HOW TO CLOSE A COMPANY IN VIET NAM

How to close close foreign invested company

HOW TO CLOSE A COMPANY IN VIET NAM

How to close a company in Vietnam

How to close a company in Vietnam

How to close foreign invested company in Vietnam? Firstly you shall preparing for the official dissolution decision and applications and submit to the competent state agencies for closuring any further obligation.  This stage aims to suspend, terminate any new obligation, especial for the tax reports and other compliance procedures. From the date of proper notice to the local competent state agencies, the company is in closured standby status.

THERE ARE 03 KEY STEPS TO CLOSE FOREIGN INVESTED COMPANY IN VIETNAM

  1. Preparing and submit official dossiers and decision of office dissolution to competence state agencies to terminate any new obligation.
  2. Completion certificates for any debt obligations on tax, compulsory insurances, rental, other payable amounts to third parties…
  3. Return the original business licenses, close your bank accounts return legal stamp upon the step 2 completion.

In which, Step 2 is most complicated because of tax inspection procedures and employment liquidation.

TAX INSPECTION PROCEDURES

  1. Pursuant to the tax regulations and anti-money laundering laws, since years 2012, after every 3 to 5 years of office operation, the Department of Taxation may require any company to provide the accounting books, invocies, bank statements, employee profiles as well as payroll vouchers and together with lawful documents for tax inspection.
  2. Tax officers will review each transaction to ensure that the company’s expenditures have been made legally and duly, without violating the tax or anti-money laundering laws. In addition, in case of dissolution, before the office’s closing, the tax authorities will also carry out similar tax inspection for final settlement procedures.

LIQUIDATION OF EMPLOYMENT

Termination agreement

  1. Compulsory insurances settlement, personal income tax settlement.
  2. Job-loss allowances and others.
  3. Decision of termination.
  4. Hand over minutes.
  5. Liquidation minutes / agreement.

Final settlement personal income  tax for local employees

  1. Calculating optimal tax payable amount.
  2. Final declaration and settlement.
  3. Letter of confirmation for the paid incomes and issue the tax reciept.
  4. Manage and settle any query or question from tax department until obtaining the tax completion certificate.

Final settlement personal income tax for expats

  1. Calculating optimal tax payable amount.
  2. Preparing the settlement sheets for final declaration and settlement in case of the foreigner complete the jobs and leave from Vietnam.
  3. Submiting final declaration and settlement, on behalf to pay the tax payable amount.
  4. Manage and settle any query or question from tax department until obtaining the  tax completion certificate.

HOW VIVA CAN HELP

We can provide a full package or every single concern of close foreign invested company in Vietnam upon request:

  1. Advising for the required papers, info, procedures.
  2. Preparing checklists to collect the required papers, info from teams.
  3. Preparing for the official dissolution decision and applications and submit to the competent state agencies for close foreign invested company any further obligation. This stage aims to suspend, terminate any new obligation, especial for the tax reports and other compliance procedures. From the date of proper notice to the local competent state agencies, the company is in closured standby status.
  4. Collect, complete the compliance business records and arrange for any certificates of obligation completion. Especial for the liquidation of employment, the certificate of tax, social insurance, customs completion.  This is legal requirement to guarantee that the company has no more pending obligation before allowed to closure under legal procedures. Unless some special reason from the competent state agencies,
  5. Internal audit for the compliance business records, identify the exists and potential risks according to the tax inspection procedures and others. Prepare management letter to the Board of directors with correction actions.
  6. Delegate professional teams to support and together fixing the business records, remove any exist and potential risk, optimize the tax re-collection and fines payable amount.
  7. Arrange special tax settlement procedures with the officers that you can obtain the tax completion certificate in simple manner and within reasonable/ estimable budget.
  8. Prepare neccessary applicantions, notices and submit to the competence state agencies. Follow up and settle any related query or requirement until completion.
  9. Obtain the tax completion certificate, return the office license, close the bank accounts, return the round stamp. Upon the certificates of obligation completion, support to closure the bank accounts, return the business licenses, return the legal stamp as final step of closuring foreign invested company. This is the final paperwork as completion.
  10. Destructure the business records with proper procedures.
  11. Collecting related papers and dossiers above for compliance business records management.

 

VIVA has been an in-depth consultant on business compliance procedures in Vietnam since 2006, based on our professional - integrated background in Business laws - Accounting and corporate finance - Tax management - Labor relation and payroll – Business administration procedures. VIVA offers exclusive services in an integrated tailor-made, consist of 5 specialized-expertise platforms and the inheritance experience up to hundreds of years for every job.

Our extensive expertise and management system that facilitates us to connect local resources and be ready to deliver exclusive solutions that exceed all standard limits and satisfy all expectations of our clients.

 

Consult Us


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Summary
How to close Foreign Invested Company in Vietnam?
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How to close Foreign Invested Company in Vietnam?
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How to close foreign invested company in Vietnam? Firstly you shall preparing for the official dissolution decision and applications and submit to the competent state agencies for close any further obligation.
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VIVA BUSINESS CONSULTING
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