Phase 2 of electronic invoicing April to July 2022
Following the November 2021 launch of e-invoicing in six cities, it will be extended to further 57 cities of Vietnam between 1 April and 1 July 2022. This will include the option to transmit electronic invoices directly to the government instead of via an authorised intermediary as with Phase 1.
Phase 1: delayed mandatory B2B electronic invoicing November 2021 go-ahead
Vietnam General Department of Taxation (GDT) has commenced the 2-phased implementation of mandatory pre-clearance e-invoicing between November 2021 and April 2022. This started in six cities. It had already been delayed from 1 November 2020 due to the COVID-19 crisis.
The GDT has been anxious to complete the e-invoice roll out as the current paper-based system is highly susceptible to fraud and is cumbersome to manage for taxpayers and the GDT to administer.
You can follow VAT Calc’s global live VAT invoice transaction and e-invoice blog with country-by-country real-time reporting plans.
Phase 2: e-invoicing to complete between April and July 2022
Vietnam already has paper-based GDT-controlled invoicing system. Taxpayers may only use GDT printed (or printed on GDT approved special printers) invoices with an authentication code. These may still be used until July 2022. The two phases are:
- November 2021 in major conurbations, including: Hanoi, Ho Chi Minh City, Hai Phong, Quang Ning, Phu Tho, and Binh Dinh; and
- April to July 2022: remaining 57 provinces.
However, any business incorporated since 19 October 2020 must use the new e-invoicing regime now. In addition, GDT may switch other businesses now if they exhaust their paper invoice supply.
Invoices must contain the basic VAT information in XML, plus a secure digital signature held for at least 10 years. The following businesses must also obtain a GDT verification code:
- larger businesses (threshold in excess of VND 10billion) and
- high tax risk enterprises with a poor compliance record
Businesses may deal directly with the GDT from Phase 2, requiring direct registration, under strict rules on e-invoice up-time, creation, storage and backup. Alternatively, they may engage authorised e-invoicing third-party agents.
Categories of documents including in e-invoicing
The following documents are included within the requirements
- Value-added tax (VAT) e-invoice;
- Sales e-invoice;
- Sales of public property e-invoice;
- National reserve sales e-invoice;
- Electronic stamps, electronic tickets, electronic cards, electronic receipts, and other electronic documents with e-invoice content; and
- Electronic warehouse delivery/transportation notes and electronic delivery notes sent to agents.
For e-invoicing, it is imperative to get VAT calculations correct. VAT Calc’s in real-time global Calculator and Auditor services produce instant and accurate tax calculations into your ERP, billing, e-commerce or e-invoicing systems.
Asia Pacific e-invoicing
|Country||Date||Comments (click for details)|
|Australia||Jul 2023||PEPPOL-based e-invoicing with no govt intervention B2B|
|China||Jan 2023||Special e-fapiao VAT invoice being piloted with 2023 full implementation|
|India||Oct 2020||B2B pre-clearance with separate B2C; completed Apr 2021|
|Indonesia||Jul 2015||e-Factur Pajak electronic invoicing|
|Japan||Oct 2023||Tax qualified invoices|
|Kazakhstan||Jan 2017||e-invoicing IS ESF|
|New Zealand||Mar 2022||B2G PEPPOL-based e-invoicing|
|Philippines||Jul 2022||2022 pilot of e-invoices; to follow South Korea model|
|South Korea||2011||Near real-time invoice reporting|
|Taiwan||2017||Electronic GUI invoices; non-residents since 2020|
|Thailand||2018||E-invoice reporting where adopted|
|Vietnam||Nov 2021||Pre-clearance B2B verification code e-invoice|