When investing in countries, many investors want to save most of the time traveling between the investment country and their home country, so they decide to bring their whole family to the investment country, and that is too rare in the Vietnamese market. It is easy to come across practical situations such as the case of an Australian investor named K who wanted to invest in the Vietnamese market. He sent us some questions related to investment activities and daily life while his relatives are in Vietnam..
1. What types of temporary residence card for investors?
| Type | Conditions | Duration |
| ĐT1 | Have contributed capital worth 100 billion dong or more or invest in industries, occupations with investment incentives, or investment incentive areas decided by the Government. | Not over 05 years |
| ĐT2 | Have contributed capital from 50 billion dong to under 100 billion dong or invest in industries and occupations that encourage investment and development as decided by the Government. | |
| ĐT3 | Have contributed from 03 billion dong to under 50 billion dong | Not over 03 years |
| ĐT4 | Have contributed under 3 billion dong | Not over 12 months |
2. What application does investors need to prepare for granting the temporary residence ĐT?
Form NA6: Official dispatch requesting temporary residence card for foreigners
Form NA8: Application form for temporary residence card for foreigners
Form NA16: Document introducing the seal and signature of the authorized person of the guarantee organization
Orginal passort
Noted:
1. Duration of passport has at least 13 months;
2. If investors have previously been granted the temporary resident card ĐT, the investors need to submit plus the current temporary residence card
– Documents evidencing the investors who is implementing the projects in Vietnam, like as investment certificates; business registration certificate; seal sample registration certificate or written notice of posting information about the enterprise’s seal sample on the National Business Registration Portal.
– Referral letter for Vietnamese employees to apply for a temporary residence card at the Immigration Department
– Confirmation of temporary residence registration or temporary residence registration book of foreigners that has been confirmed by the police of the commune, ward or town where the foreigner is temporarily residing in Vietnam
– 02 Photo sized 2x3cm
3. Do investors submit the tax for the authorized when carring out the projects in Vietnam?
The answer is yes, but the tax is arised which based on the time. When individual foreign investors have begun carrying out the projects in Vietnam, they won’t ariesed the tax. Until investors have an income from capital investment income. That time, individuals will be subject to personal income tax from capital investment income.
That time, the tax rate for income form capital invesment is applied with a tax rate of 5%[1]
4. Can foreign investors establish organization/enterprise in Vietnam?
The foreigner investors absolutely can establish the enterprise by the law of Vietnam. But the investors have to pay attention to some noticed before carrying out.[1]
First, foreign investors must have an investment project, carry out the procedure of granting, adjusting the investment registration certification, unless establishing innovative small and medium-sized start-up enterprises and creative start-up investment funds according to the provisions of law on supporting small and medium-sized enterprises;
Second, you need to think about industry and investment field. Because depending on the investment and business industry, the investors can choose private enterprises with foreign investment or joint venture enterprises with domestic investor.
5. How do the investors carry out procedures for applying for Investment Registration Certificate before establishing the private enterprise with foreign investment?[1]
1. Before applying for an Investment Registration Certificate, in some cases investors must register their investment policies under the authority of the National Assembly, the Prime Minister or the People’s Committee provincial people. After the investment policy has been approved. The investment registration agency issues Investment Registration Certificates for investment projects subject to investment policy approval within 5-15 days depending on each specific case.
2. Opposite, investment projects that are not subject to investment policy decisions, procedures for establishing a 100% foreign-owned company include the following steps:
Step 1: The investor submits 01 set of application documents to the investment registration agency, as follow:
+ A written request to implement the investment project, including a commitment to bear all costs and risks if the project is not approved.
+ Documents on the investor’s legal status.
+ Documents proving the investor’s financial capacity.
+ Propose investment projects. Investors may submit a pre-feasibility study report instead of the investment project proposal (for the cases where the law on construction stipulates)
+ In case the investment project does not request the State to allocate land, lease land, or allow change of land use purpose, investors submit a copy of land use rights documents or other documents determining the right to use the location to implement investment projects.
+ Explanatory content about the technology used in the investment project for projects subject to appraisal and consultation on technology according to the provisions of law on technology transfer.
+ BCC contract for investment projects in the form of BCC contract.
+ Other documents related to the investment project, conditions and capacity requirements of the investor according to the provisions of law (if any).
* Note: For investment projects that have been put into operation, investors submit the investment project proposal is replaced by a report on the implementation of the investment project from the time of implementation to the time of applying for an Investment Registration Certificate to carry out procedures for establishing a 100% foreign-owned company
Step 2: The investment registration agency issues the Investment Registration Certificate to the investor within 15 days from the date of receipt of valid documents when the project meets the following conditions:
+ Not belonging to industries or professions banned from business investment[2]
+ There is a location for implementing the investment project determined on the basis of a valid copy of documents on land use rights or a valid copy of the location rental agreement or other documents or documents determining the right to use the location. points for implementing investment projects;
+ Investment projects are in accordance with the planning;
+ Meet the conditions for investment rate per land area prescribed by the Provincial People’s Committee based on actual local conditions and approved by the Standing Committee of the Provincial People’s Council (if any), No. amount of labor used (if any);
+ Meet market access conditions for foreign investors.
6. How many files do investors prepare when establishing the private enterprise with foreign investment?
– Application for business registration;
– Company charter;
– List of members/ List of founding shareholders and shareholders who are foreign investors;
– Establishment decision, Business registration certificate of the organization and authorization document; Legal personal identification documents of the authorized representative of the organizational member
– Copy:
+ Passport of individual members;
+ Business registration certificate or equivalent document must be consular legalized for organizational members;
+ Investment registration certificate for foreign investors.
You can refer to:
– Some notices when investors want to bring their family go to investment country – Vietnam (Series 2)
– Some notices when investors want to bring their family go to investment country – Vietnam (Series 3)
[1] Article 33.1 Law on investment 202
[2] Based on the provisions of the Investment Law and international treaties on investment;
[1] Article 9, Article 22 Law on investment 2020
[1] Article 2.3 Circular 111/2013/TT-BTC
