“Runaway bill” is a lower case word, but not the right word. The correct word is “Invoice of the business leaving the place of business” or “Illegal invoice” In order to determine how to handle a runaway invoice, it is necessary to determine the time when the tax agency or the competent authority (Investigating Authority) determines this is an illegal invoice. 1. In case the competent authority has not determined that the invoice is illegal, the following shall apply: - In case the enterprise has not yet declared and withheld VAT, the tax authority shall notify the enterprise in writing to suspend the declaration of withholding VAT for invoices showing signs of law violation, waiting for Official results of the competent authority. Enterprises are only allowed to declare and deduct input VAT on invoices that show no signs of law violation. - In case the enterprise has declared VAT withholding, the tax authority shall notify in writing the enterprise so that it can declare and reduce the deducted VAT amount. In case the enterprise confirms that the purchase and sale of goods and the input VAT invoice using the deduction declaration is correct, the enterprise must commit to take responsibility before the law, and at the same time, the tax authority must conduct an inspection. , check at the enterprise to conclude and handle violations according to regulations. In the course of inspection and examination, it is necessary to verify and compare with the enterprise having a trading relationship on a number of contents as follows: Inspection and verification of goods: Goods sale and purchase contract (if any); form of goods delivery; the place of delivery of goods; means of transporting goods; shipping prices; the owner of the goods and the origin of the goods (before the time of delivery of the goods) Check payment verification: Transactional banking; payers to the account for transactions; number of transactions performed; payments; payment vouchers. Verification of export of goods: Customs declaration certified by the customs authority; documents of payment via bank; Bill of lading (if any). Through inspection, if it is verified that the purchase and sale of goods is real and in accordance with the provisions of law, the enterprise shall be entitled to VAT deduction and refund; at the same time, request the enterprise to commit that if in the dossiers and documents the enterprise presents to the tax office, it is later discovered that there are violations, the enterprise must take responsibility before the law. In case of detecting signs of tax law violations or crimes, the dossiers shall be made and transferred to competent agencies for investigation and prosecution. – If the suspension of tax deduction leads to an increase in the payable VAT amount, the tax authority is responsible for summarizing and monitoring these cases. competent authority. 2. In case the competent authority has determined that the invoice is illegal, the following shall apply: + In case the seller provides illegal invoices: Not allowed to deduct tax and be sanctioned for administrative violations on illegal use of invoices. + Cases related to the act of buying and selling invoices: Handling in accordance with the law See more instructions on runaway bills Official Dispatch 11797/BTC-TCT issued by the Ministry of Finance