1. Failing to issue invoices as required by law

(*) Failing to issue invoices when selling goods or providing services:

• Not issuing invoices for small retail transactions to avoid fully declaring taxes. This is commonly seen in retail industries, food services, restaurants, and transportation.
• Not issuing invoices for services or transactions conducted outside of business hours, informal services such as home repairs and maintenance without contract agreements.
• Not issuing invoices to reduce taxable income, thereby evading tax obligations.
• Not issuing invoices to agree with customers on lowering the sale price of goods or services, resulting in losses to the state budget.

(*) Issuing invoices at the wrong time: This behavior involves issuing and releasing invoices at a time that does not align with the legal regulations, i.e., not matching the actual time when the sale of goods or the provision of services took place. Issuing invoices at the wrong time can lead to discrepancies in tax obligations and affect the transparency of a company’s financial management.

(*) Abusing invoice cancellations: This behavior refers to intentionally canceling invoices improperly or contrary to legal regulations to gain illegal benefits, such as tax fraud, tax evasion, or creating a lack of transparency in business activities. Invoice cancellations are typically performed for legitimate reasons, but when abused, they can cause harm to the state budget and violate tax laws.

2. Using illegal invoices

• Using fake invoices: This involves using invoices that were not actually issued by the seller or were fraudulently created, with the intent to falsely declare taxes or evade taxes. Fake invoices are often those that have no origin or are not authorized by tax authorities.
• Using invoices or documents that are not valid for use, or have expired: These are invoices that have been declared invalid by tax authorities, have been revoked, or are prohibited from use. Continuing to use such invoices for tax declaration or accounting purposes is a violation of the law.
• Using invoices that have been suspended during periods of enforcement by means of stopping invoice usage, except in cases where usage is permitted by tax authority notification.
• Using electronic invoices without tax authority codes in cases where invoices with tax authority codes are required.
• Using invoices for goods or services where the invoice issue date falls after the tax authority has determined that the seller is no longer operating at the registered business address.

3. Illegally using invoices 

• Invoices that do not include all the required content as stipulated by regulations;
• Invoices that have been altered or corrected improperly;
• Using fraudulent invoices (invoices or documents with recorded details for economic transactions that are partially or entirely fictitious);
• Using invoices that do not reflect the actual value of transactions or issuing fake invoices or fraudulent invoices;
• Using invoices that have discrepancies in the value of goods or services, or discrepancies in mandatory details between different copies of the invoice;
• Reusing invoices during the transportation of goods in circulation, or using invoices from one type of goods or service to certify another type of goods or service;
• Using invoices issued by other organizations or individuals (except for tax authority invoices and cases where invoice issuance is delegated) to legalize purchased goods or services, or sold goods or services;
• Using invoices that tax authorities, police, or other relevant authorities have concluded are illegally used invoices.

These actions can lead to administrative penalties, criminal prosecution, and requirements to rectify the consequences, such as fines, compensation for damages, and even imprisonment in serious cases.

If you have any further questions or inquiries, please contact TPM via the Website: tpm.com.vn or Hotline 028 3505 1800 for the quickest support.

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