VI Is it necessary to make an invoice at the time of collecting advance payments for implementing contracts for providing financial and tax consulting services? If the replacement invoice is in a different period than the invoice with errors, which period should it be declared? How long is the statute of limitations for administrative violations regarding invoices? Let’s find out more with Pham Consult!
Is it necessary to make an invoice at the time of collecting advance payments for implementing contracts for providing financial and tax consulting services?
Pursuant to Clause 1, Article 9 of Decree 123/2020/ND-CP, amended by Point a, Clause 6, Article 1 of Decree 70/2025/ND-CP, the time of invoice issuance is stipulated as follows:
Time of invoice issuance
- The time of invoice issuance for the sale of goods (including the sale and transfer of public assets and the sale of national reserve goods) is the time of transfer of ownership or right to use the goods to the buyer, regardless of whether the money has been collected or not.
For export of goods (including export processing), the time of issuance of e-commerce invoices, electronic value-added invoices or electronic sales invoices is determined by the seller but no later than the next working day from the date the goods are cleared through customs in accordance with the provisions of the law on customs
- The time of issuance of invoices for service provision is the time of completion of service provision (including service provision to foreign organizations and individuals) regardless of whether the payment has been collected or not. In case the service provider collects money before or during the provision of services, the time of issuance of invoices is the time of payment collection (excluding the case of collecting deposits or advances to ensure the performance of contracts for the provision of services: Accounting, auditing, financial consulting, tax; valuation; survey, technical design; supervision consulting; construction investment project preparation).
Accordingly, collecting advance payments to perform financial and tax consulting service contracts is not the time for issuing invoices.
Invoices are only issued upon completion of service provision, as this is one of the types of services excluded from the case of issuing invoices at the time of collecting advance payments or deposits.
Invoices replacing invoices in a different period from the erroneous invoice, when should they be declared?
Pursuant to Clause 5, Article 19 of Decree 123/2020/ND-CP, amended by Clause 13, Article 1 of Decree 70/2025/ND-CP, regulations on adjusting and replacing electronic invoices are as follows:
Replacing and adjusting electronic invoices
- Applying adjusted and replaced invoices
- a) In case an electronic invoice has been issued incorrectly and the seller has processed it in the form of adjustment or replacement as prescribed in Point b, Clause 1 of this Article, and then discovered that the invoice is incorrect, the seller will handle the next processing in the form applied when handling it the first time
- b) In case the electronic invoice is issued without the invoice number symbol, invoice symbol, or invoice number that has been issued incorrectly, the seller will only issue an adjusted invoice
- c) Regarding the value content on the adjusted invoice: increase (write a positive sign), decrease (write a negative sign) in accordance with the actual adjustment
- d) Adjusted invoices and replacement invoices for the cases specified in Point b, Clause 1 of this Article, the seller and buyer shall make additional declarations in the period in which the adjusted or replaced invoice arises
- d) Adjusted invoices for the cases specified in Clause 4 of this Article, the person The seller declares in the period in which the adjusted invoice is issued, the buyer declares in the period in which the adjusted invoice is received.
Accordingly, in case the adjusted invoice for an invoice with errors is different from the adjusted invoice (original invoice), the declaration is as follows:
– The seller makes a supplementary declaration in the period in which the adjusted invoice is issued.
– The buyer makes a supplementary declaration in the period in which the adjusted invoice is issued.
How long is the statute of limitations for administrative violations related to invoices?
Based on the provisions of Article 8 of Decree 125/2020/ND-CP, amended by Clause 1, Article 1 of Decree 102/2021/ND-CP, which stipulates the statute of limitations for administrative violations related to taxes and invoices; the period considered not to have been sanctioned; the period for tax collection is as follows:
The statute of limitations for administrative violations related to taxes and invoices; the period considered not to have been sanctioned; Time limit for tax collection
- Statute of limitations for administrative violations related to invoices
- a) Statute of limitations for administrative violations related to invoices is 02 years.
- b) The time for calculating the statute of limitations for administrative violations related to invoices is stipulated as follows:
For administrative violations currently being carried out as prescribed in Point c of this Clause, the statute of limitations is calculated from the date the competent person performing public duties discovers the violation.
For administrative violations that have ended as prescribed in Point d of this Clause, the statute of limitations is calculated from the date the violation ends.
- c) Administrative violations related to invoices currently being carried out are the acts specified in Clause 4, Article 21; Point b, Clause 2 and Clause 3, Article 23; Clause 2, Clause 5, Article 24; Point b, Clause 3, Article 25; Point b, Clause 2 and Points b, c, d, Clause 3, Article 27; Point b, Clause 5, Article 29; Point b Clause 3 Article 30 of this Decree.
Thus, the statute of limitations for administrative violations regarding invoices will be 2 years.
