Decree No. 129/2004/ND-CP detailing and guiding the implementation of certain provisions of the Accounting Law applicable to business operations.

DECREE

Regulations on detailed provisions and guidance for implementation of certain Articles of

the Accounting Law applicable to business operations

____________________

THE GOVERNMENT

Pursuant to the Law on Organization of the Government dated December 25, 2001;

Based on the Accounting Law dated June 17, 2003;

Pursuant to the State Enterprise Law dated November 26, 2003; the Enterprise Law dated June 12, 1999; the Law on Foreign Investment in Vietnam dated November 12, 1996; the Law Amending and Supplementing Certain Provisions of the Law on Foreign Investment in Vietnam dated June 9, 2000; and the Cooperative Law dated November 26, 2003;

At the proposal of the Minister of Finance,

DECREE:

Article 1. Scope of application

This Decree stipulates detailed provisions and guidance for implementation of certain Articles of the Accounting Law applicable to the objects specified in Article 2 of this Decree (hereinafter referred to as business operations).

Article 2. Applicability

Pursuant to points c, d, đ, e, Clause 1, Article 2 of the Accounting Law, the objects subject to this Decree are the following organizations and individuals:

1. Organizations engaged in business operations including:

a) State enterprises;

b) Limited liability companies;

c) Joint stock companies;

d) Partnership companies;

đ) Private enterprises;

e) Enterprises with foreign investment;

g) Branches of foreign enterprises operating in Vietnam;

h) Representative offices of foreign enterprises operating in Vietnam;

i) Cooperatives;

k) Individual business households and cooperative groups.

2. Accountants; accounting practitioners; other persons related to accounting in business operations.

Article 3. Accounting objects in business operations

Pursuant to Clause 3, Article 9 of the Accounting Law, accounting objects in business operations are defined as follows:

1. Accounting objects are fixed assets and current assets, including:

a) Money and equivalents;

b) Accounts receivable;

c) Inventory;

d) Short-term financial investments;

đ) Tangible fixed assets, intangible fixed assets, finance lease fixed assets;

e) Long-term financial investments;

g) Other short-term and long-term assets.

2. Accounting objects are liabilities, including:

a) Payables to suppliers;

b) Payables for loans;

c) Payables to employees;

d) Other payables and payable taxes.

3. Accounting objects are owners' equity, including:

a) Capital of owners;

b) Reserves;

c) Undistributed profits.

4. Revenue and business expenses; other income and other expenses.

5. Taxes and other payments to the state budget.

6. Results and distribution of results of business operations.

7. Other assets related to the accounting entity.

Article 4. Responsibilities for management, use, provision of accounting information and documents

Pursuant to Article 16 of the Accounting Law, responsibilities for management, use, and provision of accounting information and documents are defined as follows:

1. The accounting entity must establish regulations on management, use, and preservation of accounting documents, clearly defining responsibilities and rights for each department and each accountant; the accounting entity must ensure adequate physical facilities and means for managing and preserving accounting documents.

2. The accounting entity must be responsible for providing accounting documents to tax authorities and state agencies authorized to perform inspection, audit, investigation functions as prescribed by law. Agencies receiving accounting documents must be responsible for keeping and preserving them during their use and must return them fully and on time.

3. The legal representative of the accounting entity has the right to provide accounting information and documents to organizations and individuals as prescribed by law. The exploitation and use of accounting documents must be approved in writing by the legal representative of the accounting entity or a person authorized by the legal representative of the accounting entity.

Article 5. Accounting voucher models

Pursuant to Clause 2, Article 19 of the Accounting Law, accounting voucher models are defined as follows:

1. Accounting voucher models include mandatory accounting voucher models and guiding accounting voucher models.

a) Mandatory accounting voucher models are those prescribed by competent state agencies regarding the content and structure of the model that accounting entities must strictly follow in terms of form, content, method of recording indicators, and apply uniformly across all accounting entities or specific accounting entities.

b) Guiding accounting voucher models are those prescribed by competent state agencies; in addition to the contents prescribed on the model, accounting entities may supplement additional indicators or change the format of the model to suit their recording needs and management requirements.

2. The Ministry of Finance shall prescribe the list and models of mandatory accounting vouchers, the list and models of guiding accounting vouchers; and regulations on printing and issuing accounting voucher models.

Article 6. Electronic document

Pursuant to Clause 2, Article 18 of the Accounting Law, electronic vouchers are defined as follows:

1. Electronic vouchers must contain all the required contents for accounting vouchers and must be encoded to ensure data security during processing, transmission, and storage.

2. Electronic vouchers used in accounting can be stored on media such as magnetic tapes, floppy disks, and payment cards.

3. For electronic vouchers, it must ensure confidentiality and data integrity during use and storage; measures must be taken to manage and check against unauthorized exploitation, intrusion, copying, theft, or misuse of electronic vouchers. When stored, electronic vouchers are managed like original accounting documents but must have appropriate equipment available for use when necessary.

