In this article
Accounting service contracts often say little more than "Party B performs accounting and tax filing for Party A". For an FDI company with group reporting deadlines and an annual audit, that is far too vague to manage. An accounting service SLA (Service Level Agreement) turns expectations into measurable indicators. This article lists the clauses you should include, compiled by the accounting services team at ACCA Consulting Vietnam.
1. What is an accounting service SLA and where does it sit in the contract?
The SLA is an appendix to the service contract describing what is delivered, when, to what quality and what happens if targets are missed. Keeping the SLA as a separate appendix lets both parties update the indicators each year without amending the main contract.
A good SLA has three features: indicators measurable with data (days, hours, number of errors), reciprocal obligations for the company (deadlines for sending documents), and a periodic review mechanism.
2. Six groups of clauses to include
| Clause group | Content | Sample KPI (for reference) |
|---|---|---|
| Reporting deadlines | Monthly reports, reporting package, payroll | Reporting package sent by 17:00 on WD5 |
| Tax filings | Prepare returns and send them to the company for approval before the statutory deadline | Draft monthly VAT return sent before the 15th of the following month (filing deadline the 20th) |
| Accuracy | Number of adjusting entries caused by the provider's errors | No more than 2 error-related adjusting entries per month |
| Response | Response time to emails and to questions from the group and auditors | Response within 1 working day; complex questions get a response schedule |
| Data security | Access rights, storage, data deletion at termination | Individual accounts for each user, two-factor authentication, handover and deletion within the agreed period |
| Liability | Penalties, compensation, limitation of liability | The provider bears administrative penalties arising from its own errors, within the agreed cap |
The company's reciprocal obligations
An SLA is only fair if the company also commits: sending documents by WD2, approving payroll by the agreed date, and granting view-only access to e-banking and e-invoices. If the company sends documents late, the provider's deadlines are pushed back accordingly.
3. A sample KPI set and how to track it
You do not need many indicators. Five or six KPIs tracked on a shared spreadsheet are enough. The chart below is an illustrative example of a quarterly tracker.
Illustrative example of a hypothetical tracker; not actual data from any client.
View as table
| Target | Actual | |
|---|---|---|
| Monthly reports on time | 100% | 100% |
| Returns sent for approval before the internal deadline | 100% | 100% |
| Emails answered within 1 working day | 95% | 92% |
| Entries not requiring adjustment | 98% | 99% |
| Bank reconciliation completed by WD2 | 100% | 96% |
When an indicator is missed (such as the example of 92% email responses against a 95% target), the SLA should require the provider to explain the cause and a remediation plan at the quarterly meeting before any penalty is applied.
4. The annual SLA operating calendar
- Monthly
The provider sends the KPI tracker together with the monthly report.
- Quarterly
KPI review meeting, recording issues and corrective actions; reconciliation of provisional corporate income tax (CIT/TNDN) payments (due on the 30th of the first month of the following quarter).
- Before 31 March
Separate tracking of progress on CIT and personal income tax (PIT/TNCN) finalization and the audited annual financial statements.
- Annually
Overall review; update volumes, fees and indicators for the following year.
5. Common mistakes when drafting an SLA
- Unmeasurable indicators: "professional service", "quick response". Replace them with hours, days and error counts.
- Uncapped penalties: these lead good providers to decline or raise their prices. Include a cap and exclude errors caused by the company.
- Not stating who signs and files: returns are digitally signed by the company; the provider prepares them and sends them for approval. Spell this out to avoid disputes over responsibility.
- Forgetting data at contract termination: include a handover clause; see the accounting handover checklist.
- Every clause has at least one measurable indicator
- The company's document submission deadlines are included
- There is an error reporting and remediation process
- There is a clear limitation of liability and exclusions
- There are confidentiality and data-handling-on-termination clauses
- There is a periodic review schedule
FAQ
Does the accounting provider pay tax penalties on behalf of the company?
Legally, the company is the taxpayer and bears penalties vis-à-vis the tax authority. The contract may provide that the provider reimburses penalties caused by its own errors, within an agreed cap.
Should the SLA set response times of a few hours?
It depends on your needs. Most FDI companies choose 1 working day for routine questions, with a separate channel for urgent matters during the finalization season.
Does a small company need an SLA?
Yes, even a short version with 3–4 indicators: return deadlines, reporting deadlines, response time and confidentiality.
How often should the SLA be updated?
Annually, or when transaction volumes, group requirements or tax rules change significantly.
Need a sample SLA appendix for your accounting contract?
ACCA Consulting Vietnam advises on an SLA indicator set suited to the size of your FDI company. Contact our accounting services team in Ho Chi Minh City to discuss.
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