Shall a manufacturing company issue an tax invoice for samples in Vietnam?

Shall a manufacturing company issue an tax invoice for samples in Vietnam?

According to Clause 1, Article 4 of Decree 123/2020/ND-CP, the regulations are as follows:

Principles of issuing, managing, and using invoices, records

1. When selling goods or providing services, the seller must issue an invoice to deliver to the buyer (including cases where goods or services are used for promotion, advertisement, samples; goods or services are used for gifts, exchange, or payment replacement for employees and internal consumption (except for internally circulated goods to continue the production process); to export goods in forms of loan, borrowing or returning goods) and must complete the content as prescribed in Article 10 of this Decree, in case of using electronic invoices, it must follow the standard data format of the tax authority as prescribed in Article 12 of this Decree.

2. When deducting personal income tax, when collecting taxes, fees, charges, the tax withholding organization, fee, charge collection organization, tax collection organization must issues a tax deduction record, a tax, fee, charge receipt to hand over to the income earner who is subject to tax deduction, the taxpayer, fee payer, charge payer and must complete all contents as prescribed in Article 32 of this Decree. In case of using electronic receipts, they must follow the standard data format of the tax authority. If an individual authorizes the tax settlement, no personal income tax deduction record is issued.

For individuals not signing labor contracts or signing labor contracts for less than three months, the organization or individual paying income can choose to issue a tax deduction record for each tax deduction or a single tax deduction record for multiple tax deductions in a tax period. For individuals signing labor contracts for three months or more, the organization or individual paying income issues only one tax deduction record for an individual in a tax period.

3. Before using invoices, receipts, businesses, economic organizations, other organizations, households, and individual businesses, tax, fee, charge collection organizations must register for usage with the tax authorities or perform a notice of issuance as prescribed in Articles 15, 34, and Clause 1, Article 36 of this Decree. For invoices, receipts printed by tax authorities, the tax authority performs a notice of issuance according to Clause 3, Article 24 and Clause 2, Article 36 of this Decree.

4. Organizations, households, and individual businesses in the course of using must report on the situation of using purchased invoices from tax authorities, report on the situation of using printed, self-printed, or purchased receipts from tax authorities as prescribed in Article 29, Article 38 of this Decree.

5. The registration, management, use of electronic invoices, electronic records must comply with the legal regulations on electronic transactions, accounting, tax, tax management, and the regulations in this Decree.

6. Invoice data, records when selling goods, providing services, record data when conducting tax payment transactions, tax deductions, and payments of taxes, fees, charges serve as the basis data for tax management and providing invoice, record information to related organizations, individuals.

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Therefore, based on the above provisions, the company providing sample goods to customers must issue invoices according to regulations.

Shall a manufacturing company issue an tax invoice for samples in Vietnam? (Image from Internet)

What are prohibited acts related to invoices in Vietnam?

According to Article 5 of Decree 123/2020/ND-CP, the following prohibited acts must be avoided when issuing invoices for taxes:

* For tax officials

- Causing trouble and difficulties for organizations, individuals coming to purchase invoices, records;

- Covering up or colluding with organizations, individuals to use illegal invoices, records;

- Accepting bribes when inspecting, checking invoices.

* For organizations, individuals selling, supplying goods, services, organizations, individuals with related rights and obligations

- Performing fraudulent acts such as using illegal invoices, using invoices illegally;

- Obstructing tax officials in performing their duties, specifically actions that cause harm to the health, dignity of tax officials when inspecting, checking invoices, records;

- Illegally accessing, falsifying, destroying information systems on invoices, records;

- Giving bribes or performing other acts related to invoices, records for illicit gains.

What are regulations on storage of invoices in Vietnam?

According to Article 6 of Decree 123/2020/ND-CP, the regulations are as follows:

Storage, retention of invoices, records

1. Invoices, records must be stored, retained to ensure:

a) Safety, confidentiality, integrity, completeness, without change, falsification during the storage period;

b) Stored correctly and sufficiently within the time limit prescribed by accounting law.

2. Electronic invoices, electronic records are stored, retained by electronic means. Agencies, organizations, individuals have the right to choose and apply the method of storing, preserving electronic invoices, electronic records suitable with their operation characteristics and technological application capability. Electronic invoices, electronic records must be ready to print on paper or searchable upon request.

3. Invoices printed by tax authorities, printed records, self-printed must be stored, retained in accordance with the following requirements:

a) Unissued invoices, records must be stored, retained in warehouses according to the policies of storing and preserving valuable records.

b) Issued invoices, records in accounting units are stored in accordance with the regulations on storing, preserving accounting records.

c) Issued invoices, records in organizations, households, individuals that are not accounting units are stored and retained as private assets of those organizations, households, individuals.

Therefore, tax invoices must be stored in accordance with the legal requirements.