What are the general accounting treatments on tax year in Vietnam?
The current corporate income tax regulations provide that the basis period for the tax year can be either the calendar or fiscal year. The maximum length for a single tax year is 15 months; any period of time that is more than 15 months should be separated into a second tax year.
For example, if the first year’s operation begins on August 1, and the company uses a calendar year for reporting, then they should have two separate tax years: the first being from August 1 to December 31, and the second from January 1 to December 31 of the following year.
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