Article 7. Conditions for using electronic vouchers

Pursuant to Clause 2, Article 18 of the Accounting Law, the conditions for using electronic vouchers are stipulated as follows:

1. Organizations providing payment services, accounting services, auditing services using electronic vouchers must meet the following conditions:

a) Having locations, information transmission routes, information networks, communication devices that meet the requirements for exploitation, control, processing, use, preservation, and storage of electronic vouchers;

b) Having a team of personnel with sufficient qualifications and capabilities corresponding to technical requirements to implement the procedures for creating and using electronic vouchers according to accounting and payment procedures;

c) The provisions set out in Clause 2 of this Article.

2. Organizations and individuals using electronic vouchers and electronic payment transactions must meet the following conditions:

a) Having an electronic signature of the legal representative or authorized person of the organization or individual using electronic vouchers and electronic payment transactions;

b) Establishing methods for receiving and transmitting electronic vouchers and the technology of data carriers;

c) Committing that activities conducted through their electronic vouchers comply with regulations.

Article 8. Value of electronic vouchers

Pursuant to Clause 2, Article 18 of the Accounting Law, the value of electronic vouchers is stipulated as follows:

1. When a paper voucher is converted into an electronic voucher for transactions and payments, the electronic voucher will have the value to perform economic and financial operations, and at that time, the paper voucher only has the value for record-keeping and monitoring purposes and does not have validity for transactions and payments.

2. When an electronic voucher that has performed economic and financial operations is converted into a paper voucher, the paper voucher only has the value for recording in accounting books, monitoring, and checking purposes and does not have validity for transactions and payments.

3. The conversion of paper vouchers into electronic vouchers or vice versa must be carried out in accordance with the regulations on the creation, use, control, processing, preservation, and retention of electronic vouchers and paper vouchers.

Article 9. Electronic signature on electronic vouchers

Pursuant to Clause 4, Article 20 of the Accounting Law, the electronic signature is defined as follows:

1. An electronic signature is electronic information attached appropriately to electronic data to establish a link between the sender and the content of such data. The electronic signature confirms that the sender has accepted and is responsible for the content of the information in the electronic voucher.

2. The electronic signature must be encrypted with a cryptographic key; the electronic signature is established separately for each individual to determine the rights and responsibilities of the creator and those related parties responsible for the security and accuracy of the electronic voucher. The signature on the electronic voucher has the same value as a handwritten signature on a paper voucher.

3. In case of changing technical staff for decryption, the secret code, electronic signature, and security keys must be changed accordingly and notified to all relevant parties involved in electronic transactions.

4. The person entrusted with managing and using secret codes, electronic signatures, and security keys must ensure confidentiality and bear responsibility under the law if they disclose them causing damage to the unit's assets and the assets of transaction participants.

Article 10. Sales invoices

Pursuant to Clause 1 and Clause 4, Article 21 of the Accounting Law, the cases of selling goods and the amount of sales not requiring the issuance of a sales invoice are stipulated as follows:

1. Organizations and individuals engaged in business activities using sales invoices, when selling small quantities of goods or providing services once with a value below the level specified by the Ministry of Finance, are not required to issue a sales invoice, except when the buyer requests an invoice, then the seller must issue and provide the invoice in accordance with regulations. Goods sold in small quantities or services provided once with a value below the specified level, although not required to issue an invoice, still need to prepare a list of small sales or service provision or may issue a sales invoice according to regulations as accounting evidence. In the case of preparing a list of small sales or service provision, at the end of each day, based on the aggregated data from the list, a sales invoice for the day must be issued in accordance with regulations.

2. Organizations and individuals purchasing products, goods, or receiving services have the right to request sellers or service providers to issue and provide them with two copies of the sales invoice for use and storage in accordance with regulations, while also having the responsibility to check the content of the invoice's items and refuse to accept an invoice with incorrect items or discrepancies in value compared to the retained copy of the seller.

3. Organizations and individuals printing their own sales invoices must obtain written approval from the Ministry of Finance before implementation. Organizations and individuals printing their own invoices must have a printing contract with the printing organization specifying the quantity, code, and serial number of the invoices. After each printing session or upon completion of the printing contract, the printing contract must be terminated.

4. Accounting units must use sales invoices in accordance with regulations; they are not allowed to buy, sell, exchange, or give invoices or use invoices from other organizations or individuals; they are not allowed to use invoices to declare tax evasion; they must maintain ledgers, internal management rules, means of preserving and retaining invoices in accordance with legal regulations; they must not allow invoices to be damaged or lost. In the event of damage or loss of an invoice, it must be reported in writing to the tax authority at the same level.

