Integration of Purchase Invoice App with Accounting System for Automatic Recognition and Recording of Recurring Purchase Invoices

Everything You Need to Know Before Issuing Your First Electronic Invoice

Starting a new company in Vietnam involves more than obtaining an Enterprise Registration Certificate (ERC) and Tax Identification Number (TIN). Before your business can legally issue invoices to customers, it must complete the electronic invoice (e-invoice) registration process in accordance with Vietnamese tax regulations.

Vietnam has fully transitioned to mandatory electronic invoicing, making it essential for newly established companies to understand the registration process. Completing each step correctly helps avoid delays in business operations, ensures compliance with tax regulations, and enables your company to begin invoicing customers without interruption.

This guide explains the complete process—from incorporating your company to issuing your very first electronic invoice.

Why Is E-Invoice Registration Required?

Electronic invoices have become the standard method of invoicing in Vietnam under current tax regulations. Businesses are generally required to issue electronic invoices instead of traditional paper invoices.

Using e-invoices provides numerous benefits:

• Compliance with Vietnamese tax regulations

• Reduced administrative costs

• Improved operational efficiency

• Faster invoice delivery

• Better fraud prevention

• Real-time connectivity with tax authorities

• Easier accounting and auditing

A company cannot legally issue VAT invoices or sales invoices until its electronic invoice registration has been approved by the tax authority.

Legal Framework

Electronic invoices in Vietnam are primarily governed by:

• Decree No. 123/2020/ND-CP

• Circular No. 78/2021/TT-BTC

• Guidance issued by the General Department of Taxation (GDT)

Businesses should monitor future regulatory updates to ensure continued compliance.

Complete E-Invoice Registration Process

Company Incorporation
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Enterprise Registration Certificate (ERC)
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Tax Identification Number (TIN)
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1. Open Corporate Bank Account
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2. Purchase Digital Signature
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3. Register Electronic Tax Services
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4. Choose E-Invoice Provider
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5. Create Invoice Template
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6. Prepare Registration Information
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7. Submit E-Invoice Registration
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8. Tax Authority Approval
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9. Customize Invoice Template
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10. Test the System
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11. Issue First E-Invoice
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12. Store & Manage E-Invoices

Step 1 — Establish Your Company

Before registering for electronic invoices, your business must first be legally incorporated.

After incorporation, you should have:

• Enterprise Registration Certificate (ERC)

• Tax Identification Number (TIN)

• Company information registered with the tax authority

• Legal representative information

These documents form the foundation for all subsequent tax and invoicing procedures.

Step 2 — Open a Corporate Bank Account

Although opening a corporate bank account is not a legal prerequisite for e-invoice registration, it is one of the first operational steps every company should complete.

A corporate bank account is essential for:

• Receiving payments from customers

• Paying suppliers

• Making electronic tax payments

• Integrating accounting and ERP systems

• Conducting daily business transactions

Most banks require:

• Enterprise Registration Certificate

• Legal representative's identification

• Company seal (if applicable)

• Other supporting documents requested by the bank

Step 3 — Purchase a Digital Signature

Electronic invoices and electronic tax filings must be digitally signed.

Businesses can choose between:

• USB Token Digital Signature

• Cloud Digital Signature

The digital signature is used for:

• Electronic tax declarations

• Electronic tax payments

• E-invoice issuance

• Social insurance declarations

• Customs declarations

• Other government e-services

Step 4 — Register Electronic Tax Services

Next, activate your electronic tax account through the General Department of Taxation.

This account enables your business to:

• Submit tax returns

• Pay taxes electronically

• Receive tax notifications

• Manage electronic invoices

• Communicate electronically with tax authorities

Without an active electronic tax account, e-invoice registration cannot proceed.

Step 5 — Choose an E-Invoice Service Provider

Vietnam allows businesses to use licensed e-invoice software providers that integrate directly with the tax authority.

When selecting a provider, consider features such as:

• Invoice creation

• Automatic numbering

• Digital signature integration

• PDF and XML generation

• Customer email delivery

• ERP integration

• Accounting software integration

• API connectivity

• Data backup and security

Choosing the right provider early can significantly simplify future accounting and compliance processes.

Step 6 — Create or Select Your Invoice Template

Before submitting the registration, most e-invoice systems require businesses to define the invoice template that will be registered.

At this stage, you typically select:

• Invoice type (VAT Invoice, Sales Invoice, Export Invoice, etc.)

• Invoice symbol

• Invoice series

• Numbering method

• Invoice format

This information forms part of the registration submitted to the tax authority.

Step 7 — Prepare Registration Information

Once the invoice template has been defined, gather all required registration information.

