Procedures for application for use of electronic records in Vietnam 2023

Procedures for application for use of electronic records in Vietnam 2023 (Internet image)

1. E-receipt is a type of e-records in Vietnam

Article 30 of Decree 123/2020/ND-CP stipulates the records serving the management of taxes, fees and charges by tax authorities include:

- Certificate of personal income tax withholding;

- Receipts, including:

+ Tax, fee or charge receipts without pre-printed face values;

+ Tax, fee or charge receipts with pre-printed face values;

+ Tax, fee or charge receipts.

In addition, the Minister of Finance shall stipulate and provide guidance on other records which are required to serve the management of taxes, fees and charges in accordance with regulations of the Law on tax administration.

2. Regulations on the electronic record format in Vietnam

Article 33 of Decree 123/2020/ND-CP stipulates the electronic record format as follows:

- Format of an electronic receipt:

The format of receipts prescribed in Point b Clause 1 Article 30 hereof complies with the following provisions:

+ Electronic receipts shall be XML (eXtensible Markup Language) documents, which are meant to share electronic data between IT systems;

+ The data of an electronic record consists two components: information about the transaction and the digital signature;

+ The General Department of Taxation shall develop and announce the format of transaction-related information, digital signatures and tools for display of electronic receipts prescribed herein.

- Format of an electronic PIT deduction statement:

When using the document in Point a Clause 1 Article 30 of Decree 123/2020/ND-CP in the electronic form, the organization deducting PIT shall develop a software system serving the use of electronic records which must contain adequate compulsory contents specified in Clause 1 Article 32 of Decree 123/2020/ND-CP.

- Contents of electronic PIT deduction statements or receipts must be fully and accurately displayed, ensure readers can read them with electronic devices.

3. Procedures for application for use of electronic records in Vietnam 2023

 Article 4 of Decree 123/2020/ND-CP stipulates the application for use of electronic records as follows:

Step 1: Before using the electronic receipt as prescribed in Point b Clause 1 Article 30 of Decree 123/2020/ND-CP, the collector shall apply for use of the electronic receipt through the web portal of the General Department of Taxation.

An application for use of electronic receipt shall be made using Form No. 01/DK-BL in Appendix IA enclosed with Decree 123/2020/ND-CP.

The General Department of Taxation shall receive applications for use of electronic receipts and send notices, using form No. 01/TB-TNDK in Appendix IB enclosed with Decree 123/2020/ND-CP, through its web portal to applicants.

Step 2: Within 1 working day from receipt of the application for use of electronic receipt, the tax authority shall send an electronic notice of approval of the application, if it is valid and satisfactory, or refusal of the application, if it is unsatisfactory or has mistakes, prepared according to the form No. 01/TB-DKDT in Appendix IB enclosed with Decree 123/2020/ND-CP, to the applicant specified in Clause 1 of Article 4 of Decree 123/2020/ND-CP.

Note: When starting the use of electronic receipt as prescribed herein, the collector prescribed in Clause 1 of  Article 4 of Decree 123/2020/ND-CP shall destroy any unused physical receipts/records as prescribed.

In case there is any change in the application for use of electronic receipt as prescribed in Clause 1 of  Article 4 of Decree 123/2020/ND-CP, the collector of fees/charges payable to state budget shall make such change and submit the application for change to registration information to the tax authority by using form No. 01/DK-BL in Appendix IA enclosed with Decree 123/2020/ND-CP through the web portal of the General Department of Taxation.

Vo Ngoc Nhi

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