What is the minimum value of an invoice for sale of goods in Vietnam?

What is the minimum value of an invoice for sale of goods in Vietnam?

Based on Clause 1, Article 90 of the Law on Tax Administration 2019, there are specific provisions regarding the principles of making, managing, and using electronic invoices as follows:

Principles of making, managing, using electronic invoices

1. for sale of goods or providing services, the seller must issue an electronic invoice to deliver to the buyer in the standard data format and must record full content as prescribed by tax law and accounting law, regardless of the value of each sale or service provision.

...

Simultaneously, according to the provision at Clause 1, Article 4 of Decree 123/2020/ND-CP, specific regulations on the principles of making, managing, using invoices, and vouchers are as follows:

Principles of making, managing, using invoices, vouchers

1. for sale of goods or providing services, the seller must issue an invoice to deliver to the buyer (including cases of goods, services used for promotion, advertising, samples; goods, services given as gifts, exchanged, paid as salaries to employees, and internal consumption (except for internal circulation goods to continue the production process); goods exported in forms of lending, borrowing, or returning goods) and must record full 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.

...

Thus, according to the above regulations, when trading goods, regardless of the value, an invoice can be made, including promotion, advertising, gifting, donating, etc. However, internal circulating goods to continue the production process should not have invoices issued.

What is the minimum value of an invoice for sale of goods in Vietnam? Is failing to issue an invoice for sale of goods considered tax evasion? (Image from Internet)

When is the timing for issuing an invoice for sale of goods in Vietnam?

Based on Clause 2, Article 9 of Decree 123/2020/ND-CP, specific regulations on the timing for issuing an invoice are as follows:

Timing for issuing an invoice

1. The timing for issuing an invoice for sale of goods (including selling state assets, confiscated assets, contributed to state funds, and selling national reserve goods) is at the time of transfer of ownership or use rights of goods to the buyer, irrespective of whether payment has been received.

2. The timing for issuing an invoice for providing services is at the time of completing the provision of services, regardless of whether payment has been received. If the service provider collects payment before or during the service provision, the timing for issuing the invoice is the time of payment collection (excluding the case of collecting deposits or prepayments to ensure the performance of contracts providing services: accounting, auditing, financial consulting, tax; valuation; surveying, technical design; supervisory consultancy; construction investment project formulation).

3. In case of multiple deliveries or handing over each item, service stage, every delivery or handover must issue an invoice for the corresponding volume, value of goods, or services delivered.

...

Thus, according to the above regulations, the timing for issuing an invoice for sale of goods is at the time of completing the provision of services, regardless of whether payment has been received.

Is failing to issue an invoice for sale of goods considered tax evasion in Vietnam?

Based on Article 143 of the Law on Tax Administration 2019, specific provisions regarding tax evasion acts are as follows:

Acts of tax evasion

1. Not submitting taxpayer registration dossiers; not submitting tax declaration dossiers; submitting tax declaration dossiers 90 days after the deadline for submission of tax declaration dossiers or the deadline for the extension of submission of tax declaration dossiers as prescribed by this Law.

2. Not recording in accounting books the revenues related to determining the payable tax amount.

3. failing to issue an invoice for sale of goods, providing services as prescribed by law or recording the value on the sales invoice lower than the actual payment value of the goods, services sold.

...

Thus, according to the above regulations, failing to issue an invoice for sale of goods is considered an act of tax evasion.

What acts are prohibited in making invoices?

Based on Article 5 of Decree 123/2020/ND-CP, regulations on prohibited acts in issuing invoices are as follows:

- For tax officials

+ Causing trouble, difficulty for organizations, individuals purchasing invoices, vouchers;

+ Engaging in acts of cover-up, collusion for organizations, individuals to use illegal invoices, vouchers;

+ Receiving bribes during inspection, examination regarding invoices.

- For organizations, individuals selling, providing goods, services, organizations, individuals with related rights and obligations

+ Engaging in fraudulent acts such as using illegal invoices, illegally using invoices;

+ Obstructing tax officials in performing official duties, specifically obstructive acts causing harm to the health, dignity of tax officials during inspection, examination regarding invoices, vouchers;

+ Illegally accessing, tampering with, destroying the information system on invoices, vouchers;

+ Bribery or engaging in other acts related to invoices, vouchers aiming for illegitimate benefits.