Circular No. 30/2024/TT-BTC Issuing Vietnamese Valuation Standards on Professional Ethics for Appraisers, Scope of Valuation Activities, Valuation Basis, and Valuation Reports

CIRCULAR

Issuing Vietnamese Valuation Standards on Professional Ethics for Valuers, Scope of Valuation Services, Valuation Bases, and Valuation Reports

Pursuant to the Price Law dated June 19, 2023;

Pursuant to Decree No. 14/2023/NĐ-CP dated April 20, 2023, issued by the Government, stipulating the functions, tasks, powers, and organizational structure of the Ministry of Finance;

At the proposal of the Director of the Price Management Department,

The Minister of Finance issues this Circular to promulgate Vietnamese Valuation Standards on Professional Ethics for Valuers, Scope of Valuation Services, Valuation Bases, and Valuation Reports.

Article 1. Attached to this Circular are the following Vietnamese Valuation Standards:

- Vietnamese Valuation Standard on Professional Ethics for Valuers;

- Vietnamese Valuation Standard on Scope of Valuation Services;

- Vietnamese Valuation Standard on Valuation Bases;

- Vietnamese Valuation Standard on Valuation Reports.

Article 2. Effective Date

1. This Circular takes effect from July 1, 2024.

2. Circular No. 158/2014/TT-BTC dated October 27, 2014, issued by the Minister of Finance, promulgating Vietnamese Valuation Standards Nos. 01, 02, 03, and 04, and Circular No. 28/2015/TT-BTC dated March 6, 2015, issued by the Minister of Finance, promulgating Vietnamese Valuation Standards Nos. 05, 06, and 07, shall be repealed from the date this Circular takes effect.

Article 3. Implementation Organization

1. Organizations and individuals related to this matter are responsible for implementing the Vietnamese Valuation Standards attached to this Circular.

2. In the course of implementation, if there are any difficulties, organizations and individuals are requested to promptly report them to the Ministry of Finance for study and resolution.

These Vietnamese Valuation Standards prescribe and guide real estate valuation when conducting valuation according to the laws on prices. These Vietnamese Valuation Standards do not apply to cases of land valuation according to the laws on land.
ON PROFESSIONAL ETHICS FOR VALUERS
(Attached to Circular No. 30/2024/TT-BTC dated May 16, 2024, issued by the Minister of Finance)

PART I

GENERAL PROVISIONS

Article 1. Scope of Regulation

These Vietnamese Valuation Standards stipulate and guide on professional ethics for valuers when conducting valuation activities as prescribed by laws on prices.

Article 2. Applicability

1. Developable real estate is land intended for construction or land with structures that can be renovated or demolished to construct buildings for optimal and most effective use.

2. The residual method is a valuation method that determines the value of developable real estate based on subtracting estimated reasonable development costs (including investor profit) from the estimated development value (total development revenue) to create such development (total development cost).

Chapter II

SPECIFIC PROVISIONS

Article 3. Professional Ethics for Valuers

Professional ethics for valuers include the following basic requirements: integrity; independence and objectivity; professional competence and due diligence; confidentiality; professional conduct.

Article 4. Integrity

1. A valuation officer or individual performing state valuation activities according to the laws on prices (hereinafter referred to as the person performing valuation activities) must be frank, honest, and not conceal information in work relationships and professional matters, and must not engage in self-interest from valuation activities.

2. The person performing valuation activities must not use false or unsupported information.

3. The person performing valuation activities must not omit information that, if missing, could lead to misunderstanding by users of the valuation report.

4. In case of discovering incorrect content related to the value of the asset being valued that has been issued, the person performing valuation activities shall have the following responsibilities:

a) For the provision of valuation services: notify the valuation company to inform the client in writing;

b) For state valuation activities: notify the competent authority or organization that established the valuation committee.

Article 5. Independence and Objectivity

1. The person conducting valuation activities and the valuation enterprise shall not be influenced by bias, conflicts of interest, or material or spiritual benefits affecting their professional judgments; they shall not negotiate or settle according to subjective will to distort the value of the property being appraised for improper gain.

2. In cases where independence and objectivity cannot be guaranteed, the valuation enterprise or the person conducting valuation activities must refuse to carry out the appraisal.

3. When regularly appraising the same asset, the person conducting valuation activities must take measures to ensure the objectivity and independence of the valuation activity.

Article 6. Professional Competence and Prudence

1. The person conducting valuation activities must have knowledge of the law, professional expertise, experience, and necessary practical skills to conduct valuations.

2. The person conducting valuation activities must possess professional competence and maintain such competence through continuous learning and updating of new knowledge on valuation as well as honing skills in conducting valuation activities.

3. The valuation enterprise must ensure that those assisting the valuation experts in professional valuation work are trained and have appropriate professional competence.

4. If the person conducting valuation activities assesses that they lack the necessary professional competence and experience to conduct a specific valuation, they must refuse to appraise.

5. The person conducting valuation activities must carefully review collected data and consider before conducting a valuation.

Article 7. Confidentiality of Information

1. The person conducting valuation activities, the valuation enterprise, or the valuation board shall not disclose information about the valuation requested by organizations or individuals if it is required to be kept confidential or prohibited by law. After completing the valuation, confidentiality requirements must still be adhered to.

2. The person conducting valuation activities may use information about the property being appraised as a basis for collecting market information.

3. The person conducting valuation activities, the valuation enterprise, or the valuation board shall not use information requested to be kept confidential by clients for the benefit of the person conducting valuation activities, the valuation enterprise, or third parties.

4. The valuation enterprise and the valuation board must take measures to prevent participants in the valuation process and consulting experts from disclosing confidential information about the valuation.

5. The person conducting valuation activities may use their work experience to demonstrate their competence when changing workplaces or seeking new clients, but must still comply with the provisions of Clause 1 of this Article.

Article 8. Professional Conduct

1. Individuals conducting valuation activities, valuation enterprises, and valuation boards must ensure that valuations comply with the provisions of the valuation standards system, laws on valuation, and other relevant legal regulations.

2. Individuals conducting valuation activities, valuation enterprises, and valuation boards must demonstrate responsibility towards individuals and organizations requesting valuations, as well as public interests. Professional opinions must consider wide-ranging impacts (if any) on third parties.

These Vietnamese Valuation Standards prescribe and guide real estate valuation when conducting valuation according to the laws on prices. These Vietnamese Valuation Standards do not apply to cases of land valuation according to the laws on land.

ON THE SCOPE OF VALUATION WORK
(Attached to Circular No. 30/2024/TT-BTC dated May 16, 2024, issued by the Minister of Finance)

PART I

GENERAL PROVISIONS

Article 1. Scope of Regulation

These Vietnamese Valuation Standards specify the scope of work that must be carried out when conducting valuations as prescribed by the Law on Prices.

Article 2. Applicability

1. Developable real estate is land intended for construction or land with structures that can be renovated or demolished to construct buildings for optimal and most effective use.

2. The residual method is a valuation method that determines the value of developable real estate based on subtracting estimated reasonable development costs (including investor profit) from the estimated development value (total development revenue) to create such development (total development cost).

Article 4. Approaches and Methods of Real Estate Valuation

Chapter II

SPECIFIC PROVISIONS

Article 3. Scope of Valuation Work Content

1. Individuals conducting valuation activities may discuss with the party requesting the valuation regarding matters related to the valuation process but must ensure not to violate prohibited acts in the field of prices and valuations as stipulated in Article 7 of the Law on Prices.

2. Preparation of a Valuation Plan

a) Individuals conducting valuation activities have the right to prepare or not prepare a valuation plan and are responsible for their decision;

b) The contents of the valuation plan include the following basic elements: Names of those participating in the valuation; Anticipated tasks to be performed and timeframes; Contents of tasks requiring consulting experts (if any).

