Quick summary: From 01 July 2026, Decree No. 260/2026/ND-CP introduces notable incentives and support mechanisms for organizations, businesses and individuals operating in Vietnam’s high-tech and strategic technology sectors. This podcast highlights four policy groups that may affect businesses, startups, R&D centers, investors and technology professionals:
- R&D support: Businesses and research organizations may be eligible for funding support, interest rate subsidies and access to research infrastructure, subject to statutory conditions.
- Incentives for technology talent: Individuals directly engaged in research activities may be eligible for certain incentives relating to personal income tax, training, recruitment and working conditions.
- Startup and localization support: High-tech and strategic technology startups may have access to controlled testing mechanisms, fundraising support and preferential treatment when using research infrastructure.
- Tax and land incentives: Certain projects, R&D centers and technology enterprises may be eligible for incentives relating to import duty, corporate income tax, deductible expenses and land rental.
On 30 June 2026, the Government issued Decree No. 260/2026/ND-CP (“Decree 260”) providing detailed regulations and measures for implementation of certain provisions of the Law on High Technologies. Decree 260 took effect on 01 July 2026 and replaced Decree No. 10/2024/ND-CP. Decree 260 establishes a legal framework aimed at promoting the development of high-tech and strategic technology and the innovation ecosystem in Vietnam. These policies may directly affect businesses’ R&D costs, investment plans, technology talent strategies, tax structures and access to land.
In this article, BLawyers Vietnam highlights and analyses 04 key groups of incentives and support policies that technology enterprises, startups, investors, R&D centers and technology experts should consider when operating in Vietnam’s high-tech and strategic technology sectors: (i) key incentives and support for research and development; (ii) policies for technology talent and experts; (iii) policies encouraging startups and increasing the localization rate of high-tech products; and (iv) policies addressing tax and land-related barriers.
1. What support is available to high-tech R&D enterprises?
Decree 260 establishes various support mechanisms for high-tech R&D activities involving technologies on the list of technologies prioritized for development. Key policies include:
- The State may provide up to 100% funding for high-tech and strategic technology tasks commissioned by the State and funded by the National Science and Technology Development Fund or funds of ministries and local authorities;
- Import duty exemption may apply to machinery, equipment, spare parts, specialized materials, documents and specialized scientific books and publications directly serving research activities;
- Enterprises conducting strategic technology research and development may receive interest rate support of up to 100%, subject to a maximum supported interest rate of 10% per annum for a period of 05 years. For high-tech activities, enterprises may also receive 70% interest rate support, subject to a maximum of 8% per annum;
- Organizations and individuals conducting research may be given priority to conduct controlled testing of new technologies, products and business models, and to use services at key national research centers invested in by the State; and
- Support may be provided to organizations and enterprises investing in the development of technology infrastructure. In particular, the shortened form of direct appointment of contractors may be considered for investment packages for shared national key laboratories serving strategic technologies.
2. What incentives are available to technology experts and talent?
The policies for attracting and retaining high-quality human resources are reflected in various financial benefits and professional development opportunities. Key policies include:
- Certain income from salaries and wages earned during the performance of relevant tasks, as well as income from copyrights when research results are commercialized, may be exempt from personal income tax for individuals directly participating in high-tech research and strategic technology research, subject to the applicable statutory conditions;
- The State may provide up to 100% funding for training and professional development of personnel participating in research activities through specialized funds;
- Special mechanisms may apply to the recruitment, employment and remuneration of chief engineers, experts and outstanding scientists directly participating in special national programs;
- Organizations and individuals operating in high-tech parks may receive direct assistance in labor recruitment, as well as expedited processing of labor- and residence-related administrative procedures through an integrated one-stop mechanism; and
- Employees and experts working in high-tech parks may be given priority in the purchase or lease of housing and accommodation facilities located adjacent to or around their workplaces, with a view to stabilizing their working and living conditions.
3. What support is available to high-tech and strategic technology startups?
Decree 260 introduces support mechanisms for startups operating in the high-tech and strategic technology sectors while also imposing certain localization requirements for technology products. Enterprises should therefore consider both aspects, namely opportunities to access support and the conditions that must be satisfied to qualify for such support. In particular:
- High-tech and strategic technology startups may be exempt from 100% of the costs during the first 03 years and receive a 50% reduction in subsequent years when using services at State-funded research centers and key laboratories, subject to the applicable conditions;
- Such startups may be given priority for consideration for co-investment, guarantees and technical support in preparation for fundraising from the National Venture Capital Fund and local venture capital funds;
- Startups may participate in controlled testing mechanisms in accordance with the laws on science and technology to develop and refine new business models and technologies;
- Decree 260 requires Group 1 high-tech enterprises (as classified under Decree 260) to achieve a localization rate of at least 40% for high-tech products. Similarly, strategic technology enterprises must satisfy a minimum 40% localization rate for strategic technology products; and
- The State prioritizes support for the commercialization of strategic technology products through financial support vouchers and prioritizes budget allocations for the procurement of such products.
4. What tax and land incentives are available for technology projects?
Various financial barriers are addressed to encourage organizations and enterprises to allocate resources to core research activities without being unduly burdened by operating costs. Key measures include:
- Full exemption from import duty may apply to machinery, equipment, spare parts and specialized documents directly serving research activities, subject to statutory conditions;
- Preferential tax rates, together with corporate income tax exemptions and reductions, may apply to high-tech and strategic technology R&D centers, in accordance with the applicable tax regulations;
- Investment costs incurred for the establishment and development of technology infrastructure serving research activities may, subject to applicable conditions, be accounted for as deductible expenses when determining corporate income tax;
- Land rental exemption for the entire lease term may apply to high-tech and strategic technology R&D centers, subject to the applicable conditions. Strategic technology enterprises may also be considered for similar incentives in respect of land areas directly used for production and research activities; and
- Certain expenses incurred during a tax period that are directly related to research and development activities may be eligible for specific tax incentives, subject to the applicable tax regulations.
Legal Support from BLawyers Vietnam
If your business is considering investing in or establishing an R&D center, developing high-tech products, implementing strategic technology projects, or expanding its operations in Vietnam, BLawyers Vietnam can assist with:
- Advising on the eligibility and applicable conditions for incentives and support policies under Decree 260 and other relevant laws and regulations;
- Advising on investment structuring, the establishment of enterprises, research and development (R&D) centers, and technology projects to optimize the available incentive regimes;
- Advising on, preparing application dossiers, and representing clients in working with competent authorities to access statutory incentive and support mechanisms; and
- Supporting legal compliance reviews and risk management throughout the implementation and operation of high-tech and strategic technology projects in Vietnam.
The above content does not constitute formal legal advice from BLawyers Vietnam. If you have any questions or comments regarding this content, please contact us at info@blawyersvn.com. We would be pleased to hear from you.
Date: 13 October 2026
Writer: Ha Le & Huy Pham
