ON AMENDMENTS TO CIRCULAR NO. 202/2014/TT-BTC DATED DECEMBER 22, 2014 OF THE MINISTER OF FINANCE ON GUIDELINES FOR THE METHOD OF PREPARATION AND PRESENTATION OF CONSOLIDATED FINANCIAL STATEMENTS

"3. The preparation of interim consolidated financial statements and consolidated financial statements for other accounting periods shall be carried out in accordance with relevant regulations of law or the management requirements of the entity."

2. Article 6 is amended as follows:

"1. Annual consolidated financial statements must be submitted to the owner and competent state management authorities no later than 90 days from the end of the annual accounting period. The deadline for public disclosure of consolidated financial statements shall be carried out in accordance with the Law on Accounting and its amending and replacement documents. Where the law on securities, credit or insurance provides specific regulations on the form and deadline for public disclosure of consolidated financial statements that differ from the provisions of this Law, the regulations of the relevant sectoral law shall apply.

2. For enterprises for which relevant law provides regulations on the deadline for submission and public disclosure of interim consolidated financial statements, the deadline for submission of such financial statements shall be carried out in accordance with those relevant regulations."

3. Amendment to Article 7 as follows:

"The submission of consolidated financial statements to competent authorities must be carried out in accordance with relevant regulations of law. Where consolidated financial statements are stored in the National Information System on Enterprise Registration, such statements may be provided and information shared with state management authorities, other relevant authorities, organizations and individuals upon request in accordance with law."

4. Amendment to Clause 6 of Article 10 as follows:

"6. The results of operations of a subsidiary must be included in the consolidated financial statements from the date on which the parent company obtains control of the subsidiary and shall cease on the date the parent company loses control of the subsidiary. When the investee is no longer a subsidiary and does not become a joint venture or associate of the investor, the investor shall account for the remaining investment in accordance with applicable laws and regulations."

5. Amendment to Article 13 as follows:

"1. Consolidated financial statements shall apply the financial statement forms for independent enterprises as prescribed in the accounting regime applicable to enterprises and shall add the following line items:

a) Addition of line items in the consolidated statement of financial position:

- Addition of line item VI "Goodwill" - Code 279 under "Assets" to reflect the carrying amount of goodwill (arising from a business combination) at the reporting date;

- Addition of line item "Non-controlling interests" - Code 429 to be presented as a line item under equity to reflect the cumulative amount of non-controlling interests in subsidiaries at the reporting date.

b) Addition of line items in the consolidated statement of profit or loss and other comprehensive income:

- Addition of line item "Share of profit or loss of joint ventures and associates" - Code 27, to reflect the investor's share of profit or loss of joint ventures and associates in the reporting period when the investor applies the equity method.

- Addition of line item "Profit or loss after tax attributable to owners of the parent" - Code 61, to reflect the amount of after-tax profit attributable to shareholders of the parent company in the reporting period.

- Addition of line item "Profit or loss after tax attributable to non-controlling interests" - Code 62, to reflect the amount of after-tax profit attributable to non-controlling interests in the reporting period.

2. The information required to be presented in the notes to the consolidated financial statements shall be carried out in accordance with the provisions of Appendix No. 1 to this Circular.

3. Enterprises may add further line items to the consolidated financial statements as guided in Appendix No. 1 issued together with this Circular in order to suit their production and business characteristics and management requirements. Such additions must comply with Clauses 1 and 2, Article 29 of the Law on Accounting and adhere to the principles of preparation and presentation of consolidated financial statements as guided in this Circular. Where additional line items are added to the consolidated financial statements, the enterprise must disclose in the consolidated financial statements the particulars of the additions as compared to the consolidated financial statement forms guided in Appendix No. 1 issued together with this Circular, and must promulgate an accounting policy (or equivalent document) for such additional items as a basis for implementation. Line items with no figures may be omitted from the financial statements, with the enterprise independently re-numbering sequentially within each section, but the "Code" of the line item must not be changed."

6. Amendment to Clause 2 of Article 25 as follows:

"2. Where the financial statements of a subsidiary used for consolidation have appropriated a reward and welfare fund in accordance with its charter, when preparing the consolidated financial statements, the parent company shall adjust the non-controlling interests proportionate to the ownership of the non-controlling shareholders, recording:

Dr Non-controlling interests

           Cr Retained earnings."

7. Amendment to Clause 3 of Article 32 as follows:

"3. Revenue, income, cost of goods sold, and expenses arising from other intra-group transactions, such as financial income and financial expenses arising from revaluation of foreign currency monetary items, rental income, service revenue, etc. within the group must be fully eliminated, except for exchange differences falling within the scope of adjustment under paragraph 28 of Vietnam Accounting Standard No. 10 - Effects of Changes in Foreign Exchange Rates."

8. Amendment to Clause 1 of Article 37 as follows:

"1. The method for accounting for provisions prescribed in this article applies to provisions relating to investments in subsidiaries, joint ventures and associates."

