Capital Transfer Agreement Vietnam
By : Nicole -
In these cases, each foreign investor in these enterprises must open an indirect investment capital account (IDICA) for subsequent investment operations, in accordance with Circular No. 05/2014/TT-NHHH (Circular 05). Specialized equipment, machinery and means of transport used as part of a technological process set up in Vietnam to constitute the fixed assets of a foreign-invested enterprise, to constitute fixed assets for the implementation of a company cooperation contract or to extend the scope of an investment project and imported means of transport used for the transport of workers are exempt from import duties. This Agreement shall be valid from the date of signature. All articles completed or completed for these conditions are only valid if both parties confirm their obligations and by a document. In the event of a dispute that can be settled by mutual agreement and mediation, both parties agree to take the matter to the civil court for settlement. (b) a foreign company that is not subject to the IRC requirement (although it has or has not received an IRC) whose foreign ownership represents at least 51% or more of the chartered capital in the following cases: once the IRC or M&A authorization has been obtained, all or part of the funds transferred to Vietnam for development costs may be converted into foreign capital or loans (or after deduction of B`s). Pre-investment fees). If the Vietnamese authorities refuse to grant the IRC or M&A authorization, the foreign investor has the right to transfer these sums abroad after deduction of costs plus interest (if any). If you transfer the deposited capital to the other entity, you will need a deposited capital transfer agreement to secure your rights and obligations during the transaction and to finalize the substantive changes to the company`s registration. We would like to present to you a model agreement for the transfer of capital contributed as a reference: foreign-invested enterprises and foreign parties to commercial cooperation contracts must acquire insurance coverage for material and civil liabilities from Vietnamese insurance companies or other insurance companies authorized to operate in Vietnam. Overseas companies that invest in Vietnam in accordance with the provisions of this Law are entitled to a reduction in income tax of 20 (20%) of the otherwise applicable tax rate, except in cases where the income tax rate of 10 (10%) is applicable, and are entitled to a withholding tax rate of 5 (5%) per cent on profits transferred abroad. Each party to a joint venture shall have the right to enter into the joint venture the capital which it has contributed, provided that the other parties to the joint venture are privileged.
Where the transfer is made to a party other than a part of the joint venture, the conditions for the transfer must not be more favourable than those offered to the other undertakings. The transfer must be agreed by the parties to the joint venture. – The capital contributed is already registered and fully paid for . (company name) A foreign-invested enterprise may establish branches outside the province or city, under the central authority where its head office is located, for the purpose of carrying out activities within the framework and for the purposes of the investment authorization, provided that the agreement of the People`s Committee of the province or city is obtained under the central authority in which the branch is to be located. . . .