Headlines 09/07/2020 17:14 CH

2020 Law on Enterprises officially in force from January 1, 2021

Quý Tân

2020 Law on Enterprises was adopted in the 9th meeting of the XIVth National Assembly held on June 17, 2020, including certain significant regulations as follows:

- Changing the interpretation of a state enterprise. A state enterprise is an enterprise of which 50 percent of the charter capital and total voting shares is held by the State as provided in Article 88 in the 2020 Law on Enterprises.

Under current regulations laid down in the 2014 Law on Enterprises, a state enterprise is an enterprise 100 percent of the charter capital is held by the State.

- Abolishing regulations regarding the notice of corporate stamp specimens before use. 

Under the 2014 Law on Enterprises, before use of corporate stamps, enterprises are required to inform business registries of sample corporate stamps so that they are publicly posted on the National Corporate Registration Information Portal.

- Adding one entity prohibited from establishing and managing enterprises: An entity which is a legal commercial person prohibited from business and operation in certain particular sectors prescribed in the Penal Code. 

For more details, please read the 2020 Law on Enterprises (entering into force on January 1, 2021).

>> CLICK HERE TO READ THE ARTICLE IN VIETNAMESE

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