3. Collection of information about the asset being valued and information serving the valuation process; implementation of analysis of information serving the valuation process according to the Vietnamese Valuation Standards on the collection and analysis of information about assets being valued.

4. Based on the characteristics of the asset being valued and the collected information, select and apply appropriate valuation methods according to the Vietnamese Valuation Standards.

5. Determine the value of the asset being valued.

6. Prepare and issue a valuation report, valuation certificate for the provision of valuation services by a valuation enterprise; prepare a valuation report, notify the results of the valuation for state valuation activities.

Prior to issuing a valuation certificate, valuation report for the provision of valuation services by a valuation enterprise or a valuation report, notify the results of the valuation for state valuation activities:

a) Matters to be discussed and agreed upon with the party requesting the valuation include: Name, basic economic and technical characteristics, current status of the asset being valued; purpose of the valuation; valuation date; party using the valuation certificate, valuation report or party using the notification of valuation results, valuation report; assumptions (if any), special assumptions (if any); documents and materials that the party requesting the valuation needs to provide;

b) Matters to be notified to the party requesting the valuation include: Basis for the valuation value; limitations and exclusions of liability.

Article 4. Requirements for Applying the Appraisal Method

1. Based on the approaches to appraisal methods stipulated in the Vietnamese Appraisal Standards issued by the Ministry of Finance, the appraiser analyzes and selects appropriate appraisal methods that are suitable for the purpose of the appraisal, the asset's value basis, the availability of data and information to apply these methods, and comply with relevant legal provisions (if applicable).

2. At least two (2) appraisal methods must be applied when conducting an asset appraisal, except in the following cases:

a) When it is possible to apply the comparative method as prescribed in the Vietnamese Appraisal Standard on the Market Approach;

b) When appraising intangible assets as prescribed in the Vietnamese Appraisal Standard on Intangible Asset Appraisal;

c) When there is insufficient information to apply two (2) or more appraisal methods. In this case, there must be an analysis and argument explaining why there is insufficient information to apply two (2) or more appraisal methods.

3. When applying two or more appraisal methods, the determination of the appraised asset's value shall be carried out as follows:

a) Determine the value of the appraised asset according to each appraisal method;

b) Argue about the selection or assessment of the appraised asset's value based on the purpose of the appraisal, characteristics of the appraised asset, the basis of the appraisal value, collected information, and other factors related to the value of the appraised asset./.

These Vietnamese Valuation Standards prescribe and guide real estate valuation when conducting valuation according to the laws on prices. These Vietnamese Valuation Standards do not apply to cases of land valuation according to the laws on land.

ON THE BASIS OF APPRAISAL VALUE
(Attached to Circular No. 30/2024/TT-BTC dated May 16, 2024, issued by the Minister of Finance)

PART I

GENERAL PROVISIONS

Article 1. Scope of Regulation

This Vietnamese Appraisal Standard specifies and guides on the basis of value in appraisals conducted in accordance with the law on price.

Article 2. Applicability

1. Developable real estate is land intended for construction or land with structures that can be renovated or demolished to construct buildings for optimal and most effective use.

2. The residual method is a valuation method that determines the value of developable real estate based on subtracting estimated reasonable development costs (including investor profit) from the estimated development value (total development revenue) to create such development (total development cost).

Article 4. Approaches and Methods of Real Estate Valuation

Article 3. Explanation of Terms

In this Vietnamese Appraisal Standard, the following terms are understood as follows:

1. Estimated amount of money is the price that can be paid for the asset or to transfer the payable debt in an independent, objective transaction.

2. Willing buyer is a person who has a reason to buy but is not compelled to buy, is not overly eager, and does not insist on buying at any price.

3. Willing tenant is a person who has a reason to rent but is not compelled to rent, is not overly eager, and does not insist on renting at any price.

4. Willing seller is a person who has a need to sell but is not overly eager, is not compelled to sell at any price, nor demands an unreasonable price compared to market conditions at the time of appraisal.

