What do newly established accounting companies need to do?

The first 10 tasks accountants need to do for newly established businesses: 

After the Enterprise receives the business registration license, the accountant needs to do the following:

1/ CARD TAX DECLARATION:

– If a newly established company has no production or business activities: The deadline for submitting the declaration and license tax is 30 days from the date of issuance of the business registration license.
– If a newly established company has production and business activities: No later than the last day of the month of establishment according to the business registration license.

– Businesses established in the first 6 months of the year: Must pay license tax for the whole year
– Businesses established in the last 6 months of the year (from July 1 to the end of the year): Will pay License Tax: 1/2 year
Attention: Submit your license tax declaration and pay your license tax as well.

2/ VAT DECLARATION:

Newly established businesses then declare VAT Quarterly and declare accordingly direct method.

– After operating for 12 months, based on the revenue of the preceding calendar year (full 12 months) to determine whether to declare VAT monthly or quarterly:
– If > 50 billion, declare monthly. If < 50 billion, declare quarterly

For example:
– The company started production and business operations in January 2015, and in 2015 it declared VAT quarterly. Then, based on the revenue of 2015 (full 12 months of the calendar year) to determine whether to declare VAT monthly or quarterly for 2016.
– But if the Company starts production and business activities from August 2014, then in 2014 and 2015, VAT declaration will be quarterly. Then, based on 2015's revenue, determine whether to declare VAT monthly or quarterly for 2016.

If a newly established enterprise wants to declare using the deduction method:
– Must have a business location lease contract or input invoice for purchasing fixed assets, machinery, equipment, tools, and instruments.
– And submit form 06/GTGT -> Deadline for submitting form 06/GTGT

(According to Circular 119/2014/TT-BTC and Circular 156/2013/TT-BTC)

3/ CIT TAX DECLARATION:

– Every quarter you will have to self-calculate the provisional tax payable quarterly, the tax rate is 20%. (No need to submit provisional CIT declaration)

– Deadline for paying provisional CIT quarterly: No later than the 30th day of the following quarter. (Specifically: April 30, July 30, October 30, January 30)

4/ PERSONAL PIT TAX DECLARATION:

– Newly established businesses declare VAT quarterly -> So personal income tax must also be declared quarterly

5/ INVOICE:

a. If your business has just been established eligible to post Sign VAT declaration accordingly PP DEDUCTIBLE and has been accepted by the tax authority:

– Proceed to order printing of VAT invoices.
– Then make an invoice issuance notice: At least five (05) days before the enterprise starts using the invoice and within ten (10) days from the date of signing the issuance notice.

b. If your business declares VAT accordingly DIRECT PP:
- You must carry out procedures to buy sales invoices directly at the tax office. (This is a sales invoice, not a VAT invoice).

Attention: Newly established businesses MUST lPrepare a quarterly report on invoice usage using form BC26/AC.

– The latest deadline is the 30th of the first month of the following quarter.

6/ BANK ACCOUNT:

– According to Circular 78/2014/TT-BTC dated June 18, 2014 of the Ministry of Finance: So what are the input bills?Value > 20 million must be transferred, then VAT can be deducted and recorded as a reasonable expense when calculating corporate income tax.

=> So businesses must have a new bank account to transact with customers.
– Within 10 days from the date of opening the account, the bank account number must be notified to the Department of Planning and Investment (Business Registration Office) according to Sample Appendix ii-1

Download: Appendix ii-1

7/ LABOR AND SOCIAL INSURANCE:

– When signing a labor contract > 3 months with staff. Then DN must pay insurance Required for employees.
– Must make a salary scale to submit to the Department of Labor, Invalids and Social Affairs, see more: How to build a salary scale

– Next, complete the procedure to participate in social insurance, if any. See more: Procedures for registering to participate in social insurance

8/ TABLE OF RATINGS OF MATERIALS

– If you are a manufacturing enterprise, you must prepare: A table of raw material norms for all of the enterprise's products.
– Enterprises build and manage their own consumption norms for raw materials, materials, fuel, energy, and goods used in production and business. This norm is established at the beginning of the year or the beginning of the product production period and stored at the enterprise.

9/ METHOD OF DEPRECIATION OF FIXED ASSETS:

– If your business purchases or constructs fixed assets, it must register with the tax authority for depreciation.

– Next you have to calculate depreciation of fixed assets.

10. OTHER PROCEDURES:

– Register to apply accounting regime (according to Circular 133 or Circular 200)
- Accounting form.
– Inventory method..
Attention: Depending on the tax authority, some places will force you to pay, some places will not force you to pay.