Procedures for issuance of certificate of eligibility to provide valuation service in Vietnam

Hello, Lawnet would like to answer as follows:

1. What is valuation?

According to Clause 16, Article 4 of the Law on Prices 2023, taking effect on July 1, 2024, valuation means advisory operations of evaluating assets at a certain location and period for specific purposes performed by valuation enterprises or valuation councils under the Valuation Standards of Vietnam.

2. What are the procedures for issuance of certificate of eligibility to provide valuation service in Vietnam?

Application for issuance of certificate of eligibility to provide valuation service in Vietnam

According to the provisions of Article 4 of Circular 38/2014/TT-BTC amended by Clause 3, Article 1 of Circular 60/2021/TT-BTC, the application for issuance of certificate of eligibility to provide valuation service in Vietnam include:

- An application for issuance or re-issuance of the Certificate of eligibility to provide price appraisal services consists of the documents mentioned in Article 14 of the Decree 89/2013/ND-CP and Clause 7 Article 1 of the Decree 12/2021/ND-CP.

+ An application form for issuance or re-issuance of the certificate of eligibility to provide valuation services, which is made using the Form promulgated by the Ministry of Finance;

+ Authenticated copy of certificate of business registration, certificate of enterprise registration of enterprise;

+ Register of practicing appraisal of prices of appraisers registering for practicing appraisal of prices at enterprise confirmed by enterprise; certificate of re-training the professional knowledge of appraisal of prices for the practicing price appraisers (if any);

+ Copies of labor contracts, or Annexes of labor contracts (if any) of the practicing price appraisers at enterprise;

+ A list of capital contributions from members which is certified by the enterprise in the case where the Enterprise Registration Certificate does not include a list of capital contributing members or a list of shareholders;

+ A receipt for payment of the fee for assessment of the application for issuance of the certificate of eligibility to provide valuation services;;

+ Authenticated copies of documents on appointment of position for legal representative of enterprise, documents of authorization in appraisal of prices (if any).

- An application form for issuance or re-issuance of the Certificate of eligibility to provide price appraisal services is made using the form in the Appendix No. 02 of Circular 60/2021/TT-BTC.

Form of application for issuance of certificate of eligibility to provide valuation service in Vietnam: Download

Note:

- If the price appraisal enterprise registers price appraisal service for its branch as specified in Article 41 of the Law on Prices 2023, it must submit a certified true copy of the certificate of branch registration and the enterprise’s letter of authorization.

The letter of authorization shall specify that the price appraisal enterprise's branch is entitled to totally or partially carry out price appraisal operations.

- The branch that partially carries out price appraisal operations is not allowed to issue price appraisal certificates.

- The branch that totally carries out price appraisal operations is allowed to issue price appraisal certificates

The valuation enterprise shall be responsible for the accuracy of the submitted application for issuance or re-issuance of the certificate of eligibility to provide valuation service. (According to Clause 2, Article 4, Circular 38/2014/TT-BTC)

Procedures for issuance of certificate of eligibility to provide valuation service in Vietnam

According to the provisions of Clause 3, Article 4 of Circular 38/2014/TT-BTC, the procedures for issuance of certificate of eligibility to provide valuation service in Vietnam are as follows:

- The valuation enterprise shall submit the application directly or by post to the Ministry of Finance (via the Price Management Department).

- Where it is necessary to clarify any information, the Ministry of Finance (the Price Management Department) shall have the right to request the valuer or the valuation enterprise to provide explanation or documents for checking and verifying information and other documents included in the application.

- If the application is satisfactory, the Ministry of Finance (the Price Management Department) shall issue or re-issue the certificate of eligibility to provide valuation service within the time limit prescribed in Article 15 of the Decree 89/2013/ND-CP. Specifically, Article 15 of Decree 89/2013/ND-CP amended by Clause 8 of Article 1 of Decree 12/2021/ND-CP stipulates the deadline for granting certificate of eligibility to provide valuation service as follows:

+ Within 15 (fifteens) working days from the receipt of 01 (one) complete set of the application prepared by the enterprise according to Clause 1 or 2 Article 14 of Decree 89/2013/ND-CP, the Ministry of Finance shall issue or re-issue the certificate of eligibility to provide valuation services to the valuation enterprise.

+ In case of refusal to issue or re-issue the certificate of eligibility to provide valuation services, the Ministry of Finance shall give a written response specifying reasons therefor to the enterprise registering to provide valuation services within 05 (five) working days from the receipt of the application.

The certificate of eligibility to provide valuation service is made according to the template provided in the Appendix No. 04 enclosed with Circular 38/2014/TT-BTC.

Form of certificate of eligibility to provide valuation service: Download

- If the valuation enterprise fails to provide explanatory documents or provides documents which cannot prove the accuracy of documents included in the submitted application, the Ministry of Finance (the Price Management Department) shall have the right to refuse the application. In case of refusal of an application, the Ministry of Finance (the Price Management Department) shall provide written reasons for such refusal.

Thus, the procedure for granting a Certificate of eligibility to conduct business in price appraisal services is as follows:

- The enterprise prepares the application including: application, copy of business license, practice registration of the appraiser, labor contract of the appraiser, list of capital contributions from members, receipt for payment, authenticated copies of documents (if any).

- Enterprises submit 01 set of documents directly or by mail to the Ministry of Finance (via the Price Management Department).

- Within 15 (fifteens) working days from the receipt of 01 (one) complete set of the application prepared by the enterprise, the Ministry of Finance shall issue or re-issue the certificate of eligibility to provide valuation services to the valuation enterprise

- In case the dossier is not complete and clear, the Ministry of Finance shall have the right to refuse the application. If the business does not fully supplement the dossier, the Ministry of Finance shall have the right to refuse the application.

Key word: valuation | valuation service | in Vietnam | eligibility to provide valuation service | certificate of eligibility to provide valuation service |

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