5. Willing lessor is a person who has a need to lease but is not overly eager, is not compelled to lease at any price, nor demands an unreasonable rental fee compared to market conditions at the time of appraisal.

6. Objective, independent transaction is a transaction between parties without a special relationship that would cause the transaction price to not accurately reflect the market characteristics at the time of appraisal. Transactions reflecting market value are usually between unrelated parties operating independently from each other.

7. After adequate marketing is understood as the asset being put on the market in the most appropriate manner to achieve the best possible price reasonably according to the definition of market value. The sale method (putting on the market) is considered the most appropriate when achieving the best price on the market that the seller can access. The sales period (time on the market) is not a fixed period but varies depending on the type of asset and market conditions. The sole criterion is that there must be sufficient time for the asset to attract the attention of a suitable number of market participants. The sales period occurs before the appraisal date.

8. Parties act with knowledge and caution is understood as both the seller and buyer receiving full and reasonable information about the nature and characteristics of the asset, its actual and potential use, and the state of the market at the time of appraisal. Each party uses their knowledge carefully to seek the most favorable price for themselves when conducting transactions. Caution is assessed through the relationship with market trends at the time of appraisal. When there is a change in asset prices, both cautious buyers and sellers base their purchase and sale decisions on the best available market information at that time.

9. Not compelled is understood as the parties involved in the transaction having motivation to complete the transaction but are not forced to do so.

10. Benefits from real estate rights are rights or interests attached to real estate such as ownership rights, control rights, usage rights, leasing rights, subleasing rights, rights over adjacent real estate,...

11. Contractual rental value is the rental payment required under the terms of a real lease agreement. Rental payments under a contract may remain fixed throughout the lease period or may vary according to the terms of the contract.

Chapter II

SPECIFIC PROVISIONS

Article 4. Basis for Value

1. The basis for value includes but is not limited to the following types of basis for value: Market value, Market rental value, Investment value, Forced sale value, Equitable value. The reasonable basis for value is prescribed in Vietnamese law on financial statement preparation and guided by International Financial Reporting Standards.

2. The basis for value plays a foundational role in appraisal activities. The basis for value may influence the selection of appraisal methods, the application of input information, assumptions, and perspectives on the value of assets.

3. Determining the basis for value is based on the purpose of the appraisal and the situation (actual or anticipated) of the transaction occurring. The person conducting the appraisal activity needs to exchange with the organization or individual requesting the appraisal to determine the appropriate basis for value in accordance with the purpose of the appraisal.

4. The nature and source of information inputs for the appraisal process must be consistent with the selected basis for value.

Article 5. Market Value

1. Market value is the estimated amount of money that an asset can be traded at the time of appraisal between a willing buyer and a willing seller in an objective, independent transaction after adequate marketing and both parties act with knowledge, caution, and without coercion.

2. Market value reflects a reasonable price that can be achieved on a market at the time of appraisal and is consistent with the concept of market value. This is an estimated price and not a predetermined amount or actual selling price.

3. The value of the asset must be tied to the date of the appraisal, which is a specific date determined due to market conditions that may change over time, leading to the estimated appraised value being unsuitable at other times than the appraisal date.

4. Market value is estimated in an open and competitive market where market participants are free to decide their buying and selling behavior. The market here may be an international market or a domestic market. The market may include many buyers and sellers, or it may be a market with a limited number of participants.

Article 6. Market Rental Value

1. Market rental value is the estimated amount of money to lease an interest from real estate at the location and time of appraisal between a willing lessor and a willing lessee under suitable lease terms in an objective, independent transaction after adequate marketing and both parties act with knowledge, caution, and without coercion.

2. Market rental value can be used as a basis for value in the appraisal when appraising a lease contract or an interest created by a lease contract. In this case, differences between contractual rent and market rental value must be considered and evaluated.