Typical information includes:

Company Information

• Company name

• Tax Identification Number

• Business address

• Legal representative

• Contact information

Invoice Information

• Invoice type

• Invoice symbol

• Invoice numbering method

• Template information

Technical Information

• Digital signature

• E-tax account

• E-invoice provider information

Preparing this information in advance helps avoid delays during submission.

Step 8 — Submit the E-Invoice Registration

The registration is submitted electronically through your chosen e-invoice provider or the General Department of Taxation portal.

The submission generally includes:

• Electronic registration declaration

• Invoice template information

• Digital signature

• Company information

After submission, the application is automatically routed to the tax authority for review.

Step 9 — Wait for Tax Authority Approval

The tax authority reviews the application to verify:

• Company registration status

• Tax registration

• Digital signature

• Invoice registration details

• Compliance with applicable regulations

If approved, the company receives authorization to issue electronic invoices.

If rejected, the tax authority normally specifies the reason so corrections can be made before resubmission.

Step 10 — Customize Your Invoice Template

After receiving approval, finalize the appearance of your invoices.

Typical customizations include:

• Company logo

• Company name

• Company address

• Tax code

• Bank account information

• Contact details

• QR code

• Footer information

• Brand colors (where supported)

Many providers allow businesses to create professional invoice designs while maintaining compliance with Vietnamese regulations.

Step 11 — Test the Entire System

Before issuing invoices to customers, perform a comprehensive system test.

Verify that:

• Digital signatures work correctly

• Invoice numbering is sequential

• VAT calculations are accurate

• PDF and XML files are generated properly

• Customer information displays correctly

• Email delivery functions normally

• ERP and accounting integrations operate as expected

Testing minimizes errors once live invoicing begins.

Step 12 — Issue Your First Electronic Invoice

Once testing is complete, you are ready to issue your first invoice.

The typical workflow is:

1. Create the invoice

2. Enter customer information

3. Add products or services

4. Calculate taxes

5. Digitally sign the invoice

6. Submit to the tax authority (where applicable)

7. Generate PDF and XML files

8. Send the invoice to the customer

At this point, your company has successfully completed the e-invoice registration process.

Step 13 — Store and Manage Electronic Invoices

Electronic invoices must be securely retained in accordance with Vietnamese record-retention requirements.

Good practices include:

• Secure cloud storage

• Regular data backups

• User access controls

• Audit logs

• Integration with accounting software

• Easy retrieval during tax inspections or audits

Many providers include long-term archival and automated backup features as part of their services.

Common Reasons for Registration Rejection

Problem	Recommended Solution
Invalid digital signature	Renew or correctly install the digital certificate
Incorrect company information	Update registration details and resubmit
Inactive electronic tax account	Complete e-tax account activation
Expired digital certificate	Renew the certificate before submission
Missing required information	Review the application and submit again

Best Practices

Integrate Your Business Systems

Connecting your e-invoice platform with accounting software, ERP, CRM, inventory management, and banking systems reduces manual data entry and improves accuracy.

Automate Invoice Issuance

Many businesses automatically generate invoices after:

• Sales order completion

• Goods delivery

• Service acceptance

• Payment receipt (depending on business processes)

Automation improves efficiency while reducing human error.

Maintain Accurate Customer Information

Always verify:

• Customer name

• Tax Identification Number

• Registered address

• Email address

• VAT status

Correct customer information helps avoid invoice adjustments and replacement invoices.

Frequently Asked Questions

Can a newly established company issue invoices immediately after incorporation?

No. The company must first complete e-invoice registration and obtain approval from the tax authority.

Is a digital signature mandatory?

Yes. A valid digital signature is required for electronic tax filings and e-invoice issuance.

Can an ERP system automatically issue electronic invoices?

Yes. Most modern ERP and accounting systems integrate with licensed e-invoice providers through APIs, allowing invoices to be generated automatically once predefined business events occur.

Can invoice templates be modified after approval?

Yes. Most providers allow businesses to update logos, layouts, banking information, and branding while maintaining compliance with Vietnamese regulations.

Conclusion

Electronic invoice registration is one of the final but most important compliance milestones for every newly established company in Vietnam. While the process involves several administrative and technical steps—from opening a corporate bank account and purchasing a digital signature to obtaining approval from the tax authority—the entire workflow can be completed efficiently with proper planning.

By choosing a reliable e-invoice provider, integrating your invoicing solution with accounting and ERP systems, and implementing automation wherever possible, your business can streamline operations, reduce administrative workload, and remain fully compliant with Vietnam's evolving digital tax environment from the very first invoice.

Resources : Internet