Reducing the burden on micro-enterprises.

Regulations on accounting management for micro-enterprises, effective from July 1st, are expected to help these businesses reduce operating costs.

It is permissible to employ parents or siblings as accountants.

The Ministry of Finance has just issued Circular 58/2026 guiding the accounting regime for micro-enterprises. Accordingly, micro-enterprises are allowed to appoint an accountant who is the biological father, biological mother, adoptive father, adoptive mother, spouse, biological child, adopted child, sibling of the legal representative, head of the enterprise, etc., as appropriate to their needs. At the same time, micro-enterprises are not required to appoint a chief accountant; the person in charge of accounting will sign on behalf of the chief accountant on accounting documents, accounting books, and financial reports of the unit. Simultaneously, the accounting record-keeping method has also been adjusted to be simpler, closely adhering to the value-added tax and income tax payment methods chosen by the enterprise.

For example, for micro-enterprises paying value-added tax and corporate income tax as a percentage of revenue, the documentation system mainly revolves around invoices and documents related to revenue. Record-keeping is also simplified; simply tracking in the Sales Revenue Register (Form S1-DNSN) is sufficient. Similarly, for micro-enterprises paying value-added tax as a percentage of revenue and corporate income tax on taxable income, the documentation is more extensive but still maintains a minimalist approach. In addition to invoices, businesses can use additional purchase lists for goods and services without invoices, along with other documents, as accounting documents to determine revenue, expenses, and taxable income…

Many policies supporting micro-enterprises will encourage household businesses to upgrade to enterprises.

PHOTO: NGOC DUONG

Another significant change is the streamlining of reporting obligations. Businesses paying corporate income tax as a percentage of revenue will not be required to submit financial reports unless specifically requested by the regulatory authority. If reports are required, the system will be simplified to only two basic reports: a financial statement and an income statement, making it easier for businesses to monitor and significantly reducing accounting costs.

This circular takes effect from July 1st, and businesses may choose to apply an accounting system that suits their production and business characteristics and management requirements, but it must be applied consistently within a fiscal year. Changes to the applied accounting system can only be made on the first day of the following fiscal year.

Encouraging household businesses to convert into enterprises.

Mr. Nguyen Ngoc Tinh, Vice Chairman of the Ho Chi Minh City Tax Consulting and Agency Association, believes that this regulation is more flexible and eases difficulties for micro-enterprises. According to current regulations, a newly established business is required to have an accounting department and personnel to perform this work, including a chief accountant. This means businesses have to hire a chief accountant or outsource accounting services. This significantly increases costs for micro-enterprises. With the current regulations, small companies can utilize their own in-house staff if they have basic accounting knowledge and training (with lower requirements and standards than for a chief accountant). Therefore, accounting costs will be much lower. Furthermore, the government recently removed the "Accounting Services Business" sector from the list of conditional investment and business sectors. This will also help reduce the cost of outsourcing accounting services for businesses. Overall, the new regulation is expected to help businesses reduce compliance costs.

According to lawyer Tran Xoa, Director of Minh Dang Quang Law Firm, the new regulations on accounting for micro-enterprises are a real relief for this group. In reality, micro-enterprises have few employees and low revenue, but previously they were still required to appoint a chief accountant and were not allowed to delegate this task to parents, siblings, or children, forcing many to outsource accounting services, which in turn increased costs.

Micro-enterprises are allowed to employ parents or siblings as accountants.

PHOTO: DAO NGOC THACH

"Circular 58/2026 is more flexible and supportive for micro-enterprises. This reduces compliance costs for this group. Along with a series of policies already issued for micro-enterprises, such as a corporate income tax rate of 15% (for businesses with total annual revenue not exceeding 3 billion VND) or 17% for businesses with total annual revenue from over 3 billion VND to not exceeding 50 billion VND, and the exemption of corporate income tax for newly established small and medium-sized enterprises for 3 years... this will help ease the burden of compliance costs for this group, thereby giving them more motivation to develop," lawyer Tran Xoa commented.

However, Mr. Xoa compared the situation, stating that if a household business has revenue exceeding 3 billion VND per year, it must also apply the revenue-expense tax calculation method and a 15% tax rate on profit, similar to micro-enterprises. Yet, while micro-enterprises receive numerous preferential policies, household businesses do not. For example, businesses benefit from tax exemptions and reductions based on industry or geographical location (difficult or particularly difficult areas). Similarly, manufacturing, construction, and transportation businesses employing many female workers receive corporate income tax reductions, and businesses employing many ethnic minority workers receive tax reductions equal to the additional expenses for ethnic minority workers… Meanwhile, if a household business is also operating in a difficult or particularly difficult area, it is not eligible for tax exemptions or reductions. Furthermore, micro, small, and medium-sized enterprises (MSMEs) have many opportunities such as support for access to capital and land, which household businesses do not.

Therefore, lawyer Tran Xoa emphasized: The new regulations on accounting for micro-enterprises in particular, and many recent new policies, truly reflect the spirit of supporting small and medium-sized enterprises (SMEs) in line with the goal of developing the private economy . At the same time, these policies will contribute to encouraging household businesses to transform into enterprises. Because household businesses with revenue under 1 billion VND/year are exempt from tax, enterprises can also benefit from the same exemption. Meanwhile, if a household business has revenue exceeding 3 billion VND, it no longer has the option of tax policy but must implement accounting, invoicing, and tax payment procedures like an enterprise. However, household businesses will certainly not enjoy as many incentives as micro-enterprises and SMEs. Therefore, households should consider transforming into enterprises when their revenue exceeds 3 billion VND/year.

According to Decree 80/2021/ND-CP, the criteria for defining micro-enterprises are as follows: In the fields of agriculture, forestry, and fisheries; and industry and construction: employing no more than 10 people with social insurance participation per year, and having total annual revenue not exceeding 3 billion VND or total annual capital not exceeding 3 billion VND. In the fields of trade and services: employing no more than 10 people with social insurance participation per year, and having total annual revenue not exceeding 10 billion VND or total annual capital not exceeding 3 billion VND.

Source: https://thanhnien.vn/bot-ganh-nang-cho-doanh-nghiep-sieu-nho-185260529224211811.htm