Haiphong tax authority steps up support for FIEs

The conference was attended by leaders of Haiphong Tax Department, Haiphong Economic Zones Management Board and the Vietnam Chamber of Commerce and Industry’s Northern Coastal Branch, as well as representatives of foreign business associations in the city, including the Korea Chamber of Business in Vietnam, Japanese Chamber of Commerce and Industry, China Chamber of Commerce in Vietnam, European Chamber of Commerce in Vietnam, Dutch Business Association Vietnam, Chinese Taipei Chamber of Commerce in Vietnam, and German Business Association.

Nguyen Tien Truong, head of Haiphong Tax Department. Photo: Tax Department

The event also brought together financial and accounting executives and officers from FIEs operating in the city’s industrial parks and economic zones.

In his opening remarks, Nguyen Tien Truong, head of Haiphong Tax Department, said the city was facing new development requirements and opportunities, with a focus on achieving high growth by capitalising on its strengths in industry, seaports, logistics, international trade, science and technology, and innovation.

Haiphong issued Resolution No.11-NQ/TW on July 15, setting a target of achieving average regional GDP growth of at least 13 per cent annually in 2026 and during the 2026-2030 period.

The business community, including FIEs, plays a crucial role in achieving these targets. In particular, the Politburo’s Resolution No.10-NQ/TW, issued on June 8, 2026, on the development of the foreign investment sector marked an important shift in Vietnam’s approach and development towards FIEs.

In line with central and municipal policies, Haiphong is implementing a range of measures to improve its investment and business environment, accelerate administrative reform and digital transformation, remove obstructions, and work alongside businesses to address their concerns.

The tax sector has an especially important role to play, as tax policies have a direct impact on businesses’ cash flow, costs, profits, investment plans and decisions to expand production and operations.

For FIEs, taxation is not simply a matter of fulfilling obligations to the state budget. It is also closely linked to the stability of the investment environment, cash-flow predictability, the organisation of production and business models, and compliance with Vietnam’s tax regulations and international commitments.

Therefore, Haiphong Tax Department’s approach is to combine tax administration with business support, inspections with guidance, and risk-based management with data-driven approaches. All activities are ultimately aimed at facilitating compliance, reducing compliance costs and helping taxpayers understand and correctly implement tax regulations, Truong said.

According to this department, more than 2,000 FIEs and organisations are currently operating in Haiphong, with FIEs contributing more than 20 per cent of the city’s total domestic budget revenue.

The city has made it clear that the development of businesses is closely linked to the development of the city, while stable and efficient business operations provide a sustainable source of budget revenue.

Supporting businesses, therefore, does not mean helping them improperly reduce their tax obligations, but helping them correctly understand tax policies, fulfil their obligations, fully access legitimate tax incentives and benefits, and minimise costs and risks arising from errors in tax compliance, the tax authority said.

Photo: Tax Department

Haiphong Tax Department also highlighted the new direction for FDI development, which focuses on strengthening linkages between FIEs and local enterprises, boosting technology transfer, developing domestic suppliers, fostering innovation and increasing value added.

The tax authority will continue to coordinate with Haiphong Economic Zones Management Board and relevant departments and agencies to guide businesses in complying with tax policies, regulations on related-party transactions and financial obligations arising as FIEs expand cooperation and establish production linkages with Vietnamese businesses.

The ultimate goal is to create an environment in which FIEs can make long-term investments, develop sustainably, strengthen links with domestic companies and contribute further to Haiphong’s development.

At the conference, local authorities provided guidance on a range of important legal and tax matters directly affecting FIEs. These included tax administration for related-party transactions under Decree No.255/2026/ND-CP; the bilateral Mutual Agreement Procedure and the Advance Pricing Agreement mechanism under Circular No.95/2026/TT-BTC; and the top-up corporate income tax under global tax base erosion rules, updated under Resolution No.107/2023/QH15 and Decree No.236/2025/ND-CP.

The conference also covered personal income tax and corporate income tax policies. Truong said the Haiphong Tax Department would focus its support for FIEs on providing information and guidance on tax policies; helping businesses access and correctly apply tax incentives and support policies; assisting in resolving difficulties arising during tax declaration, payment and finalisation; accelerating digital transformation and expanding e-tax services; strengthening dialogue with businesses and receiving their feedback and recommendations.

The tax authority will also increase support for businesses from the point at which policies are introduced, shifting from a model of “management after issues arise” towards “compliance support from the outset.”

This approach is expected to help create a more predictable and business-friendly tax environment, while supporting Haiphong’s efforts to engage and retain long-term FDI and strengthen the contribution of FIEs to the city’s economic growth.

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