The General Department of Taxation recently issued an official dispatch on the implementation of Decree No. 57/2021/ND-CP of the Government supplementing Point g, Clause 2, Article 20 of Decree No. 218/2013/ND-CP (amended and supplemented in Decree No. 12/2015/ND-CP) on corporate tax incentives for projects manufacturing products for the supporting industry.

The General Department of Taxation requires tax departments to communicate
and disseminate information on preferential policy of corporate income tax for
project manufacturing products for the supporting industry. Source: Internet

According to the General Department of Taxation, recently, the Government issued Decree No. 57/2021/ND-CP supplementing Point g Clause 2 Article 20 of Decree No. 218/2013/ND-CP (amended and supplemented in Decree No. 12/2015/ND-CP) on corporate income tax (CIT) on incentives for projects manufacturing supporting industry products. The decree takes effect from the date of signing.

Decree No. 57/2021/ND-CP stipulates that enterprises with investment projects (new and expanded) and manufacturing products on the list of supporting industry products that are prioritised for implementation before January 1, 2015, satisfying the conditions of a project to manufacture supporting industrial products as prescribed in the law amending and supplementing a number of articles of the tax laws No. 71/2014/QH13 and granted certificates of getting incentives for production of supporting industry products by the competent authority shall be entitled to CIT incentives from the tax period when certification of getting incentives for production of supporting industry products is granted by a competent authority.

The decree also stipulates specific cases that are entitled to CIT incentives for projects manufacturing supporting industry products and how to determine the remaining incentive period for projects already enjoying other preferential conditions (besides the preferential conditions for projects producing supporting industry products).

At the same time, the decree stipulates that in case taxpayer complied with the provisions of this decree (including the case where the competent authority has carried out the inspection) leads to a reduction in the amount of CIT and late payment interest (if any), the taxpayer shall send a written request to the tax authority to directly reduce the payable CIT amount that has been declared or has been paid and inspected by the competent authority and the late payment interest.

The General Department of Taxation requires tax departments to communicate and disseminate information to taxpayers to promptly implement Decree 57/2021/ND-CP to remove difficulties for taxpayers in the current period.