The Resolution on piloting a number of specific mechanisms and policies for the development of Ho Chi Minh City, after being considered and approved by the National Assembly, will create favorable conditions for Ho Chi Minh City People's Committee in allocating capital resources and being proactive in process of using capital and selecting investors and having enough basis to answer the problems of people and businesses in the process of applying the new mechanism.
About investment management. Allows the city to separate compensation, support, resettlement, and site clearance projects from public investment projects, pilot urban development models oriented toward traffic development, and organize bidding to select Select investors to implement projects using land.
The city is also allowed to apply investment in the PPP method with investment projects in the fields of sports, industry, culture, museums, monuments and cultural heritage with a minimum total investment scale of no more than 100%. lower than 100 billion VND...
About budget finance. The city decided to increase the non-agricultural land use tax rate for residential land (no more than 5 times the current tax rate) and increase the personal income tax rate from the transfer of a second house or more (no more than 5 times the current tax rate). more than 2 times the current level); can borrow through issuing local government bonds, borrowing from domestic financial institutions, other domestic organizations and from foreign and domestic loans of the Government to on-lend to the city with a total amount of The loan balance does not exceed 120% of the city's budget revenue received according to decentralization (Resolution 54/2017/QH14 is 90%).
Prioritize attracting strategic investors. Investing in building innovation centers, research and development (R&D) centers; Invest in research and support high technology transfer in the fields of information technology, biotechnology, automation technology, new material technology, clean energy with investment capital of VND 3,000 billion above. Investing in projects in the field of semiconductor integrated circuit industry, design technology, component manufacturing, integrated electronic circuits (IC), flexible electronics (PE), new technology chips and batteries, new materials, clean energy industry with investment capital of 30,000 billion VND or more. Strategic investors are entitled to the following incentives and support: apply the corporate income tax rate of 5% for a period of 37 years, tax exemption for 6 years, reduce the amount of corporate income tax payable by 50% for the next 13 years. according to. Exemption from land rent and water surface rent for 22 years and a reduction of 75% in land rent and water surface rent for the remaining time; Land rental exemption throughout the lease period for investment projects implemented in concentrated information technology parks and high-tech parks. Partially supported costs of investment projects from regular expenditures of the city budget.
About the organization of Thu Duc city apparatus. According to the draft resolution on piloting a number of mechanisms and policies specific to the development of Ho Chi Minh City, the city proposes that the People's Council, People's Committee, and Chairman of Ho Chi Minh City People's Committee decide to assign a number of functions and tasks under the authority of People's Council, People's Committee, Chairman of Thu Duc City People's Committee in the fields of investment management, budget finance, economic management, urban management and environmental resources, social and cultural management, organization, administrative management apparatus of urban government and officials, civil servants and public employees.
The goal of this content is to create conditions for Thu Duc city to be proactive in handling administrative procedures and work contents under the authority of the People's Council, People's Committee and Chairman of Ho Chi Minh City People's Committee.
(*) PhD. Nguyen Vinh Huy - Founding Chairman of Thinh Tri Law System
