KTC online
How is the CIT tax rate applied?

 

No.

Industry

CIT rate (%)

1

Trading, distribution and supply activities

1

2

Services, insurance, leasing machinery, leasing oil  

5

3

Hotel and restaurant, casino management service

10

4

Leasing aircraft, aircraft engine, aircraft spare parts, and sea ship 

2

5

Construction

2

6

Others, including transportation (including sea transport and airline)

2

7

Securities transfers, overseas reinsurance

0.1

8

Financial derivatives services

2

9

Interest income

5

10

Loyalty fee

10

 
What is new with the Vietnamese Accounting System?

 

There are now two accounting regimes applying for corporations issued by the MOF:

* Accounting regime issued under Decision 15/2006/QD-BTC dated 20 March 2006 is applied for enterprises;

* Accounting regime issued under Decision 48/2006/QD-BTC dated 14 September 2006 is applied for Small and Medium Enterprises (SME).

Besides, Circulars No. 106/2008, 206/2009 and 244/2009/TT-BTC amend some parts of Decision 15. All these are grouped and translated into English by KTC in the book Vietnamese Accounting System published in 2013. You can contact us for the book or for information related.

In addition the accounting regimes mentioned above, a number of Vietnamese Accounting Standards (VASs) are issued including:

Series 1:

4 standards in 2001

1. VAS 2

2. VAS 3

3. VAS 4

4. VAS 14

Inventories

Tangible fixed assets

Intangible assets

Revenue and other incomes

Series 2:

6 standards in 2002

1. VAS 1

2. VAS 6

3. VAS 10

4. VAS 15

5. VAS 16

6. VAS 24

Framework

Leases

Effects of changes in foreign exchange rates

Construction contracts

Borrowing costs

Cash flow statements

Series 3:

6 standards in 2003

1. VAS 5

2. VAS 7

3. VAS 8

4. VAS 21

5. VAS 25

6. VAS 26

Investment property

Accounting for investments by associates

Financial information about interests in joint ventures

Presentation of financial statements

Consolidated financial statements and accounting for investments in subsidiaries

Related parties disclosures

Series 4:

6 standards in 2005

1. VAS 17

2. VAS 22

3. VAS 23

4. VAS 27

5. VAS 28

6. VAS 29

Income taxes

Disclosures in the financial statements of banks and similar financial institutions

Events after the balance sheet date

Interim financial reporting

Segment reporting

Accounting policies, changes in accounting estimates and errors

Series 5:

4 standards in 2005

1. VAS 11

2. VAS 18

3. VAS 19

4. VAS 30

Business combination

Provisions, contingent liabilities and contingent assets

Insurance contract

Earnings per share

 

Besides, Vietnam adopted IAS 32 “Financial Instruments: Presentation” with detailed guidance of application in Circular 210/2009/TT-BTC issued by the MOF.

 
How different is the VAS from International Financial Reporting Standards (IFRS)? What are the critical differences between VAS and IFRS?

 

Recent VAS pronouncements are generally consistent with IFRS, with a few slight differences to reflect and address the local circumstances.

 

To date, the reporting of VAS-based financial statements still follows a prescribed chart of accounts and report format, which are different from IFRS.

 
«StartPrev12345678910NextEnd»

Page 8 of 11