5 Tax Issues Causing Foreign Enterprises to Face Penalties in Vietnam

ASL LAW's guide to avoiding tax penalties in Vietnam

Foreign enterprises doing business in Vietnam often encounter various challenges related to tax law. Failure to fully comply with tax regulations can result not only in financial losses but also in severe penalties imposed by tax authorities. Below are five common tax issues that frequently lead to penalties for foreign businesses in Vietnam. 1. Failure…

Legal Consulting for Overseas Investment: Mandatory Conditions

ASL LAW's guide to Vietnam outbound investment regulations

In the context of increasingly deepening economic globalization, many Vietnamese enterprises tend to expand their oversea investments abroad to explore new markets, leverage resources, and diversify risks. However, to invest overseas effectively and legally, businesses must clearly understand the mandatory legal conditions as well as the process of comprehensive legal consulting. 1. Understanding Domestic Legal…

Risks in EPC & BOT Contracts: Key Considerations for Businesses

ASL LAW's risk assessment for EPC contracts in Vietnam

EPC (Engineering, Procurement and Construction) and BOT (Build-Operate-Transfer) contracts are common in infrastructure and construction projects in Vietnam. However, these contracts often involve complex legal and commercial risks that businesses must identify and proactively manage. 1. Risks related to scope of work and responsibilities In EPC contracts, clearly defining the scope of work, technical standards,…

Drafting Tight Contracts: Effectively Protecting Business Interests

ASL LAW's guide to drafting bulletproof business contracts

Contracts are the most important legal tools in business operations, playing an essential role in establishing, adjusting, and protecting the rights and obligations between involved parties. Careful and clear contract drafting helps businesses minimize dispute risks, avoid losses, and ensure effective enforcement of rights. 1. Clearly identify parties and their legal roles Contracts must record…

Representative Office vs. Branch: Legal Differences Investors Need to Know

ASL LAW's comparison of Vietnam branch vs representative office

When doing business in Vietnam and looking for expansion, foreign investors often consider whether to establish a representative office or a branch. Understanding the legal distinctions between these two forms will help select the option that best aligns with business objectives while ensuring compliance with current regulations. 1. Basic Concepts and Functions A representative office…

Suitable Business Types for Foreign Investors: Choosing a Business Form in Vietnam

ASL LAW's step-by-step guide to Vietnam business setup

When deciding to invest in Vietnam, selecting an appropriate business type is a crucial step that helps investors optimize their rights, responsibilities, and operational efficiency. Each form for enterprises doing business in Vietnam has distinct legal characteristics, governance structures, capital requirements, and fundraising capabilities, so careful consideration is needed based on business objectives and investment…

Opening a Company in Vietnam: Common Mistakes & How to Avoid Them

Foreign investors making mistakes when opening a company in Vietnam.

Setting up a business in Vietnam is relatively straightforward, but it still carries various legal and procedural risks—especially for foreign investors unfamiliar with local regulations and administrative practices. Early-stage mistakes can lead to prolonged consequences related to taxation, corporate governance, capital contribution, and business licensing. Choosing the Wrong Type of Legal Entity A common error…

Foreign representative offices in Vietnam: Latest rights, obligations and legal limitations

Foreign representative office operating under Vietnam’s legal framework.

Establish R.O in Vietnam is a common market entry strategy chosen by many foreign companies looking to explore and assess the Vietnamese market. However, as ROs have a very specific scope of operation under Vietnamese law, understanding their legal powers, limitations, and compliance obligations is critical to avoiding unintended violations and ensuring lawful operations. Key…

Vietnam’s legal framework: What makes it difficult for foreign businesses?

Vietnam’s legal system poses difficulties for foreign businesses.

While Vietnam continues to attract strong inflows of foreign direct investment (FDI), many foreign enterprises doing business in Vietnam encounter substantial hurdles when implementing their projects. These challenges stem from legal inconsistencies, complex administrative procedures, and varying interpretations among regulatory bodies. Identifying these bottlenecks in the legal framework is the first step for foreign investors…

Guidance for Foreign Enterprises on Opening Bank Accounts and Accessing Credit in Vietnam

Bank account and credit guidance in Vietnam.

As Vietnam continues to reinforce its position as a leading investment destination in the Asia-Pacific region, the demand for account opening and access to credit by foreign-invested enterprises (FIEs) has been on the rise. However, these activities are not merely administrative procedures—they are tightly regulated under Vietnam’s financial, banking, and oversea investment legal framework. This…

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