Article 11. Accounting vouchers photocopies

Pursuant to Clause 3, Article 22 and Clause 3, Article 41 of the Accounting Law, accounting vouchers photocopies are stipulated as follows:

1. Accounting vouchers photocopies must be copied from the original and must have the signature and stamp confirmation of the legal representative of the accounting unit keeping the original or the competent state agency deciding to temporarily hold or confiscate accounting documents on the photocopy.

2. Photocopies of accounting vouchers can only be made in the following cases:

a) Accounting units with foreign loan or aid projects according to commitments must submit the original voucher to the foreign financier. In this case, the photocopy must have the signature and stamp confirmation of the legal representative of the financier or the accounting unit.

b) An accounting unit whose original accounting vouchers have been temporarily detained or confiscated by a competent state agency shall have copies of such vouchers bearing the signature and stamp of confirmation from the representative of the state agency that decided on the temporary detention or confiscation of accounting documents affixed to the copied vouchers in accordance with Article 26 of this Decree.

c) Accounting vouchers lost or destroyed due to objective reasons such as natural disasters or fires. In this case, the accounting unit must request copies of the lost accounting vouchers from the purchasing unit, selling unit, or other related units. The copied accounting vouchers must bear the signature and stamp of confirmation from the legal representative of the purchasing unit, selling unit, or another accounting unit.

d) Other cases as prescribed by law.

Article 12. Translate accounting vouchers into Vietnamese

Pursuant to Article 19 of the Accounting Law, the writing on accounting vouchers is regulated as follows:

1. Accounting vouchers generated outside the territory of Vietnam shall be recorded in a foreign language. When used for bookkeeping in Vietnam, they must be translated into Vietnamese.

2. For infrequent accounting vouchers, the entire voucher must be translated. For frequently occurring vouchers, only the main contents must be translated according to the regulations of the Ministry of Finance.

The Vietnamese translation of the accounting voucher must be attached to the original foreign language version.

Article 13. Selection and specification of accounting books

Pursuant to Clause 2 of Article 2 and Article 26 of the Accounting Law, the specification of accounting books is regulated as follows:

1. The system of accounting books selected by the accounting unit must include all general and detailed accounting books, ensuring the ability to reconcile, aggregate accounting data, and prepare financial statements.

2. The selected system of accounting books must be uniformly applied throughout the fiscal year.

3. Representative offices of foreign enterprises operating in Vietnam, individual business households, and cooperatives specified in Point h and k of Clause 1 of Article 2 of this Decree shall establish accounting books in accordance with the regulations of the Ministry of Finance.

Article 14. Recording accounting books using computers

Pursuant to Clause 7 of Article 27 of the Accounting Law, recording accounting books using computers is regulated as follows:

1. If an accounting unit records its accounting books using a computer, the chosen accounting software must meet the standards and conditions stipulated, ensuring the ability to reconcile, aggregate accounting data, and prepare financial statements.

2. The Ministry of Finance stipulates the standards and conditions for accounting software.

Article 15. Deadline for preparing financial statements

Pursuant to Clause 3 of Article 29 and Clause 1 of Article 30 of the Accounting Law, the deadline for preparing financial statements is regulated as follows:

1. Accounting units engaged in business operations must prepare financial statements at the end of the fiscal year.

2. Accounting units undergoing division, separation, merger, consolidation, change in ownership form, dissolution, cessation of operations, bankruptcy must prepare financial statements at the time of division, separation, merger, consolidation, change in ownership form, dissolution, cessation of operations, or bankruptcy.

3. State-owned enterprises, in addition to preparing annual financial statements, must also prepare quarterly financial statements.

Article 16. Preparation of consolidated financial statements or consolidated financial statements

Pursuant to Clause 2 of Article 30 of the Accounting Law, the preparation of consolidated financial statements or consolidated financial statements is regulated as follows:

1. Accounting units with subordinate accounting units, in addition to preparing their own financial statements, must also prepare consolidated financial statements or consolidated financial statements at the end of the fiscal year based on the financial statements of the subordinate accounting units within the same accounting unit.

2. Parent companies must prepare consolidated financial statements at the end of the fiscal year in accordance with the regulations of the Ministry of Finance.

3. State-owned holding companies and state-owned enterprises with subordinate accounting units must prepare consolidated financial statements or consolidated financial statements at the end of each quarter and at the end of the fiscal year.

4. The Ministry of Finance will specify the procedures for preparing consolidated financial statements and consolidated financial statements for accounting units with subordinate accounting units.

Article 17. Abbreviation of monetary units and rounding off figures when preparing financial statements or disclosing financial statements

Pursuant to Articles 11 and 30 of the Accounting Law, abbreviation of monetary units when preparing financial statements or disclosing financial statements is regulated as follows:

1. When an accounting unit prepares consolidated financial statements or consolidated financial statements from the financial statements of subordinate accounting units, if the reported figures exceed nine digits, it may choose to use abbreviated monetary units of thousands of dong (1,000 dong) or millions of dong (1,000,000 dong) to prepare the financial statements.

