What is the time for opening accounting books for household businesses in Vietnam? What are bases for making accounting books in Vietnam?
What is the time for opening accounting books for household businesses in Vietnam? What are bases for making accounting books in Vietnam? What are cases that are not required to register household businesses in Vietnam?
What is the time for opening accounting books for household businesses in Vietnam?
Pursuant to Clause 1 Article 5 of the Circular 88/2021/TT-BTC:
Accounting books
1. Contents of accounting books, opening, recording of entries, closure and retention of accounting books of household businesses and individual businesses shall comply with the provisions of Articles 24, 25 and 26 of the Law on Accounting and specific guidelines in Appendix 2 “Forms and methods for recording accounting books” enclosed herewith.
2. Household businesses and individual businesses may apply the provisions of Article 26 of the Law on Accounting on opening, recording of entries, closure and retention of accounting books on electronic devices in a manner that is suitable to the characteristics of their business operations.
3. Household businesses and individual businesses may apply the provisions of Article 27 of the Law on Accounting on correction of accounting books in a manner that is suitable to the characteristics of their business operations.
4. Household businesses and individual businesses shall use accounting books listed hereunder:
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Pursuant to Clause 1 Article 26 of the Law on Accounting in 2015:
Opening, recording, closing, and retention of accounting books
1. Accounting books shall be opened at the beginning of the annual accounting period; new accounting units shall open their accounting books from the inauguration date.
2. Accounting records are the basis for making accounting books.
3. Accounting books must be made clearly, completely, and in a timely manner. Information and data recorded in the accounting books must be accurate, truthful, and consistent with accounting records.
4. Economic/financial transactions must be recorded in the accounting books in chronological order. Information and data recorded in accounting books of the next year must continue those on the accounting books of the preceding year. An accounting book must be continuously made from the beginning to the closing of the book.
5. Information and data on the accounting books must be recorded by pen, must not be inserted at the top or bottom and must not overlap; no lines shall be skipped; any empty space of the page must be crossed out; if one page is not enough, a sum must be done at the end of each page and carried forward to the next page.
6. The accounting unit must close its accounting books at the end of the accounting period before making the financial statement and in other cases specified by law.
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As regulated above, accounting books of household businesses shall be opened at the beginning of the annual accounting period. New household businesses shall open their accounting books from the inauguration date.
What is the time for opening accounting books for household businesses in Vietnam? What are bases for making accounting books in Vietnam? - image from internet
What are bases for making accounting books in Vietnam?
Pursuant to Article 26 of the Law on Accounting in 2015 stipulating regulations on opening, recording, closing, and retention of accounting books:
Opening, recording, closing, and retention of accounting books
1. Accounting books shall be opened at the beginning of the annual accounting period; new accounting units shall open their accounting books from the inauguration date.
2. Accounting records are the basis for making accounting books.
3. Accounting books must be made clearly, completely, and in a timely manner. Information and data recorded in the accounting books must be accurate, truthful, and consistent with accounting records.
4. Economic/financial transactions must be recorded in the accounting books in chronological order. Information and data recorded in accounting books of the next year must continue those on the accounting books of the preceding year. An accounting book must be continuously made from the beginning to the closing of the book.
...
As regulated above, accounting records are the basis for making accounting books. Accounting books must be made clearly, completely, and in a timely manner. Information and data recorded in the accounting books must be accurate, truthful, and consistent with accounting records.
What are cases that are not required to register household businesses in Vietnam?
Pursuant to Clause 2 Article 79 of the Decree 01/2021/ND-CP:
Household business
1. A household business is established by an individual or family household members that shall take responsibility for business operations of the household business with all of their property. If a household business is established by members of a family household, one of them shall be authorized to act as the representative of the household business. The individual applying for registration of household business or the person authorized by the family household members to act as the representative of the household business shall be the owner of the household business.
2. Households engaged in agriculture, forestry, aquaculture, salt production, street vendors, nomadic or seasonal businesspeople, and service providers earning low revenues are not required to apply for establishment of household businesses, except for conditional business lines. The provincial People’s Committees shall specify the low revenues applied within their provinces.
As regulated above, except for conditional business lines, following cases are not required to register household businesses in Vietnam:
- Households engaged in agriculture, forestry, aquaculture, salt production
- Street vendors, nomadic or seasonal businesspeople, and service providers earning low revenues