9. Amendment to Clause 2 of Article 41 as follows:

"2. For construction warranty obligations, where entities within the group carry out the warranty, the following entry shall be recorded:

Dr Revenue from sale of goods and provision of services

         Cr Selling expenses (if the warranty arises in the period in which the provision was recognized)

         Cr Cumulative retained earnings at the end of the preceding period (if it arises in a subsequent period)."

10. Amendment to Article 58 as follows:

"When translating the financial statements of a subsidiary prepared in a currency other than the presentation currency of the parent company, the accountant must translate the line items of the financial statements using the following exchange rates:

- Assets and liabilities of the subsidiary and goodwill arising from the acquisition of a foreign subsidiary shall be translated at the spot exchange rate at the end of the period (the average buying and selling transfer exchange rate of the commercial bank where the enterprise regularly transacts at the end of the accounting period, or a rate approximating the average buying and selling transfer exchange rate of the commercial bank where the enterprise regularly transacts at the end of the accounting period);

- The net assets of the subsidiary held by the parent company at the acquisition date shall be translated at the historical rate at the acquisition date;

- Retained earnings arising after the acquisition date of the subsidiary shall be translated by computing based on the revenue and expense line items of the consolidated statement of profit or loss and other comprehensive income;

- Dividends paid shall be translated at the spot exchange rate at the date of payment.

- Line items in the consolidated statement of profit or loss and other comprehensive income and the consolidated statement of cash flows shall be translated at the spot exchange rate at the date of the transaction. Where the average exchange rate for the reporting period approximates the spot exchange rate at the date of the transaction (difference not exceeding the spot exchange rate band prescribed by the State Bank of Vietnam), the average exchange rate may be applied.

Where the commercial bank where the enterprise regularly transacts does not publish the exchange rate for the foreign currency in which the enterprise transacts, the enterprise may choose an intermediate currency to translate into the presentation currency of the parent company, but must apply such choice consistently in accordance with Vietnam Accounting Standards. The enterprise must disclose in the notes to the consolidated financial statements the basis for selecting the intermediate currency and the method of translating the transaction currency into the presentation currency of the parent company.

The enterprise must clearly disclose the exchange rates used to translate the financial statements."

11. Amendment to Article 66 as follows:

a) Amendment to Point c, Clause 1 of Article 66 as follows:

"c) Where the investor has an obligation to make payment on behalf of a joint venture or associate for guaranteed or committed debts, the investor shall, based on the content of the contract or agreement, determine its own rights and obligations when the obligation to make payment arises on behalf of the guaranteed or committed debts of the joint venture or associate and recognize accordingly.

- Where the investor has committed to absorb losses of the joint venture or associate, or permits the joint venture or associate not to repay/reimburse the investor for debts paid on its behalf, the losses in the joint venture or associate or the debt repayment borne by the investor shall be recognized as an expense in the consolidated financial statements.

- Where the investor has not committed to absorb losses of the joint venture or associate and the joint venture or associate has committed to repay/reimburse the investor for debts paid on its behalf, when making such payment on behalf of the associate, the investor shall recognize a receivable from the joint venture or associate corresponding to the payment made to the creditor, and shall simultaneously monitor and assess the recoverability of such receivable from the joint venture or associate in order to recognize an allowance for doubtful debts in accordance with regulations."

b) Addition of Point h to Clause 1 of Article 66 as follows:

For dividends and profit already received in the period from joint ventures and associates, the following adjustment shall be made:

Dr Financial income

         Cr Share of profit or loss of joint ventures and associates.

12. Amendment to Article 73 as follows:

a) Amendment to Clause 2 of Article 73 as follows:

"2. Depreciation of fixed assets and investment property - Code 02

- Where the enterprise is able to separately identify the depreciation remaining in inventories and the depreciation already charged to the consolidated statement of profit or loss and other comprehensive income in the period: The line item "Depreciation of fixed assets and investment property" shall include only the depreciation charged to the consolidated statement of profit or loss and other comprehensive income in the period and the amortization of deferred expenses relating to one-off land rental payments that do not qualify for recognition as intangible assets; The line item "Increase/decrease in inventories" shall exclude the depreciation included in the closing inventory value (not yet recognized as sold in the period).

- Where the enterprise is unable to separately identify the depreciation remaining in inventories and the depreciation already charged to the consolidated statement of profit or loss and other comprehensive income in the period, the following principle shall apply: The line item "Depreciation of fixed assets and investment property" shall include the depreciation charged to the consolidated statement of profit or loss and other comprehensive income in the period and the amortization of deferred expenses relating to one-off land rental payments that do not qualify for recognition as intangible assets, plus the depreciation relating to unsold inventories; The line item "Increase/decrease in inventories" shall include the depreciation of fixed assets included in the closing inventory value (not yet recognized as sold in the period).

- This line item shall be prepared based on the depreciation recognized in the period as shown in the fixed asset depreciation schedule of the parent company and each subsidiary (cross-referenced against the depreciation of fixed assets and investment property line item in the statements of cash flows of the parent company and subsidiaries within the group).

