Paper and e- invoices not permitted for simultaneous use

	Improving security of e-invoices
	Aims to achieve price stabilization during the coming Lunar New Year
	E-invoices: a key turning point contributing to building digital Finance

Director of Policy of the General Department of Taxation, Mr. Luu Duc Huy

But what are the notable differences from the previous regulations?

According to Circular 32/2011/TT-BTC, e-invoices were previously created and issued by enterprises themselves and not in a format controlled by tax authorities (the format is designed by e-invoice service providers). Also, enterprises did not have to send invoice data to the tax authorities.

Currently, under Law on Tax Administration 38, Decree 123/2020/ND-CP, Circular 78/2021/TT-BTC , e-invoices have two types: e-invoices with and without tax authority codes. When using e-invoices without the tax authority code, the seller must send the invoice data to the tax authority. Depending on the characteristics of the business establishment, there are two way to send the invoice data. The first way is by sending a summary table of invoice data along with the Value Added Tax Declaration. The second way is to immediately send the invoice data to the tax authority (if the invoice date cannot be sent immediately, it must be sent to the tax authority on the nearest available day).

When using e-invoices, the seller only needs to register at the website of the General Department of Taxation, or through an e-invoice service provider that does not implement other procedures. For e-invoices with a tax authority code, according to Decree 123/2020/ND-CP, Circular 78/2021/TT-BTC, the code-granting system of the General Department of Taxation will automatically issue invoice codes based on the information provided by the seller.

What are the advantages of such a change? Have there been any problems within the first month?

The sending of e-invoice data has created an invoice database system for tax administrations and other management of the State, as well as for taxpayers. This will also make tax declarations and VAT refunds quicker. Moreover, it will facilitate administrative procedures in accordance with the law; check the legitimacy of goods circulating on the market and help credit institutions use e-invoice information to carry out tax and payment procedures.

The e-invoice system of the General Department of Taxation initially operated very well in six cities and provinces: Hanoi, Ho Chi Minh City, Hai Phong, Quang Ninh, Binh Dinh and Phu Tho. Although there were some problems in the early stages related to network transmissions and software solutions, both tax authorities and network providers have regularly upgraded their applications and answered questions for businesses, ensuring that e-invoices are prepared and sent to the tax authority for code issuance quickly.

In fact, many businesses are eligible, and want to use e-invoices, but also have a large amount of pre-ordered paper invoices. does this make a possibility for the use of paper invoice and e-invoice at the same time?

However, according to the provisions of Article 15, about the registration and change of registered contents of e-invoices, of Decree 123, from the time the tax authority accepts the registration of e-invoice use, enterprises, economic organizations, business households and individuals must stop using e-invoices that have been issued according to previous regulations, and destroy paper invoices that have been issued but have not been used (if any).

Thus, based on the above provisions, those who have registered to switch to e-invoice applications, under Decree 123/2020/ND-CP and Circular 78/2021/TT-BTC, must stop using and destroy paper invoices. They must also send the notice of destruction to the tax authority.