Decree 04/2014/ND-CP amends and supplements several articles of Decree No. 51/2010/ND-CP dated May 14, 2010, regulating invoices for the sale of goods and provision of services.

DECREE

AMENDING AND SUPPLEMENTING SOME ARTICLES OF GOVERNMENT DECREE NO. 51/2010/ND-CP DATED MAY 14, 2010 REGULATING INVOICES FOR THE SALE OF GOODS AND PROVISION OF SERVICES

Pursuant to the Law on Organization of the Government dated April 30, 2013, 25 year of 12;

Based on the Law on Tax Administration dated November 29, 2006 and the Law amending and supplementing a number of articles of the Law on Tax Administration dated November 20, 2012;

Based on the Accounting Law dated November 17, 2003;

Based on the Law on Electronic Transactions dated November 29, 2005;

Based on the Value Added Tax Law dated June 3, 2008, and the Law amending and supplementing a number of articles of the Value Added Tax Law dated June 19, 2013;

At the proposal of the Minister of Finance;

The Government has issued a Decree amending and supplementing a number of articles of Decree No. 51/2010/ND-CP dated May 14, 2010 of the Government regulating invoices for the sale of goods and provision of services.

Article 1. Amendments and additions to certain articles of Decree No. 51/2010/ND-CP dated May 14, 2010 of the Government regulating invoices for the sale of goods and provision of services are as follows:

1. Amend Clauses 1 and 2 of Article 4 as follows:

“1. The invoices stipulated in this Decree include the following types:

b) A value-added tax invoice is an invoice for the sale of goods and services intended for organizations that declare value-added tax using the deduction method;

c) A sales invoice is an invoice for the sale of goods and services intended for organizations and individuals declaring value-added tax using the direct method.

d) Other types of invoices, including: Tickets, cards, or other documents with different names but having the form and content prescribed in Clauses 2 and 3 of this Article.

2. Invoices are presented in the following forms:

a) Self-printed invoices are invoices printed by business organizations themselves using computer equipment, cash registers, or other types of machines when selling goods or services;

b) An electronic invoice is a collection of electronic data messages about the sale of goods and services, which are created, prepared, sent, received, stored, and managed in accordance with the Law on Electronic Transactions and its implementing regulations;

c) Printed invoices are invoices that business organizations order printed according to a template for use in their business activities involving goods and services, or invoices that tax authorities order printed according to a template to issue or sell to organizations and individuals.”

2. Article 5 is amended and supplemented as follows:

Article 5. Principles for creating and issuing invoices

1. Business organizations that meet the conditions stipulated in Articles 6 and 7 of this Decree may print their own invoices or generate electronic invoices for use in the sale of goods and services.

2. Business organizations with a tax identification number but not meeting the conditions specified in Clause 1 of this Article must print invoices to serve their own sales of goods and services.

3. Provincial and city-level tax authorities (hereinafter referred to as the Tax Department) shall print and issue invoices for distribution and sale to organizations and individuals as prescribed in Article 10 of this Decree.

4. Businesses that meet the requirements stipulated in Article 22 of this Decree are permitted to print invoices for other organizations.

5. Businesses can use multiple types of invoices simultaneously. The government encourages the use of electronic invoices.

6. When printing invoices, organizations must not duplicate numbers on invoices with the same symbol.

7. Before using invoices for the sale of goods and services, organizations must notify the issuance authorities in accordance with the provisions of Articles 11 and 12 of this Decree.”

3. Amend Article 6 as follows:

Article 6. Self-printed invoices

1. Businesses established in accordance with the law in industrial parks, economic zones, export processing zones, and high-tech zones; businesses with charter capital as prescribed by the Ministry of Finance; and public service units engaged in production and business activities as prescribed by law are allowed to print their own invoices from the time they receive their tax identification number.

2. Except for the cases specified in Clause 1 of this Article, business organizations may print their own invoices for use in selling goods and services if they meet the following conditions:

a) Has been assigned a tax identification number;

b) Having revenue from the sale of goods and services;

c) Not having been penalized for violations of tax laws at the level prescribed by the Ministry of Finance for 365 (three hundred and sixty-five) consecutive days up to the date of notification of issuance of self-printed invoices;

d) Having a system of equipment that ensures the printing and generation of invoices when selling goods and services;

d) Being an accounting unit as prescribed by the Accounting Law and having sales software for goods and services integrated with accounting software, ensuring that invoices are only printed and generated when accounting transactions occur;

e) A written request to use self-printed invoices must be submitted and approved by the tax authority. Within 05 working days, the directly managing tax authority must provide feedback on the enterprise's registration for using self-printed invoices.

3. Self-printed invoices must adhere to the principle that each invoice number is issued only once. The number of invoice copies printed is based on the specific requirements of the sales transaction. The organization is responsible for specifying the number of invoice copies in writing.