- In all cases, the enterprise must eliminate from the consolidated statement of cash flows the depreciation included in the value of assets under construction, the reward and welfare fund from which fixed assets have been formed, and the Science and Technology Development Fund from which fixed assets have been formed during the period. In addition, where intra-group transactions involve capital contributions, sales of fixed assets or conversions of inventories to fixed assets within the group, the enterprise must also refer to the summary schedule of purchases and sales of fixed assets within the group; and the summary schedule of inventories converted to fixed assets within the group.

- When preparing this line item, the depreciation of fixed assets and investment property recognized in the period relating to intra-group transactions involving capital contributions, purchases and sales of fixed assets and investment property, conversions of inventories to fixed assets and investment property within the group, and fixed assets and investment property formed through capital construction investment using intra-group borrowings must be adjusted upward or downward, specifically:

+ Where capital contributions in the form of fixed assets or investment property, or sales of fixed assets or investment property at a gain occurred within the group during the period, resulting in the depreciation based on the new cost being higher than the depreciation based on the original cost, the depreciation presented in this line item must be reduced to the level of depreciation based on the original cost. Example: If the original cost of the fixed asset at the selling entity is VND 1,000 million, with a useful life of 10 years resulting in depreciation at the selling entity of VND 100 million/year. Assume the selling entity has used and depreciated the asset for 6 years (carrying amount VND 400 million) and then transferred the fixed asset to the buying entity at VND 600 million, and the buying entity continues to depreciate over 4 more years at VND 150 million/year. When preparing this line item, VND 50 million must be reduced to bring the new depreciation back to the original depreciation level.

+ Where capital contributions in the form of fixed assets or investment property, or sales of fixed assets or investment property at a loss occurred within the group during the period, resulting in the depreciation based on the new cost being lower than the depreciation based on the original cost, the depreciation presented in this line item must be increased to the level of depreciation based on the original cost.

+ Where fixed assets or investment property were formed through capital construction investment using borrowings from entities within the group, the cost of the fixed assets or investment property in the financial statements will include capitalized borrowing costs. However, such capitalized intra-group borrowing costs in the cost of fixed assets or investment property will be eliminated when preparing the consolidated financial statements, and therefore the depreciation based on such cost will include internal loan interest costs and must accordingly be eliminated from the consolidated statement of cash flows.

- Verification of the figures for this line item in the consolidated statement of cash flows may be performed by taking the closing balance of the accumulated depreciation of fixed assets and investment property line item in the consolidated statement of financial position minus the opening balance, after eliminating the effects of:

+ Increases in accumulated depreciation due to depreciation recognized during the year for fixed assets used for cultural and welfare purposes, etc.;

+ Decreases in accumulated depreciation due to disposals and sales of fixed assets and investment property during the year;

+ Increases in accumulated depreciation (from the beginning of the period to the acquisition date) due to acquisition of additional subsidiaries during the period;

+ Decreases in accumulated depreciation due to disposal of subsidiaries during the period.

- This line item also includes goodwill allocated to administrative expenses during the period.

- The figure for this line item is added (+) to the "Profit before tax" line item figure (and deducted from "Profit before tax" arising from a gain from a bargain purchase).”

b) Amendment to Clause 3 of Article 73 as follows:

"3. Provisions - Code 03

- This line item reflects the impact of the recognition, reversal and utilization of provisions on cash flows in the reporting period. This line item is prepared based on: the consolidated statement of financial position; the summary schedules of "provision for diminution in value of trading securities"; "provision for impairment of investments in other entities"; "provision for impairment of held-to-maturity investments"; "allowance for decline in value of inventories"; "allowance for doubtful debts"; "provision for impairment of biological assets"; and "provisions" recognized by the parent company and each subsidiary, and the provisions adjusted in the intra-group provision adjustment summary schedule.

- The figure for this line item is determined as the difference between the opening balance and closing balance of the asset impairment provisions (provision for diminution in value of trading securities, provision for impairment of investments in other entities, provision for impairment of held-to-maturity investments, allowance for decline in value of inventories, allowance for doubtful debts, provision for impairment of biological assets) and the provisions in the consolidated statement of financial position.

+ For subsidiaries acquired during the period, this line item shall exclude provisions recognized or reversed before the acquisition date; For subsidiaries disposed of during the period, this line item shall exclude provisions recognized or reversed after the disposal date.

+ The figure for this line item is added (+) to the "Profit before tax" line item figure. Where provisions are reversed to reduce production and business costs in the reporting period, such reversals are deducted (-) from the "Profit before tax" line item figure and presented as a negative number in parentheses (***).

