Annual renewal of a Vietnam LLC
Since 2003, Healy Consultants Group PLC helps international Clients timely complete their annual Vietnam company renewal. Leveraging our in-house accounting and tax team’s 15 years’ expertise, we successfully assist international Clients file annual accounting and tax returns for global businesses.
Vietnam LLC renewal steps
On or before the anniversary date of company incorporation, our Client will:
- Sign Healy Consultants Group PLC’s re-engagement letter and settle our renewal invoice fees;
- Within a month of accounting year end, supply Healy Consultants Group PLC with a trial balance and or Profit & Loss statement and Balance Sheet;
- Within a month thereafter, Healy Consultants Group PLC will email our Client i) draft financial statements for the Vietnam LLC and ii) draft annual statutory tax return; and
- Within a month thereafter, Healy Consultants Group PLC will courier the audited financial statements for our Client’s siganture and timely submit to the General Department of Taxation an accurate and complete statutory tax return;
- Simultaneously, our in-house Accounting and Tax Department will pay the annual tax to the General Department of Taxation on behalf of our Client.
Healy Consultants Group PLC Vietnam company renewal fees:
Annual professional services Annual fee (US$) Registered legal registered office 1,100 Monthly & quarterly government reporting 6,720 Accounting and tax fees for a dormant company 1,950 Accounting and tax fees for an active company 4,950 Estimated third party auditor fees for the financial statements 750 Estimate of Vietnamese government fees payable 355
Accounting and tax considerations
- In accordance with Vietnam regulations, all foreign-owned Vietnamese entities are required to submit audited annual financial statements statements to the General Department of Taxation;
- The standard corporate income tax (CIT) rate is 20%, and between 32% and 50% for oil and gas companies;
- Annual corporate income tax returns must be filed with the General Department of Taxation within 90 days from the end of the fiscal year;
- Companies must make quarterly income tax payments based on estimates;
- Accounting records must be kept in the local currency Vietnamese Dong. They must also be written in Vietnamese, though they may be accompanied by a common foreign language such as English;
- Only Vietnam-based auditing companies can audit annual financial statements for foreign business entities. These statements must be filed with the licencing agency, the Ministry of Finance, the statistics office, and tax authorities 90 days before the end of the year.
Legal and compliance considerations
- Vietnam allows 100% foreign ownership in most sectors;
- A private Vietnam company must maintain both a local registered address and a resident legal representative;
- Before the government approves company registration, the company must sign an office premises lease agreement;
- Before any Vietnamese company can repatriate profits, it must submit i) audited financial statements and ii) complete tax filings to the authorities. Thereafter, the company must inform the local taxation office and these profits can only be remitted through the company’s capital account.