How will violations against regulations on conditions for provision of transboundary audit services be penalized?

Pursuant to Article 62, Decree 41/2018/ND-CP, violations against regulations on conditions for provision of transboundary audit services shall be penalized as follows:

1. A fine ranging from VND 10.000.000 to VND 20.000.000 shall be imposed on the foreign auditing firms tampering with documents to obtain the certificate of eligibility to provide transboundary auditing services in Vietnam.

2. A fine ranging from VND 40.000.000 to VND 50.000.000 shall be imposed on the foreign auditing firm committing one of the following violations:

a) Forging application documents for provision of transboundary audit services registration;

b) Providing transboundary audit services in Vietnam without a certificate of eligibility to provide transboundary audit services in Vietnam;

c) Continuing to provide transboundary audit services despite the provision of audit services being put on hold, suspended or terminated, or the certificate of eligibility to provide transboundary audit services in Vietnam being revoked.

3. Additional penalty:

The foreign auditing firm committing any of the violations mentioned in Points b, c, Clause 2 of this Article shall have its certificate of eligibility to provide transboundary audit services in Vietnam suspended (if already issued) for 3-6 months from the day the decision on penalty imposition comes into effect.

4. Remedial Measure:

Return illegal profits earned by the violations specified in Points b, c, Clause 2 of this Article.

As an established company in the field of tax and legal consulting, Vinasc hopes to adequately inform our customers to help them mitigate the risk during operation in Vietnam. Should there be any further concern, please contact Vinasc’s Customer Care department for timely support.