In the process of switching to tax management by data, many business households have used software to create and send electronic invoices to customers. However, in reality, not just issuing invoices is in accordance with legal regulations.
A fairly common error is that business households have not completed the procedures for registering to use electronic invoices with tax authorities, or registered incorrectly but still issue invoices. Many people believe that this is just a procedural omission, not affecting tax obligations, so it can be ignored. In fact, this is an administrative violation that may be fined with money.
Registering to use electronic invoices is a mandatory condition
According to legal regulations on taxes and invoices, before using electronic invoices, business households must carry out procedures for registration or notification of use to the tax authority in the correct order. Only after being accepted, electronic invoices are considered valid.
The use of invoices when not registered, registered incorrectly or not approved is defined as the use of electronic invoices when legal conditions are not sufficient, even if the invoice has been sent to the customer and revenue has been recorded.
According to Decree 125/2020/ND-CP, amended and supplemented by Decree 310/2025/ND-CP, the act of using electronic invoices without registration or not meeting the conditions as prescribed may be subject to administrative penalties.
Specifically, business households may be fined from 6 - 18 million VND, depending on the nature, severity of the violation and the time of using invalid invoices. Common cases include:
- Issuing electronic invoices when no registration notice has been sent;
- Registering to use electronic invoices but not yet accepted by the tax authority;
- Using electronic invoices of the wrong type, not in the registered form.
This fine is applied independently, regardless of whether business households incur additional tax payable or not.
Not registering electronic invoices is no different from not making invoices.
In legal nature, not registering to use electronic invoices and not issuing invoices are two different acts. Not issuing invoices when transactions arise is a more serious violation, with a higher penalty frame and directly associated with the risk of tax evasion.
Meanwhile, not registering to use electronic invoices is a violation of conditions and procedures, but is still penalized for violating the invoice management process according to regulations.
Not registering electronic invoices can lead to the risk of tax arrears
Not registering to use electronic invoices is not automatically considered tax evasion. However, if revenue is detected through inspection but the invoice is invalid, leading to incorrect declaration, business households may still have their tax obligations re-determined.
In that case, in addition to a fine of 6–18 million VND, business households may have to:
- Supplement the remaining tax amount (if any);
- Be fined 20% of the tax declared insufficiently;
- Being charged late payment according to regulations.
- What do business households need to do to avoid being penalized
To avoid risks, business households need to check the status of registration for using electronic invoices before issuing. Choosing a reputable service provider, completing registration procedures and storing related documents is an important step to ensure that the issued invoice is valid.
In the context of increasingly tight tax management, not registering to use electronic invoices is no longer a minor procedural error, but can cause business households to face fines of up to 18 million VND, even if there is no intention to violate.
