The General Department of Taxation provides guidance on issuing invoices with reduced value-added tax (VAT) rate of 8% in 2022, as stated in Official Letter 2121/TCT-CS dated May 29, 2023, regarding invoice issuance in accordance with Decree 15/2022/ND-CP issued by the General Department of Taxation. According to the guidance, the General Department of Taxation instructs the issuance of invoices with reduced VAT rate of 8% in 2022 as follows:

    1. Regarding the specific invoice issuance period:
In accordance with Official Letter 2688/BTC-TCT dated March 23, 2022 and Official Letter 3522/TCT-CS dated September 22, 2022, invoices are recorded at the tax rate of 8% if made from February 2022 to December/December/ 2022 .

    2.  Invoicing in some cases :

• Case 1: In 2023 re-invoice due to error in 2022
  Goods and services are entitled to a 2% VAT reduction in 2022 according to Decree 15/2022/ND-CP. In 2023, if errors are detected, an adjustment contract or a replacement contract must be made:

• • If it does not affect the goods and VAT payable or adjust the taxable price ==>, the adjustment contract/replacement contract will apply the tax rate is  8%. 

  • If the wrong quantity leads to the wrong amount of goods and VAT ==>, the adjustment contract/replacement contract must apply the tax rate is 10%.

• Case 2: Buyer returns goods
  From January 1, 2023, if the buyer returns the goods with the tax rate of 8% purchased in 2022 ==> Then the seller issues an Invoice to return the goods, the tax rate is applied 8%.

• Case 3: Trade discount (Trade discount)
  Goods subject to the tax rate of 8% were sold in 2022, but not until 2023 when an invoice stating the content of Trade discount is issued.

• • If the deposit is made at the end of the program/secured period after December 31, 2022 ==> then the seller makes an adjustment contract and applies the tax rate of  8% at the time of sale.
  • If the security deposit is made on the last purchase or the next period after December 31, 2022 ==>, the amount of securities is calculated and adjusted in the content of tax calculation, the tax rate shall be applied according to the time of making the invoice ( In 2023, the tax rate is 10%)

• Case 4: Annual version 2022 but invoiced in 2023
  From February 2022 to December 2022, if the supply of goods and services and construction and installation activities have a time of acceptance and handover of works, construction volume, they are subject to tax rates is 8%  but making Invoices in 2023 ==>, the tax rate of 8% will still apply  but will be penalized for the act of making Invoices at the wrong time