Date: 21 January 2021
Writer: Thanh Dang
The disclosure of financial statements and annual reports from 2021 onwards shall comply with Circular No. 96/2020/TT-BTC (in replace of the Circular No. 155/2015/TT-BTC) on disclosure of information, thus public companies are no longer granted an extension for the deadline for disclosure of information by the State Securities Commission (the “SSC”). Circular No. 96/2020/TT-BTC takes effect from 01 January 2021.
Since this new circular has abolished terms on an extension for disclosure of information, the public companies shall duly disclose information on time, specifically as follows:
- In terms of the audited annual financial statement, it shall be disclosed within 10 days from the day on which the auditor’s report is signed by the audit organization and within 90 days from the end of the fiscal year. The annual report shall be disclosed within 20 days from the date of the disclosure of its audited annual financial statement (According to Article 10.1 (c) and Article 10.2 of the Circular No. 96/2020/TT-BTC).
- In terms of the quarterly financial statement, it shall be disclosed within 20 days from the end of the quarter and attached with explanation for the occurrence of 10% or above-change or changing from a positive number to a negative number in profits after tax in comparison with the same reporting period in the previous year and vice versa, or 5% or above-change in profits after tax with changing from a positive number to a negative number in the interval between the prior to and after audit and vice versa. (According to Article 14.3 (c) and Article 14.4 of the Circular No. 96/2020/TT-BTC).
- However, in terms of financial statements and annual reports of the fiscal year 2020, the SSC still considers granting an extension subject to the former circular (the Circular No. 155/2015/TT-BTC). (according to Article 40.2 of the Circular No. 96/2020/TT-BTC). Specifically, in case of failure to disclose information on time, the public companies may submit an extension to the SSC to be granted 10-15 extra days.
You can see more clarification on our following infographic: