Intangible fixed assets being the right to use land for a definite term

Intangible fixed assets being the right to use land for a definite term

Set-up-company-in-vietnam-Vinasc128. The historical cost of an intangible fixed asset is the right to use land for a definite term when the land is allocated or the payment made when receiving the land use right lawfully transferred from other persons, or the land use right value contributed to joint-venture capital.

29. Where the land use right is transferred together with the purchase of houses and/or architectural objects on the land, the value of houses and/or architectural objects must be determined separately and recognized as tangible fixed assets.

Intangible fixed assets allocated by the state or donated or presented

30. The historical cost of an intangible fixed asset which is allocated by the State, donated or presented, is determined according to the initial reasonable value plus (+) the expenses directly related to the putting of the assets into use as planned.

Intangible fixed assets purchased in the form of exchange

31. The historical cost of an intangible fixed asset purchased in the form of exchange for a dissimilar intangible or another asset is determined according to the reasonable value of the received intangible fixed asset or equal to the reasonable value of the exchanged asset, after adjusting the cash amounts or cash equivalents additionally received or paid.

32. The historical cost of an intangible fixed asset purchased in the form of exchange for a similar intangible fixed one, or possibly formed through its sale in exchange for the right to own a similar assets (similar asset are those with similar utilities, in the same business field and of equivalent value). In both cases, no profit or loss is recognized in the exchange process. The historical cost of the received intangible fixed asset is equal to the residual value of the exchanged intangible fixed asset.