Currently, all 63 provinces and cities have applied new e-invoices according to Decree 123 in 2020 and Circular 78 in 2021. In the process of applying, it will be difficult to avoid errors in making and using e-invoices, let's take a deep digging together with AS Audit about how to handle faulty e-invoices in each specific case.
Normally, there will be 04 cases of errors and how to handle each case is as follows:
Case 1: The seller discovers that the e-invoice has been issued with the tax authority's code, written incorrectly, and has not been sent to the customer.
Process of handling:
· Step 1: Notify the wrong e-invoice to the Tax authority using form No. 04/SS-HDDT, then the tax authority will cancel the invoice that has been issued with the code on the system.
· Step 2: Make a new e-invoice, send it to the tax authority for a new code (For the case of using an e-invoice with a tax authority code)
· Step 3: Return the CORRECT e-invoice to the buyer
Case 2: The seller discovers that the e-invoice has been issued with the tax authority's code, written incorrectly, and has been sent to the customer.
In this case, there are 3 incorrect type of the invoice errors, and each type will be handled differently
Type 1: Error of field: Buyer's name, address (other fields are not wrong)
Process of handling:
· Step 1: Notify wrong invoice information to the buyer
· Step 2: Notify the incorrect e-invoice to the tax office according to form No. 04/SS-e-invoice
· Step 3: Send the result to the buyer who notified the Tax authority of the error.
Type 2: Error of field: Tax code, amount, tax rate, tax amount or goods stated on the invoice are not of the correct specifications and quality.
Process of handling:
· Step 1: Buyer and seller make a written agreement clearly stating the error content
· Step 2: Make an adjusted e-invoice or a new e-invoice to replace the erroneous invoice:
- Adjusted e-invoices for invoices with errors must have the words "Adjustment for invoice model number .... symbol…..number …..date….month…. year……."
- Adjusted e-invoices must have the words “Replacement for invoice model number .... symbol…..number …..date….month…. year…….”
- then Sign and send it back to the Tax authority to issue the code
- Step 3: Return the CORRECT invoice to the buyer
Type 3: For the aviation industry
For the aviation industry, the invoice for exchange or refund of air transport documents is considered an adjusted invoice without any information.” Adjust the increase/decrease for invoice model number…. symbol…..number …..date….month…. year…….”. Air transport enterprises are allowed to issue their own invoices for cases of refund or exchange of transport documents issued by their agents.
Case 3: Tax authorities detect incorrect e-invoices
· Step 1: Receive notification of review from tax authorities
· Step 2: The seller makes a notice of errors in the electronic invoice and sends it to the tax office according to form No. 04/SS-e-invoice
· Step 3: Cancel/Replace/Adjust the invoice, wait for the tax authority to issue the code and send it to the buyer
Case 4: Detecting Invoices under Decree 51 in 2010, Circular 32 in 2011, Circular 39 in 2014 errors when converted to electronic invoices under Decree 123 in 2020 and Circular 78
Process of handling:
· Step 1: Buyer and seller make a written agreement clearly stating the error content
· Step 2: The seller shall notify the wrong e-invoice to the tax office according to form No. 04/SS e-invoice
· Step 3: The seller issues an alternative e-invoice (e-invoice with or without code). (Note: NO ADJUSTMENT INVOICES). The replacement e-invoice must have the words "Substitute for invoice model number .... symbol…..number …..date….month…. year……."
· Step 4: Send alternative e-invoice to buyer.
Above are the shares on how to handle incorrect written e-invoices according to Decree 123, the latest Circular 78 2022 of the AS Auditor. Through this article, it can help you better understand the steps of handling erroneous e-invoices.
