deposit accounts.

3. Annual surplus of the Fund.

Article 36. Spending tasks of the Fund

1. Provision of cost support for enterprises under this Decree.

2. Expenditures for its management activities, including:

a/ Allowance for part-time employees in accordance with law;

b/ Conference expense;

c/ Work-trip allowance;

d/ Office supplies and document printing expense;

dd/ Expense for hiring of organizations, experts, scientists and other individuals;

e/ Outsourcing expense for goods and services;

g/ Transport cost;

h/ Expense for hiring of evaluation consultants;

i/ Other expenses and costs.

Expenditures for the Fund’s management activities shall be included in recurrent expenditure estimates of the Ministry of Planning and Investment.

Article 37. Formulation of financial plans of the Fund

1. Annually, at the time of formulating state budget estimates in accordance with the Law on the State Budget, based on the situation and results of the task performance from the previous year and projected task requirements for the planning year, the Fund’s Director shall make a financial plan for the Fund and submit it to the Fund Management Council for consideration and approval. Such a plan must comprise:

a/ Evaluation of the results and status of the implementation of the Fund’s financial revenues and expenditures in the current year, including: status of receiving state budget allocations; interests on the Fund’s deposits; mobilization of other lawful revenues; status of the Fund’s provision of cost support; and the Fund’s estimated balance by the end of the current year, including the balance of the state budget’s estimated funds and the cash balance on the Fund’s accounts at commercial banks;

b/ Estimated revenues of the Fund from off-budget sources specified in Clause 2, Article 35 of this Decree;

c/ Estimated revenues of additional enterprise income tax under the global anti-base erosion model rules;

d/ Estimated expenditures of the Fund for the budget estimation year, including cost support for enterprises and expenditures for of the Fund’s activities.

2. Based on the Fund Management Council’s approval, the Fund’s Director shall submit the Fund’s financial plan to the Ministry of Planning and Investment’s budget estimate formulation unit to formulate budget estimates in accordance with the Law on the State Budget, and include it in the Ministry of Planning and Investment’s annual state budget estimates. The Ministry of Planning and Investment shall send the estimate to the Ministry of Finance for inclusion in the central budget expenditure estimates and submission to competent authorities for consideration and decision in accordance with the law on the state budget.

3. The Prime Minister shall assign estimates of the Fund’s other development investment expenditures and annual recurrent expenditures within the annual state budget estimates of the Ministry of Planning and Investment.

4. The Minister of Planning and Investment shall allocate and assign budget estimates assigned by the Prime Minister to the Fund for implementation, detailing estimated cost support for enterprises and the Fund’s management expenses.

Article 38. Formulation and assignment of the Fund’s annual state budget estimates

1. For the Fund’s state budget expenditure estimates for 2025 and 2026, based on expenditure needs and the state budget’s balancing capacity, the Government shall report to competent agencies for allocation of the state budget funds for 2025 and 2026 to the Ministry of Planning and Investment for assignment to the Fund.

2. For the Fund’s state budget expenditure estimates from 2027 onward, estimates shall be formulated on the following bases:

a/ Actual state budget revenues in 2025 and subsequent years from additional enterprise income tax sources under the global anti-base erosion model rules. The Ministry of Finance shall determine estimates of state budget revenues specified at this Point;

b/ Projected off-budget revenue sources (if any);

c/ The Fund’s projected expenditures in the budget estimation year.

3. In case the Fund lacks financial resources to provide cost support for enterprises under this Decree in the fiscal year, the Ministry of Planning and Investment shall sum up and send a report to the Ministry of Finance for subsequent reporting to the Prime Minister or the Government for submission to the competent agency for supplementation of annual estimates or decision on addition of budget allocations in adherence to the principles specified in Article 39 of this Decree.

Article 39. Principles of the management of state budget allocations and procedures for provision of support

1. Principles for management of state budget allocations:

a/ Provision of cost support for enterprises must be within the approved estimate limits;

b/ If the Fund’s financial resources in a given year are insufficient to provide cost support for eligible projects that have not yet been put into operation, the use of state budget funds under public investment plans may be considered. The assignment of medium-term and annual public investment plans for the Fund must comply with the Law on Public Investment.

The Ministry of Planning and Investment shall sum up demands for cost of eligible projects under this Decree for submission to competent authorities for consideration and decision on inclusion thereof in the state budget’s medium-term and annual public investment plans.

