At MSA Alliance, we are committed to helping businesses navigate Vietnam's complex regulatory and tax landscape with clarity and confidence. This FAQ section addresses the most common questions our clients ask about accounting, taxation, audit requirements, and company setup — especially for foreign-invested enterprises (FDIs).
Whether you are establishing a new business, preparing for a financial audit, or managing cross-border tax issues, our answers below provide concise and practical insights based on local regulations and international best practices. If you need more tailored advice, feel free to us.
I. Corporate Tax (CIT – VAT – APA)
The annual CIT finalization return must be submitted no later than March 31 of the following year, in accordance with Circular 80/2021/TT-BTC.
These are actual expenses related to business operations, supported by valid invoices/documents, and paid via non-cash methods for amounts over VND 5 million.
No, it is not mandatory. However, applying an Advance Pricing Agreement (APA) helps mitigate risks of tax reassessment due to improper transfer pricing.
II. Accounting – Auditing – Financial Statements
Statutory audit is required for foreign-invested enterprises, public companies, credit institutions, etc., as per the Accounting Law and Decree 17/2012/NĐ-CP.
Yes. MSA Alliance has experienced professionals who assist with IFRS reporting and conversions for clients preparing for IPO or international investment.
Common issues include: failing to revalue fixed assets, omitting accruals, and not performing year-end inventory counts.
III. Personal Income Tax – Foreign Experts
If the individual stays in Vietnam for over 183 days in any 12-month period, they are considered a tax resident and subject to worldwide income taxation.
Yes. If the monthly income exceeds VND 2 million and the employee does not register for dependent deductions, the company must withhold 10% PIT.
The income must be reported via PIT Finalization Form 02/QTT-TNCN. Foreign tax paid can be credited with valid documentation.
IV. FDI Setup – Licensing – Business Registration
Steps include: (1) investment approval (if required), (2) Investment Registration Certificate (IRC), (3) Enterprise Registration Certificate (ERC), (4) company seal, tax code, and bank account registration.
Yes. The director can be either Vietnamese or foreign. If foreign, they must obtain a Work Permit and a valid visa.
Yes. However, external tax accounting services must be provided by licensed firms with a valid practicing certificate as required by the Accounting Law.
HOW CAN WE HELP YOU?
Contact us at the MSA Alliance office or submit a business inquiry online.