For whom will the tax authority-ordered printed invoices be sold in Vietnam?

Vietnam: For whom will the tax authority-ordered printed invoices be sold?

tax authority-ordered printed invoices will be sold to the individuals specified under Article 23 of Decree 123/2020/ND-CP as follows:

Provincial and centrally-affiliated city Tax Departments (hereinafter referred to as Tax Departments) print invoices to sell to the following entities:

- Enterprises, economic organizations, households, and individual businesses specified in Clause 1, Article 14 of Decree 123/2020/ND-CP in cases where enterprises, economic organizations, households, and individual businesses do not transact with tax authorities through electronic means, lack IT infrastructure, lack accounting software, or lack software for creating e-invoices to use e-invoices and to transmit e-invoice data to buyers and to tax authorities.

+ Enterprises, economic organizations, households, and individual businesses purchase invoices from tax authorities for up to 12 months, while tax authorities provide solutions to gradually transition to the application of e-invoices.

+ When transitioning to using e-invoices, enterprises, economic organizations, households, and individual businesses must register to use e-invoices with a tax authority code or e-invoices without a tax authority code (if eligible) according to regulations at Article 15 of Decree 123/2020/ND-CP.

- Enterprises, economic organizations, households, and individual businesses during the period when the IT infrastructure system for issuing tax authority invoice codes encounters issues as prescribed in Clause 2, Article 20 of Decree 123/2020/ND-CP.

For whom will the tax authority-ordered printed invoices be sold in Vietnam? (Image from the Internet)

What are regulations on selling tax authority-ordered printed invoices in Vietnam?

Pursuant to Article 24 of Decree 123/2020/ND-CP stipulating the sale of tax authority-ordered printed invoices as follows:

- Enterprises, economic organizations, households, and individual businesses eligible to purchase invoices from the tax authority must submit a written request to purchase invoices (according to Form No. 02/DN-HDG Appendix IA issued with the Decree) to the tax authority with the following attached documents:

+ The invoice purchaser (the individual named in the request or the person authorized by the business entity or household business or authorized by power of attorney according to the law) must present a valid ID card or citizen ID card as prescribed by law.

+ Enterprises, economic organizations, households, and individual businesses purchasing invoices for the first time must have a declaration of commitment (according to Form No. 02/CK-HDG Appendix IA issued with this Decree) regarding the production and business address compatible with the business registration certificate, branch registration certificate, household business registration certificate, taxpayer registration certificate, tax code notification, investment registration certificate, cooperative registration certificate, or decision on establishment by the competent authority.

+ When buying invoices, enterprises, economic organizations, households, and individual businesses purchasing invoices issued by the tax authority must bear the responsibility to record or stamp: name, address, tax code on the second sheet of each invoice before removing it from the tax authority.

- The tax authority sells invoices to enterprises, economic organizations, households, and individual businesses on a monthly basis.

+ The quantity of invoices sold to enterprises, economic organizations, households, and individual businesses for the first time shall not exceed a 50-number book for each type of invoice. If the initial purchase is exhausted before the month ends, the tax authority bases the next sales volume on the duration and quantity of already utilized invoices.

+ For subsequent purchases, after reviewing the usage of invoices, tax declaration status, and the invoice purchase request in the invoice purchasing request, the tax authority resolves to sell invoices to enterprises, economic organizations, households, and individual businesses within the day. The number of invoices sold does not exceed the amount used in the previous month of purchase.

+ Enterprises, economic organizations, households, and individual businesses eligible to purchase invoices issued by the tax authority transitioning to using e-invoices must cease using invoices purchased from the tax authority from the date they start using e-invoices in accordance with Article 15 of Decree 123/2020/ND-CP.

+ In cases where households or individuals do not require booklet invoices but need invoice usage, the tax authority shall issue e-invoices for each occurrence as per Clause 2, Article 13 of Decree 123/2020/ND-CP.

- Invoices printed by the Tax Department for sale are publicly announced on the General Department of Taxation’s portal and prior to the initial sales, the Tax Department must issue a notification of invoice issuance according to Form No. 02/PH-HDG Appendix IB of this Decree with the sample invoice on the General Department of Taxation’s portal.

+ The content of the Invoice Issuance Notification includes: The name of the Tax Department issuing the invoice, tax code, address, phone number, types of invoices issued (name of invoice type, invoice symbol, form number symbol, start date of use, number of invoices launched (from number... to number...)), the name and tax code of the enterprise printing the invoice (for printed invoices); date of issuance, name, signature of legal representative, and stamp of the unit.

+ Sample invoices are printed documents that accurately display all criteria on the sheets of the invoice given to a buyer, with the invoice number as a series of zeros and the word “Sample” printed or stamped on the invoice paper.

+ The Invoice Issuance Notification, including the sample invoice, must be clearly posted at tax department branches throughout the invoice usage period.

+ In case of any changes in the content notified of issuance or sample invoice, the Tax Department must undertake procedures for a new issuance notification.

- Printed paper invoices by the Tax Department are sold at prices that cover actual costs, not for profit-making purposes. The Director of the Tax Department decides and lists the invoice sale price based on the abovementioned principles, and tax authorities at all levels are prohibited from collecting any additional fees beyond the listed sale price. All units under the Tax Department sell, issue the same type of invoice as issued by the Tax Department.

What are regulations on handling issued invoices purchased from tax authorities in Vietnam?

According to Article 25 of Decree 123/2020/ND-CP stipulated as follows:

- Enterprises, economic organizations, households, and individual businesses approved by the tax authority to suspend the use of tax identification numbers must stop using unused types of invoices.

- The directly managing tax authority issues notifications about the loss of validity of unused invoices if enterprises, economic organizations, households, and individual businesses are no longer operating at the registered business location or voluntarily cease operations.

- In cases of transitioning to using e-invoices, enterprises, economic organizations, households, and individual businesses approved by the tax authority to use e-invoices must destroy purchased invoices from the tax authority pursuant to Article 27 of Decree 123/2020/ND-CP before using e-invoices.