3. To calculate market rental value, the appraiser must consider the following factors:

a) In determining the rental value of an actual lease contract, the terms and conditions of the contract must be lease terms in compliance with legal provisions;

b) In determining the rental value not belonging to an actual lease contract, the hypothetical terms and conditions of this hypothetical lease contract must be accepted by the market for each type of real estate between market participants on the appraisal date.

Article 7. Investment Value

1. Investment value is the estimated amount of money at the time of valuation for a specific asset to a particular owner or potential owner for a specific investment activity or specific operational purposes.

2. Investment value is a specialized basis of value for a specific object. This basis of value reflects the benefits that this owner receives from holding the asset. The investment value often reflects the situations and financial goals of the specific object towards which the valuation is directed. Investment value is also commonly used to measure investment efficiency.

Article 8. Forced Sale Value

1. Forced sale value reflects the value of the asset at the time of valuation in the case where the seller is compelled to sell the asset within a limited period, leading to insufficient marketing efforts and the buyer not being able to fully examine various aspects related to the asset. A forced sale situation is when the transaction is expected to occur.

2. The price that can be achieved in a forced sale transaction depends on the nature of the seller's pressure to sell and the reasons why full marketing cannot be carried out. Determining the forced sale value can only be done with reasonable assumptions about the consequences of difficulty or inability to sell within a certain period due to restrictions imposed by the seller.

Article 9. Equal Value

1. Equal value is the estimated price for the transfer of an asset between two specifically identified, knowledgeable, and willing parties at the location and time of valuation; this price reflects the corresponding interests of both parties.

2. Equal value requires assessing a reasonable price between two specific parties, taking into account the respective advantages and disadvantages each party will gain from carrying out the transaction.

Article 10. Assumptions and Special Assumptions

1. When determining the valuation basis, assumptions and special assumptions may be made to clarify the state of the asset in the hypothetical transaction or the situation in which the asset is assumed to be traded.

2. The assumptions and special assumptions proposed must be reasonable and appropriate for the purpose of the valuation.

3. Assumptions may be made regarding information that is still limited and uncertain, affecting the valuation of the asset if such limitations cannot be overcome.

Information limitations include limitations on the legal documentation of the asset to be valued, limitations on the characteristics of the asset to be valued, or other information limitations due to difficulties in collecting information.

4. Special assumptions are assumptions about the condition of the asset different from the actual condition at the time of valuation, however, these assumptions need to be applied to align with the valuation purpose requested by the organization or individual requesting the valuation.

5. Special assumptions must be communicated to the organization or individual requesting the valuation and must have written agreement from the organization or individual requesting the valuation, while ensuring compliance with relevant legal provisions.

6. If conducting a valuation based on a special assumption makes the valuation unfeasible, then such a special assumption should also be eliminated.

These Vietnamese Valuation Standards prescribe and guide real estate valuation when conducting valuation according to the laws on prices. These Vietnamese Valuation Standards do not apply to cases of land valuation according to the laws on land.

ON THE VALUATION REPORT
(Attached to Circular No. 30/2024/TT-BTC dated May 16, 2024, issued by the Minister of Finance)

PART I

GENERAL PROVISIONS

Article 1. Scope of Regulation

This Vietnamese Valuation Standard specifies and guides on the valuation report, valuation certificate, notification of valuation results, and valuation file when conducting valuations according to the legal regulations on prices.

Article 2. Applicability

1. Developable real estate is land intended for construction or land with structures that can be renovated or demolished to construct buildings for optimal and most effective use.

2. Organizations and individuals performing state valuation activities according to legal regulations on prices shall apply the provisions of Articles 3, 4, 8, 9, and 10 of this Vietnamese Valuation Standard.

Article 4. Approaches and Methods of Real Estate Valuation

Chapter II

VALUATION REPORT

Article 3. Appraisal Report

1. The Appraisal Report must provide explanatory information, arguments, and analysis regarding the determination of the value of the appraised asset.

