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Vietnam accounting for Canadian companies

Specialist accounting, tax, payroll, transfer pricing, and audit support for Canadian-headquartered companies operating in Vietnam. IFRS-to-VAS reconciliation, CAD reporting, and treaty-rate withholding.

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Overview

Canadian companies entering Vietnam typically establish a 100%-foreign-owned subsidiary with a sales, engineering, or regional service centre presence. We deliver monthly bookkeeping in VAS, Canadian-style management accounts (IFRS-equivalent), CAD reporting, transfer-pricing documentation aligned with both the CRA (Canada Revenue Agency) and Vietnamese GDT, and CAD-functional statutory financials. Our team prepares monthly VAS bookkeeping, IFRS-aligned management accounts, CAD reporting, transfer pricing under Decree 132/2020, and treaty-rate withholding claims under the Canada-Vietnam DTA.

Who needs this service

  • TSX-listed multinationals with Vietnam operations
  • Canadian mining, resources, and engineering companies entering Vietnam
  • Canadian SaaS and technology companies with regional APAC headquarters
  • Canadian holding structures with Vietnamese portfolio companies
  • Canadian SMEs with manufacturing in Vietnam

Legal requirements

IRC + ERC licensing

Foreign company setup requires an IRC and ERC from the DPI. Canadian parent documents must be apostilled and translated.

VAS accounting

All entities must maintain books under VAS, with annual financial statements in Vietnamese and an English translation for group reporting.

Statutory audit

All FDI companies must be audited by a Vietnamese-licensed audit firm. The audit is coordinated with the Canadian parent's group audit.

IFRS reconciliation

Canadian parents require a reconciliation from VAS to IFRS (already used by Canadian listed companies) for group consolidation.

Transfer pricing documentation

Local File, Master File, and CbCR under Decree 132/2020, aligned with CRA expectations and OECD BEPS.

Pricing

Indicative fees

ItemFee
Canadian company monthly retainer (full compliance)from USD 1,500 / month
Foreign company setup (IRC + ERC)from USD 8,000
IFRS-to-VAS reconciliation (per period)from USD 1,500
Transfer pricing Local File (CAD-aligned)USD 5,000 – 12,000
CRA liaison supportfrom USD 4,000

Fees are indicative and depend on transaction volume, complexity, and reporting requirements. Request a tailored proposal.

Timeline

Typical engagement timeline

Phase 1 · Week 1–2

Pre-engagement

Initial scoping with Canadian parent, entity structuring advice, IRC pre-engagement.

Phase 2 · Week 3–8

Setup

IRC + ERC issuance, post-licence registrations, tax agent appointment.

Phase 3 · Month 3–6

First compliance cycle

First month close, first VAT filing, Canadian parent reporting integration.

Phase 4 · From month 7

Steady state

Monthly close within 10 working days, IFRS reconciliation, quarterly review.

Watch out

Common mistakes we help you avoid

  • 01Failing to coordinate the Canadian group audit timeline with the Vietnam year-end close
  • 02Missing CRA Form T1134 (Foreign Property) reporting for Canadian-resident directors
  • 03Treating Canadian parent overhead allocations as fully deductible without benefit-test
  • 04Failing to claim Canada-Vietnam DTA treaty rates on dividends and royalties
  • 05Ignoring the Canadian permanent establishment implications for Canadian staff on Vietnam assignment
Why us

What you get

IFRS-to-VAS reconciliation

Quarterly reconciliation package prepared in CAD, aligned with the Canadian parent's group consolidation calendar.

CAD-functional reporting

CAD-functional ledger for management reporting, with FX gain/loss reconciled to the parent's reporting framework.

DTA treaty relief

Canada-Vietnam DTA reduces withholding on dividends to 5% (or 10% for portfolio), on interest to 10%, on royalties to 7.5% (or 10%). We claim the reliefs on your behalf.

T1134 reporting support

Documentation support for Canadian-resident directors' Form T1134 (Foreign Property) reporting requirements.

TSX + private expertise

We have supported both TSX-listed multinationals and private Canadian companies with their Vietnam entities.

Canadian-style service

Conservative, English-first, IFRS-fluent service aligned with Canadian accounting and audit standards.

FAQ

Frequently asked questions

What is the typical Vietnam setup for a US company?
US companies typically set up a sales subsidiary or a regional engineering centre. The subsidiary is 100%-foreign-owned. US companies often have a regional CFO overseeing multiple Asian entities, and the Vietnam entity reports into that structure.
How is the US-Vietnam tax treaty applied?
Vietnam and the US do not have a comprehensive tax treaty. The standard Vietnamese rates apply: 0% withholding on dividends to a US corporate parent (under Vietnamese domestic law), 5% FCT on royalties, 10% on interest. The absence of a treaty makes structure and substance critical.
How is FCPA and anti-bribery compliance handled in Vietnam?
Vietnam has anti-bribery laws and accounting-record-keeping requirements that align broadly with FCPA expectations. We help clients maintain adequate books and records, document third-party engagements, and provide training.
What reporting does a US parent expect for SOX compliance?
US parents subject to SOX expect: documented internal controls, audit-trail evidence, segregation-of-duties review, IT general controls review, and management certifications. We provide the working papers and controls evidence to support the parent's SOX audit.
Get Started

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Free 30-minute consultation. We'll review your situation and outline a fixed-fee engagement.

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