The new electronic invoice system will be implemented in Ho Chi Minh City starting in November 2021.

The following entities are required to use electronic invoices with tax authority codes:

a) Businesses and economic organizations using electronic invoices with tax authority codes when selling goods or providing services, regardless of the value of each sale or service.

b) Businesses falling under the scope of Clause 2, Article 91 of the Law on Tax Administration that are currently using electronic invoices without codes and wish to switch to using electronic invoices with codes issued by the tax authority.

c) High-risk businesses in terms of taxation

Taxpayers subject to using electronic invoices without codes, if they are identified as high-risk taxpayers according to the regulations in Circular No. 31/2021/TT-BTC and are notified by the tax authority (Form No. 01/TB-KTT Appendix IB issued with Decree No. 123/2020/ND-CP) about the conversion to using electronic invoices with tax authority codes, must convert to using electronic invoices with tax authority codes. Within ten (10) working days from the date the tax authority issues the notification.

d) Households and individual businesses

Household businesses and individual business owners using electronic invoices include:

– Household businesses and individual business owners paying taxes using the declaration method must use electronic invoices;

– For household businesses and individual business owners paying taxes using the lump-sum method, if they request to use invoices, the tax authority will issue individual electronic invoices for each transaction.

– For household businesses and individual business owners who file tax returns on a transaction-by-transaction basis, if they request to use invoices, the tax authorities will issue individual electronic invoices for each transaction.

The following entities are eligible to use electronic invoices without a tax authority code:

a) Businesses operating in the fields of electricity, petroleum, postal and telecommunications services, clean water, finance and credit, insurance, healthcare, e-commerce, supermarket business, trade, air transport, road transport, rail transport, sea transport, inland waterway transport, and other economic enterprises and organizations. have or will Conduct transactions with tax authorities electronically, build information technology infrastructure, and have accounting software and electronic invoicing software systems that meet the requirements for creating, searching, and storing electronic invoice data as prescribed. , and To ensure the transmission of electronic invoice data to buyers and tax authorities, electronic invoices without tax authority codes may be used when selling goods or providing services, regardless of the value of each sale or service, except in cases of high tax risk as stipulated by the Minister of Finance and in cases where registration for the use of electronic invoices with tax authority codes is required.

b) Businesses classified as high-risk for tax purposes switch to using electronic invoices with tax authority codes, but after 12 months From the time of switching to using electronic invoices with tax authority codes, if taxpayers need to use electronic invoices without codes, they must change their electronic invoice usage information as prescribed in Article 15 of Decree No. 123/2020/ND-CP. The tax authority will then consider and decide based on the provisions of Clause 2, Article 91 of the Law on Tax Administration No. 38/2019/QH14 and the provisions of Circular No. 31/2021/TT-BTC.

Businesses, households, and individuals engaged in business activities pay taxes according to declaration method Businesses that provide goods and services directly to consumers according to a business model (shopping malls; supermarkets; consumer goods retail; food and beverage; restaurants; hotels; pharmaceutical retail; entertainment and other services) may choose to use electronic invoices generated from cash registers with electronic data transfer connections to the tax authority, or electronic invoices with codes, or electronic invoices without codes.

Identify the cases where electronic invoices require/do not require payment for the service as follows:

1. Using electronic invoices with tax authority codes is free of charge.

In the following cases, users of electronic invoices with tax authority codes are exempt from service fees for 12 months from the start of using electronic invoices:

– Small and medium-sized enterprises, cooperatives, households, and individual businesses operating in areas with difficult socio-economic conditions or areas with particularly difficult socio-economic conditions. Areas with difficult socio-economic conditions or areas with particularly difficult socio-economic conditions shall be determined according to the List of Investment Incentive Areas issued together with Decree No. 118/2015/ND-CP dated November 12, 2015 of the Government detailing and guiding the implementation of a number of articles of the Law on Investment and any amending, supplementing or replacing documents if any.

– Other small and medium-sized enterprises as proposed by the People's Committee of provinces and centrally-administered cities to the Ministry of Finance, excluding enterprises operating in economic zones, industrial parks, and high-tech zones.

The General Department of Taxation shall, or delegate to an organization providing electronic invoice services, provide electronic invoices with tax authority codes free of charge to the aforementioned entities.

2. Using electronic invoices without a tax authority code/using invoices with codes through an electronic invoice service provider (service fees must be paid).

Businesses, economic organizations, households, and individual business owners that do not fall under the cases specified in Clause 1, Article 14 of Decree No. 123/2020/ND-CP.

