Tiếng Việt
A fictitious invoice is an invoice that records bogus purchases and sales of goods and services, part or all of the contents of the invoice. What kind of invoice is called a false invoice? How to penalize when issuing false invoices?
How is an invoice considered a false invoice?
Pursuant to Clause 2, Article 4 of Decree 125/2020/ND-CP stipulates:
Invoices and vouchers are invoices and vouchers that have recorded economic operation criteria and contents but the purchase and sale of goods and services is partly or completely unreal; invoices that do not reflect the actual value incurred or make false invoices or make fake invoices;
Illegal use of invoices and non-compliance with the law on invoices is presented in 03 forms as follows:
- Fake invoices: These are printed invoices, created according to another invoice template that has been issued or with the same number of an invoice symbol.
- Unvalidated Invoices: Invoices created but not yet released.
- Expired invoice: An invoice that has been announced to be issued but no longer used by the organization/individual, the invoice is lost after being issued and has been reported to the tax authority, the invoice has been discontinued. use tax code.
How will I be penalized for issuing a Bad Invoice?
1. Administrative sanction when issuing false invoices
Pursuant to Article 28 of Decree 125/2020/ND-CP stipulating the level of sanction for the use of illegal invoices and illegal use of invoices as follows:
A fine ranging from VND 20,000,000 to VND 50,000,000. Also force cancellation of used invoices.
Note: If using illegal invoices that lead to tax evasion or tax fraud, they will only be handled for tax evasion and tax fraud, but not for illegal use of invoices. and use illegal invoices. And vice versa, if it does not lead to acts of tax evasion or tax fraud, they will only be handled for illegal use of invoices and illegal use of invoices, but not for acts of tax evasion or fraud. tax fraud (refer to Official Letter No. 568/TCT-CS).
2. Using false invoices to evade tax will be prosecuted for criminal liability:
1. Those who commit one of the following acts of tax evasion with an amount of between VND 100,000,000 and under VND 300,000,000 or under VND 100,000,000 but have been administratively sanctioned for acts of tax evasion or has been convicted for this crime or for one of the offenses specified in articles 188, 189, 190, 191, 192, 193, 194, 195, 196, 202, 250, 251, 253, 254, 304, 305, 306, 309 and 311 of this Code, who have not yet had their criminal records remitted but continue to commit them, shall be subject to a fine of between VND 100,000,000 and 500,000,000 or a prison term of between 3 months and 1 year:
a) Failing to submit tax registration dossiers; failure to file tax returns; submit a tax return 90 days after the deadline for filing a tax return or the expiration of the time limit for filing a tax return as prescribed by law;
b) Failure to record in the accounting books the revenues related to the determination of payable tax amounts;
c) Failing to issue invoices when selling goods or services or write the value on the sale invoice lower than the actual payment value of the sold goods or services;
d) Using illegal invoices and vouchers to account for goods and input materials in activities generating tax obligations, which reduces the payable tax amount or increases the exempted or exempted tax amounts. reduce or increase the amount of tax withheld, tax refund;
dd) Using other illegal vouchers and documents to wrongly determine the payable tax amount or the refunded tax amount;
e) Making false declarations of imported and exported goods without making additional declarations to tax declaration dossiers after the goods have been cleared from customs, if they do not fall into the cases specified in Articles 188 and 189 of this Code;
g) Intentionally failing to declare or falsely declare tax on exported or imported goods, if they do not fall into the cases specified in Articles 188 and 189 of this Code;
h) Collaborating with the consignor to import goods, if they do not fall into the cases specified in Articles 188 and 189 of this Code;
i) Using goods that are not subject to tax, tax exemption or consideration for tax exemption for improper purposes without declaring the change of use purpose to the tax administration agency.
2. Committing the crime in one of the following circumstances, the offenders shall be subject to a fine of between VND 500,000,000 and 1,500,000,000 or a prison term of between 01 and 03 years:
a) Organized;
b) The amount of tax evasion is from VND 300,000,000 to under VND 1,000,000,000;
c) Abusing positions and powers;
d) Committing the crime twice or more;
d) Dangerous recidivism.
3. Committing the crime of tax evasion with an amount of VND 1,000,000,000 or more, the offenders shall be subject to a fine of between VND 1,500,000,000 and 4,500,000,000 or a prison term of between 02 and 07 years:
4. The offenders may also be subject to a fine of from VND 20,000,000 to VND 100,000,000, a ban from holding certain posts, practicing certain professions or doing certain jobs for 1 to 5 years, or having part or all of part confiscated. property set.
5. A commercial legal entity that commits an offense specified in this Article shall be penalized as follows:
a) Committing one of the acts specified in Clause 1 of this Article to evade tax with an amount of between VND 200,000,000 and under VND 300,000,000 or from VND 100,000,000 to under VND 200,000,000 but have been fined for the violation. administrative violations of tax evasion or have been convicted for this crime or for one of the crimes specified in articles 188, 189, 190, 191, 192, 193, 194, 195 and 196 of this Code, not yet If they have their criminal records remitted but continue to commit their violations, they shall be subject to a fine of between VND 300,000,000 and 1,000,000,000;
b) Committing the crime in one of the cases specified at Points a, b, d and dd Clause 2 of this Article, the offenders shall be subject to a fine of between VND 1,000,000,000 and VND 3,000,000,000;
c) Committing the crime in the cases specified in Clause 3 of this Article, the offenders shall be subject to a fine of between VND 3,000,000,000 and VND 10,000,000,000 or have their operation suspended for a term of between 06 months and 03 years;
d) Committing the crime in the cases specified in Article 79 of this Code, the operation shall be permanently suspended;
dd) Commercial legal entities may also be subject to a fine of from VND 50,000,000 to VND 200,000,000, ban from doing business, from operating in certain fields or from raising capital from 01 to 03 years.
Accordingly, issuing false invoices for tax evasion purposes can lead to up to 7 years in prison and corresponding fines.
