The IFRS audit services are intended to support businesses applying IFRS and their subsidiaries operating in Vietnam who need to provide IFRS reports to their overseas parent companies. Financial statements in each country are prepared and presented according to a specific standard. After various accounting scandals and financial crises, the accounting standard system has been revised to enhance transparency in accounting standards. Currently, the majority of countries are moving towards the adoption of a common global accounting standard such as the International Financial Reporting Standards (IFRS).
IFRS is an international set of accounting standards developed and maintained by the International Accounting Standards Board (IASB). Applying IFRS in the preparation of financial reports for businesses enhances transparency, comparability, and consistency among enterprises in the global market.
Implementing IFRS in Vietnam
IFRS audit services in Vietnam are becoming increasingly popular and important, especially for international businesses operating in Vietnam or planning to list on international stock exchanges.
From 2025, listed companies in Vietnam are required to apply IFRS to enhance comparability and transparency of financial statements. Meanwhile, all businesses in Vietnam will be required to apply Vietnamese Financial Reporting Standards (VFRS). VFRS is a financial reporting standard system built on the basis of IFRS and adapted to the economic conditions and management requirements of Vietnam.
The demand for access to international capital markets of Vietnamese enterprises is increasing. Financial reporting according to IFRS standards is an important criterion to achieve this goal.
Implementing audit services according to IFRS is always challenging because it is a complex system of standards and is updated regularly. Enterprises applying IFRS will enhance the transparency, comprehensiveness and timeliness of financial reporting information. In addition, it also shows the long-term vision of the business, improving its reputation and increasing competitiveness in the market.
The content of IFRS audit services
Assessment and verification of IFRS compliance
Vinasc will examine and assess the level of compliance with IFRS of financial reports and accounting procedures of the company. This includes examining and evaluating accounting policies, classifications, valuations, and explanations of financial items according to IFRS.
Preparing financial reports according to IFRS
Assisting businesses in preparing financial reports according to IFRS. This encompasses processing, analyzing, and reporting financial information in line with the requirements and regulations of IFRS. The tasks include:
- Identifying items and transactions with differing application between IFRS and VFRS.
- Measuring and assessing specific differences between IFRS and VFRS.
- Raising adjusting journal entries to transition financial data from VFRS to IFRS.
- Reviewing, cross-referencing, and verifying the balance and coherence of the adjusted IFRS reports.
- Modifying and supplementing explanatory information in the financial reports as per IFRS regulations.
Conducting an overall review to ensure the accuracy and reasonableness of the presented financial information, guaranteeing compliance with IFRS requirements.
Consulting and support for IFRS
Providing consultation and assistance to businesses regarding matters related to IFRS, such as implementing new standards, clarifying and understanding IFRS regulations, and resolving complex accounting issues related to IFRS.
With a team of experienced specialists in various fields, Vinasc will assist businesses in carrying out practical support to ensure a smooth transition process to IFRS.
Vinasc’s IFRS audit services are designed for the purpose of auditing in compliance with the regulations of foreign parent companies that have subsidiaries operating in Vietnam. Additionally, we also provide audit services for financial statements prepared in accordance with IFRS for small and medium-sized enterprises.
Benefits of using IFRS audit services
Applying IFRS in financial reporting can bring several benefits, including:
- Enhancing transparency and reliability of financial reports.
- Creating favorable conditions for businesses to access international sources of capital.
- Improving the ability to compare and analyze financial reports among international enterprises.
Building trust and increasing confidence from shareholders, investors, and other stakeholders.
Contact
This is just a general overview of the IFRS audit service in Vietnam. If your company is interested in using our services, please contact Vinasc using the information provided below. We will explore and send a detailed quotation for your consideration.