04 Sep Cashbook And Petty Cash For Tax Inspection Of Representative Office In Vietnam
According to the Laws on VAT invoices: the seller should issue lawful invoice for any service or goods sold and the buyers responsibility to collect and keep the invoices. From 2012, together with the Anti-money laundering regulation and latest update tax laws, the tax inspectors specially focus on Representative Offices for Tax Inspection.
After every 3 to 5 years of office operating, the Tax Department will require your office to provide cashbook – petty cash, bank statements, and all related vouches – lawful invoices – employees profile, proper salary payrolls for tax inspection:
- How much the fund from headquarter over the years of operation.
- How much the paid expenditures.
- How much the paid salary and insurances.
- If the paid expenditures are in line with allowed activities of the office? If the paid expenditures proved by the lawful invoices? If not, there will be tax arrears and fines.
- If the paid salary has lawful labor records? If not, there will be tax arrears and fines.
Actually, many representative offices did not believe the rules and have deal with the tax inspection with very disaster lessons.
To avoid seriously tax arrears and fines which may also impact to your complied history in Vietnam, you should #01 review the required business records and compliance reports in advance, #02 verify the exists and risks, #03 complete the records and reports to manage the final payable amount in the optimal – reasonable – lawful manner.
VIVA BCS designs exclusive service packages in a comprehensive tailor-made method, ensuring each client always fully and optimally complies with local laws and regulations, READY FOR ANY INSPECTION OR REQUIREMENT in Vietnam. Please find our services: “Manage the cashbook of Representative Office” for your Office in Vietnam :
1. Business records management, listing the required business records in forms folders
- Office license.
- Employees profile.
- Labor contracts.
- Social insurances.
- Payroll and personal income tax.
- Cashbook & Petty cash – Invoices vouchers of expenditures…
- Foreign employees’ records and compliances.
2. Compliance reports and tax management
- Prepare standard cashbook.
- Review office’s activities transaction in line with local laws and regulations; manage the relations between the transactions legally and optimally;
- Calculating optimal tax payable amounts, remove the existing risks and prevention of further risks may happen; Complete required documents for every transaction;
- Preparing Personal Income Tax reports; Tax settlement; Tax obligation certificate; Complete dossiers for tax exemption and reduction; Prepare internal reports for the Chief and the Head office.
3. Compliances consultant
- Apply, renew, amendment, supplement, dissolution office license.
- Visas, work permits and temporary residence cards for expats.
- Change the chief of representative office.
- Annual operation reports.
- And verything about representative office: Establishment of representative office _ Annually standard cost of maintaining a representative office in Viet Nam _ Basic rights and obligations of representative offices in Vietnam _ Compliance procedures during the operation period _ Rights and obligations of the chief of representative office _ Managing compliance procedures for expats who are working in Vietnam _ Closuring representative office risks management _ Differences between a representative office and foreign invested company _ How to transform from a representative office to a subsidiary.
4. Secretary services
- Drafting and reviewing on every business document, contract, memorandum, agreement, decision… in English and Vietnamese.
- Legalize papers from oversea. Notarization – duly copy documents.
- Translation English, French, Japanese, and Korean…
- Business forms.
- Business laws and regulations in bilingual languages English – Vietnamese and apply in practice local cases.
Thank you for your time, we hope you can find something useful and would like to take care your business in Vietnam as benefit as our other thousand of clients since 2006.
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.