Instructions for processing invoices when returning goods to suppliers

Clause 1, Article 4, Clause 2, Article 19 of Decree No. 123/2020/ND-CP dated October 19, 2020 of the Government regulating invoices and documents stipulate:

“Article 4. Principles of creating, managing and using invoices and documents

1. When selling goods or providing services, the seller must issue an invoice to the buyer (including cases of goods and services used for promotion, advertising, samples; goods and services used for giving, presenting, exchanging, paying in lieu of salary to employees and internal consumption (except for goods circulated internally to continue the production process); exporting goods in the form of loans, lending or returning goods) and must fully record the content as prescribed in Article 10 of this Decree. In case of using electronic invoices, they must follow the standard data format of the tax authority as prescribed in Article 12 of this Decree.

Article 19. Regulations on handling erroneous invoices

2. In case an electronic invoice with a tax authority code or an electronic invoice without a tax authority code has been sent to the buyer and the buyer or seller discovers an error, it shall be handled as follows:

b) In case of errors: Tax code; errors in the amount stated on the invoice, errors in tax rate, tax amount or goods stated on the invoice are not of the correct specifications or quality, you can choose one of the two following ways to use electronic invoices:

b1) The seller issues an electronic invoice to adjust an invoice that has been issued with errors. In case the seller and the buyer have agreed to prepare a written agreement before issuing an invoice to adjust an invoice that has been issued with errors, the seller and the buyer shall prepare a written agreement clearly stating the errors, then the seller shall issue an electronic invoice to adjust the invoice that has been issued with errors.

An electronic invoice adjusting an erroneous electronic invoice must have the line "Adjustment for invoice Form No... symbol... number... date... month... year".

b2) The seller shall issue a new electronic invoice to replace the erroneous electronic invoice, unless the seller and the buyer have agreed to make a written agreement before issuing a replacement invoice for the erroneous invoice. In this case, the seller and the buyer shall make a written agreement clearly stating the error, and then the seller shall issue an electronic invoice to replace the erroneous invoice.

A new electronic invoice replacing an erroneous electronic invoice must have the words "Replacing invoice Form No.... symbol... number... date... month... year".

The seller signs the new electronic invoice to adjust or replace the erroneous electronic invoice, then the seller sends it to the buyer (in case of using electronic invoices without tax authority codes) or sends it to the tax authority so that the tax authority can issue a code for the new electronic invoice to send to the buyer (in case of using electronic invoices with tax authority codes).

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hoa đơn .jpeg — Electronic invoice. Photo: Illustration

Based on the above regulations, in case HS Nghe An Company Limited has received the goods but later discovers that the goods stated on the invoice are not of the correct specifications or quality and must return all or part of the goods, the seller shall issue an invoice to adjust or replace the issued electronic invoice, and the seller and the buyer shall issue a written agreement clearly stating the returned goods in accordance with the provisions of Clause 2, Article 19 of Decree No. 123/2020/ND-CP.

HS Nghe An Company Limited, based on the actual situation, compares with the legal documents cited above to comply with the regulations.

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