In some special cases, such as personal, service providers or merchandise for the enterprise, the individual invoice raises many questions about the legal rules and procedures. This article Accnet will give you complete look, most detailed conceptual and legal provisions, the individual case invoice maker for business.
1. Personal invoice for business is what?
Personal invoice maker is an individual who has incurred transaction offer goods/services for legitimate business need to make invoice to legalize this transaction.
Individuals need the invoice when:
- Income from the provision of services/sales for the business.
- Partner business requires invoice legal to complete the accounting documents.
- Earnings exceed the levels specified, subject to the management of the tax authority.
2. Legal provisions on personal invoice maker for business
2.1. Legal grounds
The personal invoice for business is governed by the text of the legislation below:
- Decree 123/2020/ND-CP on the invoice, stock from electronic.
- Circular 219/2013/TT-BTC guiding on value added tax (VAT).
- The law on tax Administration no. 38/2019/QH14, effective from 2020.
2.2. Conditions to individual invoice maker for business
Individuals want to invoice need to meet the conditions:
- Registration number personal tax, to declare income to the tax authority.
- There arises income from activity that provides goods/services legal.
- Individual cases are not subject to routine business, can ask the tax authorities to support invoices.
Illustrative example: An individual who provides services in content writing for businesses with a total contract value is 50 million. This individual need the invoice, make tax declaration in full, including:
- VAT: 10%.
- Personal income tax: 10%.
2.3. Consequences when non-compliance
- Business can be administrative sanctions if there is no legal bills.
- Individuals suffering from arrears of tax, penalty for late payment of tax.
- The transaction has no legal value, causing economic damage for both sides.
3. Process individual invoice maker for business
3.1. Preparation procedure of registration invoice
- Individual has no tax code registration in tax authorities or through the portal of electronic tax.
- Records include: ID card/CCCD (copy), form tax registration number as prescribed.
- Declare and pay personal income tax (PIT), value added tax (VAT).
- Proof of transaction: Contract to supply goods, services, handover/completion of work.
3.2. The steps specific to individual invoice maker for business
Step 1: Contact the tax to purchase invoices or register electronic invoice
Individuals not subject to frequent business can export invoices through the tax authorities. Procedures include:
- Paper recommendation invoices (form).
- Contract and payment documents related to the transaction.
Step 2: declare and pay tax before personal invoice maker for business
Declaration full information about taxable income, pay tax according to the regulations. Example tax calculation:
- Transaction value: 10 million.
- VAT (10%): 1 million.
- Personal income tax (10%): 1 million.
- Total tax payable: 2 million.
Step 3: Receive and invoice duly
After the completion of tax obligations, individuals receive a bill from the tax office, for the business. Information on bills need:
- Name, tax code business invoice.
- Information goods/services, the value of the payment.
- The VAT, the total value of the payment after tax.
3.3. For example, detailed illustrations
Real life situation: Nguyen Van A is an individual who provides website design services for company ABC. The total contract value is 50 million. The implementation process is as follows:
He was A contact agency registration tax invoice and retail. VAT, PIT, respectively:
- VAT: 10% x 50.000.000 = 5,000,000 VND.
- Personal income tax: 10% x 50.000.000 = 5,000,000 VND.
- Total tax payable: 10.000.000 VND.
He received the bill from the tax authority, assigned to company ABC to testify from accounting.
4. Tax and costs relating to the individual invoice for DN
4.1. The type of tax applied to individual invoice maker for business
Personal income tax (PIT):
- Tax rate: 10% on the total income.
- Apply for transactions valued between 2 million and above.
Value added tax (VAT):
- Tax rate: 10% for most of the services/goods.
- Individual must declare and pay the VAT before the invoice.
4.2. Other expenses incurred when the individual invoice maker for business
- Free accounting service: Individuals can rent units accounting professional to support the declaration of invoice. Costs range from 500,000 to 1,500,000 depending on the transaction value.
- Free registration code individual tax number (if not available).
5. The solution supports individual/business in the process of invoice
Introduction highlights solutions - software, LV eInvoice:
- Support create and manage electronic invoice is valid.
- Integrated features, tax filing, storage bills safety.
- Automatic tax calculation, ensure compliance with Decree 123/2020/ND-CP.
- Friendly interface, easy to use for both personal/business.
Block "lv-einvoice" not found
The personal invoice for business legal high for the transaction, help process optimization, accounting/tax for both parties. However, to perform properly, businesses/individuals need to understand the rules, choose the solution appropriate support. If you are looking for the solution professional invoices, cost savings, let's experience right LV eInvoice!
CONTACT INFORMATION:- THE COMPANY SHARES INFORMATION, LAC VIET
Headquarters: 23 Nguyen Thi huynh, Ward 8, Phu Nhuan District, ho chi minh CITY.CITY
Hotline: 0901 555 063 | (+84.28) 3842 3333
Email: info@lacviet.com.vn
Website: https://accnet.vn/
Theme: