.

Viet Nam

Head of State  : Nguyen Phu Trong

Head of Government  : Prime Minister Nguyen Xuan Phuc

Capital             : Ha Noi

Language(s)    : Vietnamese

Currency         : Dong

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ASEAN CPA
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Profile of the Country

Information of The Country
Professional Associations
Qualifying as an Accountants
Setting Up an Accountancy Practice
Under the law, auditor means a person issued with an auditor’s certificate in accordance with law, or a person with a foreign certificate recognised by the Ministry of Finance and who passes an examination on the law of Viet Nam. Practising auditor means an auditor issued with a certificate of registration of auditing practice.


Individual
 
Individual accountancy practitioners must have accountancy certificates granted by competent State bodies and must have the accountancy service business registration. In order to be granted the accountancy practice certificates, Vietnamese citizens must certify the following criteria and conditions:
  1. possessing professional ethics, being honest, incorruptible, having the sense of law observance; and being other than those persons banned from practicing accountancy as per Clause 1 and Clause 2 Article 51 of the Law on Accounting, such as person banned due to legal implications;
  2. having professional financial and accounting qualifications of university or higher degree and having actually performed financial and accounting work for five years or more;
  3. passing recruitment exams organised by competent State bodies.
A person who satisfied all the following conditions shall be permitted to register auditing practice:
  1. being an auditor;
  2. having conducted auditing work for a full thirty-six (36) months or more;
  3. fully participates in the program to update knowledge.
 

A certificate of registration of auditing practice shall only be valid when the person issued with the certificate has a labour contract to work all of the time for auditing enterprise [or] one branch of a foreign auditing enterprise in Viet Nam.

To be granted the accountancy practice certificates, foreigners must satisfy the following criteria and conditions;
  1. being permitted to reside in Viet Nam;
  2. having the accountancy specialist’s certificates or accountancy certificates granted by foreign or international organisations and recognised be the Vietnamese Ministry of Finance;
  3. passing the test on the finance and accounting legislation of Viet Nam, organised be competent State bodies.
 

The Ministry of Finance shall prescribe the training programs, examination councils, procedures and competence for granting and revoking the accountancy practice certificates according to the provisions of this Law and other relevant law provision.

 
Organisation
 
Organisations dealing in accounting services must set up accounting service enterprise according to law provisions. The managers of accounting services enterprises must have the accountancy practice certificates granted by competent State bodies. The organisations to conduct audit practices can be formed in the following manners:
  1. Multiple member limited liability companies;
  2. Partnerships;
  3. Private enterprises.
 
The conditions for issuance of Certificates of satisfaction of conditions for auditing practice business:
  1. have a business registration certificate, enterprise registration certificate or investment certificate in accordance with law;
  2. have at least five (5) practising auditors including a minimum of two capital contributing members who are practising auditors;
  3. the legal representative and director or general director of the company must be practising auditors;
  4. ensure it has the full amount of legal capital required by Government regulations;
  5. the capital contribution portion of a member being an organisation must not exceed the limit stipulated in Government regulations. The representative of a member being an organisation must be a practising auditor.
 
Legal capital for the Limited liability company shall be 3 (three) billion Vietnamese dong, as from January 01, 2015, the legal capital shall be 5 (five) billion Vietnamese dong. During its operation, the limited liability company must keep the equity in balance sheet not less than the legal capital. The audit firm must supplement its capital if the equity in balance sheet is less than the legal capital in the period of 03 (three) months as from the end of the fiscal year.

The member of limited liability company with two or more members in case such member is an organisation:
  1. the member being an organisation are entitled to contribute at maximum 35% of the charter capital of the audit limit liability company with two or more members. In case there are many organisations contributing in capital, the total capital contributed by these organisations shall be at maximum 35% of the charter capital of the limited liability company with two or more members.
  2. the member being an organisation shall appoint one person as its representative in the Members’ Council. The representative of member being an organisation must be an auditor and register for auditing practice in the audit firm to which the organisation contributes its capital.
  3. a practicing auditor who is representative of member being an organisation shall not permitted to contribute capital to such audit firm with individual status.
The auditing limited liability company must have at least 2 (two) limited partners who are auditors having registered for their auditing practice in the company. Capital contributed by practicing auditors must account for over 50% of the company’s charter capital. The practicing auditor shall not be permitted to be the member of two or more audit firms at the same time.

A partnership must satisfy all the following conditions when applying for issuance of an SC Certificate:
  1. have a business registration certificate, enterprise registration certificate or investment certificate in accordance with law;
  2. have at least five (5) practising auditors including a minimum of two partners who are practising auditors;
  3. the legal representative and director or general director of the partnership must be practising auditors.
A private enterprise must satisfy all the following conditions when applying for issuance of an SC Certificate:
  1. have a business registration certificate, enterprise registration certificate or investment certificate in accordance with law;
  2. have at least five (5) practising auditors including the owner of the enterprise who is a practising auditor;
  3. the owner of the enterprise is concurrently the director of the enterprise.
 
A branch of a foreign auditing enterprise in Viet Nam must satisfy all the following conditions when applying for issuance of an SC Certificate:
  1. the foreign auditing enterprise must be permitted to provide independent auditing services pursuant to the law of the country where such enterprise has its headquarters;
  2. having at least two practising auditors, including the director or general director of the branch who is a practising auditor;
  3. the director or general director of the branch of the foreign auditing enterprise must not hold a position as manager or executive of another enterprise in Viet Nam;
  4. the foreign auditing enterprise must forward a letter to the Ministry of Finance undertaking to accept liability for all obligations and undertakings of the branch of the foreign auditing enterprise in Viet Nam;
  5. the foreign auditing enterprise must ensure it maintains its level of legal capital at no less than the level stipulated by Government regulations.
If an auditing enterprise or a branch of a foreign auditing enterprise in Viet Nam is not issued with an SC Certificate within six (6) months from the date of registration of its auditing services business, then such enterprise or branch must conduct procedures to cancel its business line of auditing services business.
 
The minimum capital for foreign audit firms establishing branches in Viet Nam and the allocated capital of branches of foreign audit firms in Viet Nam.
  1. the foreign audit firm which requesting for granting of the Certificate of satisfaction of auditing business conditions to its branches in Viet Nam must have the equity in balance sheet being at least equal to 500,000 (five hundred thousand) US dollars at the time point of ending the fiscal year nearest time point of requesting.
  2. allocated capital of the branch of foreign audit firms in Viet Nam must not be less than the legal capital applicable to the limited liability company.
  3. during its operation, the foreign audit firm must keep the equity in the balance sheet and the allocated capital of its branch in Viet Nam not less than the capital stipulated. The foreign audit firm, branches of the foreign audit firm must supplement their capital if their equity in balance sheet is lower than the capital levels stipulated in the period of 03 (three) month as from the end date of the fiscal year.
Law and Regulations on Accountancy Practice
Licensing Body for Accountancy Profession
Monitoring Committee

Regulated Accounting Services

Accounting Services
Applied for Professional Accountant (PA)


NAB Membership and/or PRA Registration

NAB Requirement:

No.


PRA Requirement :

All applicants will be approved by PRA (MOF) for practicing when Laws on Accounting No. 88/2015/QH13 with effect from 1/1/2017.


NAB Membership and/or PRA Registration Requirement
(such as examination, test, recognised qualifications, etc)

NAB Requirement:

No.


PRA Requirement :

An applicant for Professional Accountant (PA) who meet the following conditions:

1. To Get Certificate
  • Agrees to be bound by code of professional conduct and ethics.
  • completed an accredited or recognised accountancy degree or program majored in finance, accounting, auditing; or program majored in another areas but having number of period in finance, accounting, auditing, financial and tax analysis account for minimum 7%; or getting university degree and having certificated granted by accounting and auditing international professional organizations according to regulations in Article 9, Circular 91/2017/TT-BTC.
  • having working experience in finance, accounting and auditing at least 36 months, from the month graduating which shows in university degree (or postgraduate) up to the time to register. The practical working period in auditing include auditing assistant at auditing enterprise, internal auditing, auditing at State Audit Agencies;
  • Submitting sufficient documents and fees as regulated;
  • pass examination with four subjects including: Economic Law & Law on Enterprise; Advanced Finance & Financial Management;  Advanced Tax and Tax Administration; Advanced Management Accounting & Financial Accounting.
2. PA is allowed to practice by individual or in accounting firm
The applicant having accounting or auditing certificate is allowed to registered as accounting service practicing via accounting enterprises or accounting business according to Internal Auditing law with the following conditions:
    1. having civil act capacity;
    2. having working experiences in finance, accounting and auditing from at least 36 months since graduation.
    3. Having CPD hours. (At least 40 hours/year).

Citizenship Requirement

No


Remarks

Subject to the domestic regulation such as Laws on Accounting No. 88/2015/QH13 takes effectiveness since 1/1/2017; Decree No. 174/2016/ND-CP, Circular No. 292/2016/TT-BTC, Circular No. 296/2016/TT-BTC, Circular No. 297/2016/TT-BTC, Circular No. 91/2017/TT-BTC  on guiding accounting practicing.

PA needs to have full time working in accounting firm, except for PA can practice by individual.

Eligibility requirement, where applicable (ASEAN CPA/RFPA)

Not yet open for ASEAN CPA / RFPA.
Audit & Assurance Services
Liquidator / Insolvency Services

Non-Regulated Accounting Services

Professional Accountant in Business
NAB Membership and/or PRA Registration

NAB Requirement:

No.


PRA Requirement :

No.



NAB Membership and/or PRA Registration Requirement
(such as examination, test, recognised qualifications, etc)

NAB Requirement:

No.


PRA Requirement :

No.


Citizenship Requirement

No.


Remarks

PAIB or any accountancy services other than auditing services are not regulated in Vietnam.

Eligibility requirement, where applicable (ASEAN CPA/RFPA)

open for ASEAN CPA / RFPA.

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