x New private individuals and businesses participating in the process of production - business and distribution of goods are not familiar with what value-added invoices are?
What are the regulations? x Do you want to know about the content required on a value-added invoice as well as when you should issue an invoice and common forms of VAT invoices?
x Are you wondering if a Sales Invoice and a Value Added Invoice are the same? How to properly distinguish these two types of invoices?
Value-added invoices are an indirect means of supporting the State in managing business activities, thereby calculating annual taxes. Within the framework of this article, PROSHIP.VN will answer what a value-added invoice is and the regulations related to VAT invoices used in each Enterprise. Accordingly, if any unit does not have much experience and skills in preparing VAT invoices, they should consult and apply it accurately and comply with the invoicing deadline.
Shipping contact hotline:
Ms Tien: 0909 986 247
Ms Dung: 0939 999 247
Ms Duy: 0902 581 247
Value-added invoice: Concept, content, forms and time of invoicing
What is value-added invoice?
Value-added invoices are a familiar type of invoice for every Business and Company. This is also a necessary and important type of invoice. Value-added invoice (or commonly known as "Red Invoice") is essentially a type of document prepared by the seller, recording information about selling goods, providing services to the buyer, and using the product. Use the service according to the provisions of law. This action is often referred to by the phrase “invoicing”.
* Note: When mentioning value-added invoices, we often think of red invoices, but this is not essentially a type of invoice. Because red invoices are called because of the color of the invoice. Direct sales invoices also have the same red (pink) color.
Content required on VAT invoice
Mandatory contents on value-added invoice:
- Invoice name;
- Joint invoice name;
- Name, address, tax code of the seller;
- Name, address, tax code of the buyer;
- Name of goods and services; unit; quantity; unit price of goods and services; into money recorded in numbers and words;
- Invoice serial number;
- Symbol of invoice number and invoice symbol;
- The buyer and seller sign and clearly state their full names, seller's seal (if any) and date, month and year of invoice;
- Form shown on invoice.
Forms of VAT invoices
This tax is according to the form issued and guided by the Ministry of Finance, applicable to organizations and individuals that declare and calculate taxes using the deduction method. Value-added invoices are expressed in many forms such as:
- Type of electronic invoice: The form of this invoice is a collection of electronic data messages about the sale of goods and provision of services. Electronic applications are created, prepared, sent, received, and managed in accordance with the provisions of the Electronic Transactions Law and its guiding documents;
- Self-printed invoice type: This form will be printed by companies and organizations on computer and information technology devices, etc.;
- Printed invoice type: Is the form of invoice printed for use by companies and organizations. Or printed by the tax authority according to the form and issued to companies and business organizations.
Time to issue value-added invoices
According to the provisions of Article 9 of Decree 123/2020/ND-CP, the time of issuing value-added invoices is determined as follows:
- The time of invoicing for sales of goods (including sales of state assets, confiscated assets, restocking of state funds and sales of national reserves) is the time of transfer of ownership or rights to use the goods. to the buyer, regardless of whether money has been collected or not;
- The time of invoicing for service provision is the time of completion of service provision, regardless of whether money has been collected or not. In case the service provider collects money before or while providing the service, the time of invoice is the time of collection (excluding cases of collecting deposits or advances to ensure performance of the supply contract). providing services: accounting, auditing, financial and tax consulting; surveying, technical design; construction investment project planning);
- In case of multiple deliveries or handover of each item or service stage, each delivery or handover must be invoiced for the corresponding volume and value of goods and services delivered.
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Regulations of value-added invoices and notes when making invoices
Regulations of VAT invoices
Value-added invoice is a type of invoice that is still applied today. During the process of creating and using this invoice, many errors may still arise. VAT invoices also have the following regulations:
- Required contents on VAT invoice:
According to regulations, the value-added invoice must have information such as the name, address and tax code of the seller and buyer. At the same time, it is necessary to include additional information such as list of goods and services, VAT calculation value, date of transaction, total value of goods and services and VAT value, VAT rate. Value-added invoices have this information because the invoice has legal value. At the same time, this is also the basis for tax deduction.
- Report on the use of VAT invoices:
According to regulations, every quarter, sales organizations or individuals are responsible for submitting reports on the use of value-added invoices to tax authorities. Except for subjects who are issued invoices by the tax authority, they do not need to submit.
For companies, newly established enterprises, and businesses that commit violations, they are not allowed to use self-printed invoices. Enterprises that are at high tax risk and are required to purchase invoices from the tax authority according to the instructions in Article 11 of Circular No. 39/2014/TT-BTC shall submit monthly invoice usage reports. If the company has submitted a monthly report on the use of value-added invoices, it does not need to submit a quarterly report. If a business company uses two types of invoices in the same period, the reporting will be done on the same report.
