Can an e-invoice issued to correct the erroneous e-invoice be canceled? What are the cases of correction of e-invoices in Vietnam?
To create an e-invoice to correct the erroneous e-invoice in Vietnam?
Correction is understood as modification, rearrangement to be more correct, more reasonable. Thus, the correction of e-invoices will be made for erroneous e-invoice.
However, not all cases of erroneous e-invoice are handled in the form of correction, but each case of errors will have a different handling.
Pursuant to Article 19 of Decree 123/2020/ND-CP on handling of erroneous invoices as follows:
(1) Cancel e-invoices
When a seller discovers that the authenticated e-invoices which have not been sent to buyers contain errors, the seller shall inform the tax authority by using the Form No. 04/SS-HDDT in Appendix IA enclosed herewith of cancellation of such erroneous authenticated e-invoices, and prepare new e-invoices with digital signatures for submission to the tax authority for its issue of new authentication codes in place of the previous ones before sending them out to buyers.
(2) Inform the buyers of the erroneous invoices
If the buyer’s name or address is wrong but the TIN and other information are correct, the seller shall inform the buyer of the errors and is not required to re-issue the invoice.
The seller shall inform the tax authority of the erroneous e-invoice by using Form No. 04/SS-HDDT provided in Appendix IA enclosed herewith, unless data about the erroneous unauthenticated e-invoice is not yet sent to the tax authority.
(3) Create or issue a new invoice instead
If the information about TIN, amount, tax rate, tax amount or goods on the invoice is wrong, the error shall be handled by adopting one of the following methods:
- Create an e-invoice to correct the erroneous one.
The seller and the buyer shall prepare a document specifying the errors as agreed upon between them before the seller issues a new e-invoice to replace the erroneous one
Note: If the buyer’s name or address is wrong but the TIN and other information are correct, the seller shall inform the buyer of the errors and is not required to re-issue the invoice.
- Issue a new e-invoice to replace the erroneous one
The seller issues a new e-invoice to replace the erroneous one. The seller and the buyer shall prepare a document specifying the errors as agreed upon between them before the seller issues a new e-invoice to replace the erroneous one.
(4) Examination of erroneous e-invoices by seller
In case the tax authority discovers the errors on authenticated or unauthenticated e-invoices, it shall send a notice (using Form No. 01/TB-RSDT provided in Appendix IB enclosed herewith) to the seller.
Can an e-invoice issued to correct the erroneous e-invoice be canceled? What are the cases of correction of e-invoices in Vietnam?
Vietnam: Can an e-invoice issued to correct the erroneous e-invoice be canceled?
Pursuant to Article 7 of Circular 78/2021/TT-BTC regulating the handling of e-invoices, the summary table of e-invoice data sent to tax authorities contains the following errors:
Handling of erroneous e-invoices and e-invoice datasheets sent to tax authorities
1. Erroneous e-invoices:
...
c) If the erroneous e-invoice has been handled by correction or replacement by the seller as prescribed in Point b Clause 2 Article 19 of Decree No. 123/2020/ND-CP, but then is found to have other errors, these errors shall be handled adopting the same method as the initial error;
...
At the same time, in Official Dispatch 1647/TCT-CS in 2023, the General Department of Taxation also guides as follows:
In case the enterprise issues an incorrect e-invoice (referred to as F0 invoice), then the enterprise issues an adjustment or replacement invoice (referred to as an adjusted/replaced F1 invoice for F0 invoice) and discovers F1 invoice is still wrong then:
+ If the adjustment method is selected: The enterprise issues an F2 invoice to adjust the F0 invoice (at this time, the F0 invoice has been adjusted by the F1 invoice).
+ If the alternative method is selected: The enterprise issues an F2 invoice to replace the F1 invoice (at this time, the F0 invoice has been replaced by the F1 invoice).
Thus, in the case that an invoice for adjustment/replacement of an e-invoice has been issued before, if the adjusted/replaced invoice continues to have errors, the adjusted/replaced invoice cannot be canceled. but must issue an adjustment/replacement electronic invoice for the incorrect adjusted/replaced invoice.
That is, if the adjustment method has been selected, it must continue to adjust, if it has been replaced, it must continue to replace until it is correct, then stop. Adjustment/replacement invoices may not be canceled for new billing, nor may they be converted to alternative billing.
What is the notification form of erroneous e-invoice in Vietnam?
Currently, the electronic invoice notification form has errors according to Form No. 04/SS-HDDT Appendix IA issued together with Decree 123/2020/ND-CP as follows:
Download form 04/SS-HDĐT here: download
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