Initial procedures for a newly established company are the concerns of all business owners after establishing a company. Because legal procedures such as taxes, capital, etc. are quite complicated and not everyone can grasp them. Understanding that difficulty, Viet My would like to guide customers through the initial procedures for a newly established company in the article below.

1. What do you need to prepare when establishing a company?

Proceed to choose the most suitable type of business for your actual conditions: Choose 1 of 5 types of businesses

• Single-member LLC
• 2-member LLC or more
• Joint-stock company
• Private enterprise
• Partnership

Therefore, depending on the number of members contributing capital to establish the business and depending on the specific needs of the business owner, you can choose the appropriate type of business for yourself to have a reasonable business management and career structure.

Prepare to name the company

You need to determine the name of the business you want to establish. The company name written in Vietnamese can be accompanied by numbers and symbols, must be pronounceable and have at least two components: the type of company and the proper name. Another important thing is that your company name is written or attached to the company’s headquarters, branches, and representative offices. The company name must not be identical or confusing with previously registered companies.

The company name written in a foreign language is the name translated from Vietnamese into the corresponding foreign language. When translated into a foreign language, the company’s proper name can remain the same or be translated according to the corresponding meaning in the foreign language.

Prepare the company headquarters

The company address is the contact and transaction place of your company, must be located in Vietnam and is shown by house number, street address, city, district, city or province, telephone number, fax number, email. with a valid address. (if any) is determined.

If the head office location does not have a street number or house number, business registration requires confirmation from the city government that the address does not have a street number or house number.

There are many businesses that have business opportunities and are intending to start a business but do not have an office address to start a business. To register and start a business, you need to use a virtual office rental service.

Choosing a business line

The business line is one of the most important factors in all business activities, it governs many other factors. You need to prepare for all the businesses you intend to operate and the businesses you intend to start in the future. If you register a profession but later you want to do another activity, you can add another activity.

Choose the charter capital

There is no minimum capital (except for industries that require statutory capital) or maximum capital. This capital is registered by the company itself and does not need to be proven by cash, accounts or any other form. However, the founder of the company is responsible for the capital recorded at the time of business registration.

Choose a legal representative who can manage your company

The legal representative is responsible for all business activities of the company and represents the company when signing documents and cooperation procedures with state agencies, individuals and other organizations. Typical positions are director (general director), chairman of the board of directors/manager and other management positions specified in the company charter.

The legal representative of the company must be a permanent resident of Vietnam. If absent from Vietnam for more than 30 days, there must be a written permission for another person to exercise the rights and obligations of the company’s legal representative as prescribed in the company charter.

Prepare documents for company establishment

This is the most important component if you want to establish a company.

2. Initial procedures for a newly established company in 2024

After completing the business registration procedure for a new company, submitting the first tax declaration is a mandatory procedure that all companies must carry out so that the company can operate in accordance with regulations. How important is the process of submitting the first tax declaration, what documents are included, when is the tax filing deadline… Viet My further explains the issues that your first tax declaration needs to do.

2.1 Initial procedures for newly established companies before submitting tax documents

Place a company nameplate

Upon receiving a business license, the business receives a business code printed on the business license. This code is also your company’s tax code.

The business must display a company logo consisting of three pieces of information: tax code, company name, head office address, and must display a signboard at the head office address throughout the business period.

Open a bank account

About the procedure for opening a bank account: Businesses contact the bank they want to open directly. After setting up your bank account,

According to current regulations, bank account information is not tax registration information. Therefore, companies are not required to disclose their bank accounts. In fact, some tax authorities receive a bank account notification form (form No. 08-MST according to Circular No. 105/2020/TT-BTC) from businesses, but the notification is not mandatory. Tax authorities also have no reason to penalize businesses that do not provide an account number.

Buy a digital signature

Buy a digital signature (digital certificate/token): This digital signature allows you to submit a business license fee declaration on the General Department of Taxation’s website.

There are many digital signature providers, but businesses should choose a digital certificate provider with the best technical support and the most reputation.

2.2 Initial tax declaration procedures in 2024

Step 1: Open a bank account and buy a digital signature

First, you must open a bank account and buy a digital signature because the tax authority currently only accepts electronic tax declarations and cryptocurrencies. Therefore, businesses must have a digital signature to submit documents online and have a bank account to pay taxes electronically.

The procedure for opening a bank account is very simple. Please contact the bank where you want to open an account for detailed instructions. From May 1, 2021, new businesses will no longer have to register with the Ministry of Planning and Investment when opening a bank account.

Buy a digital signature: You should choose to buy from companies recommended by the tax authority, such as Viettel, VNPT, FPT, BKAV. Even if the cost is a little higher, the service and technical support are still more guaranteed.

Step 2: Register and pay business license tax

The next step is to register and pay the registration tax. The registration deadline is January 30 of the year following the year of establishment. Late payment will be subject to a penalty.

Step 3: Choose the method of declaring VAT + sales tax + invoice

There are 2 ways to declare VAT: deduction and direct VAT declaration.

There are two filing periods: monthly and quarterly. For newly established companies, reporting is done quarterly.

Step 4: Choose the form of accounting

Choosing the appropriate accounting system requires determining the appropriate scale of your business.

Small businesses can use the accounting principles according to Circular 133 or 200. However, most small businesses choose Circular 133 accounting.

Large companies can only apply the accounting system of Circular 200

Step 5: Register the method of depreciation of fixed assets

3. Initial tax declaration service for newly established companies of Viet My

During the operation of a business, one of the tasks that the company must complete fully and on time is tax reporting and tax payment (if any). For normal businesses, they must report taxes and tax obligations quarterly, annually and within a certain time frame. When a company is late in paying taxes even by one day, the company is considered to have violated its tax reporting obligations and must face penalties. The longer the delay, the higher the penalty may be. To support the difficulties of businesses, Viet My provides comprehensive tax reporting services at reasonable service costs so that any business can use our tax reporting services safely, objectively and confidently to develop business activities as effectively as possible.

Advantages when customers use the tax declaration service of Viet My Accounting:

• Used in parallel with two services in one: Legal consulting and tax reporting services, issues related to accounting activities;
• Arranging experienced and qualified experts to undertake all accounting and tax reporting activities of your company;
• Get advice, information and anticipate problems and risks that may arise during the accounting and tax reporting process of the company;
• Proactively remind businesses to prepare documents, balance tax estimates and report to businesses before the tax reporting period;
• No additional fees will be incurred after signing the tax reporting contract with Viet My Accounting;
• Viet My Accounting is fully responsible for the company’s tax declaration and reporting when risks arise for the company due to tax reporting activities.
• Therefore, for companies whose owners do not have knowledge of tax and accounting, the solution of using tax reporting services is the optimal, effective and cost-saving solution for the company’s tax accounting staff. Viet My Accounting believes that it will be the best companion in business activities.

The above article of VIET MY LAW AND ACCOUNTING has helped you know the necessary things about the initial procedures for newly established companies. It can be said that this is a first-time filing service for newly established companies with high expertise, helping to overcome difficulties in first-time filing for companies and reduce time and costs. We will be the most reasonable and perfect choice for companies. With a team of experienced and highly qualified accountants, Viet My provides professional and high-quality accounting services for businesses.