The suspension of accounting practice is effective from July 1, 2024. Principles and information on the certificate of registration to practice accounting services.
Purpose of using the certificate of registration to practice accounting services
Certificate of registration to practice accounting services is a license used by individuals to practice and provide accounting services to organizations and individuals, such as:
- Accounting services – accounting consulting;
- Chief accountant services;
- Financial reporting services;
- Other jobs within the scope of accounting work.
Cases of suspension of accounting practice from July 1, 2024
Pursuant to Circular 23/2024/TT-BTC amending and supplementing Circular 296/2016/TT-BTC guiding the management and inspection of accounting service activities (effective from July 1, 2024), the following cases will be suspended from practicing accounting services:
➨ Cases specified in Points a, c, d, Clause 6, Article 69 of the 2015 Law on Accounting:
- There are accounting professional errors or violations of accounting standards or accounting professional ethics standards that cause serious consequences or are likely to cause serious consequences;
- Failure to comply with regulations of competent authorities on inspection and examination of issues related to accounting practice;
- Failure to perform the responsibilities of a practicing accountant as prescribed in Article 67 of the 2015 Law on Accounting.
➨ The number of hours of knowledge update each year of practicing accountants is not enough according to the regulations of the Ministry of Finance. Specifically:
- Practicing accountants must have at least 40 hours of knowledge updating in the year preceding the year of registration to practice accounting services;
- Of those 40 hours, at least 20 hours must be spent updating regulations related to accounting law, tax law and regulations on accounting professional ethics standards.
➨ Practicing accountants violate the responsibilities prescribed in Clauses 5, 6, 7, 8, Article 15 of Circular 296/2016/TT-BTC, including:
- Using an accounting practice registration certificate that is no longer valid in accounting professional activities or has expired;
- Failure to notify the Ministry of Finance in writing within 15 days from the date of starting or stopping participation or changing the content and working time, holding the position in the case where the accountant is practicing at an accounting service enterprise/household but concurrently holds the following positions at other units and organizations:
- Legal representative;
- Director (General Director);
- Chairman of the Board of Directors;
- Chairman of the Board of Members;
- Chief Accountant (or in charge of accounting);
- Accountant;
- Internal audit;
- Other titles…
- Failure to provide periodic information or ad hoc information arising related to accounting service practice as required by the Ministry of Finance;
- Failure to comply with the regulations on inspection and examination related to the registration of accounting service practice of the Ministry of Finance.
➨ Other cases as prescribed by law.
Note:
During the period of suspension from practice, the accountant is not allowed to continue practicing:
- Accounting services;
- Chief accountant services;
- Accounting consulting services;
- Financial reporting services;
- Other tasks within the scope of accounting work.
After the suspension period, if the practicing accountant ensures the conditions as prescribed and the certificate of registration to practice accounting services is still valid, he/she may continue to practice accounting.
As soon as the suspension period ends, the Ministry of Finance will add the accountant’s name to the public list of accountants registered to practice at business households/enterprises providing accounting services.
>> See more: Procedures for establishing an accounting service company.
Principles of registration for accounting service practice
Registration to practice accounting services must comply with the following principles:
- Accountants register to practice accounting services through a business household/accounting service business enterprise where the accountant has a full-time labor contract;
- Accountants are responsible for the information declared in the accounting service practice registration file;
- The legal representative of the business household/enterprise providing accounting services and organizations and individuals related to the confirmation of information in the practice registration dossier must be responsible for the truthfulness of the confirmed information;
- Diplomas and certificates in the application for practice registration, if in a foreign language, must be accompanied by a notarized or certified Vietnamese translation in accordance with the provisions of law.
>> See more: Tax accounting company establishment service.
Information on the certificate of registration to practice accounting services
The certificate of registration to practice accounting services will include the following contents:
- Certificate of registration to practice accounting services number;
- Full name, year of birth, hometown, nationality, photo of the registered accountant;
- Number and date of issue of accountant and auditor certificates;
- Name of the business household/enterprise providing accounting services where the accountant registered to practice accounting services works;
- Duration of certificate of registration to practice accounting services.
Note:
The validity period of the certificate of registration to practice accounting services is a maximum of 5 years but not later than December 31 of the 5th year from the year the certificate becomes effective.
Questions related to the case of suspension of accounting practice
1. What is a certificate of registration to practice accounting services?
Certificate of registration to practice accounting services is a mandatory license for individuals who want to practice:
- Accounting services, chief accountant;
- Accounting consulting services;
- Financial reporting services;
- Other work within the scope of accounting work.
2. Cases of suspension of accounting practice from July 1, 2024?
Some cases of suspension of accounting service practice according to Circular 23/2024/TT-BTC effective from July 1, 2024 include:
- Practicing accountants do not have enough hours of knowledge updating each year as prescribed by the Ministry of Finance;
- Practicing accountants use accounting service practice registration certificates that are no longer valid or no longer effective;
- Practicing accountants do not comply with the inspection and examination regulations related to the registration of accounting service practice of the Ministry of Finance…
>> See details: Cases of suspension of accounting service practice (from July 1, 2024).
3. What should accountants pay attention to during the period of suspension from practicing accounting services?
- Accountants are not allowed to continue practicing accounting services during the period of suspension;
- After the suspension period, if the accountant ensures that the conditions as prescribed are met, the accounting service practice registration certificate will still be valid and the accountant will continue to practice.
4. What is the validity period of the certificate of registration to practice accounting services?
The validity period of the certificate of registration to practice accounting services is a maximum of 5 years but not later than December 31 of the 5th year from the year the certificate becomes effective.
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