2. Procedures for provision of cost support to enterprises:

a/ Based on the Government’s written approval of the total cost support level, the Fund Executive Body shall send notices of support limits to provincial-level People’s Committees that have requested cost support for enterprises specified at Point a, Clause 2, Article 29 of this Decree, and concurrently to the State Treasury;

b/ Based on notices of approved support limits, provincial-level People’s Committees shall review and cross-check documents, carry out procedures in accordance with the law on the state budget, issue decisions on provision of investment support for eligible enterprises, and send these decisions to the Fund;

c/ Based on support limits for localities and investment support decisions, the Fund shall make and send support provision dossiers to the State Treasury offices where transactions are carried out for provision of support in accordance with law;

d/ The State Treasury shall provide a cost support amount to an enterprise within 3 working days after receiving a complete and valid dossier in accordance with law;

dd/ A dossier to be submitted to the State Treasury for provision of state budget-covered support for an enterprise must comprise the original notice of the locality’s approved annual support limits; the decision on provision of investment support for the enterprise, and a written request for withdrawal from the state budget estimates (made according to Form No. 16a1 provided in Appendix II to Decree No. 11/2020/ND-CP of January 20, 2020) (2 originals). For dossiers submitted via the State Treasury’s public service portal, all dossier components must be digitally signed under the provisions on methods of performance of transactions at the State Treasury of Decree No. 11/2020/ND-CP;

e/ For the case specified at Point b, Clause 2, Article 29, the Fund Executive Body shall review and cross-check documents, carry out procedures in accordance with the law on the state budget, and propose the Fund Management Council to issue decisions on provision of investment support for eligible enterprises, and concurrently make and send support provision dossiers to the State Treasury for provision of investment support for enterprises.

3. Handling of surplus and shortage:

a/ Any shortage of financial sources in a year shall be handled under Clause 3, Article 38 of this Decree;

b/ By the end of a fiscal year, any surplus of the budget estimates allocated to the Fund shall be handled under the Law on the State Budget and the Law on Public Investment;

c/ No later than February 10 of the subsequent year, budget-using units shall collate the budget estimation balance and the advance balance with the State Treasury offices where transactions are carried out in order to carry forward balances to the subsequent year.

Article 40. Management of Fund’s accounts opened at commercial banks

1. The Fund’s accounts opened at commercial banks as specified in Clause 3, Article 8 of this Decree may be used to receive financial sources specified at Point a, Clause 2, Article 35 of this Decree.

2. Every 6 months, the Fund’s Director shall coordinate with commercial banks where the Fund’s accounts are opened in reviewing and collating revenues arising from the financial sources specified at Point a, Clause 2, Article 35 of this Decree, including deposit interests paid by banks (if any), and carrying out procedures for transferring all such amounts to the Fund’s deposit account opened at the State Treasury for centralized management.

Article 41. Accounting, account-finalization and financial reporting regimes of the Fund

1. Accounting regime:

a/ The Fund shall carry out revenue and expenditure activities, and perform accounting in accordance with the law on accounting, the Ministry of Finance’s guidance, and other relevant regulations;

b/ The Fund’s operation revenues and expenditures shall be strictly managed, ensuring the accuracy, truthfulness and lawfulness, accompanied by adequate dossiers and documents in accordance with law, and fully recorded in accounting books in accordance with the applicable accounting regime and relevant regulations;

c/ The Fund shall close its accounting books and formulate annual financial statements to be submitted to competent authorities and related units in accordance with law. The Fund’s annual financial statements shall be submitted within 90 days from the end of the fiscal year.

2. Reporting regime:

The Fund shall report on its revenues, expenditures, account-finalization and financial disclosure to the Ministry of Finance for summarization and inclusion in documents on socio-economic and state budget matters, and reporting to the Government and the National Assembly.

3. Operation expenses of the Fund Management Council and the Fund Executive Body, and allowances for the Chairperson, Vice Chairpersons and members of the Fund Management Council and the Fund Executive Body shall be accounted as operation expenses of the Fund.

4. Account-finalization:

a/ The Fund’s account-finalization must comply with the law on the state budget;

b/ The Fund’s budget estimates and unused account balances (if any) at the end of a year shall be carried forward to the subsequent year for continued use.

Article 42. Examination, inspection, auditing and supervision of the Fund’s activities

1. The Fund submits to examination, inspection and auditing by competent state agencies in accordance with law.

2. The Ministry of Planning and Investment shall supervise the Fund’s activities in terms of:

a/ Budget estimation, management, use, and account-finalization of cost support amounts;

b/ The Fund’s performance results;

c/ Other supervisory contents as required.

