Assurance & Audit

Auditing Standards and Practice Guidance in Vietnam
Vietnamese Standards on Auditing (VSAs)

Although the first local auditing firms were established in 1991, the first set of Vietnamese Standards on Auditing (“VSA”) were not issued until 1999. It means that local auditing firms had conducted their audit in a free style approach for nearly 10 years.

Prior to 1999, there were only 2 official regulations on auditing, which were Decree 07 and Circular 60. These regulations just governed the industry at a macro level rather than at a firm's technical level.

VACPA and CPA Program in Vietnam
Roles and Function of VACPA

The Vietnam Association of Accountants and Auditors (VAA) is the only professional accounting body in Vietnam.

The Vietnam Association of Certified Practicing Auditors (VACPA) as a sub-unit of VAA were established on 15 April 2005 in Hanoi, marking an important landmark of Vietnam's auditing sector in the process of integrating into the world economy.

Overview on the Audit Practice in Vietnam

The audit history of Vietnam dates back to the 1991 when the first two local firms, namely VACO and AASC were established in response to the changes in Vietnam economy from a centrally planned to a open market economy. The audit market was then opened to large international firms formerly known as “Big Six” after the first foreign investment license granted to Ernst & Young in 1992.

Cross reference VSA and ISA

While ISA is issued by areas, VSA is drafted and published by batches. The standards selected in each batch depend on urgency and priority of necessity in practice. Thirty-seven standards are issued in comparison with about 56 standards issued by International Auditing and Assurance Standards Board (“IAASB”). In the cross reference table below, VSA 1000 “Audit the finalized report of construction contract” is not shown up since it is not compatible with any international standard.

Vietnamese Standards on Auditing ("VSA")

Vietnamese Standards on Auditing (“VSA”) is set up in compliance with International Standards on Auditing (“ISA”). So far, seven batches of VSAs have been issued by the