- Verification of the figures for this line item may be performed by taking the detailed figures for provisions recognized or reversed during the period by the parent company and each subsidiary from the provision recognition and utilization summary schedule, after adjusting for movements in provisions arising from subsidiaries acquired or disposed of during the period and provisions adjusted when preparing the consolidated statement of financial position.

c) Amendment to Clause 5 of Article 73 as follows:

"5. Gains and losses from investing and financing activities - Code 05

- This line item reflects the gains/losses of the parent company and subsidiaries arising during the period that have been reflected in accounting profit before tax in the consolidated statement of profit or loss and other comprehensive income but are classified as cash flows from investing or financing activities, such as:

+ Gains and losses from disposal and sale of fixed assets and investment property;

+ Gains and losses from revaluation of non-monetary assets contributed as capital investment in other entities;

+ Foreign exchange gains/losses arising on settlement of investing and financing transactions;

+ Gains and losses from the sale and recovery of financial investments (excluding gains and losses from trading securities), such as: investments in subsidiaries, joint ventures and associates, and other investments; held-to-maturity investments;

+ Gain from a bargain purchase;

+ Loan interest income, deposit interest income, dividends and distributed profits.

- This line item does not reflect:

+ Gains and losses classified as investing activities arising from intra-group transactions, such as: loan interest receivable; loan interest payable; dividends or profit distributed or payable; unrealized gains and losses from intra-group transactions involving capital contributions, disposals and sales of fixed assets, etc.

+ Gains and losses classified as investing activities from the beginning of the period to the acquisition date (for subsidiaries acquired during the period) and from the disposal date to the end of the period (for subsidiaries disposed of during the period).

- This line item is prepared based on detailed figures in the consolidated statement of profit or loss and other comprehensive income, the statements of cash flows of the parent company and each subsidiary; reports or schedules of loan interest income, dividends and distributed profits; and reports on intra-group capital contributions, disposals and sales of fixed assets during the reporting period.

- The figure for this line item is determined by taking the detailed figures for gains and losses in the consolidated statement of profit or loss and other comprehensive income that are not included in operating cash flows. Verification of this line item is performed by aggregating the corresponding line item in the statements of cash flows of the parent company and each subsidiary, then deducting:

+ Intra-group loan interest income, dividends and distributed profits;

+ Unrealized gains/losses from intra-group capital contributions, disposals and sales of fixed assets and investment property and investments in intra-group entities.

- The figure for this line item is deducted (-) from the "Net profit before tax" line item figure, if there are investing activity gains, and presented as a negative number in parentheses (*); or added (+) to that line item if there are investing activity losses."

d) Amendment to Clause 8 of Article 73 as follows:

"8. Increase/decrease in receivables - Code 09

- This line item reflects the payment situation and movements in receivables from external entities relating to: short-term trade receivables; long-term trade receivables; advances to sellers; receivables under construction contract progress; other short-term receivables; other long-term receivables; VAT input tax credit; taxes and other receivables from the State; and other current assets during the reporting period. When preparing this line item, movements in receivables from the acquisition or disposal of subsidiaries resulting in loss of control during the period must be eliminated.

- This line item does not reflect:

+ Receivables relating to investing activities, such as: advances to capital construction contractors; receivables from loans (both principal and interest); receivables for deposit interest income, dividends and distributed profits; receivables from disposal and sale of fixed assets and investment property and investments in other entities (excluding trading securities); carrying amount of fixed assets pledged or mortgaged as collateral, etc.;

+ Receivable balances (at the acquisition date) of subsidiaries acquired during the period;

+ Intra-group receivables;

+ Receivables arising from overpayment of corporate income tax to the State.

- This line item is prepared based on:

+ Line items in the consolidated statement of financial position, such as: "Short-term trade receivables"; "Long-term trade receivables"; "Advances to sellers"; "Receivables under construction contract progress"; "Other short-term receivables"; "Other long-term receivables"; "VAT input tax credit"; "Taxes and other receivables from the State"; "Other current assets";

+ Reports of the parent company and each subsidiary on: intra-group receivables and payables; receivables for loan interest, dividends and distributed profits; receivables relating to investing activities (such as disposal and sale of fixed assets and investment property).

- The figure for this line item is determined by

+ Taking the total closing balance minus the total opening balance of the relevant line items in the consolidated statement of financial position: "Short-term trade receivables"; "Long-term trade receivables"; "Advances to sellers"; "Receivables under construction contract progress"; "Other short-term receivables"; "Other long-term receivables"; "VAT input tax credit"; "Taxes and other receivables from the State" (excluding corporate income tax receivable);

+ Adding the receivable balances (at the disposal date) of subsidiaries disposed of during the period and deducting the receivable balances (at the acquisition date) of subsidiaries acquired during the period;

+ Then deducting the detailed balances per the reports of the parent company and each subsidiary for receivables for loan interest, dividends and distributed profits; and receivables relating to investing activities (such as disposal and sale of fixed assets and investment property).

- Verification of this line item is performed by aggregating the corresponding line item in the statements of cash flows of the parent company and each subsidiary, deducting intra-group receivables, and then adjusting for movements in receivables arising from the acquisition or disposal of subsidiaries during the period.