2. When disclosing financial statements, accounting units may use abbreviated monetary units of thousands of dong or millions of dong as stipulated in Clause 1 of this provision.

3. When using abbreviated monetary units, accounting units may round off figures as follows: if the digit following the abbreviated monetary unit is five (5) or higher, it shall be increased by one (1) unit; if it is less than five (5), it shall not be counted.

Article 18. Conversion of financial statements of accounting units operating abroad

Pursuant to Articles 29, 30, and 31 of the Accounting Law, the submission of financial statements by accounting units operating abroad is regulated as follows:

Accounting units operating abroad, when sending financial statements back to the superior accounting unit in Vietnam, must record them in the foreign currency used for bookkeeping, simultaneously convert them into Vietnamese dong according to the regulations of the Ministry of Finance, and translate them into Vietnamese.

Article 19. Recipient of financial statements

Pursuant to Article 31 of the Accounting Law, the recipient of financial statements is regulated as follows:

1. Financial statements of accounting units engaged in business operations must be submitted to the tax authority, statistical office, registration authority at the same level, and other relevant authorities as prescribed by law.

2. State-owned enterprises must also submit financial statements to the financial authority at the same level.

3. Subordinate accounting units must also submit financial statements to the superior accounting unit.

Article 20. Deadline for submitting financial statements

Pursuant to Article 31 of the Accounting Law, the deadline for submitting financial statements is regulated as follows:

1. For state-owned enterprises:

a) Deadline for submitting quarterly financial statements:

- Accounting units must submit quarterly financial reports no later than twenty days from the end of the quarter; for State-owned corporations, this deadline is forty-five days.

- Accounting units subordinate to State-owned corporations must submit quarterly financial reports to the corporation within the time limit specified by the corporation.

b) Deadline for submitting annual financial reports:

Accounting units must submit annual financial reports no later than thirty days from the end of the accounting period of the year; for State-owned corporations, this deadline is ninety days.

Accounting units subordinate to State-owned corporations must submit annual financial reports to the corporation within the time limit specified by the corporation.

2. For other types of enterprises:

a) Accounting units that are private businesses and partnerships must submit annual financial reports no later than thirty days from the end of the accounting period of the year; for other accounting units, the deadline for submitting annual financial reports is no later than ninety days.

b) Subordinate accounting units must submit annual financial reports to their superior accounting units within the time limit specified by the superior accounting unit.

Article 21. Deadline for publicizing annual financial reports

Based on Clause 2 Article 32 and Article 33 of the Accounting Law, the deadline for publicizing annual financial reports is as follows:

1. For state-owned enterprises:

a) Accounting units must publicize annual financial reports within sixty days from the end of the accounting period of the year; for State-owned corporations, the deadline for publicizing is no later than one hundred and twenty days.

b) Accounting units subordinate to State-owned corporations must publicize annual financial reports within the time limit specified by the corporation but not later than ninety days.

2. For other types of enterprises:

a) Accounting units that are private businesses and partnerships must publicize annual financial reports within sixty days from the end of the accounting period of the year; for other enterprises, the deadline for publicizing financial reports is no later than one hundred and twenty days.

b) Subordinate accounting units must publicize annual financial reports within the time limit specified by their superior accounting units.

Article 22. Submission and publicizing of financial reports by accounting units with subordinate accounting units

Based on Article 33 of the Accounting Law, the submission and publicizing of financial reports by accounting units with subordinate accounting units are stipulated as follows:

1. Accounting units with subordinate accounting units, including State-owned corporations and parent companies, when submitting consolidated financial reports or consolidated financial statements must also submit financial reports of subordinate accounting units and financial statements of subsidiaries.

2. Accounting units stipulated in Clause 1 of this Article, when publicizing consolidated financial reports or consolidated financial statements, must also publicize financial reports of subordinate accounting units and financial statements of subsidiaries.

Article 23. Cases where establishment and submission of financial reports are exempted

Based on Clause 2 Article 2 of the Accounting Law, accounting units exempted from establishing and submitting financial reports are stipulated as follows:

1. Accounting units exempted from establishing and submitting financial reports include: Representative offices of foreign enterprises operating in Vietnam, individual business households, and cooperatives specified at point h, k Clause 1 Article 2 of this Decree.

2. Accounting units stipulated in Clause 1 of this Article still have to prepare tax declaration forms according to the provisions of the law.

Article 24. Authority to decide on accounting inspection

Based on Article 35 of the Accounting Law, the authority to decide on accounting inspection is stipulated as follows:

1. The Ministry of Finance, Ministries, agencies equivalent to ministries, government agencies, and other central agencies within their scope of duties and powers decide to inspect accounting of accounting units under their jurisdiction.

2. Provincial People's Committees, municipal people's committees directly under the Central Government within their scope of duties and powers decide to inspect accounting of accounting units under their management.

3. Superior accounting units, including State-owned corporations, decide to inspect accounting of subordinate accounting units.

