Vietnam: What are the regulations on the current form of contract for auditing the finalization report of the completed project?
- What are the regulations on the form of contract for auditing the finalization report of the completed project in Vietnam?
- What is the main content of the contract for auditing the finalization report of the completed project in Vietnam?
- Is it mandatory to enter into an audit contract for the finalization report of the completed project when performing the audit in Vietnam?
- When must the contract for auditing the finalization report of the completed project in Vietnam be concluded?
What are the regulations on the form of contract for auditing the finalization report of the completed project in Vietnam?
Currently, the form of contract for auditing the finalization report of the completed project is specified in Appendix 01 issued together with Circular 67/2015/TT-BTC, specifically as follows:
Download the Form of Audit Contract for the finalization report of the completed project: here.
Vietnam: What are the regulations on the current form of contract for auditing the finalization report of the completed project?
What is the main content of the contract for auditing the finalization report of the completed project in Vietnam?
Pursuant to Subsection A5 Section III of the auditing standards system promulgated together with Circular 67/2015/TT-BTC stipulating the main contents of the audit contracts shall comprise the following information, including but not limited to:
- Contract signing bases;
- Contract signing time, venue and parties involved in signing a contract;
- Audit contents and scope;
- Rights and responsibilities of parties involved;
- Audit report;
- Audit location and time;
- Service charges and payment terms;
- Commitments;
- Validity period of a contract.
Is it mandatory to enter into an audit contract for the finalization report of the completed project when performing the audit in Vietnam?
Pursuant to Article 42 of the Law on Independent Auditing in Vietnam 2011, it is stipulated:
Article 42. Audit contracts
1. Auditing firms, branches of foreign auditing firms in Vietnam implement the audit services under the audit contract.
2. Audit contract is an agreement between auditing firms and branches of foreign auditing firms in Vietnam with clients on the performance of audit services. The contract audit shall be made in writing and contains the following main contents:
a) Names and addresses of clients or clients’ representatives, representatives of the auditing firms, branches of foreign auditing firms in Vietnam;
b) The purpose, scope and contents of audit services, term of the audit contract;
c) The rights, obligations and responsibilities of the parties;
d) The form of audit statement and other forms expressing the audit results such as the management letter and other reports;
đ) Audit service fees and other expenses agreed by the parties
At the same time, subsection 11 Section II of the system of auditing standards issued together with Circular 67/2015/TT-BTC stipulates:
11. Auditors and auditing enterprises must duly apply laws on contracts, regulations and instructions set in Vietnamese Standard on Auditing No. 210 - Audit contracts for arrangements, and must carry out contracts for audit of final accounts of completed projects. Below are certain major contents (see instructions given in paragraphs A4-A5 in this Standard).
(a) The contract for audit of the final account of completed project must be made in writing between an auditing enterprise and a customer (an audited entity) before commencement of an audit;
...
Accordingly, when the audit of the project finalization report is completed, a written agreement must be made between the auditing enterprise and the customer (audited unit) before conducting the audit;
When must the contract for auditing the finalization report of the completed project in Vietnam be concluded?
Pursuant to Subsection 11 Section II of the Auditing Standards System promulgated together with Circular 67/2015/TT-BTC stipulates:
11. Auditors and auditing enterprises must duly apply laws on contracts, regulations and instructions set in Vietnamese Standard on Auditing No. 210 - Audit contracts for arrangements, and must carry out contracts for audit of final accounts of completed projects. Below are certain major contents (see instructions given in paragraphs A4-A5 in this Standard).
…
(b) The audit contract may be med before an audit is completed;
Accordingly, the contract for auditing the finalization report of the completed project must be entered into before the project is completed.
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