Comparison between VAS and IFRS - A guidance on key differences
This guidance is the first in a series of guides published by Grant Thornton Vietnam in order to assist Vietnamese entities in their transition from Vietnamese Accounting Standards (VAS) to International Financial reporting Standards (IFRS) when preparing financial statements.
Following the roadmap to adopt IFRS as per decision of the Ministry of Finance of Vietnam covering the period from 2022 to 2025, entities will have time to prepare for the conversion and understanding what is required. Although the expected day of mandatory adoption of IFRS is still relatively far away, timely preparation and making an implementation strategy will help the conversion to IFRS to be smooth and cost effective.
This guide focuses on summarizing the key differences between VAS and IFRS to enable entities to make a first assessment of where significant differences are to be expected as well as instruction notes on when making the conversion. The guide is structured in summarizing key differences in the requirements for overall presentation of the financial statements, the key differences of both the balance sheet and profit and loss as well as other important topics.
In our next publications we will provide guidance in determining what tasks are to be prioritized in the preparation to conversion and what tasks can wait, a comprehensive overview of the differences between VAS and IFRS as well as other topics that are relevant to the timing of the process to further support in the preparation for the conversion. We hope this first guide provides will help you perform a first analysis of the key differences.