4. For businesses that violate regulations on invoice management and use, and businesses with a high risk of non-compliance with tax laws, the Ministry of Finance, based on the provisions of tax management law and information technology law, will implement appropriate monitoring and management measures to ensure compliance with invoice regulations.

5. Businesses using self-printed invoices that have committed administrative violations related to tax evasion or tax fraud, or businesses classified as high-risk for tax purposes according to the Law on Tax Administration, are prohibited from using self-printed invoices and must purchase invoices from the tax authority for a limited period as stipulated in Clause 2, Article 10 of this Decree. The period during which self-printed invoices cannot be used is calculated from the effective date of the Decision on administrative penalties for tax evasion or tax fraud (for businesses whose invoice violations lead to tax evasion or tax fraud) or from the date the tax authority requests it (for businesses classified as high-risk for tax purposes). The Ministry of Finance will provide specific guidance on the provisions of this clause.

6. The Ministry of Finance shall issue regulations and guidelines for production and business establishments using cash registers to print invoices for the sale of goods and provision of services in accordance with the law on invoice management.

4. Amend and supplement Clause 2 of Article 8 as follows:

“2. Organizations engaged in business activities and enterprises with tax identification numbers are permitted to print invoices for use in the sale of goods and provision of services, except for household businesses, individual businesses, and enterprises specified in Clauses 4 and 5 of Article 6 of this Decree.

Before printing invoices for the first time, organizations and businesses (except those eligible to print invoices) must submit a registration for the use of printed invoices to the tax authority directly managing them. Within 5 working days, the tax authority directly managing them must provide feedback on the business's registration for the use of printed invoices.

Businesses currently using pre-printed invoices that have committed administrative violations related to tax evasion or tax fraud, or businesses classified as high-risk for tax purposes according to the Law on Tax Administration, are prohibited from using pre-printed invoices and must purchase invoices from the tax authority for a limited period as stipulated in Clause 2, Article 10 of this Decree. The period during which pre-printed invoices cannot be used is calculated from the date the Decision on administrative penalties for tax evasion or tax fraud takes effect (for businesses whose invoice violations lead to tax evasion or tax fraud) or from the date the tax authority requests it (for businesses classified as high-risk for tax purposes).

5. Amend and supplement Clause 2 of Article 10 as follows:

2. Invoices printed by the Tax Departments are sold to non-business organizations engaged in business activities, households, individuals with business establishments in the locality, and businesses that are not permitted to print or self-print invoices as stipulated in Clauses 4 and 5 of Article 6 and Clause 2 of Article 8 of this Decree. Businesses purchase invoices from the tax authorities for a period of 12 months. After 12 months, if they meet the conditions for self-printing or ordering printed invoices, the tax authorities will notify the business to switch to self-generating invoices for use or to continue purchasing invoices from the tax authorities if they do not meet the conditions for self-printing or ordering printed invoices.”

6. Amend Article 22 as follows:

Article 22. Conditions and responsibilities of organizations receiving invoice printing orders and organizations providing self-printing invoice software.

1. Conditions and responsibilities of organizations authorized to print invoices:

a) Conditions:

Organizations authorized to print invoices must be businesses holding a Printing Industry Operating License.

b) Responsibilities:

– Print invoices strictly according to the signed contract; do not subcontract the entire or any part of the invoice printing process to another printing organization;

– Manage, preserve, and dispose of printing plates, blank printing sheets, printed invoices, and defective printed invoices in accordance with the agreement between the two parties and the provisions of the law;

– Terminate printing contracts with organizations and individuals ordering invoice printing and proceed with the disposal of printing plates and waste products in accordance with the regulations of the Ministry of Finance;

– Every three months, submit a report on the receipt and printing of invoices to the tax authority directly responsible for your area.

2. Conditions and responsibilities of the software provider for self-printing invoices:

a) Conditions:

Software providers offering self-printing invoice software must be businesses with a business registration certificate (enterprise registration certificate) that includes computer programming or software publishing as a business activity, except in cases where the organization provides the self-printing invoice software for its own use.

b) Responsibilities:

– Ensure that the invoice printing software provided to a business complies with all regulations regarding invoice printing; do not provide software that prints counterfeit invoices identical to templates already provided to other businesses.

– Every three months, report on the provision of self-printing invoice software to the directly supervising tax authority.”

Article 2. Enforcement

1. This Decree takes effect from March 01, 3.

2. The Ministry of Finance shall provide guidance on the implementation of this Decree.

3. Ministers, heads of ministerial-level agencies, heads of government agencies, chairpersons of provincial and centrally-administered city People's Committees, and relevant organizations and individuals are responsible for implementing this Decree.