Circular No. 99/2003/TT-BTC guides the amendment and supplementation of Circular No. 120/2002/TT-BTC dated December 30, 2002, issued by the Ministry of Finance, guiding the implementation of Decree No. 89/2002/NĐ-CP dated November 7, 2002, of the Government on printing, issuing, using, and managing invoices.

CIRCULAR

Circular No. 99/2003/TT-BTC dated October 23, 2003 of the Ministry of Finance guiding amendments and supplements to Circular No. 120/2002/TT-BTC dated December 30, 2002 of the Ministry of Finance guiding the implementation of Decree No. 89/2002/NĐ-CP dated November 7, 2002 of the Government on printing, issuing, using, and managing invoices.

On December 30, 2002, the Ministry of Finance issued Circular No. 120/2002/TT-BTC guiding the implementation of Decree No. 89/2002/NĐ-CP dated November 7, 2002 of the Government on printing, issuing, using, and managing invoices. To align with current circumstances, the Ministry of Finance guides the amendment and supplementation of Circular No. 120/2002/TT-BTC dated December 30, 2002 regarding invoice purchase procedures as follows:

1. Replacing Point 1, Section V, Part B of Circular No. 120/2002/TT-BTC dated December 30, 2002 of the Ministry of Finance with the following new content:

"1. Invoice Purchase Procedures:

1.1 Initial Invoice Purchase Procedures:

a. For business organizations: when purchasing invoices for the first time, business organizations must submit the following documents:

- Application for invoice purchase (according to Model No. 01 attached).

- An introduction letter from the business organization signed by an authorized representative introducing the person who will contact the tax authority to purchase invoices. The introduction letter must clearly state the name, position, and ID card number of the introduced person.

- A copy of the Tax Registration Certificate certified as a true copy by the business organization.

When purchasing invoices, the person named on the introduction letter must present their ID card (still within its validity period according to the law) to the tax authority.

b. For individual businesses: when purchasing invoices for the first time, individual businesses must submit the following documents:

- Application for invoice purchase (according to Model No. 02 attached).

- A copy of the Tax Registration Certificate. When submitting the application to purchase invoices at the tax authority, the original Tax Registration Certificate must be brought along for verification. If it is a notarized copy, the original does not need to be presented.

- In cases where the head of the individual business authorizes another person, a power of attorney must be written in accordance with the law and the head of the business must bear legal responsibility for the authorization. The power of attorney must clearly state the name, address, and ID card number of the authorized person.

When contacting the tax authority, the head of the individual business or the authorized person must present their ID card (still within its validity period according to the law).

c. The initial invoice purchase documents of business organizations or individual businesses must be submitted directly to the tax authority responsible for management.

Within 10 working days of any change in transaction location or business location, the business entity must notify the tax authority of the change.

d. Responsibilities of the tax authority: receiving the initial invoice purchase documents of business organizations and individual businesses and being responsible for checking the initial invoice purchase procedures as specified in Points a and b above.

Specific contents of the check include:

+ Verifying and comparing the name and ID card number of the person directly purchasing the invoices with those recorded in the application or introduction letter or power of attorney.

+ Checking that the information in the application for invoice purchase is complete and clear according to the prescribed model.

+ Comparing the name of the business entity, business registration number, and tax code recorded in the application for invoice purchase with the Tax Registration Certificate.

After completing the checks and finding them satisfactory, the tax authority writes a notice (according to Model No. 03 attached) and hands it over to the business entity, setting a date for selling invoices, depending on the specific case, but not exceeding 5 working days from the date of receipt of the documents. During this period, the tax authority will inspect the actual business location to confirm whether the business entity operates at the declared location. The inspection results must be recorded in a confirmation document of the business location (according to Model No. 04 attached). If the conditions are met after the inspection, the tax authority will issue an invoice purchase book (according to Model ST 22/HĐ) to the business entity and sell the initial invoices according to the agreed date. If the conditions are not met, the tax authority must inform the business entity of the reasons.

The quantity of invoices that business organizations and individual businesses can purchase initially shall not exceed two volumes.

1.2 Subsequent Invoice Purchase Procedures:

a. Business organizations and individual businesses purchasing invoices subsequently must submit the following documents to the tax authority:

- For business organizations: an introduction letter from the business organization signed by an authorized representative, which must clearly state the name, position, ID card number of the person sent to purchase invoices, and the quantity of invoices requested.

- For individual businesses: an application for invoice purchase, which must clearly state the name, ID card number, business address, and quantity of invoices requested. If the head of the individual business authorizes another person, a power of attorney according to the law must be provided. The power of attorney must clearly state the name and ID card number of the authorized person.

- The invoice purchase book already issued by the tax authority.

