LEGAL UPDATE
Most recently legal issuance the first week of November 2020
Decree 123/2020/NĐ-CP of the Government regulating on invoices and documents.
Coming into effect on July 01st, 2022.
| “On October 19, 2020, the Government issued Decree 123/2020 / ND-CP regulating invoices and documents with the following notable points:
1. Cases of using e-invoices with the tax authority’s code are not required to pay for services within 12 months from the date of starting to use e-invoices according to Article 14, including: +Small and medium-sized enterprises, cooperatives, households and individuals doing business in areas with difficult socio-economic conditions or areas with extremely difficult socio-economic conditions. Areas with difficult socio-economic conditions, areas with extremely difficult socio-economic conditions shall comply with the List of geographical areas with investment incentives issued together with Decree 118/2015 / ND- CP. |
| + Other small and medium-sized enterprises at the request of the People’s Committees of provinces and centrally-run cities send to the Ministry of Finance, except for enterprises operating in economic zones, industrial parks or hi-tech parks.
The General Department of Taxation shall make or authorize an e-invoice service-providing organization to provide e-invoices with the tax authority’s code without having to pay service charges to the above-mentioned subjects. |
| 2. Enterprises, economic organizations, business households and individuals that do not fall into the above cases, when using e-invoices with the tax authority’s code, using e-invoices without approved tax authorities’ codes. organizations providing e-invoice services pay for services under contracts signed between the parties. |
| 3. To continue using pre-printed invoices, self-printed invoices, e-invoices with code / no authentication code or invoices purchased by tax authorities that have been issued before October 19, 2020 (continue to use as from October 19, 2020, the date of promulgating Decree 123/2020 / ND-CP to the end of June 30, 2022) (Clause 1, Article 60 of Decree 123/2020 / ND-CP)” |
Decree 125/2020 / ND-CP of the Government providing for the sanctioning of administrative violations of tax and invoices
Coming into effect on December 05th, 2020.
| “On October 19, 2020, the Government issued Decree 125/2020/ND-CP stipulating the sanctioning of administrative violations of tax and invoices with the following notable points:
1. A fine of between VND 2 to 5 million will be imposed on acts of transferring e-invoice data to the tax agency from 01 to 05 working days behind the deadline as from the date of expiration as prescribed. If transferring e-invoice data to the tax authority from 11 working days or not transferring e-invoice data to the tax agency within the prescribed time, a fine of 10-20 million VND will be imposed (Article 30 ). 2. For acts of notifying changes in tax registration contents over 91 days or more than the period as prescribed and altering tax registration certificates or notifying tax identification numbers or failing to notify changes in information in Tax registration dossiers will be fined from 05-7 million VND (Clause 4 Article 11). 3. A fine of between VND 20,000,000 and VND 50,000,000 will be imposed on acts of ordering an invoice printing according to an already issued invoice form of another organization or individual or placing an identical number of an invoice symbol (Clause 3, Article 20) 4. In cases where a taxpayer incorrectly declares one or more items on tax dossiers of the same tax at the same time; Late submitting many tax declaration dossiers, the act of false declaration falls under the case of sanctioning of tax procedures; The act of late filing is only sanctioned for one act of incorrectly declaring the criteria on the tax dossier with the highest fine bracket or an act of late payment of tax with the highest penalty bracket among the acts performed according provisions in this Decree and applying the violation aggravating circumstances; (Clause 3 Article 5)” |
