Decree No. 53/2010/NĐ-CP on investment incentives and corporate income tax for newly established administrative units due to the adjustment of administrative boundaries by the Government.

Article 1. REGULATIONS ON INVESTMENT PREFERENCE AREAS AND ENTERPRISE INCOME TAX PREFERENCES FOR NEW ADMINISTRATIVE UNITS ESTABLISHED AS A RESULT OF THE GOVERNMENT'S ADJUSTMENT OF ADMINISTRATIVE BOUNDARIES ARE AS FOLLOWS:

1. NEW ADMINISTRATIVE UNITS ESTABLISHED DUE TO THE IMPLEMENTATION OF THE GOVERNMENT'S PROVISIONS ON THE ADJUSTMENT OF ADMINISTRATIVE BOUNDARIES (DIVISION, SEPARATION, UPGRADE OF AN EXISTING ADMINISTRATIVE UNIT LOCATED WITHIN AN INVESTMENT PREFERENCE AREA OR AN ENTERPRISE INCOME TAX PREFERENCE AREA) FROM THE EFFECTIVE DATE OF DECREE NO. 108/2006/NĐ-CP OF SEPTEMBER 22, 2006 ISSUED BY THE GOVERNMENT PROVIDING GUIDELINES FOR IMPLEMENTATION OF CERTAIN PROVISIONS OF THE INVESTMENT LAW, WHICH HAVE NOT BEEN LISTED IN THE INVESTMENT PREFERENCE AREA DIRECTORY (ISSUED ALONG WITH DECREE NO. 108/2006/NĐ-CP OF SEPTEMBER 22, 2006 OF THE GOVERNMENT) AND THE ENTERPRISE INCOME TAX PREFERENCE AREA DIRECTORY (ISSUED ALONG WITH DECREE NO. 124/2008/NĐ-CP OF DECEMBER 11, 2008 OF THE GOVERNMENT), SHALL BE APPLICABLE TO THE INVESTMENT PREFERENCE POLICIES AND ENTERPRISE INCOME TAX PREFERENCES OF THE PREVIOUS ADMINISTRATIVE UNIT.

2. WHERE NEW ADMINISTRATIVE UNITS ESTABLISHED AS PROVIDED FOR IN CLAUSE 1 OF THIS ARTICLE HAVE BEEN SPECIFICALLY DESIGNATED BY THE GOVERNMENT AS AREAS WITH DIFFICULT ECONOMIC AND SOCIAL CONDITIONS OR EXTREMELY DIFFICULT ECONOMIC AND SOCIAL CONDITIONS, THEY SHALL BE APPLICABLE TO THE CURRENT INVESTMENT PREFERENCE AND ENTERPRISE INCOME TAX PREFERENCE POLICIES FOR SUCH TYPES OF AREAS.

3. WHERE NEW ADMINISTRATIVE UNITS ESTABLISHED AS PROVIDED FOR IN CLAUSE 1 OF THIS ARTICLE RESULT FROM THE REORGANIZATION AND ADJUSTMENT OF THE BOUNDARIES OF RURAL ADMINISTRATIVE UNITS LOCATED IN AREAS WITH DIFFICULT ECONOMIC AND SOCIAL CONDITIONS AND AREAS WITH EXTREMELY DIFFICULT ECONOMIC AND SOCIAL CONDITIONS BUT WITHOUT SPECIFIED INVESTMENT PREFERENCE AND ENTERPRISE INCOME TAX PREFERENCE POLICIES, THE NEW ADMINISTRATIVE UNITS SHALL BE APPLICABLE TO INVESTMENT PREFERENCES AND ENTERPRISE INCOME TAX PREFERENCES BASED ON THE MAJORITY (MORE THAN 50%) OF THE RURAL ADMINISTRATIVE UNITS THAT ARE BENEFICIARIES; WHERE THE NUMBER OF RURAL ADMINISTRATIVE UNITS LOCATED IN AREAS WITH EXTREMELY DIFFICULT ECONOMIC AND SOCIAL CONDITIONS AND AREAS WITH DIFFICULT ECONOMIC AND SOCIAL CONDITIONS IS EQUAL, THE NEW ADMINISTRATIVE UNIT SHALL BE APPLICABLE TO INVESTMENT PREFERENCES AND ENTERPRISE INCOME TAX PREFERENCES FOR AREAS WITH EXTREMELY DIFFICULT ECONOMIC AND SOCIAL CONDITIONS.

4. WHERE THE ADJUSTMENT OF ADMINISTRATIVE BOUNDARIES LEADS TO THE TRANSFER OF RURAL ADMINISTRATIVE UNITS FROM THE INVESTMENT PREFERENCE AREA DIRECTORY AND THE ENTERPRISE INCOME TAX PREFERENCE AREA DIRECTORY AT A HIGHER LEVEL (AREAS WITH EXTREMELY DIFFICULT ECONOMIC AND SOCIAL CONDITIONS) TO AN AREA WITH LOWER PREFERENCES (AREAS WITH DIFFICULT ECONOMIC AND SOCIAL CONDITIONS) OR VICE VERSA, THE RURAL ADMINISTRATIVE UNITS SUBJECT TO ADJUSTMENT SHALL BE APPLICABLE TO INVESTMENT PREFERENCES AND ENTERPRISE INCOME TAX PREFERENCES OF THE AREA RECEIVING THE ADMINISTRATIVE UNIT.

Article 2. Implementation Provisions

1. THIS DECREE SHALL TAKE EFFECT FROM JULY 15, 2010.

2. Ministers, Heads of ministerial-level agencies, Heads of government-affiliated agencies, Chairpersons of provincial People's Committees directly under the central government shall be responsible for enforcing this Decree./.