Which type of invoice is issued in Vietnam when exporting confectionery?
Which type of invoice is issued in Vietnam when exporting confectionery?
Based on the provisions of Clause 1, Article 8 of Decree 123/2020/ND-CP as follows:
(1) A value-added tax (VAT) invoice is designated for organizations declaring VAT by the deduction method for activities such as:
- Selling goods and providing services domestically;
- International transportation activities;
- Exporting to a free trade zone and other cases considered as export;
- Exporting goods and providing services .
(2) A sales invoice is for organizations and individuals declaring and calculating VAT by the direct method for activities such as:
- Selling goods and providing services domestically;
- International transportation activities;
- Exporting to a free trade zone and other cases considered as export;
- Exporting goods and providing services .
Thus, when exporting confectionery , the type of invoice used depends on the unit's tax declaration method, specifically:
(1) If declaring VAT by the deduction method, a VAT invoice should be used.
(2) If declaring and calculating VAT by the direct method, a sales invoice should be used.
Which type of invoice is issued in Vietnam when exporting confectionery ? (Image from the Internet)
What is the unit of measurement for the quantity of confectionery exported on the invoice in Vietnam?
Based on the provisions of Point a, Clause 6, Article 10 of Decree 123/2020/ND-CP regarding the manner of recording names, units of measurement, quantities of confectionery on VAT invoices as follows:
- Goods' name:
+ The invoice must show the goods' name in Vietnamese. If selling goods with various types, the goods' name must detail each type (e.g., Samsung phone, Nokia phone...).
+ If the goods require registration of user rights or ownership rights, the invoice must reflect specific characteristics, numbers, or symbols of the goods as required by law registration.
If it is necessary to add foreign words, the foreign words are placed on the right in parentheses () or directly below the Vietnamese line with a smaller font size than the Vietnamese text. In cases where goods are traded with regulations on codes, both name and code must be recorded on the invoice.
- Unit of measurement:
+ The seller determines the unit of measurement on the invoice according to the nature and characteristics of the goods, using measurement units (for example: ton, quintal, kilogram, gram, mg, or piece, unit, box, can, pack, etc.).
+ For services, the invoice does not necessarily require the "unit of measurement" item; instead, the unit is determined per each service provision instance and service content provided.
- Quantity of goods: The seller records the quantity in Arabic numerals based on the unit of measurement mentioned above.
Vietnam: What currency is recorded on the invoice when exporting confectionery ?
Based on Point c, Clause 13, Article 10 of Decree 123/2020/ND-CP, the currency recorded on the invoice is Vietnam Dong, with the national symbol "đ".
- In cases where economic and financial operations occur in foreign currency according to the law on foreign exchange, the unit price, amount, total amount of VAT by each tax rate, total VAT, and the total payment amount can be recorded in foreign currencies, with the currency named. The seller must also display on the invoice the exchange rate for foreign currency to Vietnam Dong following the regulations of the Law on Tax Administration 2019 and its guiding documents.
- The foreign currency symbol according to international standards (e.g., 13,800.25 USD - Thirteen thousand eight hundred US dollars and twenty-five cents, e.g., 5,000.50 EUR - Five thousand euros and fifty cents).
- In cases where goods sales arise in foreign currencies according to the law on foreign exchange and tax is paid in foreign currency, the total payment displayed on the invoice is in foreign currency without requiring conversion to Vietnam Dong.
Moreover, regarding the script and numbers displayed on the VAT invoice, they are recorded as follows:
+ The script on the invoice is in Vietnamese. If it is necessary to add foreign script, the foreign script is placed on the right in parentheses () or directly beneath the Vietnamese line, in a smaller font size than the Vietnamese text.
In cases where the script on the invoice is in undotted Vietnamese, the undotted script must ensure no misinterpretation of the invoice content.
+ Numbers displayed on the invoice are Arabic numerals: 0, 1, 2, 3, 4, 5, 6, 7, 8, 9.
The seller may choose: after the units of thousands, millions, billions, trillion, quadrillion, quintillion, to use a dot (.), if there are numbers after the unit digit, place a comma (,) after the unit digit, or use a comma (,) as the natural number separator after thousands, millions, billions, trillion, quadrillion, quintillion and use a dot (.) after the unit digit on accounting documents.