Article 25. Authority to inspect accounting

Based on Article 35 of the Accounting Law, the authority to inspect accounting is stipulated as follows:

1. Authorities deciding on accounting inspections stipulated in Article 24 of this Decree simultaneously have the authority to inspect accounting.

2. The National Inspectorate, Financial Inspectorate, State Audit Agency, and tax authorities when performing tasks of inspection, audit, and examination of accounting units have the right to inspect accounting.

Article 26. Sealing, temporary detention, and confiscation of accounting documents

Based on Clause 3 Article 22 and Clause 2 Article 40 of the Accounting Law, the sealing, temporary detention, and confiscation of accounting documents are stipulated as follows:

1. When a state agency authorized to decide on sealing accounting documents according to the law, the accounting unit and the representative of the authorized state agency must carry out the task of sealing accounting documents and establish a "Sealing Record of Accounting Documents." The sealing record of accounting documents must clearly state: reasons, quantity, type, accounting period of the sealed accounting documents. The legal representative of the accounting unit, the representative of the authorized state agency sealing the accounting documents must sign and stamp on the sealing record of accounting documents.

2. In case the competent state agency temporarily holds or confiscates accounting documents, the accounting unit and the representative of the competent state agency implementing the temporary holding or confiscation of accounting documents must prepare a "Handover Record for Accounting Documents." The Handover Record for Accounting Documents must clearly record: the reason, type of document, quantity of each type of document, condition of each type of document being temporarily held or confiscated; if temporarily held, the period of use and the return date of the accounting documents must be specified. The legal representative of the accounting unit and the representative of the competent state agency temporarily holding or confiscating accounting documents must sign and stamp the Handover Record for Accounting Documents; simultaneously, they must make copies of the temporarily held or confiscated accounting documents and have the representative of the competent state agency temporarily holding or confiscating the accounting documents sign and stamp to confirm on the copied accounting documents. For accounting vouchers, accounting ledgers, and financial reports created on computers but not yet printed out, the competent state agency shall require the accounting unit to print them out and follow the procedures stipulated for accounting documents before temporarily holding or confiscating them.

Article 27. Types of accounting documents that must be stored

Pursuant to Article 40 of the Accounting Law, types of accounting documents that must be stored include:

1. Accounting vouchers;

2. Detailed accounting ledgers, consolidated accounting ledgers;

3. Financial statements, management accounting reports;

4. Other related accounting documents outside those specified in Clauses 1, 2, and 3 of this Article, including various contracts, Decisions on additional capital from profits, distribution of profit funds, Decisions on tax exemptions, refunds, arrears, inventory check reports and asset evaluation reports; documents related to inspections, audits, and reviews; documents related to dissolution, bankruptcy, division, merger, cessation of operations, and changes in ownership forms; records of destroyed accounting documents, and other related documents.

Article 28. Preservation and storage of accounting documents

Pursuant to Article 40 of the Accounting Law, the preservation and storage of accounting documents are regulated as follows:

1. Accounting documents must be fully and safely preserved by the accounting unit during their use. Accountants are responsible for preserving their own accounting documents during use.

2. Stored accounting documents must be original copies as prescribed by law for each type of accounting document. In cases where accounting documents are temporarily held, confiscated, lost, or destroyed, there must be a record attached with a copy of the temporarily held, confiscated, lost, or destroyed documents. For accounting vouchers that only have one original copy but need to be stored in two places, one of the two places may store a copy of the voucher according to Clause 11 of this Decree.

3. The legal representative of the accounting unit must be responsible for organizing the preservation and storage of accounting documents to ensure their safety, completeness, and legality.

4. Accounting documents put into storage must be complete and systematic, classified and arranged into separate files according to chronological order and annual accounting periods.

Article 29. Location for storing accounting documents

Pursuant to Article 40 of the Accounting Law, the location for storing accounting documents is regulated as follows:

1. Accounting documents of any accounting unit must be stored in its own warehouse. The storage warehouse must be equipped with sufficient preservation equipment and conditions to ensure safety during storage as prescribed by law. The accounting unit may hire an organization to store accounting documents based on a contract signed between both parties.

2. Accounting documents of foreign-invested enterprises, branches, and offices of foreign enterprises operating in Vietnam during their operation period as per the Investment License or Establishment License issued must be stored within the accounting unit's territory in the Socialist Republic of Vietnam. When foreign-invested enterprises, branches, and offices of foreign enterprises operating in Vietnam cease operations in Vietnam, the accounting documents must be stored at the location decided by the legal representative of the accounting unit.

3. Accounting documents of dissolved or bankrupt units, including accounting documents of ongoing annual accounting periods within the retention period and documents related to dissolution or bankruptcy, must be stored at the location decided by the legal representative of the accounting unit.

