Auditing services today are not merely a mandatory legal procedure but have become a strategic management tool that helps businesses build trust with investors and tax authorities. In the context of Vietnam's economy in 2026-2027, with significant changes to the Financial Reporting Standards (VFRS), a thorough understanding of each type of audit will help business leaders avoid unnecessary legal risks and financial losses.
In reality, many SMEs have faced difficulties accessing bank financing or been subject to billions of dong in back taxes simply because they chose the wrong type of service or conducted audits too late. This article will analyze in detail the roadmap and core characteristics of the most common audit services, providing you with a solid basis for making a decision on choosing the right audit partner.
Summary of key focus areas for audit services.
- Auditing services are The process of examining and verifying the accuracy and reasonableness of financial information or compliance by independent auditors.
- Purpose: Ensuring transparency in financial reporting, detecting fraud and errors, and supporting business decision-making.
- Object: FDI enterprises, public companies, state-owned enterprises (mandatory), and SMEs in need of loans or capital raising (voluntary).
- The time neededBefore tax settlement, when preparing loan applications for banks, or periodically every year as required by the Law on Independent Auditing.
Stay updated on the latest legal regulations regarding auditing.
The legal system regarding accounting and auditing in Vietnam is undergoing significant changes to align with international standards. Here are some important documents you should be aware of:
- Circular 200/2014/TT-BTC and revised documents guiding the corporate accounting system.
- Decree 05/2019/ND-CP Regarding internal auditing (mandatory for listed companies and state-owned enterprises).
- Law on Tax Administration No. 38/2019/QH14Regulations regarding the use of audit results in tax inspections.
In particular, the roadmap for adopting International Financial Reporting Standards (IFRS) in Vietnam is encouraging large enterprises to use financial statement review services every six months to ensure information consistency for foreign investors.
What are auditing services and what is the legal basis in Vietnam?
From a professional perspective, auditing services are understood as service activities performed by auditing firms or branches of foreign auditing firms in Vietnam to examine and provide opinions on the accuracy and fairness of information in financial statements or other requested content.
Based on Law on Independent Auditing No. 67/2011/QH12 With the latest updated guidelines and circulars, this activity is standardized according to the Vietnamese Auditing Standards (VSA). These standards are equivalent to international standards, ensuring that your audit results are valid not only domestically but also with foreign partners.
The role of auditing in modern corporate governance has shifted from "checking for errors" to "value-added consulting." An unqualified opinion audit report is the most important passport for CFOs to negotiate favorable loan interest rates or persuade investment funds to invest in their businesses.
Why should businesses use auditing services early on?
In over 30 years of practice, I've witnessed hundreds of businesses fall into the trap of only reacting when the water reaches their feet. Regular audits deliver three core values that internal accounting alone can hardly achieve perfectly.
Firstly, there's the ability to detect loopholes in the internal control system. The chief accountant may be highly skilled professionally, but subjectivity and long-standing work habits often lead to systemic errors. Independent auditors will view the issue objectively to warn of risks.
Secondly, it's about safely optimizing tax costs. Through financial statement audits for tax purposes, auditors will review invalid expenses and advise on how to adjust figures to comply with regulations before tax authorities conduct an inspection, helping to minimize the risk of administrative penalties.
Details of the entities required to undergo auditing according to regulations.
According to Decree 17/2012/ND-CP and its amendments, not all companies are required to undergo mandatory audits. However, if your business falls into the following categories, delays in compliance may result in fines of up to 50 million VND.
The first and most common group is foreign-invested enterprises (FDI). Regardless of size, FDI enterprises are required to have their financial statements audited annually. This regulation aims to control capital flows and transfer pricing.
The second group includes credit institutions, financial institutions, and insurance companies. Due to the sensitive nature of these industries, which involve mobilizing social capital, these entities are subject to extremely strict supervision. In addition, public companies and securities issuers are also on the mandatory list to protect shareholder rights.
Professional auditing services today
Businesses need to clearly differentiate between the various types of services to choose the right one for their needs, avoiding wasting budget on impractical goals. Below is a detailed analysis of each solution package.
Financial statement auditing services
Financial statement audit services This is the most core activity. Auditors will examine accounting evidence to verify the accuracy and fairness of the figures on the Balance Sheet, Income Statement, and Cash Flow Statement. This forms the basis for businesses to submit to regulatory authorities, banks, and investors.
Accounting and Auditing Services (Complete Solution Package)
Essentially, accounting and auditing services combine the recording and completion of accounting books with periodic review/auditing of data. This is an optimal solution for SMEs that lack a sufficiently strong accounting department. We support businesses in standardizing data right from the data entry stage so that when the official audit period begins, all figures are ready and transparent.
Independent audit services
Independent audit services are performed by external audit firms that are not under the management of the audited company. Independence is a prerequisite for an audit report to have the highest legal validity. It ensures that there is no bias or concealment of wrongdoing, helping to protect the rights of stakeholders such as shareholders and creditors.
Internal audit services
This service focuses on managing risk from within. Internal audit services It not only checks the numbers but also evaluates the effectiveness of operational processes. It helps the Board of Directors identify financial fraud, asset losses, or violations of internal regulations early on, before they cause serious consequences.
Internal control system assessment services
This represents a more in-depth step in internal auditing. Internal control system assessment services We focus on examining the organization's security "checkpoints." We check whether expense approval processes, inventory management, and data security are sufficiently robust. A good internal system will help the business operate automatically and minimize reliance on individuals.
