Application of electronic invoices and documents in Vietnam

Application of electronic invoices and documents in tax administration can solve many problems. Let’s find out this issue with Lawyer X through the following situation: “Dear Lawyer! I want to ask what does an electronic invoice mean? What are rules for issuance, management and use of electronic invoices? Thanks for answering me!”

Legal grounds

• Vietnam law on tax administration

What are electronic invoices?

• An electronic invoice means an invoice in the form of electronic data, issued by the goods seller or service provide to record the goods sale or service provision in accordance with regulations of law on electronic accounting and tax, including the invoices generated by cash registers that are digitally connected to tax authorities.
• Electronic invoices include VAT invoices, sale invoices, electronic stamps, electronic tickets, electronic cards, electronic receipts, electronic delivery notes and other electronic documents.
• Authenticated electronic invoices are electronic invoices that bear by tax authorities’ authentication codes before goods/services are sold to buyers.
• The authentication code on an electronic invoice is a unique serial number generated by the tax authority’s system and a series of encoded characters based on information on the invoice.
• Unauthenticated electronic invoices are electronic invoices that sent to buyers without tax authorities’ authentication codes.

Rules for issuance, management and use of electronic invoices

• When selling goods/services, the seller shall issue and send electronic invoices to buyers. The electronic invoices shall follow standard formats and contain sufficient information in accordance with tax laws and accounting laws, regardless of the value of each sale.
• The sellers that use cash registers shall register to use electronic invoices generated by cash registers that are digitally connected to the tax authorities.
• The registration, management and use of electronic invoices in sale of goods/services shall comply with regulations of law on electronic transactions, accounting and tax.
• Electronic invoices shall be authenticated by tax authorities according to information provided on the invoices by the enterprises, business organizations, other organizations, household businesses and individual businesses. Enterprises, business organizations, other organizations, household businesses and individual businesses are held responsible for the accuracy of information on their invoices.

Use of electronic invoices in sale of goods and services

• Enterprises and business organizations shall use authenticated electronic invoices when selling their goods/services, regardless of the value of each sale, except for the cases specified in Clause 2 and Clause 4 of Article 91
• Enterprises operating in the field of electricity, oil and gas, post and telecommunications, clean water supply, credit, insurance, health, e-commerce, supermarket, commerce, air/road/rail/sea/inland waterway transport; enterprises and business organizations that have been or will conduct electronic transactions with tax authorities, develop information technology infrastructure, have software for accounting, issuance, access and storage of electronic invoices, and ensure the transmission of electronic invoice data to buyers and tax authorities may use unauthenticated electronic invoices when selling goods/services, regardless of the value of each sale, unless tax-related risks are high as prescribed by the Minister of Finance or they wish to use authenticated electronic invoices.
• The household businesses and individual businesses in the cases specified in Clause 5 Article 51 of this Law and other cases of determinable revenue from sale of goods/services may use authenticated electronic invoices.
• Regarding household businesses and individual businesses that are not qualified to use authenticated electronic invoices as prescribed in Clause 1 and Clause 3 of Article 91, enterprises, business organizations and other organizations that need to provide electronic invoices for their customers, tax authorities shall issue separate authenticated electronic invoices for individual sales, provided tax is declared and paid before such electronic invoices are issued.

Electronic invoice-related services

• Electronic invoice-related services include provision of unauthenticated electronic invoice-related solutions, transmission of unauthenticated electronic invoices from taxpayers to tax authorities, and services related to authenticated electronic invoices.
• Providers of electronic invoice-related services include providers of electronic invoice-related solutions, electronic invoice transmission and storage services, and services related to authenticated electronic invoices
• The Government shall elaborate Article 92; provide for the cases of charged and free-of-charge use of authenticated electronic invoices, the cases in which unauthenticated electronic invoices may be used through providers of electronic invoice-related services.
• The Minister of Finance shall specify criteria for selection of providers of authenticated electronic invoice-related services, electronic invoice transmission and storage services, and relevant services.

Electronic invoice database

• Tax authorities shall organize the development and management of the database and infrastructure of the invoice information system; organize the collection and processing of information and management of the invoicing database; ensure the maintenance, operation, security and safety of the invoice information system; establish standard invoice formats.
• The electronic invoice database is used to serve tax administration and provision of electronic invoice information for relevant organizations and individuals.
• The enterprises and business organizations that are mentioned in Clause 2 Article 91 of this Law and use unauthenticated electronic invoices shall provide electronic invoice data in accordance with regulations of the Minister of Finance.
• The Ministry of Industry and Trade, the Ministry of Natural Resources and Environment, the Ministry of Public Security, the Ministry of Transport, the Ministry of Health and relevant authorities shall share relevant information and data to the Ministry of Finance, which contribute to the development of the electronic invoice database.
• When inspecting goods being sold with electronic invoices, competent authorities and competent persons shall check information about the electronic invoices on the web portals of tax authorities and must not request physical invoices. Relevant authorities shall use their devices to access the electronic invoices database.
• The Minister of Finance shall provide electronic stamp templates; promulgate regulations on management of electronic stamps, access, provision and use of electronic invoice information; provision of electronic invoice information in case the online invoice database is inaccessible due to force majeure events.

Regulations on electronic documents

• Electronic documents include documents and receipts in electronic forms provided for taxpayers by tax authorities or tax-deducting organizations while following tax procedures or collecting other state budget revenues, and other electronic documents and receipts.
• The Government shall specify the types of electronic documents mentioned in Article 94, the management and use thereof.

Please see more:

• Instructions for exclusive registration of company logos in Vietnam
• Service of changing the legal representative of Vietnamese enterprises

Services of Lawyer X

Prestigious professional services: Firstly, the team of consultants and consultants for many years in the field of civil status, and customer support.

On-time: Certainly, with the motto “Get your lawyer right at your fingertips”, we ensure the service always performs on time. The rights and interests of customers always come first.

Cost: Besides, Lawyer X’s service costs are highly competitive; depending on the nature of the particular case. So, we want our guests to have the best possible service experience. Therefore, costs which guaranteed to be the most suitable and economical for customers.

Confidentiality of client information: Finally, all personal information of clients Lawyer X will be 100% confidential.

If you need any further information, please contact  LSX Law firm: at +84846175333 or Email: [email protected]

Frequently asked questions

Conclusion: So the above is Application of electronic invoices and documents in Vietnam. Hopefully with this article can help you in life, please always follow and read our good articles on the website: lsxlawfirm.com