What are procedures for e-invoice cancellation in Vietnam?

What are procedures for e-invoice cancellation in Vietnam?

Case 1: The e-invoice has been coded by the tax authority but has not been sent to the buyer and contains errors.

Upon discovering that the e-invoice has been coded but contains errors, and the seller has not sent it to the buyer, the invoice should be canceled. Below is a specific process for canceling the invoice:

Step 1: Notify the tax authority about the erroneous invoice

The seller must notify the tax authority by using Form No. 04/SS-HDDT according to Appendix IA of Decree 123/2020/ND-CP. The notification content will involve canceling the e-invoice that has been coded and contains errors, and then issuing a new e-invoice. This new invoice will be digitally signed and sent to the tax authority to obtain a replacement code for the previously issued invoice, to send it to the buyer.

Form No. 04/SS-HDDT....download

Step 2: Issue a new e-invoice

The accountant issues a new e-invoice as usual.

Digitally sign and send it to the tax authority to obtain a new invoice code, replacing the issued invoice.

Step 3: Cancel the notified erroneous invoice

Select the erroneous invoice and proceed to delete or cancel this invoice.

Step 4: Prepare a cancelation agreement record

Prepare a record confirming the cancellation of the invoice with the buyer to mitigate risks when the tax authority inspects.

Step 5: Lookup

Check whether the acceptance notification from the tax authority has been received.

Access the website http://tracuuhoadon.gdt.gov.vn/ to confirm the invoice status.

Case 2: Handling remaining paper invoices when switching to e-invoices according to Decree 123/2020/ND-CP

According to Article 27 of Decree 123/2020/ND-CP on the destruction of printed invoices purchased from the tax authority, the process and procedure for destroying paper invoices are carried out as follows:

- The invoice destruction dossier includes:

+ Decision on the establishment of an Invoice Destruction Council (not applicable to households, individuals conducting business).

+ Inventory list of invoices to be destroyed, clearly stating the details: name of the invoice, model code of the invoice, invoice symbol, quantity of invoices to be destroyed (from number... to number... or list each number in detail if not continuous).

+ Record of invoice destruction.

+ Notification of the result of invoice destruction according to Form No. 02/HUY-HDG in Appendix IA attached to Decree 123/2020/ND-CP.

Form No. 02/HUY-HDG....download

- Invoice destruction procedure includes the following steps:

Step 1: Establish an Invoice Destruction Council (not applicable to households, individuals conducting business). The Council should include representatives from the leadership and the accounting department of the organization.

Step 2: Prepare an inventory list of invoices to be destroyed.

Step 3: Prepare a record of invoice destruction. All members of the Council must sign the record and bear responsibility before the law for its accuracy.

Step 4: Make a notification of the result of invoice destruction:

+ Quantity: 2 copies (one copy for record-keeping, one copy to send to the tax authority).

+ Deadline for sending the notification: no more than 5 days from the date of invoice destruction procedure.

- When destroying paper invoices, businesses must adhere to the deadline for invoice destruction as stipulated in Clause 1, Article 27 of Decree 123/2020/ND-CP

+ The deadline for invoice destruction is no more than 30 days from the date of notification to the tax authority.

+ If the tax authority notifies that the invoice is no longer valid (except in cases of tax debt enforcement), the business must destroy the invoice within 10 days from receiving the notification.

Information is for reference only.

What are procedures for e-invoice cancellation in Vietnam? (Image from the Internet)

What is the format of an e-invoice in Vietnam?

According to Clause 2, Article 12 of Decree 123/2020/ND-CP, the components of an e-invoice are regulated as follows:

Format of e-Invoice

1. The format of an e-invoice is the technical standard specifying data types and data lengths of information fields for transmitting, storing, and displaying e-invoices. The e-invoice format uses the XML document format language (XML stands for "eXtensible Markup Language" created to share e-data between information technology systems).

2. The format of an e-invoice includes two components: the component containing e-invoice business data and the component containing digital signature data. For e-invoices with tax authority codes, there is an additional component containing data related to the tax authority code.

3. The General Department of Taxation constructs and announces the components containing e-invoice business data, digital signature data, and provides a tool to display the contents of e-invoices as prescribed by this Decree.

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Thus, according to the above regulation, the format of an e-invoice includes two components.

What are requirements for authenticated e-invoice in Vietnam?

According to Clause 2, Article 17 of Decree 123/2020/ND-CP, the requirements for authenticated e-invoice must be ensured as follows:

- Full content of e-invoices according to Article 10 of Decree 123/2020/ND-CP.

- Correct format of e-invoices according to Article 12 of Decree 123/2020/ND-CP.

- Correct registration information according to Article 15 of Decree 123/2020/ND-CP.

- Not in cases of suspension of using e-invoices with codes of the tax authority according to Clause 1, Article 16 of Decree 123/2020/ND-CP.