Updated at 24/05/2023 - 11:12 am
After successfully registering for business establishment, the business needs to carry out a number of necessary procedures to officially go into operation. Expertis sends Business Owners some legal work to do after setting up their latest business.
1 - EMOTION SIGNS #
Enterprises are entitled to decide on their own the type, quantity, form and content of seals of enterprises, branches, representative offices and other units of the enterprise.
Enterprises choose a legal seal engraving unit and engrave the seal. Upon completion, the seal engraving unit will provide a Certificate of Seal Engraving.
Note to keep the Certificate of Seal engraving to submit to the bank where the account is opened for request.
2 - OPEN A BANK ACCOUNT #
After being granted the Business Registration Certificate, the enterprise needs to contact commercial banks or foreign bank branches in Vietnam to open a payment account for their business.
Within 10 days from the date of having a bank account, the enterprise must notify the Business Registration Office - Department of Planning and Investment that has issued the Certificate of Business Registration. (According to the one-stop interoperability process, the bank account no longer needs to notify the tax authority directly managing it).
From May 01, 05, the bank account will not be notified to the Department of Planning and Investment anymore, but will comply with the guidance of the tax authority.
For enterprises with foreign capital in the cases of direct and indirect foreign investment, capital transfer to foreigners, the opening of an account has its own regulations and importance affecting the entire investment process. . EXPERTIS will support this procedure in detail.
3 - HANDLING BUSINESS SIGNALS #
Signboards can be made horizontally or vertically, with size limits as follows:
- For horizontal signs, the maximum height is 02 meters (m), the length does not exceed the width of the front of the house;
- For vertical signs, the maximum width is 01 meter (m), the maximum height is 04 meters (m) but must not exceed the height of the floor where the sign is located.
Signboards must not cover fire escape and firefighting spaces; must not encroach on sidewalks, roadways, affecting public transport.
Enterprises need to pay attention to this point, do not hang company signs, small errors but heavy fines: Failure to attach the business name at the head office, branch, representative office of the enterprise will be fined from 10 to 15 million dong.
4 - DECLARATION AND SUPPLY OF INITIAL TAX DOCUMENTS #
Currently, according to the one-stop-shop regulation, the initial tax registration information, enterprises only have to provide in the business registration declaration form at the Business Registration Office - Department of Planning and Investment; Enterprises are granted tax identification numbers at the time of business registration.
Within 30 days from the date of receiving the Certificate of Business Registration, in order to complete the initial tax registration procedures, the enterprise must contact the tax administration agency directly to make the initial tax declarations as follows: The following:
a. Exemption of license fees in the first year of establishment or production and business activities
From February 25, 2, newly established businesses (granted a new tax code, new enterprise code) are exempt from license fees in the first year of establishment (from January 2020 to December 01). . During the license fee exemption period, if the enterprise establishes a branch, representative office or business location (hereinafter referred to as the dependent unit), the dependent unit is exempted from license fee for the period of time. businesses are exempt from license fees.
However, when new businesses start their business activities, they still have to declare license fees to the Tax Department for direct management. (Submit the declaration with the payment amount of 0 VND).
In case the enterprise has a dependent business unit located in another locality at the provincial level; Those dependent units shall declare and pay license fees by themselves to the Sub-department of Taxation directly managing them.
b. License tax declaration deadline
Enterprises and dependent units declare the license fee once when starting their business operations, no later than the last day of the month of starting production and business activities. In case of new establishment but not yet engaged in production and business activities, the license fee must be declared within 30 days from the date of being granted the Certificate of Business Registration or Certificate of Operation Registration.
c. License tax rates for the following years are as follows:
- Organizations with charter capital or investment capital over 10 billion VND: 3.000.000 VND/year;
- Organizations with charter capital or investment capital from 10 billion VND or less: 2.000.000 VND/year;
- Branches, business locations: 1.000.000 VND / year.
- Representative offices with production and business activities: 1.000.000 VND / year.
At this point, the business director needs to decide how to organize his accounting department. The provisions of the Law on Accounting require enterprises to appoint chief accountants, in charge of accounting.
Enterprises need to issue a decision to appoint an accountant and submit it to the tax authority directly.
There are 02 methods of calculating value-added tax (hereinafter referred to as VAT for short), which are:
- Direct calculation method, including: calculated by percentage multiplied by revenue and calculated by VAT multiplied by VAT rate (applicable only to activities of buying, selling, processing gold, silver, and gems).