- The figure for this line item is added (+) to the "Profit from operations before changes in working capital" line item figure if the total closing balances are less than the total opening balances. The figure is deducted (-) from the "Profit from operations before changes in working capital" line item figure if the total closing balances are greater than the total opening balances and is presented as a negative number in parentheses: (***).”

dd) Amendment to Clause 11 of Article 73 as follows:

"11. Increase/decrease in deferred expenses - Code 12

- This line item reflects the amount of deferred expenses for external entities during the reporting period. Intra-group deferred expenses have been eliminated against intra-group deferred revenue and are therefore not reflected in the consolidated statement of cash flows. When preparing this line item, movements in deferred expenses from the acquisition or disposal of subsidiaries resulting in loss of control during the period must be eliminated.

- This line item does not reflect:

+ Deferred expense balances (at the acquisition date) of subsidiaries acquired during the period;

+ Deferred expenses arising from intra-group transactions.

+ Deferred expenses relating to investing cash flows, such as: lump-sum land rents that do not qualify for recognition as intangible assets.

- This line item is prepared based on the total differences between the closing balance and opening balance of the "Short-term deferred expenses" and "Long-term deferred expenses" line items in the consolidated statement of financial position for the reporting period, then adding the deferred expense balances (at the disposal date) of subsidiaries disposed of during the period and deducting the deferred expense balances (at the acquisition date) of subsidiaries acquired during the period.

- Verification of this line item is performed by aggregating the corresponding line item in the statements of cash flows of the parent company and each subsidiary, deducting intra-group deferred expenses, and then adjusting for movements in deferred expense balances arising from the acquisition or disposal of subsidiaries during the period.

- The figure for this line item is added (+) to the "Profit from operations before changes in working capital" line item figure if the total closing balances are less than the total opening balances. The figure is deducted (-) from the "Profit from operations before changes in working capital" line item figure if the total closing balances are greater than the total opening balances and is presented as a negative number in parentheses: (***).

13. Amendment to Article 74 as follows:

a) Amendment to Clause 1 of Article 74 as follows:

1. Cash paid for purchase and construction of fixed assets and other long-term assets - Code 21

- This line item reflects the total amount of cash actually paid to external entities for: purchase and construction of tangible fixed assets, intangible assets, investment property, lump-sum land rents that do not qualify for recognition as intangible assets, cash paid for the development stage capitalized as intangible assets, and cash paid for capital construction investment in progress during the reporting period. Trial production costs, net of proceeds from sale of trial production output of fixed assets formed through capital construction activities, are added to this line item (if expenditure exceeds proceeds) or deducted from this line item (if proceeds exceed expenditure).

This line item also reflects the total amount actually paid to external entities for: raw materials and assets purchased for use in capital construction but not yet used for capital construction investment activities at the end of the period; amounts advanced to capital construction contractors but not yet accepted; amounts paid to settle debts to sellers during the period directly relating to purchases and capital construction investment (including payments of liabilities from preceding periods relating to the purchase and construction of fixed assets, investment property and other long-term assets). Where raw materials and assets are purchased for both production/business and capital construction purposes but the value to be used for capital construction investment or production/business activities cannot be determined at the end of the period, the amounts paid shall not be reflected in this line item but in operating cash flows.

- This line item does not reflect:

+ Cash paid for the purchase and construction of fixed assets, investment property and other long-term assets of subsidiaries acquired during the period (prior to the date on which they came under the parent company's control);

+ Finance lease obligations assumed, or the value of other non-monetary assets used as payment when purchasing fixed assets or investment property, or increases in fixed assets or investment property during the period that have not been settled in cash;

+ The value of fixed assets, investment property and other long-term assets purchased but not yet settled during the period;

+ Cash paid to intra-group entities for the purchase and construction of fixed assets and investment property during the period.

- This line item is prepared based on:

+ The consolidated statement of financial position for the reporting period;

+ The statements of cash flows of the parent company and each subsidiary for the reporting period;

+ Reports of the parent company and each subsidiary on the use of inventories for capital construction investment in fixed assets and investment property during the reporting period;

+ Reports on capital construction investment and purchase of fixed assets, investment property and other assets of the parent company and each subsidiary during the period.

- The figure for this line item is determined by: taking the total closing balance minus the total opening balance of the line items relating to fixed assets, investment property and other long-term assets in the consolidated statement of financial position for the reporting period, then:

+ Deducting the value of fixed assets, investment property and long-term assets purchased during the period but not yet settled or settled using non-monetary assets;

+ Adding the value of fixed assets, investment property and other long-term assets disposed of and sold during the period;

+ Adding advance payments to sellers or debt repayments relating to capital construction investment purchases; cash paid for raw materials used in capital construction activities;

+ Adding the balances of fixed assets, investment property and other long-term assets (at the disposal date) of subsidiaries disposed of during the period and deducting the balances (at the acquisition date) of subsidiaries acquired during the period.

- Where no acquisition or disposal of subsidiaries occurred during the period, this line item may be prepared by aggregating the corresponding line item in the statements of cash flows of the parent company and each subsidiary, then adjusting for movements in the value of fixed assets, investment property and other long-term assets arising from intra-group transactions.