The person introduced by the business organization to purchase invoices, the head of the individual business, or the person authorized by the head of the individual business, must present their original ID card (still within its validity period according to the law) to the tax authority when purchasing invoices.

b. Responsibilities of the tax authority:

Receiving the invoice purchase documents of business organizations and individual businesses. Conducting a review of the documents and verifying against the ID card to confirm that the person purchasing the invoices matches the name recorded in the introduction letter of the business organization or the head of the individual business or the person authorized by the head of the individual business. If they match, the tax authority is responsible for selling invoices to the business entity for use; the maximum quantity of invoices sold shall not exceed the quantity of invoices used in the previous month. For example, if Company A comes to purchase invoices on August 10th, requesting 15 volumes, but the quantity of invoices used in July was only 12 volumes, then they can only purchase up to 12 volumes.

- For newly established business entities, if they have exhausted the invoices purchased for the first time (02 volumes) before the end of the month, the tax authority will base on the time of using the first batch of invoices to decide the quantity of invoices to be purchased next time. After determining the number of invoices used in the month, they will sell according to the usage level of the previous month.

- For business entities violating Article 14 (except Point 1, Point 2), Article 15, and Article 16 of Decree No. 89/2002/NĐ-CP dated November 7, 2002 of the Government regarding the printing, issuance, use, and management of invoices, if they comply with the Decision on fines and pay the fine and back taxes (if any) immediately into the State budget, then the sale of invoices will be handled at the initial purchase level (maximum 02 volumes).

After three months, if the business entity does not continue to violate, the tax authority will sell invoices like other business entities that comply well with the invoice management and usage system.

2. Replace Point 1.8, Section VI, Part B of Circular No. 120/2002/TT-BTC dated December 30, 2002 of the Ministry of Finance with the new content of Point 1.8 as follows:

"1.8- Regarding the issuance of single invoices:

Households engaged in business that have been paying taxes stably for six months or one year without the need to use booklets of invoices; households engaged in business that have been refused the sale of invoice booklets by the tax authority due to violations, or those who have not registered their business or are not regular businesses but have generated income from goods and services, if they have the need to use invoices, will be issued single sales invoices (without charge) by the tax authority to provide to customers.

Single invoices are issued directly at the Tax Revenue Office or at the Tax Team. Depending on the characteristics of the area and the need for single invoices, the Tax Revenue Office will publicly announce the location of selling invoices to facilitate the taxpayers who need them. The subjects receiving single invoices must pay taxes (collected through tax receipts) before receiving the invoices. Individuals with the need must declare their income accompanied by contracts and purchase-sale agreements between both parties as the basis for issuing single invoices. Invoices are prepared at the tax authority; Link 1, Link 2 are given to the person receiving the invoice; Link 3 is retained at the tax authority. Single invoices must be stamped by the tax authority on the upper left corner of each link. The tax authority must maintain separate records for organizations and individuals using single invoices as if they were organizations and individuals using invoices."

3. Add the following contents 1.12 and 1.13 at the end of Point 1, Section VI, Part B of Circular No. 120/2002/TT-BTC dated December 30, 2002 of the Ministry of Finance as follows:

"1.12- Households engaged in business that have been paying taxes stably, have registered their business, and have a tax registration certificate, if they have the need to use invoices, will be sold invoices according to the following regulations:

When purchasing invoices for the first time, households engaged in business must follow the procedures stipulated in Point 1.1 of this Circular. For subsequent purchases, they must follow the procedures stipulated in Point 1.2 of this Circular, in addition to bringing the previously purchased booklet of invoices to the directly managing Tax Team for inspection of the use of invoices, income recorded on invoices, and confirmation by the team leader that there has been no violation in the use of invoices on the application for purchasing invoices.

The tax authority has the right to refuse to sell invoices in the following cases: households engaged in business that have been paying taxes stably violate Articles 14 (except Point 1, Point 2), Article 15, and Article 16 of Decree No. 89/2002/NĐ-CP dated November 7, 2002 of the Government; failing to bring the previously purchased booklet of invoices for the tax authority to inspect; conducting business but delaying tax payments, owing tax.

The quantity of invoices sold to households engaged in business that have been paying taxes stably for six months or one year each time is 01 booklet."

"1.13- Households engaged in business that have been paying taxes stably and using invoices, if the income reflected on invoices is higher than the stable income, the household must pay taxes based on the income reflected on the invoices.

If the income reflected on invoices is lower than the stable income, the household pays taxes based on the stable income.

The tax authority will cooperate with the Tax Advisory Council to investigate and determine income for households engaged in business that have been paying taxes stably for six months or one year to ensure stable taxation in accordance with reality, ensuring fairness, and preventing tax loss. Households engaged in business have the right to appeal if they find that the stable income does not match their actual business situation."

This Circular takes effect 15 days after its publication in the Official Gazette. Provisions in Circular No. 120/2002/TT-BTC dated December 30, 2002 of the Ministry of Finance that are not amended or supplemented in this Circular remain effective. During implementation, if there are difficulties, organizations and individuals are advised to promptly report to the Ministry of Finance for research and resolution.