- Tax deduction method.
Newly established enterprises are subject to the application of the direct method calculated by the percentage multiplied by the turnover;
However, in the following cases, enterprises can voluntarily apply the tax deduction method:
+ Newly established enterprises from investment projects of operating business establishments pay value-added tax by the deduction method.
+ Newly established enterprises that invest, purchase, receive capital contributions with fixed assets, machinery, equipment, tools, instruments or have a contract to lease business locations.
5 - BUY DIGITAL SIGNATURES #
Digital signature is one of the electronic tools that play an important role in today's digital age with the main function being to carry out the procedures for declaring, submitting declarations and paying taxes electronically.
Enterprises must select and purchase digital signatures to carry out tax declaration and payment procedures.
6 - PROCEDURES FOR ISSUANCE OF INVOICES #
From November 01, 11, businesses, economic organizations, other organizations, business households and individuals must register for the application of e-invoices.
To issue e-invoices, enterprises must do the following:
- Select an e-invoice provider.
- Digital signatures.
- Carry out administrative procedures on issuing e-invoices according to regulations.
7 - ESTABLISHMENT OF MEMBER AND SHAREHOLDERS REGISTRATION BOOK #
Enterprises must make a member registration book for 2-member limited liability companies, a register of shareholders for joint stock companies immediately after obtaining the certificate of business registration and store it at the head office of the enterprise.
8 - COMPLETE INITIAL LABOR PROCEDURES #
Within 30 days from the commencement of operation, the enterprise must prepare a labor management book where its head office, branches and representative offices are located.
Enterprises are responsible for recording and entering all information about employees when the labor contract takes effect and updating information when there is a change in the Labor Management Book.
Within 30 days from the date of establishment, the enterprise is responsible for sending the initial notice of the number of employees working at the unit (Form No. 28 issued together with Circular 28/2015/TT-BLDTBXH) to the Central Government. Employment service center where the enterprise is located.
9 - COMPLETE PROCEDURES WHEN EMPLOYING LABOR #
Enterprises necessarily build their own salary scales and payrolls. This is the basis for recruiting, using labor, negotiating the salary stated in the labor contract and paying employees.
Enterprises must base themselves on the current regional minimum wage to stipulate the salary level for each title, job, and work group in accordance with the principles prescribed by law.
Enterprises employing 10 or more employees must have a written labor regulation.
Within 10 days from the date of issuance of the Labor Code, the enterprise must submit 01 dossier of registration of the Labor Code to the Department of Labor, War Invalids and Social Affairs (hereinafter referred to as the Department of Labor, War Invalids and Social Affairs) where the enterprise operates. industry headquarters.
When wishing to establish trade unions at enterprises (hereinafter called trade unions for short); Firstly, the employees will have to organize the mobilization committee to establish a trade union at the enterprise (hereinafter referred to as the mobilization committee) and should contact the upper-level trade union directly at the nearest place to instruct, help and support the establishment of Trade Unions.
The condition to be able to establish a Trade Union is to have at least 05 Vietnamese Trade Union members; or, there must be at least 05 employees who have voluntarily applied to join the Vietnam Trade Union.
10 - COMPLETE CAPITAL PAYMENT #
For types such as limited liability companies, joint-stock companies, etc., members, shareholders must comply with their commitment to contribute capital within a specified period of 90 days from the date of issuance of the business registration certificate.
In case there are any arising issues about capital contribution and the time limit for capital contribution commitment, the enterprise must carry out procedures for adjusting and reducing charter capital as prescribed.
+ Foreign-invested enterprises must contribute capital according to the time committed in the Investment Registration Certificate. Violation of this time will cause many problems such as:
- After the date of capital contribution commitment, even if the money is transferred to the bank, it is not required to return it abroad.
- It is not possible to contribute capital anymore, but must carry out procedures for adjustment of the Investment Certificate, be fined for violating the time of capital contribution, or interrupting business.
+ Organizations and individuals contributing capital must contribute to the right subject, not to make contributions in place of or with other entities.
+ The capital contribution must be transferred to the direct investment capital account legally opened at the bank authorized to open the investment account.
11 -COMPLETE PROCEDURES IF THERE IS A CONDITIONAL BUSINESS #
+ For conditional business lines, the investor must satisfy the conditions for business investment as prescribed by law.
+ Business investment conditions are conditions that individuals and organizations must meet when conducting business investment activities in conditional investment and business lines.