On June 20, 2022, the Government issued Decree 41/2022/ND-CP amending and supplementing a number of articles of Decree No. 123/2020/ND-CP dated October 19, 2020 of the Government on invoices and documents and Decree No. 15/2022/ND-CP dated January 28, 2022 of the Government on tax exemption and reduction policies according to Resolution No 43/2022/QH15 of the National Assembly on fiscal and monetary policies to support the program of socio-economic recovery and development.
The promulgation of Decree 41/2022/ND-CP aims to remove obstacles in invoicing for goods and services subject to VAT reduction to 8%.
Previously, on January 28, 2022, the Government issued Decree No. 15/2022/ND-CP stipulating the tax exemption and reduction policy according to the National Assembly’s Resolution No. 43/2022/QH15 on fiscal policy, policy currency to support the program of socio-economic development recovery.
Accordingly, regarding value-added tax (VAT), the VAT rate will be reduced by 2% from February 1, 2022 to the end of December 31, 2022 for groups of goods and services currently applying the tax rate. VAT 10% (remaining 8%) minus some goods and services.
However, in the process of implementing Decree 15/2022/ND-CP, the Ministry of Finance received a number of complaints from Tax Departments, businesses and some press agencies reporting problems on the regulation of the Government specified in Clause 4, Article 1 of Decree 15/2022/ND-CP on making separate invoices for goods and services subject to VAT reduction.
Accordingly, the regulation that must make separate invoices for goods and services subject to VAT reduction will be applied the tax rate of 8% as reflected by enterprises, which increases the costs of enterprises (increasing the cost of time and money). of accounting and the cost of using invoices) because for the same customer, instead of making 1 invoice with different tax rates (5%, 8%, 10%), the enterprise must make 02 invoices: 01 one invoice with tax rate of 8% and one invoice with other tax rates (5%, 10%).
In order to remove obstacles in making invoices for goods and services subject to VAT reduction and to ensure compliance with the contents of the invoice, the Government issued Decree 41/2022/ND-CP Amendments as follows: In case a business establishment calculates VAT by the deduction method, when selling goods or providing services with different tax rates, the added value invoice must clearly the tax rate of each goods and service as prescribed.
In case a business establishment calculates VAT according to the percentage method on revenue, when selling goods or providing services, the sales invoice must clearly state the reduced amount as prescribed.
In addition, Decree 41/2022/ND-CP also promulgates a Notice on the receipt and handling of errors in the e-invoices made according to Form No. 01/TB-HDSS to replace Form No. 01/ TB-SSDT Appendix IB promulgated together with Decree No 123/2020/ND-CP dated October 19, 2020 of the Government providing for invoices and documents.
Government News |Tue Van | 20/06/2022