Businesses, economic organizations, other organizations, households, and individual business owners not subject to the suspension of invoice usage as stipulated in Clause 1, Article 16 of Decree No. 123/2020/ND-CP may register to use electronic invoices (including electronic invoices for the sale of public assets and electronic invoices for the sale of national reserve goods) through electronic invoice service providers.

In cases where using electronic invoices with tax authority codes is free of charge, registration can be done through the General Department of Taxation's electronic portal or through an electronic invoice service provider authorized by the General Department of Taxation to provide electronic invoice services with tax authority codes free of charge.

In cases where a business is an organization that connects and transfers electronic invoice data directly to the tax authority, it must register to use electronic invoices through the General Department of Taxation's electronic portal.

The registration information content follows Form No. 01/ĐKTĐ-HĐĐT Appendix IA issued with Decree No. 123/2020/NĐ-CP.

Within one working day from the date of receiving the electronic invoice usage registration, the tax authority is responsible for sending an electronic notification according to Form No. 01/TB-ĐKĐT Appendix IB issued with this Decree through the electronic invoice service provider or sending a direct electronic notification to the enterprise, economic organization, other organization, household, or individual business regarding the acceptance or rejection of the electronic invoice usage registration.

From the moment the tax authorities accept the registration for the use of electronic invoices as stipulated in Decree No. 123/2020/ND-CP, businesses, economic organizations, other organizations, households, and individuals engaged in business must cease using electronic invoices that have been previously announced for issuance under previous regulations, and destroy any paper invoices that have been announced for issuance but not yet used (if any).

The procedure for destruction is as follows:

– Businesses, economic organizations, households, and individuals engaged in business activities that no longer use invoices must destroy them. The deadline for destroying invoices is no later than 30 days from the date of notification to the tax authorities.

In cases where the tax authority has notified that an invoice is no longer valid (except in cases of notification due to tax debt enforcement measures), businesses, economic organizations, households, and individuals engaged in business activities must destroy the invoices. The deadline for destroying invoices is no later than 10 days from the date the tax authority notifies that the invoice is no longer valid or from the date the lost invoice is recovered.

In case of changes to registered information for using electronic invoices as stipulated in Clause 1, Article 15 of Decree No. 123/2020/ND-CP, businesses, economic organizations, other organizations, households, and individuals engaged in business activities shall update the information and resubmit it to the tax authority using Form No. 01/DKTD-HDDT, Appendix IA, issued with Decree No. 123/2020/ND-CP, via the General Department of Taxation's electronic portal or through an electronic invoice service provider, except in cases of discontinuing the use of electronic invoices as stipulated in Clause 1, Article 16 of Decree No. 123/2020/ND-CP. The General Department of Taxation's electronic portal will receive the information change registration form, and the tax authority shall implement it in accordance with Clause 2, Article 15 of Decree No. 123/2020/ND-CP.

– The authorized party is a party with a related relationship to the authorizing party, is eligible to use electronic invoices, and is not subject to any restrictions on the use of electronic invoices;

– The authorization must be in writing (contract or agreement) between the authorizing party and the authorized party;

– Authorization must be notified to the tax authorities when registering to use electronic invoices;

– Electronic invoices issued by authorized organizations are electronic invoices with or without a tax authority code and must show the name, address, and tax code of the authorizing party and the name, address, and tax code of the authorized party;

– The authorizing party and the authorized party are responsible for posting notices on their respective websites or publicly announcing them through mass media. Upon expiration of the authorization period or early termination of the authorization to issue electronic invoices as agreed upon by the parties, they must cancel the postings and announcements on their websites or public announcements through mass media regarding the authorization to issue invoices;

– In cases where the authorized invoice is an electronic invoice without a tax authority code, the authorizing party must transfer the electronic invoice data to the directly managing tax authority or through a service provider to transfer the electronic invoice data to the directly managing tax authority;

– The authorized party is responsible for issuing authorized electronic invoices that accurately reflect the actual transactions, in accordance with the agreement with the authorizing party and in compliance with the established principles.

– The authorization is defined as a change in the registration information for using electronic invoices. The authorizing party and the authorized party shall use Form No. 01ĐKTĐ/HĐĐT issued together with Decree No. 123/2020/NĐ-CP to notify the tax authority about the authorization to issue electronic invoices, including cases of early termination of the authorization to issue electronic invoices as agreed upon by the parties;

Invoice with code An electronic invoice is a code issued by the tax authority before an organization or individual selling goods or providing services sends it to the buyer.

Invoice without code An electronic invoice is an invoice sent by an organization selling goods or providing services to the buyer that does not have a tax authority code.
 

It is a unique sequence of 34 characters generated by the tax authority's system or the system of an entity authorized by the tax authority.