Vietnam: 05 criteria and conditions for establishment and operation of an audit limited liability company

Vietnam: 05 criteria and conditions for establishment and operation of an audit limited liability company (Illustrative image)

In Section II of Circular 60/2006/TT-BTC, 05 criteria and conditions for establishment and operation of an audit limited liability company in Vietnam are stipulated as follows:

1. An audit limited liability company is established and operates under the provisions in Article 20 and Article 23 of Decree 105/2004/ND-CP and Article 1 of Decree 133/2005/ND-CP;

2.  Members of audit limited liability companies may be either individuals or organizations. The number of members of an audit limited liability company must be between two and fifty;

3. Members being individuals must satisfy the criteria and conditions specified by law and at Point 2, Part II of this Circular;

4. A member being an organization must nominate a person as its representative. The representative at law of an organization member must satisfy the criteria and conditions specified by law and at Point 3, Part II of this Circular. Organizations being enterprises currently operating in Vietnam and providing audit services and organizations which are not allowed by law to participate in business activities shall not be allowed to become members of audit limited liability companies;

4. At the time of establishment and in the course of operation, an audit limited liability company must have at least 3 persons possessing auditor's certificates, including its director (or general director).

Details can be found in Circular 60/2006/TT-BTC effective on July 22, 2006.

Ty Na

>> CLICK HERE TO READ THIS ARTICLE IN VIETNAMESE