The Government has issued Decree No. 401/2026/ND-CP on administrative penalties in the digital technology industry, signed on its behalf by Deputy Prime Minister Ho Quoc Dung. The decree takes effect on November 22, 2026 and sets maximum fines of VND100 million for individuals and VND200 million for organisations.

Violations and fines

Fines for individuals are half those for organisations for the same violation. Notable fine brackets include:

Cleaner incentives, protection for genuine players

A notable feature is that the decree directly targets false declarations made to obtain incentives. As the State extends substantial support to the digital technology industry, this mechanism helps ensure that resources reach firms with real capabilities and prevents policy abuse. For investors, a clear enforcement framework reduces legal risk and builds confidence in the sector.

The decree is part of a series of documents issued by the Government in the first week of November to improve institutions. Having both incentives and sanctions in place is a necessary step for digital technology to become a sustainable growth driver.

Key takeaways