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The voluntary dissolution procedures of a troop include the next steps with germane parties and rigid authorities:. Among the aforementioned procedures, excise clearance with the tax authorities is exhaustive and pricey as the dissolving entity will be tax audited nearby the tax authorities after notification of liquidation.
In that respect, in regard of the truly that our administration is under outrageous pressure to mark down the fiscal debit over the survive years, the objective of re-collected levy liabilities tax recover upon tax check and inspection are planned and congeal out for neighbourhood tax authorities.
Weight audit upon insolvency, therefore, is kindly likely to outcome in tax recoup, penalties, and concerned on late compensation for the dissolving entity. Based by the side of the above, in the direction of speed up the process of finish and to quieten the financial trouble i.
In undemanding of the atop, in case the entity would resemble to liquidate its business activities concerning Vietnam, it should prepare a right plan for its dissolution.
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The company dissolution process in Vietnam must start with a meeting of the shareholders and management board where a resolution for the termination of the business is agreed. Then, the liquidation decision will be ratified. Within 7 days from the decision, the company representative must file a liquidation petition with the Business Registry Office.
However, the closure of a RO may also arise from an entirely non-financial and positive set of reasons— for example, a foreign company may choose to close down its RO when looking to upgrade the structure into a foreign-owned enterprise in order to expand business activities. Undoubtedly, most investors do not hope or expect to stop their business activities, but it may take time for executives to become fully aware of the responsibilities they can face in dissolving or liquidating a company. Dissolving a company normally takes around four to six months, while it typically takes around 30 days to close down an RO.