Vietnam: 07 cases of suspension of use of e-invoices

Vietnam: 07 cases of suspension of use of e-invoices (Illustrative image)

According to Draft Decree on invoices and records, enterprises, business entities, other organizations, household or individual businesses in Vietnam shall suspend issuance of unauthenticated e-invoices for buyers or the tax authorities in Vietnam will stop issuing authenticated e-invoices in the following cases:

1) An enterprise, business entity, other organization, household business or individual business has its TIN invalidated;

2) An enterprise, business entity, other organization, household business or individual business does not operate at the registered location as verified and announced by the tax authority;

3) An enterprise, business entity, other organization, household business or individual business has sent a notification of business suspension to a competent authority;

4) An enterprise, business entity, other organization, household business or individual business is banned from using e-invoices by the tax authority for the purpose of enforcement of payment of tax debts;

5) Authenticated e-invoices are used to sell smuggled goods, banned goods, counterfeits, goods violating intellectual property rights as detected and informed by competent authorities;

6) Authenticated e-invoices are used for short selling of goods or services for fraudulent purposes as detected and informed by competent authorities;

7) A business registration authority or competent authority requests an enterprise to suspend operation in a conditional business line after finding that this enterprise does not fully satisfy the business conditions prescribed by law.

If the tax authority, through inspection, discovers that the enterprise is established for the purpose of trade and use of illegal e-invoices or illegal use of e-invoices for tax evasion purposes, the enterprise shall face administrative penalties and be suspended from use of authenticated e-invoices according to the decision issued by the tax authority.

More details can be found in Draft Decree on invoices and records.

Thuy Tram

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