4. Accounting documents of units undergoing shareholding reform or changes in ownership form, including accounting documents of ongoing annual accounting periods within the retention period and documents related to shareholding reform or changes in ownership form, must be stored at the new owner's accounting unit or at the location decided by the competent authority deciding on shareholding reform or changes in ownership form.

5. Accounting documents of ongoing annual accounting periods within the retention period of units divided or split into two or more new units: if the accounting documents can be allocated to the new accounting unit, they should be allocated and stored at the new unit; if they cannot be allocated, they should be stored at the accounting unit being divided or split or at the location decided by the competent authority deciding on the division or split. Accounting documents related to the division or split should be stored at the newly formed accounting units.

6. Accounting documents of ongoing annual accounting periods within the retention period and documents related to the merger of accounting units should be stored at the receiving unit.

7. Accounting documents concerning security and defense must be stored according to the provisions of the law.

Article 30. Accounting documents must be stored for a minimum of 5 years

Pursuant to Article 40 of the Accounting Law, accounting documents must be stored for a minimum of 5 years, including:

1. Accounting documents used for regular management and operation of the accounting unit, not directly used to record accounting ledgers and prepare financial reports shall be stored for a minimum of five years from the end of the fiscal year, such as receipts, payment vouchers, warehouse entry forms, warehouse exit forms, which are not kept in the accounting document files of the Accounting Department.

2. Other accounting documents used for management and operation and other accounting vouchers not directly recorded in accounting ledgers and preparing financial reports.

Article 31. Accounting documents must be stored for a minimum of ten years.

Pursuant to Article 40 of the Accounting Law, accounting documents must be stored for a minimum of ten years, including:

1. Accounting vouchers used directly to record accounting ledgers and prepare financial reports, detailed schedules, detailed accounting ledgers, summarized accounting ledgers, monthly, quarterly, and annual financial reports of the accounting unit, minutes of the destruction of accounting documents, and other documents related to recording accounting ledgers and preparing financial reports, including audit reports and accounting inspection reports.

2. Accounting documents related to the liquidation of fixed assets.

3. Accounting documents of the project sponsor unit, including accounting documents of each fiscal year and accounting documents regarding the final settlement report on investment capital of completed projects.

4. Accounting documents related to the establishment, division, separation, merger, consolidation, change in ownership form, dissolution, cessation of operations, bankruptcy of the accounting unit.

5. Other accounting documents of the accounting unit used in certain cases where the law requires storage for more than ten years, shall be stored according to those provisions.

6. Audit documents and reports on financial statements of independent auditing organizations.

Article 32. Accounting documents must be stored permanently.

Pursuant to Article 40 of the Accounting Law, accounting documents that must be stored permanently are defined as follows:

1. Accounting documents with archival value, significant economic, security, and defense importance. The determination of accounting documents to be stored permanently is decided by the legal representative of the accounting unit based on their archival value and long-term significance, and they are assigned to the accounting department or another department for storage in original form or other formats.

2. The permanent storage period must be over ten years until the accounting documents are naturally destroyed or destroyed according to the decision of the legal representative of the accounting unit.

Article 33. Storage of electronic accounting vouchers

Pursuant to Article 18 and Article 40 of the Accounting Law, the storage of electronic accounting vouchers is defined as follows:

1. Electronic accounting vouchers, such as magnetic tapes, floppy disks, payment cards, must be arranged in chronological order and preserved under technical conditions to prevent degradation of electronic vouchers and unauthorized external access to information.

2. Before being stored, electronic accounting vouchers must be printed on paper in accordance with the regulations on storing accounting documents. In cases where electronic accounting vouchers are stored in original form on special devices, appropriate reading devices must be stored to ensure accessibility when needed.

3. The time, duration, location of storage, and destruction of electronic accounting vouchers shall be carried out in accordance with the provisions of Articles 28, 29, 30, 31, 32, 34, 35, and Article 36 of this Decree.

Article 34. Time for calculating the retention period of accounting documents

Pursuant to Article 40 of the Accounting Law, the time for calculating the storage period of accounting documents is defined as follows:

1. The time for calculating the storage period for accounting documents specified in Article 30, Clause 1, Clause 2, and Clause 5 of Article 31, and Article 32 of this Decree shall be calculated from the end of the fiscal year.

2. The time for calculating the storage period for accounting documents specified in Clause 3 of Article 31 of this Decree shall be calculated from the date the final settlement report on investment capital of completed projects is approved.

3. The time for calculating the storage period for accounting documents specified in Clause 4 and audit documents specified in Clause 6 of Article 31 of this Decree shall be calculated from the completion date of the work.

Article 35. Destruction of accounting documents

Pursuant to Article 40 of the Accounting Law, the destruction of accounting documents is defined as follows:

1. Accounting documents that have exceeded the storage period as prescribed may be destroyed according to the decision of the legal representative of the accounting unit, except when there is a decision from a competent state agency.