- The figure for this line item is deducted from net cash flows from investing activities and is presented as a negative number in parentheses: (***).”

b) Amendment to Clause 2 of Article 74 as follows:

"2. Cash received from disposal and sale of fixed assets and other long-term assets - Code 22

- This line item reflects the total amount of cash received from external entities from the disposal and sale of tangible fixed assets, intangible assets, investment property (including investment property held for lease or held for capital appreciation), and other long-term assets during the reporting period (including amounts recovered from receivables from preceding periods relating to disposal and sale of fixed assets, investment property and other long-term assets).

- This line item does not reflect:

+ Cash received from disposal and sale of fixed assets, investment property and other long-term assets of subsidiaries acquired during the period (prior to the date on which they came under the parent company's control); amounts received from intra-group entities from disposal and sale of fixed assets, investment property and other long-term assets during the period;

+ The value of non-monetary assets received from disposal and sale of fixed assets, investment property and other long-term assets during the period;

+ The value of fixed assets, investment property and other long-term assets disposed of and sold but not yet received in cash during the period;

+ Non-monetary expenses relating to the disposal and sale of fixed assets and investment property, and the carrying amount of fixed assets and investment property contributed as capital to joint ventures and associates, or losses.

- This line item is prepared based on:

+ The consolidated statement of financial position for the reporting period;

+ The statements of cash flows of the parent company and each subsidiary for the reporting period;

+ Reports on disposals and sales of fixed assets, investment property and other assets of the parent company and each subsidiary during the period.

- The figure for this line item is determined by: taking the total detailed proceeds from disposal and sale of fixed assets, investment property and other long-term assets during the period per the consolidated statement of profit or loss and other comprehensive income and other relevant documents, then deducting the value of fixed assets, investment property and long-term assets disposed of and sold during the period but not yet settled or settled using non-monetary assets.

- Where no acquisition or disposal of subsidiaries occurred during the period, this line item may be prepared by aggregating the corresponding line item in the statements of cash flows of the parent company and each subsidiary, then adjusting for movements in the value of fixed assets, investment property and other long-term assets arising from intra-group transactions.

- The figure for this line item is added to net cash flows from investing activities."

c) Amendment to Clause 6 of Article 74 as follows:

"6. Cash received from recovery of capital investments in other entities - Code 26

- This line item reflects:

+ The total cash recovered from capital investments in external entities (through sale, partial withdrawal or liquidation of capital invested in other entities) during the reporting period (including cash recovered from receivables from preceding periods relating to the sale of equity instruments, and sale of artwork and collectibles held for capital appreciation), such as: cash recovered from investments and capital contributions in joint ventures, associates and other entities. Example: During the period, the parent company sold its investment in an associate for VND 3 billion, of which VND 2 billion was received in cash and VND 1 billion in Government bonds. The figure to be presented in this line item is VND 2 billion.

+ The net cash received from the full or partial disposal of a subsidiary resulting in loss of control during the reporting period, determined as the total cash received from the disposal of the subsidiary minus the total cash and cash equivalents held by the subsidiary at the disposal date. Example: The Parent Company sold a subsidiary for VND 75 billion, comprising VND 48 billion in bonds and VND 27 billion in cash. At the disposal date, the subsidiary had a cash balance of VND 13 billion. The figure to be presented in this line item is: VND 27 billion - VND 13 billion = VND 14 billion.

+ Cash received by the parent company from non-controlling shareholders outside the group from the sale of a portion of the shares of subsidiaries during the period (while retaining control); and cash received by subsidiaries from other shareholders outside the group from the sale of a portion of the shares of other subsidiaries within the group. Example: During the period, the parent company (or a subsidiary) sold a portion of its shareholding in another subsidiary to external shareholders for VND 1 billion, of which VND 800 million was received in cash and VND 200 million in fixed assets. This cash was received from external shareholders and increases the ownership percentage of non-controlling interests (but the total equity of the subsidiary remains unchanged). The figure to be presented in this line item is VND 800 million.

+ Cash recovered from receivables from preceding periods relating to the sale of equity investments in other entities.

- This line item does not reflect cash flows from the following transactions:

+ Cash received from the sale of shares held for trading purposes; the value of investments recovered using non-monetary assets, debt instruments or equity instruments of other entities; or amounts not yet received in cash.

+ Cash withdrawn from capital contributions in intra-group entities that reduces the equity of the entities from which capital is withdrawn. Example: Total equity of the subsidiary is VND 5 billion. During the period, the parent company decided to reduce the owner's investment capital in the subsidiary by cancelling a number of shares (or returning a portion of contributed capital). The cash received by the parent company of VND 1 billion is excluded from this line item and is not presented in the consolidated statement of cash flows.

+ Cash recovered from capital investments in other entities by subsidiaries acquired during the period (prior to the date on which they came under the parent company's control);

+ Capital withdrawals using non-monetary assets. Example: During the period, the group recovered its capital contribution from an associate, comprising VND 10 billion in cash and VND 4 billion in fixed assets. The figure to be presented in this line item is VND 10 billion.

