During the process of issuing invoices, businesses certainly cannot avoid errors that need to be canceled. In this article, Bizzi will guide Accounting guide from A to Z on how to cancel electronic invoices in accordance with Circular 78 for a comprehensive look at the steps and procedures to follow when canceling an e-invoice.
What is an electronic invoice?
Electronic invoice (E-invoice) is a type of accounting document that is created, sent, received, stored and managed electronically in accordance with the provisions of law. E-invoice has the same legal value as paper invoice if it meets all conditions of authenticity and information integrity.
In which cases should an electronic invoice be canceled?
According to regulations, electronic invoices need to be canceled in the following cases:
- An invoice has been created but not yet sent to the buyer and an error is discovered. In this case, the seller is allowed to cancel the invoice and create a new one.
- Hóa đơn đã gửi cho người mua nhưng có sai sót (sai tên, địa chỉ, mã số thuế, số tiền, nội dung hàng hóa,…) và không thể điều chỉnh bằng cách lập hóa đơn thay thế hoặc hóa đơn điều chỉnh.
- The tax authority requested to cancel the invoice because the invoice was invalid or did not comply with regulations.
- Enterprises cease operations, dissolve or have their tax codes revoked, resulting in the need to cancel unused invoices.
4 steps to cancel electronic invoices according to regulations
Step 1: Make a record of invoice cancellation
If the invoice has been sent to the customer, it is necessary to make a Minutes of Invoice Cancellation with confirmation from both the seller and the buyer. The content of the minutes includes:
- Invoice number, invoice symbol, invoice date.
- Reason for canceling invoice.
- Commitment of both parties not to use canceled invoices.
In case the invoice has not been sent to the buyer, the business can make a cancellation record without the customer's consent.
Step 2: Cancel the electronic invoice on the software
- Access the electronic invoice software your business is using (B-Invoice, MISA, VNPT, Viettel, BKAV, Thai Son, etc.).
- Select the invoice to cancel, enter the reason for canceling the electronic invoice and perform the cancellation operation.
- Export invoice cancellation report for internal storage.
*Note: The software must ensure that the invoice cancellation history is kept for tax audit purposes.
Step 3: Notify the tax authority of the cancellation of the electronic invoice
If the invoice falls under the case of needing to be notified to the tax authority (according to Article 29, Decree 123/2020/ND-CP), the enterprise needs to send a Notice of Invoice Cancellation (Form TB03/AC).
Documents sent to tax authorities include:
- Invoice cancellation form
- Invoice cancellation notice (Form TB03/AC)
- Report on invoice usage (if any)
How to apply:
- Submit via the General Department of Taxation's portal or electronic declaration software.
- In special cases, you can submit directly to the Tax Department.
Step 4: Store the electronic invoice cancellation records
After completing the invoice cancellation, the business needs to fully store:
- Invoice cancellation form
- Notice of cancellation of electronic invoice
- Confirmation from tax authority (if any)
Minimum retention period: 10 years according to accounting and tax regulations.
Important notes when canceling electronic invoices
- Once canceled, electronic invoices cannot be restored, so check carefully before doing so.
- Canceled invoices may not be used for tax declaration or accounting purposes.
- If an invoice is incorrect but does not need to be canceled, a replacement or adjustment invoice can be created instead of being canceled.
- It is necessary to cancel invoices according to the correct procedure to avoid being penalized for administrative violations in the field of tax.
Penalty level for canceling electronic invoices in violation of regulations
According to Decree 125/2020/ND-CPIf a business cancels an invoice in violation of regulations, it may be subject to the following penalties:
- Không hủy hóa đơn theo đúng thời hạn quy định: Phạt từ 4.000.000 – 8.000.000 VNĐ nếu không hủy hóa đơn đúng thời hạn theo yêu cầu của cơ quan thuế hoặc khi doanh nghiệp ngừng hoạt động
- Không lập biên bản hủy hóa đơn khi cần thiết: Phạt từ 2.000.000 – 4.000.000 VNĐ nếu không có biên bản hủy hóa đơn theo đúng quy định khi hủy hóa đơn do sai sót
- Tiếp tục sử dụng hóa đơn đã có quyết định hủy: Phạt từ 20.000.000 – 50.000.000 VNĐ
- Không báo cáo hủy hóa đơn với cơ quan thuế (nếu bắt buộc):m Phạt từ 6.000.000 – 18.000.000 VNĐ
Tips to avoid violations when canceling electronic invoices
- Check carefully before creating an invoice to avoid errors and limit cancellations.
- Cancel invoices according to procedures, complete invoice cancellation records.
- Monitor invoice cancellation deadlines and notify tax authorities when necessary.
- Use reputable electronic invoice software to avoid system errors or data loss when canceling invoices.
Instructions for quickly canceling electronic invoices with B-Invoice
When using B-Invoice software, customers will perform the operation of Canceling their unit's invoice.
- Bước 1: “Xử lý hóa đơn” >> “Thông báo hóa đơn sai sót” >> “Tạo mới”
On the Menu bar, select the item
– Tìm kiếm Hóa đơn cần lập thông báo sai sót
On this interface, the system will display a list of invoices that need to be notified of incorrect invoices according to the search criteria. Next, you select Invoice error notification procedures want to edit and import “error notification reason”After filling in all the information, click “Lưu”
Once you have completed editing your e-invoice, you can perform other operations including: View, edit, delete notifications (if any)At the same time, the system will update the notification status sent to the Tax Authority on the screen of incorrect invoice notifications.
- Step 2: Cancel invoice
After the notification of the incorrect invoice is accepted by the Tax Authority, the customer can proceed to cancel the invoice on the software.
Cách 1: Tại màn hình danh sách Hóa đơn bán hàng, nhấn chọn “Hủy hóa đơn”
– Nhập “Lý do hủy” then press the button “Hủy hóa đơn”.
Method 2: Trên thanh Menu chọn mục “Xử lý hóa đơn”, chọn tiếp “Hủy hóa đơn”, sau đó nhấn “Tạo mới”.
- Step 3: Make a record of invoice cancellation between the seller and the buyer
On the Menu bar, select the item “Xử lý hóa đơn” >> “Hủy hóa đơn” >> “Lập biên bản”.
Next, you enter Minutes number, check the information and execute electronic signature. Then press “In” to download the Invoice Cancellation Record file.
Save the minutes in pdf format and sign offline between the seller and the buyer, or sign online between the seller and the buyer. Finally, both parties save the minutes as a basis for canceling the invoice.
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