2. Accounting documents stored by an accounting unit shall be destroyed by that accounting unit.

3. Depending on the specific conditions of each accounting unit, accounting documents may be destroyed using selected methods. For confidential accounting documents, destruction must be done by burning, cutting, or shredding with machines or manually, ensuring that the destroyed accounting documents cannot be reused for any information or data.

Article 36. Procedure for destroying accounting documents

Pursuant to Article 40 of the Accounting Law, the procedure for destroying accounting documents is defined as follows:

1. The legal representative of the accounting unit decides to establish a "Committee for Destroying Expired Accounting Documents." The committee consists of leadership of the unit, chief accountant, and representatives of the storage department.

2. The Committee for Destroying Expired Accounting Documents must conduct an inventory, evaluation, and classification of accounting documents by type, prepare a "List of Accounting Documents to be Destroyed" and a "Minutes of Destruction of Expired Accounting Documents."

3. The "Minutes of Destruction of Expired Accounting Documents" must be prepared immediately after the destruction of accounting documents and must clearly record the types of accounting documents destroyed, the storage period for each type, the method of destruction, conclusions, and signatures of all committee members.

Article 37. Appointment and removal of chief accountants

Pursuant to Clause 2 of Article 48 of the Accounting Law, the appointment and removal of chief accountants are defined as follows:

1. All accounting units specified in Clause 1 of Article 2 of this Decree must appoint a chief accountant, except for foreign enterprise representative offices operating in Vietnam, individual business households, and cooperatives specified in Point h and Point k of Clause 1 of Article 2 of this Decree, which are not required to appoint a chief accountant but may designate someone to oversee accounting.

2. When establishing an accounting unit, an accounting manager must be immediately assigned. In cases where there is no accounting manager, the competent authority must immediately assign a new accounting manager. If there is no person meeting the criteria and conditions for appointing an accounting manager, someone must be assigned to oversee accounting or hire an accounting manager. For state-owned enterprises, limited liability companies, joint-stock companies, foreign-invested enterprises, and cooperatives, they may only appoint an overseer of accounting for a maximum period of one fiscal year, after which an accounting manager must be assigned.

3. The assignment and removal of accounting managers shall be carried out in accordance with the provisions of the law applicable to each type of enterprise.

4. When changing the accounting manager, the legal representative of the accounting unit must organize the handover of work and accounting documents between the outgoing and incoming accounting managers, and simultaneously inform relevant departments within the unit and the bank where the transaction account is opened about the name and signature sample of the new accounting manager. The new accounting manager shall be responsible for their own work from the day they take over the handover. The outgoing accounting manager remains responsible for the accuracy, completeness, and objectivity of accounting information and documents during their tenure.

Article 38. Standards and Conditions for Accounting Managers

Based on Article 53 of the Accounting Law, the professional standards and conditions for accounting managers are stipulated as follows:

1. Persons appointed as accounting managers must meet the following criteria:

a) The accounting manager of an accounting unit specified in points a, b, c, and e of Clause 1, Article 2 of this Decree must have a major in accounting at the bachelor's level or higher and have at least two years of practical experience in accounting. In cases where the major is in accounting at the associate degree level, the practical experience in accounting must be at least three years;

b) The accounting manager of an accounting unit specified in points d, e, g, and i of Clause 1, Article 2 of this Decree must have a major in accounting at the intermediate level or higher and have at least three years of practical experience in accounting;

c) The accounting manager of an accounting unit with subordinate accounting units and the accounting manager of State-owned corporations must have a major in accounting at the bachelor's level or higher and have at least five years of practical experience in accounting.

2. Persons appointed as accounting managers must meet the following conditions:

a) Not belonging to the categories prohibited from engaging in accounting as stipulated in Article 51 of the Accounting Law;

b) Having attended training courses for accounting managers and obtained a certificate of training for accounting managers as prescribed by the Ministry of Finance.

Article 39. Hiring for Accounting and Accounting Manager Positions

Based on Clause 1, Article 56 of the Accounting Law, hiring for accounting and accounting manager positions is regulated as follows:

1. An accounting unit may hire an accounting service company or an individual registered to provide accounting services to perform accounting or serve as an accounting manager.

2. Individuals hired for accounting or accounting manager positions must ensure the professional standards prescribed in Articles 51, 55, 56, and 57 of the Accounting Law.

3. Individuals hired as accounting managers must meet the following conditions:

a) Possess a practice certificate in accounting as prescribed in Article 57 of the Accounting Law;

b) Possess a certificate of training for accounting managers as prescribed by the Ministry of Finance;

c) Be registered to provide accounting services or be registered to practice accounting in an accounting service company.

4. Individuals hired for accounting positions shall have the responsibilities and rights of accountants as prescribed in Clause 2 and Clause 3, Article 50 of the Accounting Law. Individuals hired as accounting managers shall have the responsibilities and rights of accounting managers as prescribed in Article 54 of the Accounting Law.

5. The legal representative of the accounting unit shall be responsible for hiring for accounting and accounting manager positions.