- This line item is prepared based on:

+ The consolidated financial statements for the reporting period;

+ The statements of cash flows of the parent company and each subsidiary for the reporting period;

+ Reports of the parent company and each subsidiary on the recovery of capital investments in other entities for the reporting period.

- The figure for this line item is determined by: The figure for this line item is determined by: taking the total detailed proceeds from recovery or sale of capital investments in other entities during the period per the consolidated financial statements and other relevant documents, then:

+ Deducting capital recoveries not yet settled or settled using non-monetary assets.

+ Deducting capital recoveries from intra-group entities.

- Where no acquisition or disposal of subsidiaries occurred during the period, this line item may be prepared by aggregating the corresponding line item in the statements of cash flows of the parent company and each subsidiary, then eliminating capital recoveries from intra-group entities.

- The figure for this line item is added to net cash flows from investing activities."

d) Amendment to Clause 7 of Article 74 as follows:

"7. Cash received from loan interest, dividends and distributed profits - Code 27

- This line item reflects the cash received from loan interest income, deposit interest income, dividends and profit received from investing activities and capital contributions in external entities during the reporting period (including cash recovered from receivables from preceding periods relating to interest, dividends and distributed profits).

- This line item does not include:

+ Loan interest income, dividends and profit received from intra-group entities;

+ Loan interest income, dividends and profit received by subsidiaries before the date on which they came under the parent company's control;

+ Loan interest, dividends and profit receivable or received in the form of non-monetary assets or paid in shares.

+ Interest from demand deposits of the enterprise at banks.

- This line item is prepared based on:

+ The consolidated statement of financial position for the reporting period;

+ The statements of cash flows of the parent company and each subsidiary for the reporting period;

+ Reports of the parent company and each subsidiary on cash receipts of interest income, dividends and distributed profits from capital contributions in other entities for the reporting period.

- The figure for this line item is determined by: taking the total detailed cash receipts from interest income, dividends and distributed profits from capital contributions in other entities during the period per the consolidated statement of profit or loss and other comprehensive income and other relevant documents, then:

+ Deducting interest income, dividends and distributed profits from capital contributions in other entities during the period not yet received in cash or received in the form of non-monetary assets or shares;

+ Deducting interest income, dividends and distributed profits from intra-group entities.

+ Deducting loan interest income, dividends and profit received by subsidiaries before the date on which they came under the parent company's control.

- Where no acquisition or disposal of subsidiaries occurred during the period, this line item may be prepared by aggregating the corresponding line item in the statements of cash flows of the parent company and each subsidiary, then eliminating interest income, dividends and distributed profits from intra-group entities.

- The figure for this line item is added to net cash flows from investing activities.

Example: Determination of dividends and profits received in cash from joint ventures and associates (assuming the joint venture or associate does not pay dividends or profit in shares or non-monetary assets).

Consolidated statement of profit or loss and other comprehensive income for year 20X2:

Consolidated statement of financial position as at December 31, 20X2:

Determination of cash dividends received from joint ventures and associates:

14. Amendment to Article 75 as follows:

a) Amendment to Clause 2 of Article 75 as follows:

"32. Cash paid to return capital contributions to owners, to repurchase issued shares - Code 32

"This line item reflects the total amount of cash paid as a result of returning capital contributions to external owners of the group in the form of cash repayments or repurchases of the entity's own shares in cash for cancellation or use as treasury shares for issuance as bonus shares during the reporting period in accordance with law.

- This line item does not reflect:

+ Cash returned as capital contributions to intra-group entities;

+ Cash returned as capital contributions of subsidiaries acquired during the period (prior to the date on which they came under the parent company's control).

+ Returns of capital contributions to owners, repurchases of issued shares using non-monetary assets.

+ Capital contributions reduced to offset operating losses.

+ Cash repayments of the principal of preference shares classified as liabilities.

- This line item is prepared based on:

+ The consolidated financial statements for the reporting period;

+ The statements of cash flows of the parent company and each subsidiary for the reporting period, the notes to the consolidated financial statements and other relevant documents;

+ Reports of the parent company and each subsidiary on cash payments of capital contributions and repurchases of issued shares during the reporting period.

- The figure for this line item is determined by: taking the total amount paid (detailed payments of capital contributions to owners, repurchases of issued shares) by the parent company and each subsidiary during the period per the consolidated statement of financial position, then:

+ Deducting returns of capital contributions using non-monetary assets;

+ Deducting capital contributions reduced to offset operating losses;

+ Deducting cash returned as capital contributions to intra-group entities.

- Where no acquisition or disposal of subsidiaries occurred during the period, this line item may be prepared by aggregating the corresponding line item in the statements of cash flows of the parent company and each subsidiary, then eliminating returns of capital contributions to intra-group entities.

