What is the guidance for handling errors in invoices in Vietnam according to Decree 123?

What is the guidance for handling errors in invoices in Vietnam according to Decree 123?

According to Article 19 of Decree 123/2020/ND-CP, the specific regulations for handling invoice errors are as follows:

- In case the seller discovers an error in an e-invoice that has been issued a code by the tax authority but has not been sent to the buyer, the seller must notify the tax authority using Form No. 04/SS-HDDT Appendix IA issued with this Decree regarding the cancellation of the erroneous coded e-invoice and create a new e-invoice, digitally sign it, and send it to the tax authority to issue a new code for the invoice to be sent to the buyer. The tax authority will cancel the erroneous coded e-invoice stored in the tax system.

- In case an e-invoice with or without a tax authority code has been sent to the buyer and either the buyer or seller finds an error, it is addressed as follows:

- In case there is an error in the buyer's name or address but not in the tax code, and other contents are correct, the seller informs the buyer of the erroneous invoice without needing to re-issue an invoice. The seller must notify the tax authority about the e-invoice error using Form No. 04/SS-HDDT Appendix IA issued with this Decree, except in cases where unauthenticated e-invoices have not yet sent the invoice data to the tax authority.

+ In cases where there is an error: tax code; monetary amounts listed on the invoice, tax rates, taxes, or goods listed are incorrect regarding specifications or quality, one of two methods for using the e-invoice can be chosen:

++ The seller issues an e-invoice to adjust the already issued invoice with errors. If the seller and buyer agree to have a written consent before issuing the adjustment invoice, they should draft an agreement clearly stating the errors, followed by the seller issuing the e-adjustment invoice for the erroneous one.

++ The e-invoice adjusting a previously issued erroneous invoice must include the statement “Adjustment for invoice Model No... sign... number... date... month... year”.

++ The seller may issue a new e-invoice to replace the erroneous e-invoice unless there's an agreement between the seller and buyer to draft a written consent before issuing a replacement invoice, stating the errors, followed by the seller issuing a replacement e-invoice for the erroneous one.

++ The new e-invoice replacing the previously issued erroneous one must include the statement “Replace for invoice Model No... sign... number... date... month... year”.

++ The seller digitally signs the new e-adjustment or replacement invoice, then sends it to the buyer (for invoices without a tax authority code) or to the tax authority so that the tax authority can issue a code for the new e-invoice to be sent to the buyer (for invoices with a tax authority code).

+ For the aviation industry, the invoice for exchange or refund of airline transport documents is considered an adjustment invoice without needing the information “Adjust increase/decrease for invoice Model No... sign... date... month... year”. Airlines are allowed to issue their own invoices for refund, exchange cases of transport documents issued by agents.

- If the tax authority discovers an e-invoice with or without their code contains errors, they will notify the seller using Form No. 01/TB-RSDT Appendix IB issued with this Decree for the seller to check the errors.

- According to the notification deadline on Form No. 01/TB-RSDT Appendix IB, the seller must notify the tax authority using Form No. 04/SS-HDDT in Appendix IA issued with this Decree about checking the erroneous invoice.

- If the notification deadline on Form No. 01/TB-RSDT Appendix IB expires and the seller does not notify the tax authority, the tax authority will continue with a second notification to the seller using Form No. 01/TB-RSDT Appendix IB. If the second notification deadline expires and the seller does not respond, the tax authority will consider proceeding with an audit on the use of e-invoices.

- Within one working day, the tax authority will notify about the receipt and result of handling. Canceled e-invoices are no longer valid but are kept for reference.

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

Form No. 01/TB-RSDT.....download

What is the guidance for handling errors in invoices in Vietnam according to Decree 123? (Image from the Internet)

What are the seller's responsibilities when using authenticated e-invoices in Vietnam?

According to Article 21 of Decree 123/2020/ND-CP, the specific responsibilities of sellers using authenticated e-invoices are as follows:

- Manage the names and passwords of accounts issued by the tax authority.

- Create e-invoices for the sale of goods and services to send to the tax authority for coding, and bear legal responsibility for the legality and accuracy of the e-invoices.

- Send authenticated e-invoices to the buyer immediately after receiving them from the tax authority.

What are requirements of authenticated e-invoices in Vietnam?

According to Clause 2, Article 17 of Decree 123/2020/ND-CP, the requirements for authenticated e-invoices are as follows:

- Include all contents of e-invoices as prescribed in Article 10 of Decree 123/2020/ND-CP.

- Follow the correct format for e-invoices as specified in Article 12 of Decree 123/2020/ND-CP.

- Match the registered information as stipulated in Article 15 of Decree 123/2020/ND-CP.

- Not be in the case of suspension from using authenticated e-invoices as defined in Clause 1, Article 16 of Decree 123/2020/ND-CP.