Subjects Subject to Direct Inspection: Rights and Responsibilities

What are the rights and obligations of the directly inspected entity? (illustrative image)

Article 12 of Circular 157/2014/TT-BTC specifically provides for the rights and obligations of the entity directly inspected for the quality of audit services as follows:

Regarding the rights of the inspected entity:

- Notify the inspection agency and the Head of the Inspection Team in writing if there are grounds to believe that the Head of the Inspection Team or members of the Inspection Team violate independence;- Explain and recommend to the inspection agency the issues that have differing opinions in the inspection conclusions of the Inspection Team.

Regarding the obligations of the inspected entity:

- Coordinate and create favorable conditions for the Inspection Team to carry out inspection work;- Fully, promptly, accurately, and truthfully provide the necessary documents and information related to the inspection content as follows: Inspection documents include materials related to the development and implementation of policies and procedures for quality control of audit services by the auditing firm; audit documents and files; accounting documents; policies related to personnel; Minutes of member council meetings, plans of the Board of Directors of the auditing firm, and other related documents and files;- Arrange for practicing auditors and responsible persons to work with the Inspection Team;- Discuss with the Inspection Team about the status of the firm and explain and provide information on issues requested by the Inspection Team;- Sign the inspection result report immediately after the inspection is concluded;- Implement the conclusions of the Inspection Team and take measures to correct errors and deficiencies identified during the inspection.

Details can be viewed in Circular 157/2014/TT-BTC effective from October 23, 2014.

Ty Na

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