The HCMC education department slapped the ban since the school lacks resources to continue operations.
AISVN had asked students' families to donate VND9.5-25.5 million (US$373-1,002) each to sustain operations. While around 750 families donated VND31 billion, AISVN has said publicly it needs at least VND125 billion.
In March a majority of the school's teachers went on strike to protest delayed salary payment, and prevented students from attending classes.
The school later reached out to parents, asking for money to pay teachers' salaries and maintain operations during the academic year ending mid-May. But since it could not raise the expected amount, it announced in April that it would end its academic year that month.
Some parents said they are still waiting for a solution from the school and education department since they did not want their children to switch schools after having already paid the tuitions.
But others are now looking for other schools options.
AISVN, established in 2006, provides curriculums under the IB program.
It charges fees of VND280-350 million a year for kindergarteners, VND450-500 million at the primary school level and VND600-725 million at the middle- and high-school levels.
It had around 130 foreign and 26 Vietnamese teachers and over 100 other employees last school year.
The school's owner Nguyen Thi Ut Em has been involved a travel ban over tax debt.