Can small transactions use simpler receipts instead of invoices?

Every transaction needs a record, but not every small purchase may need a full tax invoice, according to Ngô Minh Vũ, an expert from the University of Economics Ho Chi Minh City.

Speaking to Tuổi Trẻ, Vũ said the aim of tax policy should be to record all transactions for management and transparency. The practical question, he said, is how to do that efficiently and at reasonable cost for businesses and household traders.

He pointed to Singapore, where sellers can use a receipt to confirm low-value transactions instead of issuing a tax invoice with complete tax, buyer and business details. Such receipts mainly prove that a transaction occurred, while the data can still help record revenue and reduce tax losses.

Vietnam could consider a similar approach for small purchases, Vũ said. The document would not need to contain every detail required on a tax invoice, but it would need to preserve evidence that the sale took place.

He said businesses could also combine many small transactions into one invoice at the end of the day if electronic receipts identify which individual purchases were included. Without a system that records each transaction, however, consolidation could undermine the goal of making revenue transparent and limiting tax evasion.

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For example, at the end of the day, many small transactions could be consolidated into one invoice, while electronic receipts are kept to show which specific transactions were included.