Tax audit services (Auditing for tax purposes)
Tax audit services This service helps businesses review all tax declarations, invoices, and supporting documents before tax audits. The goal is to identify risks related to corporate income tax, VAT, and contractor tax, and advise on legally compliant corrective actions, thereby avoiding huge late payment penalties or back taxes.
Construction audit services and project completion audits.
For basic construction projects, construction auditing services This plays an extremely important role. We verify the validity of unit prices, norms, and actual construction volumes. In particular, completed project audit services This is a mandatory procedure for approving investment capital settlements, ensuring that the capital spent matches the value of the completed project.
Auditing services on request
Auditing services on request These are audits with specific purposes agreed upon between the business and the auditing firm. For example: audits for mergers and acquisitions (M&A), audits requested by the parent company abroad, or audits to confirm the capital contribution ratios of the members.
Case Study: Vietnamese SMEs and Lessons Learned from the Lack of Independent Auditing Services
I advised a packaging manufacturing company in Binh Duong in 2024. The company was preparing to raise $5 million USD from a Singaporean investment fund. However, after 10 years of operation, they had never hired an independent auditor, relying solely on their annual tax return.
When the investment fund conducted its due diligence, they discovered that the actual inventory differed from the book value by more than 20%, and many accounts receivable lacked verification. As a result, the fund lowered the company's valuation to 30% and required audited financial reports for three consecutive years before disbursing funds.
It took us over six months to coordinate with the accounting department to recover documents and conduct a retrospective audit. If the company had performed annual audits, they could have closed the deal quickly and avoided being overcharged. The lesson here is: The cost of auditing is always much cheaper than the cost of a lack of transparency.
Comparing popular audit services
To help managers gain a clear understanding and choose the right solution for each stage of development, below is a detailed comparison table of operational criteria between the three key types of auditing.
| Criteria | Auditing Financial Statements | Internal Audit | Project Final Audit |
| Main purpose | Verify the accuracy of the data. | Risk assessment and process | Determine the actual investment cost. |
| Mandatory | Mandatory for FDI, listing on the stock exchange. | Mandatory for certain types | Mandatory for state-funded projects. |
| Time of execution | End of fiscal year | Periodically or irregularly | When the project is completed |
| User reports | Banks, Tax authorities, Shareholders | Board of Directors | Investor, Funding Agency |
Expert opinion: 3 common mistakes when hiring auditing services.
With over 30 years of observing the market, I've noticed that CEOs often make the following mistakes:
- Choose based on the cheapest price.An auditing firm that quotes unexpectedly low prices often cuts corners on on-site procedures (inventory count, bank confirmation). When the tax authorities or bank re-examine and discover errors, the business is the one that suffers the most.
- Treat auditors like family.Never ask your auditor to "beautify" the figures. The value of an audit lies in its integrity. An audit opinion with exceptions is still better than a clean report that contains the risk of fraud that could land the business owner in legal trouble.
- Not utilizing management letters.After each audit, in addition to the report, the auditing firm will send a Management Letter warning of systemic risks. This is the most valuable "gift" for managers to improve the system, but it is often overlooked and left in a drawer.
Conclude
Understanding and making the right choices auditing services This is a strategic move to protect the assets and reputation of a business. In a market that increasingly demands transparency, a quality audit report is not just a piece of paper submitted to regulatory authorities, but also a measure of the management capabilities of the leadership team itself.
If your business needs a reputable, legally registered audit partner who is dedicated and understands the specifics of the Vietnamese market, please connect with us. MAN – Master Accountant NetworkWe not only provide financial statement audits or internal audits, but also offer sustainable financial system protection solutions for your business. With a team of experienced professionals, MAN is committed to supporting businesses throughout their development journey, from data standardization to successful fundraising.
Service contact information at MAN – Master Accountant Network
- Address: No. 19A, Street 43, Tan Thuan Ward, Ho Chi Minh City
- Mobile/Zalo: 0903 963 163 – 0903 428 622
- Email: man@man.net.vn
Content production by: Mr. Le Hoang Tuyen – Founder & CEO MAN – Master Accountant Network, Vietnamese CPA Auditor with over 30 years of experience in Accounting, Auditing and Financial Consulting.
Frequently Asked Questions about Audit Services
Should SMEs, which are not subject to mandatory auditing, hire auditors?
Yes. Especially if you plan to borrow from a bank in the next 1-2 years or want to standardize your accounting system for generational transition or fundraising.
How are audit service fees typically calculated?
The cost depends on the size of total assets, revenue, number of transactions, and complexity of the business. It does not have a fixed price but is based on the auditor's hourly rate.
How long does an audit typically take?
Typically, it takes 1 to 2 weeks of in-person work at the company's office for SMEs, plus an additional week to finalize the draft and final reports.
Are auditors liable if a business is ordered to pay back taxes?
Auditors are accountable for their opinions on financial statements. However, if a company intentionally provides false documents or conceals information, the auditor will be exempt from liability under the law.
Are there any differences between Big4 auditing firms and domestic auditing firms?
The Big4 (Deloitte, PwC, EY, KPMG) typically cater to multinational corporations and large listed companies, often charging very high service fees. Reputable domestic auditing firms or networks like MAN can perfectly meet the needs of SMEs at reasonable fees and with more dedicated support.