3. Provincial-level People’s Committees of localities where enterprises with projects eligible for support are located shall examine enterprises receiving support under this Decree from the date of issuance of cost support decisions. The examination covers:

a/ Satisfaction of the conditions specified in Article 18 of this Decree;

b/ Compliance with all commitments made by enterprises when receiving support, as specified in Articles 19 through 23 and Article 25 of this Decree.

Chapter VI

IMPLEMENTATION PROVISIONS

Article 43. Responsibilities of ministries, central agencies, and localities

1. The Ministry of Planning and Investment

a/ To assume the prime responsibility for summing up and assigning support expenditure estimates in annual central budget estimates for development investment expenditures; to incorporate the Fund’s management expenditure estimates in the Ministry’s annual recurrent expenditure estimates for submission to the Ministry of Finance for inclusion in central budget allocation plans to be submitted to competent authorities for consideration and decision;

b/ To assume the prime responsibility for, and coordinate with the Ministry of Finance and related ministries and agencies in, evaluating support levels specified in this Decree, and report them to the Government for adjustment when necessary;

c/ To provide guidance on receipt of contributions, aid and donations from organizations, enterprises, individuals at home and abroad, and other lawful sources of the Fund;

d/ To give opinions on the Fund’s annual operation plans, periodical reports and account-finalization reports;

dd/ To evaluate the Fund’s performance and operational efficiency, and the management and executive performance of the Fund’s managers;

e/ To guide in detail dossiers and procedures specified in Chapter IV of this Decree.

2. The Ministry of Finance

a/ To perform the Fund’s financial management, accounting, account-finalization and financial disclosure in accordance with this Decree and relevant regulations. Upon occurrence of any problems, the Ministry of Finance shall assume the prime responsibility for providing additional guidance;

b/ To provide information relating to the possibility of collecting additional enterprise income tax under the global anti-base erosion model rules for formulation of annual support expenditure estimates for the Fund; to study the central budget’s balancing capacity for allocation of additional resources for the Fund’s cost support provision;

c/ Based on the Ministry of Planning and Investment’s proposal, to assume the prime responsibility for balancing and assigning annual central budget estimates for the Fund for provision of cost support to eligible enterprises under this Decree, including the Fund’s operation expenditures.

3. The Ministry of Science and Technology

a/ To formulate and submit to the Prime Minister for promulgation the decision on the List of breakthrough high technologies and products prioritized for research and development, and decisions on research and development centers;

b/ To provide in detail the contents assigned under this Decree.

4. Provincial-level People’s Committees

a/ To assume the prime responsibility for, and coordinate with related agencies in, evaluating and appraising cost support request dossiers of enterprises operating in their localities, and providing financial support to eligible subjects with conditions, contents and support levels specified in this Decree;

b/ To assume the prime responsibility for, and coordinate with related agencies in, summing up, examining and supervising the implementation of investment support commitments by enterprises receiving support under this Decree, promptly handling violations (if any) under this Decree, and reporting them to the Fund Executive Body.

5. Related ministries, sectors, ministerial-level agencies and provincial-level People’s Committees shall review, evaluate, and give opinion on, dossiers for carrying out procedures for cost support provision under their assigned functions and tasks; and examine and supervise the provision of cost support within the ambit of their functions and tasks.

Article 44. Responsibilities of enterprises receiving support from the Fund

1. To use the Fund’s support in accordance with law.

2. To fulfill all commitments after receiving support in the course of project implementation.

3. To report on the status of fulfilling commitments of a year no later than January 31 of the subsequent year in order to be eligible for continued support.

4. To promptly, fully, accurately and truthfully provide all information and documents related to the use of the Fund’s support and take responsibility before law for the accuracy, lawfulness and truthfulness of provided information and materials.

Article 45. Effect

1. This Decree takes effect on the date of its signing, and applies from the 2024 fiscal year.

2. Ministers, heads of ministerial-level agencies, heads of government-attached agencies, chairpersons of provincial-level People’s Councils and chairpersons of provincial-level People’s Committees, and other related agencies shall implement this Decree.-

On behalf of the Government
For the Prime Minister
Deputy Prime Minister
NGUYEN HOA BINH

* The Appendix to this Decree is not translated.