In Vietnam, the accounting
and auditing system is overseen by the Accounting and Auditing Policy
Department, which falls under the supervision of the Ministry of Finance
(“MOF”).
Companies operating
in Vietnam are required to comply with
the Vietnam Accounting System (“VAS”).
The tax authorities will treat VAS non-compliance as a basis for tax reassessment
and imposition of penalties, including withdrawal of CIT incentives, disallowance
of taxable expense deductions for CIT
purposes and disallowance of input VAT credits/refunds.
The fiscal year is
the calendars year. A business has to notify the tax authorities if its fiscal
year differs from the calendar year and in such case, only quarter ended fiscal
year is allowed.
Accounting records
are generally required to be maintained in Viet Nam currency and langugue.
Foreign-invested
business entities can select a foreign currency to be used for their accounting
records and can be combined with a commonly-used foreign language and
Vietnamese language.
The annual financial
statements of all foreign-invested business entities/state own companies and
public companies must be audited by an independent auditing company operating
in Vietnam. Audited annual financial statements must be completed within 90 days
from the end of the financial year. These financial statements should be filed
with the applicable licensing body, Ministry of Finance, local tax authority,
Department of Statistics and other local authorities if required by law.
Vietnam has issued
26 accounting standards and 37
auditing standards which are primarily based on international standards with
some local modifications.
This content is for general information
purposes only, and should not be used as a substitute for consultation with
professional advisors.
Recent publications
Vietnam Accounting system
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