Incentives and Restrictions for Industrial Zones by Type Economic & Technological Development Zones (ETDZ)
High-Tech Industrial Free Trade Zones Development Zones (FTZ) (HIDZ)
Export Processing Zones (EPZ)
Same
Same
Same
Corporate Income For enterprises Same Tax Rate (For whose export ratio is export oriented more than 70% in enterprises) each fiscal year corporate income tax will be 10%, instead of 15%
Same
Same
Corporate Income 15% instead of 25% Tax Rate (For high tech enterprises)
Custom Duty & Value Added Tax (VAT) (on self-use equipment and spare parts)
Custom duty and VAT exempted for encouraged industries.
Custom duty and VAT exempted for encouraged industries.
Exempted
Exempted
Custom Duty and VAT (on raw materials and parts)
Only enterprises involved in the processing trade are exempted.
Only enterprises involved in the processing trade are exempted.
Exempted
Exempted
VAT Tax Rate
17%
Same
Same
Same
VAT Rate Licences for equipment, raw materials and office equipment (for processing enterprises)
For enterprises in the category of encouraged industries, licenses are exempted.
For enterprises in the Licenses not required category of encouraged for all processing industries, licenses are trade enterprises exempted.
Tax on finished products using duty-free raw materials.
Levy on finished products
Levy on finished products
VAT Refund for finished products using domestic raw materials.
VAT will be refunded VAT will be refunded following export of following export of shipment shipment
Ratio Between Export and Domestic Sales.
No restriction as long as projects are excluded from export license and quota management.
No restriction as long as projects are excluded from export license and quota management.
Transport of products in the zone
Unrestricted
Unrestricted
Only by a transport company licensed in the zone and registered with customs
Only by a transport company licensed in the zone and registered with customs
Bonded cargo control
Not applicable
Not applicable
Bonded warehouse receiving register (EDI with the customs house)
Export processing zone border crossing cargo record statement (EDI with the customs house)
Licenses not required for all processing trade enterprises
Levy on imported raw Levy on finished materials and parts products only VAT will be refunded following export of shipment No restriction
Immediate VAT refund for domestic raw materials upon entering the zone Exact percentage varies between zones