It is our understanding that you are now considering possibilities of setting up a foreign invested company (FIC) for developing software in Vietnam.
Vietnam Government is now creating best supports for foreign investor making investment in software industries. Accordingly, FIC manufacturing software can enjoy Corporate Income Tax (“CIT”)
Exemption in 4 years, Deduction of CIT up to 50% in 9 years after completing period of tax exemption and favored CIT Rate of 10% in 15 years.
With the respect to capital required for FIC operating in the Software Industries, Vietnam Law does not stipulate any minimum capital rate.
However, according to our experience, you should consider an amount of 100,000USD (One hundred thousand US Dollar).
The foreign investor can complete capital contribution within 36 months from the establishment of FIC in case FIC is structured under the form of Limited Liability Company.
Despite of that, competent authority may suggest Foreign Investor to complete its capital contribution within 12 months from the establishment of FIC.
