What is the regulation for issuing authenticated e-invoices separately in Vietnam?

What is an e-invoice?

Based on Clause 2, Article 3 of Decree 123/2020/ND-CP, the regulations on e-invoices are as follows:

An e-invoice is an invoice with or without a tax authority code presented in electronic data form by organizations or individuals selling goods and providing services, created using electronic means to record sales information of goods and services in accordance with accounting and tax law, including invoices created from cash registers that connect and transfer electronic data to the tax authority. Specifically:

- An e-invoice with a tax authority code is an e-invoice issued a code by the tax authority before the organization or individual selling goods, providing services to the buyer.

+ The tax authority code on the e-invoice includes a transaction number which is a unique series of digits generated by the tax authority's system and a sequence of characters encoded by the tax authority based on the seller's information as recorded on the invoice.

- An e-invoice without a tax authority code is an e-invoice sent to the buyer by the organization selling goods or providing services without the tax authority's code.

What is the regulation for issuing authenticated e-invoices separately in Vietnam? (Image from Internet)

What is the regulation for issuing authenticated e-invoices separately in Vietnam?

According to Clause 2, Article 13 of Decree 123/2020/ND-CP, specific regulations are provided for issuing and declaring tax obligations when the tax authority issues authenticated e-invoices separately as follows:

[1] Types of invoices issued separately

Issuing authenticated e-invoices separately applies to sales invoices in the following cases:

- Business households and individuals as prescribed in Clause 4, Article 91 of Tax Administration Law 2019 who do not meet the conditions to use authenticated e-invoices but need an invoice to deliver to customers;

- Organizations not engaged in business but have sales transactions of goods and services;

- Enterprises that have dissolved, gone bankrupt or terminated their tax codes but require an invoice for asset liquidation;

- Enterprises, economic organizations, business households, and individuals subject to VAT payment under the direct method in the following instances:

+ Ceasing business activities but not yet completed procedures to terminate taxpayer registration and requiring an invoice for asset liquidation;

+ Temporarily ceasing business but needing an invoice to deliver to customers to fulfill previously signed contracts before the tax authority announces the business suspension;

+ Being subject to the tax authority's enforcement by stopping the use of invoices.

Issuing authenticated e-invoices separately applies to VAT invoices in the following cases:

- Enterprises, economic organizations, and other organizations subject to VAT payment under the deduction method in the following instances:

+ Ceasing business activities but not yet completed procedures to terminate taxpayer registration and requiring an invoice for asset liquidation;

+ Temporarily ceasing business but needing an invoice to deliver to customers to fulfill previously signed contracts before the tax authority announces the business suspension;

+ Being subject to the tax authority's enforcement by stopping the use of invoices.

- State organizations and agencies not subject to VAT under the deduction method that auction off assets, where the auction price includes VAT clearly stated in the auction dossier approved by a competent authority, are eligible to issue VAT invoices to the buyer.

[2] Enterprises, economic organizations, other organizations, households, and individuals in eligible cases submit a request for issuing authenticated e-invoices using Form No. 06/DN-PSDT in Appendix IA attached to this Decree to the tax authority and access the tax authority's e-invoice system to generate the e-invoice.

Once businesses, organizations, or individuals have fully declared and paid taxes in accordance with laws on VAT, personal income tax, corporate income tax, and other taxes and fees (if any), the tax authority will grant a tax code on the e-invoice on the same working day created by the business, organization, or individual.

Businesses, economic organizations, other organizations, households, and businesses bear the responsibility for the accuracy of the information on the e-invoices issued per occurrence with tax authority codes.

[3] Identifying tax authorities issuing authenticated e-invoices separately.

[3.1] For organizations and enterprises: The tax authority managing the location where the organization, enterprise taxpayer registration, business registration, or where the organization is headquartered or as stated in the establishment decision or where the sale of goods or service supply occurs.

[3.2] For households and business individuals:

- For households, business individuals with a fixed business location: The household or individual submits the request for authenticated e-invoices per occurrence to the Tax Department managing the area where they conduct their business.

- For households or business individuals without a fixed business location: Submit the request for authenticated e-invoices per occurrence to the Tax Department of the place of residence or where they registered their business.

How is an e-invoice stored in Vietnam?

Based on Clause 2, Article 6 of Decree 123/2020/ND-CP, the storage methods for e-invoices are regulated as follows:

Preservation and storage of invoices and documents

1. Invoices and documents are preserved and stored ensuring:

a) Safety, security, integrity, completeness, not being changed or distorted during the storage period;

b) Stored for the correct and full duration as prescribed by the accounting law.

2. e-invoices and electronic documents are preserved, stored by electronic means. Entities, organizations, and individuals have the right to choose and apply preservation and storage methods for e-invoices and e-documents suitable to their unique activities and technology application capabilities. E-invoices and e-documents must be readily printable on paper or searchable when required.

3. Printed invoices by the tax authority, self-printed or ordered printing documents must be preserved and stored according to the following requirements:

a) Unissued invoices and documents are stored and preserved in warehouses following storage policies for valuable documents.

b) Issued invoices and documents in accounting units are stored according to regulations on accounting document storage and preservation.

c) Issued invoices and documents in organizations, households, individuals not accounting units are stored and preserved as private assets of the organization, household, or individual.

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Thus, according to the above regulation, e-invoices are stored electronically.