List of signs of violations in the act of buying, selling, using illegal invoices, cheating on VAT refund according to the General Department of Taxation in Vietnam?
- What are the signs of violations in the act of buying and selling, using illegal invoices, and fraudulently refunding VAT according to the General Department of Taxation in Vietnam?
- General Department of Taxation in Vietnam: What are the acts of using illegal invoices and vouchers?
- General Department of Taxation in Vietnam: What are the acts of illegal use of invoices and vouchers?
What are the signs of violations in the act of buying and selling, using illegal invoices, and fraudulently refunding VAT according to the General Department of Taxation in Vietnam?
According to the Appendix issued together with Official Letter 1873/TCT-TTKT dated June 1, 2022 on strengthening the review and detection of taxpayers with signs of risk on invoices, combating VAT refund fraud) regulations on Violation signs:
- The enterprise changes its legal representative 2 or more times within 12 months, or changes its legal representative and concurrently moves its business location;
- The enterprise has the number of times of change of operation status or the number of times of business change from 2 times a year.
- Newly established enterprises with non-fixed business locations (changing business locations many times in 1-2 years of operation).
- The enterprise moves its business location after receiving a notice of inactivity at the registered address.
- Enterprises established by individuals with family relationships contributing capital such as Wife, Husband, brothers, sisters....
- Newly established enterprises by the person in the name of the director or legal representative, whose company has been notified by the tax authority to give up its business address (tax arrears), and to suspend business operations for a definite time.
- Enterprises established for many years without generating revenue, then resell or transfer to others.
- Enterprises established without a license for mining activities but produce invoices for natural resources and minerals.
- The enterprise has goods sold or purchased that are not suitable for the conditions and characteristics of each region.
- The enterprise has not fully paid the registered charter capital;
- Mergers and acquisitions with a value of less than 100 million dong;
- Supermarket businesses (retailing consumer goods, electrical appliances); catering business, restaurant, hotel; transport business; Building materials business; petroleum business; doing business in the field of mining soil, stone, sand and gravel; trading in minerals (coal, kaolin, iron ore...); trading in agro-forestry products (wood chips, planks, logs,...); There is a labor hire industry (large occurrence).
- Sudden increase in revenue, specifically: The revenue in the pre-declaration period is very low, approximately zero, but there is a sudden increase in revenue in the following period or there is a sudden increase in revenue of the following period (from 3 times or more compared to the average revenue). of the previous periods) but the amount of value added tax (VAT) payable is low (VAT payable < 1% of the turnover incurred in the period);
- Large revenue but warehouse is not commensurate or there is no warehouse, no warehouse rental costs are incurred;
- Annual declared revenue arising from over 10 billion VND but the arising tax payable is less than 100 million VND (1 %);
- Enterprises use invoices in large quantities (from 500 to 2000 invoice numbers). The number of deleted invoices is large, accounting for about 20% of the used invoices on average.
- Enterprises using e-invoices according to Decree No. 123/2020/ND-CP, Circular No. 78/2021/TT-BTC have abnormally decreased number of e-invoices compared to the number of used invoices. according to Decree No. 51/2010/ND-CP .
- Enterprises do not have notice of invoice issuance or notice of issuance but no report on invoice usage (or delay in reporting).
- Enterprises have the value of goods sold, output VAT equal to or very small difference compared to the value of purchased goods, input VAT.
- Enterprises have goods and services sold that are not suitable for purchased goods and services;
- The enterprise has a large input and output VAT but does not incur a payable tax amount and has a negative VAT number for many periods.
- The enterprise has no fixed assets or the value of fixed assets is very low;
- The enterprise has a suspicious transaction through the bank (money in and out within the same day);
- The enterprise employs workers that are not commensurate with the size and lines of operation;
- An individual in his name (the legal representative) establishes and operates many enterprises
List of signs of violations in the act of buying, selling, using illegal invoices, cheating on VAT refund according to the General Department of Taxation in Vietnam?
General Department of Taxation in Vietnam: What are the acts of using illegal invoices and vouchers?
According to Clause 1, Article 4 of Decree No. 125/2020/ND-CP stipulating penalties for administrative violations of tax, invoices stipulating the use of invoices and documents in the following cases is an act of using chemicals: Illegal applications and documents:
- Fake invoices and vouchers;
- Invoices and vouchers that have not been used, have expired;
- Invoices are stopped from being used during the period of being forced to stop using invoices, unless they are allowed to use according to the notice of tax authorities in Vietnam;
- Electronic invoices are not registered with tax authorities;
- E-invoices without tax authority's code in case of using e-invoices with tax authority's code;
- Invoices for purchase of goods and services with a date on the invoice from the date the tax authority determines that the seller is not operating at the business address registered with the competent state agency;
- Invoices and vouchers for purchase of goods and services with a date on which the invoice or voucher is made prior to the date that the invoice maker or voucher is determined not to operate at the business address registered with the competent state agency. the right or there has not been a notice from the tax authority that the invoice and document maker does not operate at the business address registered with the competent authority but the tax authority or the police or other relevant authorities Others have concluded that invoices and documents are not legal.
General Department of Taxation in Vietnam: What are the acts of illegal use of invoices and vouchers?
According to Clause 2, Article 4 of Decree No. 125/2020/ND-CP stipulating penalties for administrative violations of tax, invoices stipulating the use of invoices and vouchers in the following cases is an illegal use Legal invoices and documents:
- Invoices and vouchers that do not contain all mandatory contents as prescribed; invoices for erasure or repair not in accordance with regulations;
- Invoices and vouchers (invoices and vouchers that have economic operations criteria and contents written on, but the purchase and sale of goods and services are partially or completely unreal); invoices that do not reflect the actual value incurred or make false invoices or make fake invoices;
- Invoices with differences in the value of goods or services or deviations of mandatory criteria between copies of the invoice;
- Invoices for revolving when transporting goods in circulation or using invoices of these goods and services to prove other goods and services;
- Invoices and documents of other organizations and individuals (except for invoices of tax authorities and authorized invoices) for the legalization of purchased goods or services or sold goods and services. ;
- Invoices and vouchers that tax authorities or police or other authorities have concluded is illegal use of invoices and vouchers.
LawNet