2. Information and data in the Appraisal Report need to be referenced to specific sources.

3. The Appraisal Report may be issued in electronic form with an electronic signature in accordance with the laws on electronic signatures based on the appraisal service contract or the appraisal request.

Article 4. Basic Content of the Appraisal Report

The Appraisal Report includes the following basic contents:

1. Basic information about individuals or organizations preparing the Appraisal Report

a) For the provision of appraisal service activities:

- Name and address of the appraisal company or branch of the appraisal company;

- Business registration certificate number for the conditions to operate appraisal services and the notification number from the Ministry of Finance regarding the company's eligibility to operate appraisal services;

- Name of the appraiser conducting the appraisal activity and the appraiser identification card number;

- Legal representative of the appraisal company, head of the appraisal company branch, or authorized manager signing the appraisal certification and reviewing/approving the Appraisal Report.

b) State appraisal activities:

- Name and address of the unit establishing the appraisal board;

- Full name, position, and workplace of members of the appraisal board.

2. Basic information about the scope of the appraisal:

a) Information about the individual or organization requesting the appraisal;

b) Name of the appraised asset;

c) Purpose of the appraisal;

d) Basis for the appraisal value:

d) Appraisal date;

e) Location of the appraised asset;

g) Date and/or period of asset survey during the appraisal process;

h) Sources of information used during the appraisal process and the review and evaluation of collected information;

i) Legal basis for the appraisal and the appraised asset to conduct the appraisal (if applicable), such as the appraisal contract, appraisal request document;

k) Date of the Appraisal Report.

3. Information about the appraised asset according to the Vietnamese Appraisal Standards on Collecting and Analyzing Information about the Appraised Asset.

4. General information about the market transaction of the group (type) of appraised assets.

5. Assumptions and special assumptions (if any). In cases where assumptions and special assumptions need to be made, the person conducting the appraisal activity must clearly explain this content in the Appraisal Report.

6. Application of approaches and methods of appraisal.

7. Value of the appraised asset.

8. Validity period of the Appraisal Report: Determined according to the validity period of the Appraisal Certificate.

9. Exclusion clauses and limitations:

a) The person conducting the appraisal activity bases on the appraisal contract or the appraisal request/proposal, characteristics of the appraised asset, context of the appraisal activity, purpose of the appraisal, appraisal value basis to consider and propose appropriate exclusion clauses and limitations;

b) Exclusion clauses and limitations may include binding conditions on work, limits on the scope of work, and other restrictive conditions, for example: unclear legal status of the asset, restrictions on information/data collection;

c) The person conducting the appraisal activity needs to evaluate the impact of these limitations; at the same time, propose ways to handle (if any) these limitations during the appraisal process.

10. Signature on the Appraisal Report:

a) For the Appraisal Report of an appraisal company, it must have:

- Full name, appraiser identification card number, and signature of the appraiser responsible for conducting the appraisal;

- Full name, appraiser identification card number, and signature of the legal representative of the appraisal company, or authorized manager signing the Appraisal Certificate and reviewing/approving the Appraisal Report.

- Full name, appraiser identification card number, and signature of the head of the appraisal company branch for the issuance of the Appraisal Certificate at the appraisal company branch.

b) For the Appraisal Report prepared by the state appraisal board under the Price Law regulations, it must have the full name and signature of the appraisal board member participating in preparing the Appraisal Report.

11. Attached annexes (if any).

Chapter III

APPRAISAL CERTIFICATE

Article 5. Appraisal Report

1. The Appraisal Report must be accompanied by an appraisal report.

2. The Appraisal Report may be issued in electronic form with an electronic signature in accordance with the provisions of the Law on Electronic Transactions based on the appraisal contract or the appraisal request.

