50 percent reduction on industrial property fees in Vietnam extended until December 2024
10 July 2024
On June 28, 2024, Vietnam’s Ministry of Finance (MOF) released Circular No. 43/2024/TT-BTC (Circular 43). This extends the period during which the 50 percent reduction on certain industrial property fees will be applied. The purpose of the extension is to continue assisting business entities in overcoming global and national economic challenges and support their production activities.
The 50 percent discount on industrial property fees in Vietnam is now on its sixth period, beginning on July 1, 2024, until December 31, 2024.
Circular 43 aligns with the Vietnamese government’s Resolution No. 44/NQ-CP. Issued on April 5, 2024, the resolution directs the MOF to continue assessing and implementing tax, fee and charge reduction policies.
The fee reduction applies to the following:
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Fees for filing applications for the protection of intellectual property rights
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Fees for extending the time limit for responding to notifications from the Vietnam IP Office
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Fees for issuing protection certificates and certificates of registration of IP right assignment contracts
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Fees for maintaining, extending, invalidating or cancelling certificates of IP right registration
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Fees for issuing IP representation service practice certificates and declaring and registering an IP representative
According to Hoa Tran, partner at Baker McKenzie in Hanoi, the fee reduction would be especially beneficial to those filing applications or renewing, maintaining or requesting certificates in large numbers.
“The reduction of the abovementioned IP fees generally does not significantly impact businesses because the standard official fees under these fees are small – around US$4 to US$6 for each application,” said Tran. “This fee reduction would be beneficial for applicants who file applications or renew, maintain or request certificates in large numbers.”
“Fee reductions at six-month intervals are sufficient to allow the government to assess the socioeconomic situation, rebalance the state budget, implement appropriate policies to support businesses and avoid unintended negative consequences,” added Tran.
- Espie Angelica A. de Leon
