What are 4 criteria for e-invoice data receipt, transmission and storage service provider in Vietnam?

What are 4 criteria for e-invoice data receipt, transmission and storage service provider in Vietnam?

Based on Clause 2, Article 10 of Circular 78/2021/TT-BTC, regulations on 4 criteria for organizations providing services for the receipt, transmission, and storage of e-invoice data are as follows:

Criterion [1] Regarding the Entity:

- Is an organization established under Vietnamese law, with a minimum of 5 years of operation in the field of information technology;

- Information about e-invoice services is made public on the organization's website;

Criterion [2] Regarding Finance:

- Has a deposit at a legally operating bank in Vietnam or a guarantee from a legally operating bank in Vietnam with a value not less than 5 billion VND to address risks and compensate for damages that may occur during service provision;

Criterion [3] Regarding Personnel: Has at least 20 personnel with a university degree in information technology;

Criterion [4] Regarding Technology: Possesses technical infrastructure, IT equipment, and software systems meeting the requirements:

- Provides solutions for initiating, processing, and storing e-invoice data with the code of the tax authority in accordance with the laws on e-invoices and related laws;

- Has solutions for connecting, receiving, transmitting, and storing e-invoice data with the service provider organizations with and without the tax authority’s code for the buyer and seller; solutions for connecting, receiving, transmitting, and storing e-invoice data with the tax authority. The data receipt and transmission process must be logged to serve reconciliation work;

- The technical infrastructure system providing e-invoice services operates in both a primary data center and a backup data center. The backup center is at least 20km away from the primary data center and ready to function when the main system encounters issues;

- Has the capability to detect, alert, and prevent unauthorized access and network attacks to ensure the security and integrity of data exchanged among participants;

- Has a data backup and recovery system;

- Connects with the General Department of Taxation through a dedicated leased line or MPLS VPN Layer 3 or equivalent channel, comprising 1 main transmission channel and 2 backup transmission channels. Each channel must have a minimum bandwidth of 20 Mbps; uses Web Service or Queue with encryption as a connection method; uses the SOAP/TCP protocol to package and transmit data.

What are 4 criteria for e-invoice data receipt, transmission and storage service provider in Vietnam? (Image from the Internet)

Are tax authorities encouraged to provide e-invoice data receipt, transmission and storage services in Vietnam?

Based on Clause 5, Article 11 of Circular 78/2021/TT-BTC, it is regulated as follows:

Effective Date

...

5. Implementation roadmap for the tax authority's e-invoice management system:

a) The General Department of Taxation is responsible for investing, upgrading the technical infrastructure of the e-invoice system to be ready to receive proposals and connect with all service provider organizations of e-invoices that meet all criteria according to the regulations in Clause 2, Article 10 of this Circular from July 1, 2022. For organizations and individuals wishing to implement e-invoices before July 1, 2022, the General Department of Taxation is responsible for utilizing all resources of the existing IT infrastructure to implement. Encourages capable organizations to participate in providing services for receipt, transmission, and storage of e-invoice data with the tax authority.

b) The General Department of Taxation is responsible for announcing the roadmap, base for selecting organizations providing e-invoice services connecting with the tax authority to ensure transparency. In case the number of organizations meeting all criteria as specified in Clause 2, Article 10 of this Circular and wishing to connect with the tax authority exceeds the system's capability, the General Department of Taxation shall base on customers' information using e-invoice services of the organization as of August 31, 2021 (according to tax authority's management information) to select an organization with a large customer base and sign contracts to provide services for receipt, transmission, and storage of e-invoice data as regulated in Clause 3, Article 10 of this Circular.

Therefore, in compliance with the above regulation, the tax authority will encourage participation in providing services for receipt, transmission, and storage of e-invoice data.

May individual business issue e-invoices separately in Vietnam?

Based on Article 6 of Circular 78/2021/TT-BTC, it is stipulated as follows:

Application of e-invoices to Some Other Cases

1. Transmitting e-invoice data without codes to the tax authority in cases prescribed in point a.2, clause 3, Article 22 of Decree 123/2020/ND-CP is as follows: After creating invoices with full details, sellers send e-invoices to buyers and simultaneously send e-invoices to tax authorities, no later than the same day as sent to buyers.

2. Business households, individuals use e-invoices including:

a) Business households, individuals paying tax by the declaration method must use e-invoices;

b) Business households, individuals paying tax by the presumptive method if requested to use invoices, then the tax authority issues separate e-invoices for separately;

c) Business households, individuals filing taxes for separately if requested to use invoices, then the tax authority issues separate e-invoices for each occasion.

Therefore, in accordance with the above regulation, individuals conducting business on separately are allowed to use e-invoices.