Resolution 68: A Golden Opportunity – Three-Year Tax Exemption for New Businesses

As part of the policy to promote the private economy, Resolution No. 68-NQ/TW (2025) of the Politburo marks a major turning point for newly established businesses - especially small and medium-sized enterprises (SMEs).

1. Three-Year corporate income tax exemption – Who is eligible?

Resolution 68 clearly stipulates: SMEs are exempt from corporate income tax (CIT) for the first three years after establishment, aiming to create momentum for sustainable growth in this sector.
According to the 2017 Law on Supporting Small and Medium-Sized Enterprises, an enterprise is classified as an SME if:

• The average annual number of employees participating in social insurance does not exceed 200; and
• It meets one of the following criteria:
  • Total capital does not exceed VND 100 billion
  • Total revenue in the preceding year does not exceed VND 300 billion.

2. Other preferential tax policies under resolution 68

In addition to CIT exemption, the Resolution also provides several practical incentives for SMEs:

• Abolishment of business license tax, reducing initial business startup costs.
• Priority access to public procurement bidding, creating opportunities to expand market reach.
• At least 30% reduction in land rent for the first five years for innovative startups and high-tech enterprises.
• Access to credit support and loan guarantee funds, expanding business capital sources.
• Free provision of accounting software and tax–legal consulting services to help businesses operate more efficiently.

3. Practical impact & growth expectations

• This policy is expected to motivate many household businesses to transition to enterprise models, contributing to the target of reaching two million enterprises by 2030.
•  SMEs will gain more financial room to reinvest and expand operations thanks to tax and fee savings during the initial years.

Conclusion:

• The three-year CIT exemption for newly established SMEs is a key, breakthrough policy under Resolution 68-NQ/TW.
• Accompanying incentives such as abolishing license fees, reducing land rent, and providing financial resource support will help new businesses start on a stronger footing.
• Newly established SMEs should take advantage of this policy to reduce costs, enhance competitiveness, and achieve sustainable growth.