How are unused invoices purchased from tax authorities handled? This issue will be answered in the Decree No. 123/2020/NĐ-CP prescribing invoices and records, issued by the Government of Vietnam in October 19, 2020.
Article table of contents
According to Article 25 of the Decree No. 123/2020/NĐ-CP of Vietnam’s Government, handling of unused invoices purchased from tax authorities is as follows:
Firstly, any enterprise, business entity, household or individual business whose termination of TIN has been approved by the tax authority shall stop using invoices.
Secondly, the supervisory tax authority shall notify the expiration of unused invoices of enterprises, business entities, household or individual businesses that no longer operate at registered locations or have deliberately suspended their business.
Before using e-invoices, enterprises, business entities, or household or individual businesses must destroy physical invoices purchased from tax authorities. Invoices must be destroyed within 30 days from the date on which the destruction is notified to the tax authority.
Destruction of tax authority-ordered printed invoices is specified in Article 27 of Decree No. 123/2020/NĐ-CP of Vietnam’s Government, specifically as follows:
Step 1: The enterprise, business entity, household or individual business shall make the list of invoices to be destroyed.
Step 2: The enterprise or business entity shall establish an invoice destruction council. The invoice destruction council is comprised of senior representatives and representatives of accounting department. The household or individual business is not required to establish an invoice destruction council.
Step 3: The invoice destruction record shall bear signatures of members of the invoice destruction council who shall assume legal liability for any mistakes thereof.
Invoice destruction dossier includes:
- The decision on establishment of the invoice destruction council, except household or individual businesses;
- The list of invoices to be destroyed, including: Name, form number and reference number of the invoice, number of destroyed invoices (from number….to number…., or number of each invoice if the invoice numbers are not continuous);
- The invoice destruction record;
- The notice of invoice destruction result includes: type, reference number and quantity of destroyed invoice, from number…..to number….., reasons, date and time, and method of destruction, using Form No. 02/HUY-HDG in Appendix IA enclosed herewith.
Notes for destruction of tax authority-ordered printed invoices:
- The invoice destruction dossier shall be kept by the enterprise, business entity, household or individual business using invoices.
- The notice of invoice destruction result is made into 02 copies of which one copy is kept on file, and the other is sent to the supervisory tax authority within 05 working days from the date of invoice destruction.
Le Hai
- Key word:
- Decree No. 123/2020/NĐ-CP
