What are the basic differences between Vietnamese Accounting Standards (VAS) and International Accounting Standards (IFRS)?
Answer:
At present, no further standards have been issued, so there are still many standards in comparison with international practices such as agricultural standards, mineral resources exploration and exploitation, group of financial instruments, fair value, loss of assets, …. causing difficulties for the preparation and presentation of financial statements, in particular, Vietnam has not issued 17 specific accounting standards as follows:
| No. | Standard number | The Standard has not been issued in Vietnam |
| 1 | IAS 19 | Employee benefits |
| 2 | IAS 20 | Accounting for funding and presentation of government support |
| 3 | IAS 26 | Accounting and reporting retirement benefits |
| 4 | IAS 29 | Prepare financial statements in the economy of hyperinflation |
| 5 | IAS 36 | Loss due to declining asset value |
| 6 | IAS 41 | Agriculture |
| 7 | IFRS 1 | Apply IFRS for the first time |
| 8 | IFRS 2 | Payment on stock basis |
| 9 | IFRS 5 | Long-term assets wait for sale and interruption |
| 10 | IFRS 6 | Exploration and evaluation of mineral resources |
| 11 | IFRS 7 | Financial instruments: Presentation (Replacing IAS 32) |
| 12 | IFRS 8 | Bussiness Department |
| 13 | IFRS 9 | Financial instruments: Recognition and valuation (Replacing IAS 39) |
| 14 | IFRS 11 | Joint venture agreement |
| 15 | IFRS 12 | Notes on the benefits of other units |
| 16 | IFRS 13 | Determine fair value |
| 17 | IFRS 14 | Deferred laws |
In addition, at the reporting date, VAS requires most of assets and liabilities to be recognized at cost, changes in fair value have not been reflected except for the case of revaluation of monetary items in foreign currency. It is possible to summarize some assets and liabilities that have not been evaluated according to IFRS fair value as follows:
| Assets/liabilities | Recognition method | |
| VAS | IFRS | |
| Financial instruments (including securities and derivatives) held for business purposes | Original cost | Fair value |
| Derivative financial instruments hold for the purpose of preventing fair value risks or preventing cash flow risks | Original cost | Fair value |
| Investments in subsidiaries, joint ventures, and joint ventures held by venture capital funds, mutual funds | Original cost | Fair value |
| Investment property (except in case of applying the original price model) | Original cost | Fair value |
| Biological assets | Original cost | Fair value minus selling costs |
| Agricultural products have not been processed at the time of harvest | Original cost | Fair value minus selling costs |
| Long-term assets held for sale | Original cost | Fair value minus selling costs |
Tri Thức Việt administrator
Tác giả bài viết