3. The model of the Appraisal Report is prescribed at Appendix I attached to this Vietnamese Appraisal Standard. The number of the Appraisal Report shall be numbered according to the principle: Enterprise Code/Year of issuance of the Appraisal Report/Sequential number of the Appraisal Report issued by the enterprise in that year. For example, the number of the sixth Appraisal Report issued by the appraisal enterprise with code 001/TDG in 2023 is: 001/2023/6.Article 6. Basic Content of the Appraisal Report

The Appraisal Report includes the following basic contents:

1. Number of the appraisal contract and/or the appraisal request/proposal.

2. Name and address of the appraisal enterprise, or branch of the appraisal enterprise.

3. Information about the appraisal client.

4. Main information about the appraised asset (name and type of asset, basic legal and economic-technical characteristics).

5. Purpose of the appraisal.

6. Date of the appraisal.

7. Basis for the appraisal value.

8. Assumptions and special assumptions (if any).

9. Name of the approach and name of the appraisal method.

10. Exclusion and limitation clauses of the appraisal result.

11. Value of the appraised asset.

12. Full name, appraisal practitioner identification number, and signature of the appraisal practitioner responsible for conducting the appraisal who has signed the appraisal report.

13. Full name, appraisal practitioner identification number, signature of the legal representative of the enterprise or the enterprise manager authorized by the legal representative of the enterprise, and seal of the appraisal enterprise when issuing the report at the appraisal enterprise. Full name, appraisal practitioner identification number, signature of the head of the appraisal enterprise branch and seal of the appraisal enterprise branch when issuing the report at the appraisal enterprise branch.

14. Validity period of the Appraisal Report.

Article 7. Effectiveness of the Appraisal Report

1. The effective date of the Appraisal Report is the day, month, and year of issuance of the Appraisal Report.

2. The validity period of the Appraisal Report is determined based on the legal, economic-technical characteristics of the appraised asset; changes in legal and market conditions related to the appraised asset and the purpose of the appraisal, but not exceeding six months from the date of issuance of the Appraisal Report.

ANNOUNCEMENT OF THE APPRAISAL RESULT

Chapter IV

Article 8. Announcement of the Appraisal Result

1. The announcement of the Appraisal Result must be accompanied by an appraisal report.

2. The announcement of the Appraisal Result may be issued in electronic form with an electronic signature in accordance with the provisions of the Law on Electronic Transactions based on the appraisal request.

3. The model of the announcement of the Appraisal Result is prescribed at Appendix II attached to this Vietnamese Appraisal Standard.

Article 3. The form of the notification of the appraisal result is specified in Appendix II attached to this Vietnamese Appraisal Standard.

Article 9. Basic contents of the notification of the valuation review results

The notification of the valuation review results shall include the following basic contents:

1. The number of the decision to establish the valuation review board.

2. Main information about the asset being valued (name and type of asset, basic legal and economic-technical characteristics).

3. Purpose of the valuation.

4. Valuation date.

5. Basis for the valuation value.

6. Assumptions and special assumptions (if any).

7. Name of the approach and name of the valuation method.

8. Exclusion clauses and limitations.

9. Value of the asset being valued.

10. Validity period of the notification of the valuation review results.

11. Names and signatures of members of the valuation review board who signed the valuation report and the seal of the organization that established the valuation review board.

Article 10. Effectiveness of the notification of the valuation review results

1. The effective date of the notification of the valuation review results is the day, month, and year of issuance of the notification of the valuation review results.

2. The validity period of the notification of the valuation review results is determined based on the legal and economic-technical characteristics of the asset being valued; legal and market changes related to the asset being valued and the purpose of the valuation, but not exceeding six months from the date of issuance of the notification of the valuation review results.

Chapter V

VALUATION REVIEW FILE

Article 11. Valuation Review File

1. The person conducting the valuation activity is responsible for establishing the valuation review file to prove that the valuation process has been carried out in accordance with the Vietnamese Valuation Standards.

2. The valuation review file includes all necessary information and documents serving the valuation process of the asset to form the final valuation result. Documents in the valuation review file must be classified, arranged in order, and presented on paper, film, or other media according to current laws. The components of each valuation review file may differ depending on the purpose of the valuation and the type of asset to be valued.

