Develop a Circular on guiding the implementation of electronic invoices

The Ministry of Finance is drafting a circular guiding the implementation of the Decree No. 119/2018/ND-CP of the Government stipulating about using electronic invoices when selling goods and providing services.

The Draft is about regulations and management contents, use of electronic invoices that are specified in this Circular including: registration for using, billing, handling errors, search, transferring invoice data and building electronic invoice database.

Sales invoices are an invoice that is applied to sellers and service providers making value-added tax declaration by direct method when selling goods or providing services in the Vietnamese territory, and for export to non-tariff areas and cases considered as export.

According to the Draft, enterprises, economic organizations and other organizations must use electronic invoices with a tax code when selling goods and for providing services, and those that do not differentiate on the value of each sale of goods or service.

However, enterprises operating in the fields of: electricity; petroleum; post and telecommunications; air, road, rail, sea and water transport; clean water; credit financing; insurance; medical services; e-commerce; supermarket; trade… and enterprises and economic organizations that have already, or will carry out transactions with tax authorities by electronic media for building information technology infrastructure that have a system accounting software, and/or electric billing software in order to meet the needs for setting up, and for looking up electronic invoices, storing electronic invoice data in accordance with regulations, and for ensuring the transmission of electronic invoice data to buyers and to the tax authorities; in these cases, the enterprises can use electric invoices without a tax authority code when selling goods or providing services when not differentiating between the value of each sale of goods or provision of services.

In the field of electricity; petroleum; post and telecommunication; air, road, rail, sea and water transport; clean water; credit financing; insurance; medical; e-commerce; supermarket; trade… that are defined as economic sector level 4 under the list of national economic system issued together with Decision No. 27/2018/QD-TTg dated 7/6/2018 of the Prime Minister, in that, with e-commerce business activities identified by retail industry code as an order request via internet, supermarkets are determined by the retail industry code. For convenience stores; commercial businesses are determined by the wholesale and retail codes of commodities.

For enterprises, economic organizations and other organizations that have shown cases of high risk due to non-tax payments, they shall use electronic invoices with tax code when selling goods and providing services, and not differentiate the value of each sale of goods and provision of service.

Business households and individuals shall make accounting books complying with the provisions of law for those that regularly use 10 or more laborers, and have a previous year's turnover of 3 billion VND or more in the field of agriculture, forestry, fisheries, industry, construction or revenue in the preceding year from 10 billion VND or more. In the field of trade and services, they must use electronic invoices with the tax authority’s code when selling goods or providing services, and do not differentiate the value of each sale of goods or provision of service. Business households and individuals that are not subject to compulsory invoicing provisions, but have made accounting books, they may request electronic invoices with the code of the tax authority as required.