Fines for common violations against regulations on issuance of invoices upon sale of goods or provision of services in Vietnam from December 05, 2020

According to Article 24 of Decree No. 125/2020/NĐ-CP of Vietnam’s Government, penalties for common violations against regulations on issuance of invoices upon sale of goods or provision of services are as follows:

Cautions shall be given as a form of penalty imposed for the violations:

(1) Issuing a continuous series of invoices in ascending numerical order by exercising disagreeing invoicing authorizations (i.e. exercising authorizations to issue greater numbered invoices and not exercising authorizations to issue less numbered invoices) although entities or individuals have managed to cancel invoice books containing less numbered invoices after discovery of such situation.

(New provision compared to previous one of Decree No. 109/2013/NĐ-CP)

Fines ranging from VND 500,000 to VND 1,500,000 shall be imposed for the violations:

(2) Failing to issue general invoices in accordance with laws on invoices for sale of goods or provision of services.

(3) Failing to invoice promotional, advertising or sample goods or services; goods and services used as gifts, donations, presents, swaps or employee’s payment-in-kind wages.

(New provisions compared to previous ones of Decree No. 109/2013/NĐ-CP)

Fines ranging from VND 3,000,000 to VND 5,000,000 shall be imposed for:

(4) Issuing invoices at the wrong time, but not to the extent of causing any deferred payment of tax obligations, except for any mitigating circumstance.

(New provision compared to previous one of Decree No. 109/2013/NĐ-CP)

Fines ranging from VND 4,000,000 to VND 8,000,000 shall be imposed for violations:

(5) Issuing invoices at the wrong time in breach of laws on invoices for sale of goods or provision of services.

(6) Issuing invoices without conforming to the statutory ascending numerical sequence, except when the penalty in the form of caution.

(7) Issuing invoices with the invoicing dates coming ahead of the dates of purchase of invoices from tax authorities.

(8) Issuing invoices not conforming to classifications prescribed in laws on invoices for sale of goods and provision of services if these invoices have already been handed to buyers or used for the completion of tax declaration procedures.

(9) Issuing e-invoices when having not yet received notices of consent from tax authorities or before the dates of consent to using e-invoices with/without tax authority’s codes from supervisory tax authorities.

(10) Issuing invoices for sale of goods and provision of services during the period of temporary business closure, except when issuing invoices to clients for the purpose of implementing contracts signed before the date of notification of such temporary business closure.

(11) Issuing e-invoices by using cash registers without network connection or transfer of electronic data to tax authorities.

(Violations in (9), (10), (11) are new provisions compared to previous ones of Decree No. 109/2013/NĐ-CP, amended by Clause 1 Article 3 of Decree No. 49/2016/NĐ-CP) 

Fines ranging from VND 10,000,000 to VND 20,000,000 shall be imposed for:

(12) Failing to issue invoices upon sale of goods or provision of services to buyers as required by laws, except the acts of failing to invoice promotional, advertising or sample goods or services; goods and services used as gifts, donations, presents, swaps or employee’s payment-in-kind wages. (according to Clause 4 Article 38 of Decree No. 109/2013/NĐ-CP of Vietnam’s Government, failing to issue invoices for the goods or services valued at 200,000 VND or more to the buyer shall be imposed a fine ranging from VND 10,000,000 to VND 20,000,000)

The above are fines for common violations against regulations on issuance of invoices upon sale of goods or provision of services. Hopefully this information will help Customers and Members more clearly and avoid violations of regulations.

Ty Na

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