- The figure for this line item is deducted from net cash flows from financing activities and is presented as a negative number in parentheses: (***).”

b) Amendment to Clause 4 of Article 75 as follows:

"34. Cash payments of principal borrowings - Code 34 in the consolidated statement of cash flows:

"- This line item reflects the total amount of cash paid to external parties outside the group for repayment of principal borrowings, including repayment of the principal of ordinary bonds, convertible bonds or preference shares classified as liabilities during the reporting period. This line item also includes the amount paid by the seller to the buyer in Government bond repurchase transactions and other securities repo transactions.

- This line item does not reflect:

+ Cash repayments of principal borrowings to intra-group entities;

+ Cash repayments of principal borrowings of subsidiaries acquired during the period (prior to the date on which they came under the parent company's control).

+ Repayments of principal borrowings using non-monetary assets or conversions of borrowings to capital contributions.

- This line item is prepared based on:

+ The consolidated financial statements for the reporting period;

+ The statements of cash flows of the parent company and each subsidiary for the reporting period, the notes to the consolidated financial statements and other relevant documents;

+ Reports of the parent company and each subsidiary on principal repayments during the reporting period.

- The figure for this line item is determined by: taking the total principal repayments of the parent company and each subsidiary during the period, then:

+ Deducting principal repayments using non-monetary assets;

+ Deducting principal repayments to intra-group entities.

- Where no acquisition or disposal of subsidiaries occurred during the period, this line item may be prepared by aggregating the corresponding line item in the statements of cash flows of the parent company and each subsidiary, then eliminating principal repayments to intra-group entities.

- The figure for this line item is deducted from net cash flows from financing activities and is presented as a negative number in parentheses: (***).”

1. Annulment of Clause 3 of Article 57.

2. Replace the phrase "các đơn vị trực thuộc không có tư cách pháp nhân hạch toán phụ thuộc" ("dependent accounting subordinate units without legal entity status") in Clause 3, Article 1 with "các đơn vị trực thuộc" ("subordinate units").

3. Replace the phrase "Bảng cân đối kế toán" ("balance sheet") in Articles 4, 10, 11, 13, 14, 15, 17, 21, 22, 23, 26, 30, 31, 33, 48, 50, 52, 53, 56, 59, 65, 66, 68, 69, 70, 72, 73, 74, 75 and 76 with "Báo cáo tình hình tài chính" ("consolidated statement of financial position").

4. Replace the phrase "Thặng dư vốn cổ phần" ("share premium on ordinary shares") in Articles 14, 16, 22 and 75 with "thặng dư vốn" ("share premium").

5. Replace the phrase "Chi phí trả trước" ("prepaid expenses") in Articles 32 and 73 with "Chi phí chờ phân bổ" ("deferred expenses").

6. Replace the phrase "Cổ phiếu quỹ" ("treasury shares") in Articles 17 and 75 with "Cổ phiếu mua lại của chính mình" ("repurchased own shares").

7. Replace the phrase "Dự phòng đầu tư tài chính dài hạn" ("provision for long-term financial investments") in Article 37 with "dự phòng tổn thất đầu tư vào đơn vị khác dài hạn" ("long-term provision for impairment of investments in other entities").

8. Replace the phrase "Chi phí lãi vay" ("interest expense") in Article 73 with "Chi phí đi vay" ("borrowing costs"); replace the phrase "Tiền lãi vay" ("loan interest") in Article 73 with "Chi phí đi vay" ("borrowing costs").

9. Replace the phrase "Phải trả theo tiến độ kế hoạch hợp đồng xây dựng" ("payables under planned construction contract progress") in Article 73 with "Phải trả theo tiến độ hợp đồng xây dựng" ("payables under construction contract progress").

10. Replace the phrase "Phải thu theo tiến độ kế hoạch hợp đồng xây dựng" ("receivables under planned construction contract progress") in Article 73 with "Phải thu theo tiến độ hợp đồng xây dựng" ("receivables under construction contract progress").

11. Replace Appendix 1 issued together with Circular No. 202/2014/TT-BTC with Appendix I issued together with this Circular. The line items "Short-term deferred revenue" and "Long-term deferred revenue" in the consolidated financial statements correspond to the line items "Short-term deferred revenue" and "Long-term deferred revenue" in the separate financial statements and shall take the corresponding figures from the "Short-term deferred revenue" and "Long-term deferred revenue" line items in the separate financial statements.

12. Replace Appendix 2 issued together with Circular No. 202/2014/TT-BTC with Appendix II issued together with this Circular.

1. This Circular comes into force from the date of signing and applies to the preparation and presentation of consolidated financial statements for financial years commencing on or after January 1, 2026.

2. Where, due to first-time application of legal regulations or Vietnam Accounting Standards or the Enterprise Accounting Regime, there is no requirement for retrospective adjustment or simple retrospective restatement, the prospective adjustment method may be applied. Where an enterprise voluntarily changes an accounting policy, retrospective application of that accounting policy change is required.

3. Ministries, sectors, People's Committees, Departments of Finance, and Tax Departments of provinces and centrally-affiliated cities are responsible for organizing and guiding enterprises in implementing this Circular. Any difficulties arising during the implementation of this Circular should be reported to Ministry of Finance for consideration./.