For types of bill collection such as electricity bills, water bills, telecommunications service charges, service charge bills of banks, passenger transport tickets of transport units, stamps , tickets, cards and a number of other cases according to the guidance of the Ministry of Finance, do not have to report each invoice number but report according to the number (total number) of invoices according to form 3.9 Appendix 3 issued with the Circular. No. 39/2014/TT-BTC; where there is no need to fill in data in the detailed columns from number to number, only fill in data in the invoice quantity columns.
Notes when making value-added invoices
Here are things to keep in mind when creating value-added invoices:
- To ensure the meaning of VAT invoices, service providers can issue invoices that do not necessarily have the full signature or red seal of the provider or buyer of the service or goods if they are of different types. bills for electricity, water, telecommunications services or other types of banking services that meet the conditions;
- Units such as supermarkets and shopping centers established by law do not necessarily have to provide value-added invoices if not requested by buyers who are accounting units;
- Only issue invoices at the time of the transaction and ensure absolute accuracy of the transaction content. Absolutely avoid misplacing or losing value-added invoices. Units can convert paper invoice issuance to electronic invoices to ensure better safety and security;
- Only issue invoices for business items that have been registered for business according to regulations. Make sure to accurately record the applicable tax rates according to regulations for services and goods sold.
Shipping contact hotline:
Ms Tien: 0909 986 247
Ms Dung: 0939 999 247
Ms Duy: 0902 581 247
Are sales invoices and value-added invoices the same?
What is a value-added invoice and the regulations you need to know when creating this invoice have been shared by Proship. Next is to answer questions about the difference between Sales Invoice and VAT Invoice. These two types of invoices are common in businesses but are not the same. Sales invoices and VAT invoices are created after the enterprise sells and ships goods. Distinguishing them is very important for accountants to effectively declare and plan for businesses.
Below is how to distinguish between sales invoices and VAT invoices. Not only are there differences in value-added invoice and sales invoice templates, but also:
- Regarding invoicing objects:
| Bill of sale | Enterprises declare and calculate value added tax using the direct method in the following activities:
|
| VAT invoice | Enterprises declare and calculate value added tax using the deduction method in the following activities:
|
- Regarding invoice issuers:
| Bill of sale | Businesses/organizations must go to the tax authority to buy |
| VAT invoice | Businesses/organizations can confidently use electronic invoices and printed invoices |
- Regarding invoice tax rate:
| Bill of sale | There is no export tax line and the tax amount is fully shown on the invoice. |
| VAT invoice | There are tax lines and taxes fully shown on the invoice. |
- Regarding invoice declaration form:
| Bill of sale | Declare output invoices, do not declare input invoices |
| VAT invoice | Must declare both output invoices and input invoices eligible for deduction. |
- Regarding signature on invoice:
| Bill of sale | Only the signature of the seller of the goods |
| VAT invoice | Include both the seller's signature and the signature of the director or person authorized by the director. |
- Regarding corporate income tax:
Sales invoices or VAT invoices, if valid, reasonable and legal, are recorded in corporate income tax expenses.
- Regarding value added tax:
Enterprises declare VAT using the deduction method:
| Input invoice is a sales invoice | No deduction is allowed, so just declare in Target 23 on Declaration 01/GTGT (or do not need to declare because there is no VAT) |
| Input invoice is VAT invoice | In case of qualifying for deduction, deduction can be made and declared in Target 25 on declaration 01/GTGT |
Enterprises declare VAT using the direct method:
| Input invoice is a sales invoice | No need to declare, only calculate -> Businesses that declare taxes using the direct method only have to declare output sales invoices (Inputs do not need to be declared) |
| Input invoice is VAT invoice | There is no need to declare input invoices, the VAT part is calculated into the original price of goods, assets, and expenses. Illustration: Company X buys office furniture: Value of 10 million, tax is 1 million, Total payable is 11 million (VAT invoice and company A declares tax using the direct method)
Just calculate as follows: Debt to Account 153…: 11 million There are 111: 11 million |
PROSHIP LOGISTICS has updated the information you need to know about what a Value Added Invoice is , what content should be on the invoice,... and regulations related to invoices used in businesses. Based on VAT invoices, goods/product businesses will easily calculate the costs that need to be paid tax according to law to the State Agency. Please continue to follow and update news stories about sales invoices, direct invoices, VAT invoices,... and contact immediately 0909 344 247 when you need to use parcel and shipping services. motorbikes, car transport, container transport to North and South at cheap prices.
Shipping contact hotline:
Ms Tien: 0909 986 247
Ms Dung: 0939 999 247
Ms Duy: 0902 581 247
