Proposing tax incentives to encourage businesses to train vocational skills

The Ministry of Education and Training (MOET) has published a synthesis, explanation, acceptance, and comments from agencies, organizations, and individuals on the draft dossier of the Government's Decree detailing a number of articles of the Law on Employment on vocational skills development for comments.

In particular, the Draft Decree stipulates that the State has priority policies to mobilize resources for vocational skills development as follows:

a) Preferential credit policies and training orders to develop vocational skills for key national sectors and occupations, priority areas, and areas with particularly difficult socio-economic conditions as prescribed by law;

b) Policy to attract learners and workers to participate in training, fostering and improving vocational skills; attract teachers, experts, artisans, and high-level workers to participate in teaching and training vocational skills to improve human quality;

c) Prioritize investment in facilities and equipment for organizations conducting vocational skills assessment for occupations and jobs on the List of occupations and jobs that must have a national vocational skills certificate; encourage the development of digital platforms and online software for registration, assessment and recognition of vocational skills;

Contributing opinions on financial mechanisms and implementation resources, the Department of Education and Training of Quang Ninh recommends: The Ministry needs to clearly stipulate funding sources for vocational skills development activities, especially:

- The central budget supports targeted localities with low rates of workers through training or specific occupations;

- Encourage socialization and mobilize resources from businesses to support workers in participating in assessment and issuance of vocational skills certificates.

According to the Department of Education and Training of Quang Ninh, in fact, in Quang Ninh, many workers in the fields of coal, minerals, construction, tourism... need to assess their vocational skills but face difficulties in costs. Financial support policies will help expand access, improve labor quality and productivity.

Regarding the financial resources of enterprises (training costs, training funds), Da Lat College believes that the regulations do not come with specific financial incentive mechanisms.

Accordingly, Da Lat College proposed to add a preferential corporate income tax (CIT) policy for businesses:

- The cost of training, fostering and raising salaries based on national vocational skills certificates is calculated as a reasonable additional cost (for example: 150% of actual cost) when calculating corporate income tax.

- Apply a certain corporate income promotion level to enterprises that employ at least one rate of employees with high national vocational skills certificates (level 4, 5). Assign the Ministry of Finance to provide detailed instructions on this deduction mechanism.

Da Lat College proposes: Create clear economic motivation for businesses to accept and use certificates. (See tax incentives for industry development in Singapore).

Son La College also believes that the Decree does not have specific regulations on the mechanism to encourage businesses to participate in training and fostering national vocational skills.

Accordingly, the school recommended that the Decree should stipulate a specific mechanism to encourage businesses to participate in training and fostering vocational skills through tax policies, orders, and on-site training support.

The synthesis, explanation, acceptance, and comments from agencies, organizations, and individuals on the draft dossier of the Government's Decree detailing a number of articles of the Law on Employment on vocational skills development will collect opinions until January 26, 2026.

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