Tax incentives in the science and technology sector contribute to attracting high-quality human resources.
Increase net income, improve job market attractiveness.
For workers in the technology industry, the impact of tax changes isn't just in the regulations on paper, but directly reflected in their actual monthly income. The high salaries and substantial tax obligations mean the gap between salary stated on contracts and actual earnings becomes a major concern.
Mr. Nguyen Xuan Vinh, a technology engineer at InApps Technology, shared that if tax exemptions and reductions are applied correctly to the right groups, the retained income of employees will increase significantly. In the technology industry, personal income tax is commonly around 20% and can reach up to 35% for high-income earners, so the difference between nominal salary and actual salary is considerable.
Mr. Nguyen Xuan Vinh, a technology engineer at InApps Technology, also noted that after-tax income is not the only factor influencing an employee's decision. Salary only accounts for about 60% of the decision to stay or leave. The rest comes from company culture, the work environment, and especially the role of the leader. In some cases, these factors are the main reasons for retaining employees.
Mr. Vinh also pointed out a notable difference between FDI enterprises and domestic enterprises. In foreign-owned enterprises, workers often work according to strict procedures and only participate in a part of the value chain. Meanwhile, in Vietnamese enterprises, they can see more clearly the impact of the product on the market and people's lives, thereby creating a greater sense of contribution and commitment.
Mr. Trinh Cuong, General Director of Hong Quang Group Technology Solutions Joint Stock Company (HQG), believes that tax incentives, if clearly designed and implemented, could contribute to increasing the attractiveness of the Vietnamese labor market, especially for technology professionals.
According to Mr. Cuong, in practice, many international experts negotiate income based on "net" income, i.e., actual income received. In this case, businesses must calculate and compensate for the tax portion to ensure the committed income level. If employees are eligible for tax incentives, this cost can be reduced, thereby giving businesses more flexibility in their salary policies.
Compared to direct salary increases, tax incentives have the advantage of not creating ripple effects on the entire cost system. Salary adjustments usually lead to changes in the overall wage level, while tax incentives directly impact net income without altering the structure of similar costs.
The amended Personal Income Tax Law, effective from July 1, 2026, is expected to contribute to increasing the attractiveness of the technology labor market. Photo: Lac Nguyen
Mr. Ho Van Tam, General Director of InCard Global PTY LTD, stated that with the common income of IT personnel in Ho Chi Minh City ranging from 50 to 70 million VND per month, tax incentives could help workers save several hundred million VND within 3-5 years. This is a significant advantage in a context where technology workers are highly flexible and can work remotely for foreign companies.
Tax incentives are a short-term leverage; the long-term solution lies in the ecosystem.
While acknowledging the positive impact, from a long-term perspective, personal income tax incentives are only one part of an overall policy to promote the development of science, technology, and innovation.
Mr. Nguyen Van Duoc, General Director of Trong Tin Accounting and Tax Consulting Company, believes that the exemption and reduction of personal income tax for experts and workers in the science and technology sector has a clear political and legal basis, stemming from major orientations and concretized in the legal system. According to Mr. Duoc, this is an important "piece" in the overall policy aimed at promoting innovation, in which the human factor plays a key role.
Mr. Được analyzed that tax incentives directly improve the real income of workers, thereby increasing the attractiveness of the domestic labor market. This not only supports businesses in attracting and retaining high-quality human resources, but also opens up the possibility of attracting international experts, encouraging overseas students to return, and contributing to limiting the "brain drain" phenomenon. However, for the policy to be effective, it is necessary to clearly identify the beneficiaries and provide specific guidelines to avoid uneven application or abuse.
Experts believe that a synchronized ecosystem is needed, encompassing the investment environment, legal framework, access to capital, and opportunities to participate in large-scale projects, in order to enhance long-term competitiveness. (Illustrative image.)
According to Mr. Hoang Duc Thao, General Director of Vietnam Science and Technology Corporation (Busadco), tax incentives, especially for commercialized products, are a practical driving force. When incentives are applied simultaneously to both corporate income tax and personal income tax, particularly to those directly involved in creating the products, it will contribute to promoting the process of bringing research results to market and creating concrete economic value.
Mr. Thao argued that when input costs decrease, businesses have more room to reinvest in research and improve employee benefits, especially for the R&D team. However, for the policy to be effective, the scope and target of application need to be clarified, ensuring that all scientific and technological activities that produce commercialized products have access to incentives. At the same time, the guidelines need to be clear and consistent to suit the specific characteristics of the scientific workforce, who often lack advantages in accessing financial and tax regulations.
Current implementation practices also reveal notable bottlenecks. According to Mr. Trinh Cuong, many tax incentives are not applied uniformly, mainly concentrated in certain high-tech zones or specialized models, while independent investment enterprises do not benefit. This not only reduces the effectiveness of the policy but also creates unfairness among businesses in the same sector.
Sharing the same view, Mr. Tam argued that the major obstacle lies not in the policy itself, but in the way the target group and scope of application are defined. The lack of a clear system of criteria to define "high-tech workforce" makes the policy difficult to implement on a large scale. Mr. Tam suggested that a classification based on business groups or technology sectors could be considered, thereby developing more appropriate incentive mechanisms, especially for innovative businesses with limited resources and high risks.
It is clear that tax incentives, while necessary, are still insufficient to create a sustainable competitive advantage in attracting technology talent. What businesses and workers expect is not just a single policy, but a synchronized development ecosystem, including a favorable investment environment, a clear legal framework, access to capital, and opportunities to participate in large-scale technology projects.
When these factors improve simultaneously, the new tax incentives can act as a "lever," not only providing short-term support but also contributing to enhancing Vietnam's long-term competitiveness in attracting technology talent.
Lac Nguyen
According to Thoi bao Tai chinh