Decree No. 40/2017/ND-CP dated April 05, 2017 of the Government on management of salt production and trading

Many tax incentives for salt production

On April 05, 2017, the Government issued the Decree No. 40/2017/ND-CP on management of salt production and trading; within that, prescribing policies to encourage salt production and trading development.

In particular,  investors in salt production and trading, services auxiliary to salt production, or salt storage warehouses are entitled to trade credit, investment credit and credit for policy beneficiaries; Projects which are on the list of those entitled to loan provision and eligible for state investment credit may be considered for borrowing loans from the Vietnam Development Bank according to regulations. Salt production and trading individuals and households are entitled to borrow preferential loans from the Vietnam Bank for Social Policies in accordance with current regulations of the State.

At the same time, investors in salt storage warehouses, salt production machinery and equipment or salt processing and equipment lines are entitled to support for 100% of loan interest in the first two years and 50% of loan interest in the third year on maximum loans equaling the value of investment in salt production equipment; the difference between the interest rate of state development investment credit and the interest rate of Vietnam-dong medium- and long-term commercial loans borrowed to implement investment projects on salt processing lines and equipment for maximum loans equaling 70% of the projects’ value for a term not exceeding 12 years…

Within that, owners of investment projects in salt production and trading according to value chains are entitled to 70% of expenses for domestic training. Each laborer is entitled to training support once for 6 months at most. The maximum support level is VND 1 billion for each investor in salt production or processing or each to-be-trained laborer.