3. The valuation review file is exploited and used in accordance with the law on prices and the law on archives. Exploitation of the valuation review file must ensure confidentiality as prescribed by law.

Article 12. Archiving of the Valuation Review File

1. The valuation review file is archived on paper and/or electronic data, with a minimum retention period of ten years from the date of issuance of the valuation certificate at the valuation company or branch issuing the valuation certificate.

2. The valuation review file to be archived must include:

a) Original valuation report;

b) Original valuation certificate;

c) Original or certified true copy of the valuation contract and minutes of the contract termination (if any), or original request/proposal for valuation (if any);

d) Information and documents about the asset being valued (or enterprise to be valued when determining enterprise value), comparative assets (if using comparative assets);

d) Report of the expert invited to provide professional opinions (if any);

e) Minutes of surveys, collected information to form the valuation result; photographs, other necessary documents and information (if any);

g) Analysis and evaluation documents of the valuer (if any).

3. The valuation company must take measures to maintain the confidentiality, security, integrity, accessibility, and recoverability of the valuation review file during the retention period. For valuation review files that have exceeded the retention period, they will be destroyed in accordance with the provisions of the law./.

Appendix I

SAMPLE OF THE VALUATION CERTIFICATE
(Attached to the Vietnamese Valuation Standards on the Valuation Review File)

APPRAISAL CERTIFICATE

Dear: ...Appraisal client and third party using the appraisal report (if any) as agreed in the signed appraisal contract >....

Based on the Appraisal Contract No. .... dated .../.../.... signed betweenthe appraisal company/branch of the appraisal company issuing the Valuation Certificate> and/or the request/proposal for appraisal No. ... dated .../.../..... ofthe appraisal client>;

Other basis (if any),

<The appraisal company/branch of the appraisal company issuing the Valuation Certificate> provides this Valuation Certificate with the following contents:

1. Appraisal Client

- Full name in Vietnamese (for organizations/persons): ...

- Head office address (for organizations)/Permanent residence address (for individuals): ...

- Phone number: ...

- Legal representative (for organizations): ... <Name, ID number, and date of issue>….

2. Information about the appraisal company or branch of the appraisal company

3. Information about the asset being appraised

Name and type of asset, legal and technical characteristics of the asset being appraised.

4. Appraisal date

5. Purpose of the appraisal

6. Basis for the appraisal value

7. Assumptions and special assumptions (if any)

8. Name of the approach and name of the appraisal method

9. Value of the asset being appraised

10. Validity period of the Valuation Certificate

11. Exclusion clauses and limitations of the appraisal result

The Valuation Certificate is issued ... original copies in Vietnamese (in case the Valuation Certificate is issued in two or more languages) at ...The Appraisal Company/Branch of the Appraisal Company issuing the Valuation Certificate>... <The Appraisal Company/Branch of the Appraisal Company issuing the Valuation Certificate> retains ... copies, the appraisal client retains a copy, the third party (if any as agreed in the relevant signed appraisal contract) retains ... copies - having equal value.

Seal Registration Certificate

SAMPLE NOTICE OF APPRAISAL RESULT
(Attached to the Vietnamese Valuation Standards on the Valuation Review File)

Article 8. Announcement of the Appraisal Result

Respectfully submitted to: ...

Based on the Decision to establish the Appraisal Board No.…… dated ….. of …;

Based on the Minutes of the Appraisal Board meeting No.….. dated …..;

Other bases (if any),

The Appraisal Board hereby notifies the appraisal result with the following contents:

1. Assets being appraised (main information about the asset: legal and technical characteristics):

2. Appraisal date:

3. Purpose of the appraisal:

4. Basis for the appraisal value:

5. Assumptions and special assumptions (if any):

6. Name of approach, name of appraisal method:

7. Value of the appraised asset:

8. Validity period of the notice of the appraisal result:

9. Exclusion clauses and limitations.