Forvis Mazars Tax & IFRS Dialogue connects businesses

2024 marks changes in tax policies, attracting the attention of numerous businesses. However, many companies are still unfamiliar with understanding and applying the new regulations. To assist businesses in overcoming these challenges, Forvis Mazars organises monthly dialogues, providing a platform for companies to exchange information and stay updated.

The June "Forvis Mazars Tax & IFRS Dialogue" focused on hot topics such as the differences between International Financial Reporting Standards (IFRS) and Vietnam Accounting Standards (VAS) in revenue recognition from customer contracts, personal data management in Vietnam, the latest tax policy updates, and considerations for transfer pricing documentation.

In addition to IFRS content shared from previous dialogues, a highlight of this programme was “Personal data protection.” In the context of Vietnam's increasing focus on personal data protection, Decree No.13/2023/ND-CP has emerged as an important step in establishing a legal framework to ensure privacy and information security for citizens.

Forvis Mazars, as a leading auditing and consulting firm, provides advisory and support services to ensure businesses comply with personal data protection regulations, conduct reviews, and prepare documents and files for assessing the impact of personal data processing, helping clients meet legal requirements comprehensively and effectively.

Additionally, experts from Forvis Mazars have highlighted the latest updates on tax policies for 2024. Currently, Vietnam is in the process of adjusting and updating important tax-related legal regulations. Specifically, the fifth draft amendment on VAT and the third draft of the corporate income tax law are being finalised.

Simultaneously, the third draft decree on invoice amendments has also been initiated. Moreover, the extension of deadlines for personal income tax, corporate tax, and land rent payments is being updated to support businesses and individuals in the current economic context.

According to experts, the wave of expected tax policy changes in Vietnam in 2024 will create a new business landscape with many challenges and opportunities for businesses and investors.

VAT amendments directly affect the cost of products and services, requiring businesses to adjust pricing strategies, marketing, and update their entire accounting systems and invoicing processes. Changes in corporate income tax impact after-tax profits, calling for businesses to update financial strategies, investment plans, and optimise cost structures. Investors need to reassess investment efficiency, potentially adjusting portfolios or seeking new opportunities."

New regulations on electronic invoices require technology investment, creating initial costs but bringing long-term benefits in terms of transparency and management efficiency. Businesses need to choose appropriate systems and train employees, potentially creating competitive advantages for pioneering units. Tax payment extensions create opportunities for more effective cash flow management, allowing businesses to reinvest in profit-generating activities.

These changes aim to increase the transparency and efficiency of the tax system, potentially attracting more foreign investment to Vietnam, helping to create a more competitive business environment, requiring domestic businesses to enhance their capabilities to maintain their positions.

To effectively cope with these changes, businesses and investors should closely monitor the process of finalising and passing draft laws, preparing detailed adaptation plans. Seeking advice from tax and legal experts is also an important measure to ensure full compliance and make the best use of opportunities from these policy changes.

In light of new updates and changes in tax policies that still pose challenges for businesses, Forvis Mazars provides consulting and support services to help clients comply with tax regulations effectively.

"We provide detailed information about tax changes and guidance on how to apply them to our clients' business and financial operations. Our team of tax experts is always ready to support and advise on taxes, customs duties, and review related-party transactions to optimise costs, ensure transparency, and comply with legal regulations," said Pham Quang Huy, senior manager of tax advisory services at Forvis Mazars.

The monthly dialogue organised on June 20 was successful, and Forvis Mazars is committed to continuing to organise monthly dialogues with more diverse and practical topics to meet the needs of the business community.

"We organise these monthly dialogues with the desire to create a forum where businesses can directly exchange and share experiences, helping us better understand their needs and challenges. This not only helps Forvis Mazars stay updated on the real situation of businesses but also creates real value for clients through practical and effective consulting solutions," Huy said

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