Article 40. Government Authority Issuing Practice Certificates in Accounting

Based on Article 57 of the Accounting Law, the government authority issuing practice certificates in accounting is stipulated as follows:

1. The Ministry of Finance has the authority to organize examinations and issue practice certificates in accounting or delegate such authority to accounting professional organizations to organize examinations and issue practice certificates in accounting.

2. The Ministry of Finance shall prescribe the training program, examination board, procedures, authority to issue and revoke practice certificates in accounting according to the Accounting Law and other related laws.

Article 41. Accounting Service Companies

Based on Article 55 of the Accounting Law, accounting service companies are stipulated as follows:

1. Accounting service companies can be established and operate under the law in one of three forms: Limited Liability Company, Partnership, and Private Enterprise. To establish an accounting service company, there must be at least two individuals holding a practice certificate in accounting, including one of the management personnel of the accounting service company who must hold a practice certificate in accounting as prescribed in Article 57 of the Accounting Law and Article 40 of this Decree.

2. The establishment, management, and operation of accounting service companies must comply with the law on enterprises and the provisions of this Decree.

3. Accounting service companies may register to provide accounting services as prescribed in Article 43 of this Decree.

4. During the course of operations, accounting service companies must ensure that at least one management personnel holds a practice certificate in accounting as prescribed in Article 57 of the Accounting Law and Article 40 of this Decree.

Article 42. Individuals Registering to Provide Accounting Services

Based on Article 55 of the Accounting Law, individuals registering to provide accounting services are stipulated as follows:

1. Individuals holding a practice certificate in accounting and meeting other conditions prescribed by law are permitted to register to provide accounting services according to the law on business registration and tax payment as sole proprietors and according to this Decree.

2. Individuals registering to provide accounting services must have an office and a business address.

Article 43. Content of Accounting Services

Pursuant to Article 55 of the Accounting Law, organizations and individuals registered for accounting service business shall perform the following accounting services:

1. Conducting accounting work;

2. Acting as chief accountants;

3. Establishing specific accounting systems for accounting units;

4. Providing and advising on the application of information technology in accounting;

5. Training accounting skills and updating accounting knowledge;

6. Financial consulting;

7. Tax declaration;

8. Other accounting services as prescribed by law.

Article 44. Responsibilities of organizations and individuals practicing accounting

Pursuant to Clause 5, Article 56 of the Accounting Law, organizations and individuals practicing accounting shall have the following responsibilities:

1. Performing accounting tasks related to the content agreed upon in the accounting service contract.

2. Adhering to laws on accounting and laws governing accounting professions.

3. Being responsible before clients and the law for the content of provided accounting services and must compensate for damages caused by themselves.

4. Continuously improving professional knowledge and experience, implementing annual knowledge update programs as prescribed by the Ministry of Finance or authorized professional organizations.

5. Complying with professional management and quality control of accounting services by the Ministry of Finance or authorized accounting professional organizations.

Article 45. Situations where accounting services shall not be provided

Pursuant to Article 55 of the Accounting Law, accounting service businesses and individuals registered for accounting service business shall not provide accounting services when persons responsible for managing and operating the accounting service business or individuals registered for accounting service business fall under the following circumstances:

1. Being parents, spouse, children, or full siblings of persons responsible for managing and operating, including chief accountants of accounting units specified in points a, b, c, e, g, i of Clause 1, Article 2 of this Decree.

2. Having economic or financial relations with clients.

3. Not having sufficient capability, expertise, or conditions to perform accounting services.

4. Currently serving as hired chief accountants for accounting units with economic or financial relations with clients.

5. The accounting unit has requests contrary to professional ethics or requirements for accounting and financial expertise.

6. Other situations as prescribed by law.

Article 46. Right to join accounting professional organizations

Pursuant to Article 58 of the Accounting Law, the right to join accounting professional organizations and accounting associations is stipulated as follows:

1. Accounting units, accountants, and accounting practitioners in accounting service enterprises or individual accounting practitioners have the right to join the Vietnam Association of Accountants. Accounting service enterprises and individual accounting practitioners must register their practice lists with the Vietnam Association of Accountants and be subject to the association's management regarding professional ethics and expertise according to the authorization of the Ministry of Finance.

2. The Ministry of Finance shall specify the registration and management of lists of enterprises and individuals practicing accounting.

Article 47. Effectiveness

1. This Decree shall take effect fifteen days after its publication in the Official Gazette.

2. Previous accounting regulations within activities that contravene this Decree shall cease to be effective from the date this Decree takes effect.

Article 48. Implementation

1. The Minister of Finance shall be responsible for guiding and organizing the implementation of this Decree.

2. Ministers, heads of ministerial-level agencies, heads of agencies under the Government, Chairpersons of People's Councils, and Chairpersons of People's Committees of provinces and centrally-administered cities shall be responsible for organizing the implementation of this Decree.