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Korean companies in Vietnam: tax, accounting, and CFO advisory

Vietnam-side accounting, tax, payroll, transfer pricing, and CFO advisory for Korean-headquartered companies. NTS-aligned documentation, KRW reporting.

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Overview

Korean companies are among the largest foreign investors in Vietnam, particularly in electronics, manufacturing, and consumer goods. We provide Vietnam-side accounting, tax, payroll, transfer pricing, and CFO advisory to Korean parents. Our team is familiar with the Korea-Vietnam tax treaty, NTS documentation requirements, and KRW / USD reporting frameworks.

Who needs this service

  • Korean-headquartered companies with Vietnam operations
  • Korean SMEs expanding into Vietnam
  • Korean holding companies with Vietnamese subsidiaries

Legal requirements

Vietnamese Accounting System (VAS)

Vietnam entities must maintain books under VAS and file statutory financial statements in Vietnamese.

Korea-Vietnam tax treaty

Reduces withholding on dividends to 0% (with conditions), on interest to 10%, and on royalties to 5–10%.

Group reporting

Korean parents typically expect monthly management accounts in KRW, quarterly consolidation, and the annual audit.

Pricing

Indicative fees

ItemFee
Korean client monthly compliancefrom USD 1,500 / month
KRW reporting and consolidationfrom USD 1,000 / month

Fees are indicative and depend on transaction volume, complexity, and reporting requirements. Request a tailored proposal.

Timeline

Typical engagement timeline

Phase 1 · Week 1–4

Setup

Vietnam entity setup, group chart of accounts, KRW reporting framework.

Phase 2 · From month 2

Steady state

Monthly close, group reporting, treaty-claim documentation, audit support.

Watch out

Common mistakes we help you avoid

  • 01Not obtaining the NTS Certificate of Residence before treaty claims
  • 02Missing the VAS-to-K-IFRS reconciliation
  • 03Failing to align the TP documentation with NTS expectations
  • 04Not tracking the KRW/VND FX exposure in the management accounts
Why us

What you get

Treaty expertise

We obtain the NTS CoR, prepare the treaty-claim documentation, and apply the reduced rates.

KRW reporting

Monthly management accounts in KRW, with the FX gain/loss reconciled to the parent's reporting framework.

NTS-aligned documentation

TP documentation aligned with NTS expectations and OECD BEPS.

FAQ

Frequently asked questions

What is the typical Vietnam setup for a Korean company?
Korean companies typically set up a 100%-foreign-owned sales subsidiary or manufacturing entity. The subsidiary is owned directly by the Korea parent or via a regional holding company. The Korea parent typically uses Vietnam as a manufacturing hub.
How is the Korea-Vietnam tax treaty applied?
The Korea-Vietnam DTA reduces withholding tax on dividends to 0% (where the parent holds 50%+ for 6 months and is a company), on interest to 10%, and on royalties to 5–10%. The Korea parent must obtain a Certificate of Residence from the NTS and submit it for treaty claims.
What is the typical engagement model for a Korean client?
Korean clients expect bilingual reporting (English/Korean), Korean-style internal controls, and reporting that reconciles to the Korea parent's calendar. We provide monthly management accounts, quarterly compliance, and the annual audit liaison.
What is the typical KRW reporting framework?
Korean parents often want reporting in KRW. We maintain a KRW-functional ledger for management reporting. FX gains/losses are reconciled to the parent's reporting currency. The TP documentation follows Korean transfer-pricing guidance.
Get Started

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Free 30-minute consultation. We'll review your situation and outline a fixed-fee engagement.

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