Official Letter No. 90/2025/NĐ-CP dated April 14, 2025, issued by the Government regarding the Decree amending and supplementing a number of articles of Decree No. 17/2012/NĐ-CP dated March 13, 2012, of the Government detailing and guiding the implementation of certain provisions of the Law on Independent Audit:

by KMC Consulting Company Limited

1.Supplementing certain points and clauses of Article 15 of Decree No. 17/2012/NĐ-CP, as follows:

Large-scale enterprises shall be subject to mandatory audit if they meet at least 2 out of the following 3 criteria:

  • More than 200 employees participating in social insurance on average per year;
  • Annual revenue exceeding VND 300 billion;
  • Total assets exceeding VND 100 billion at the end of the year.

Clarification of the principles for determining the above criteria:

  • Social insurance employees include all employees managed and paid by the unit who participate in social insurance.
  • Average annual social insurance employees = total number of employees in 12 months divided by 12.
  • Revenue and total assets are based on the financial statements of the preceding fiscal year.

Enterprises previously classified as large-scale but failing to meet the criteria for two consecutive years shall be temporarily exempt from mandatory audit until the conditions are met again.

2. Amending and supplementing Clause 2, Article 16 of Decree No. 17/2012/NĐ-CP, as follows:

Practicing auditors are not allowed to sign audit reports for an audited entity for more than 05 consecutive years.

3.Transitional provisions:

Practicing auditors who signed audit reports for an entity before January 1, 2025, may continue signing for that entity in accordance with the new provisions in Article 2 of this Decree.

Enterprises with total revenue, total assets, and average annual social insurance employees in 2024 meeting the criteria of a large-scale enterprise under the new regulations shall be subject to mandatory audit of financial statements starting from the 2025 fiscal year onward.

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