Vietnam: Small Businesses Question Manual Record-Keeping Alongside Digital Invoicing

Readers of Thanh Niên newspaper are voicing concerns over current tax regulations that require small businesses to maintain manual ledgers for sales and purchases, even after issuing electronic invoices. Many argue this practice is redundant and hinders business operations.

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The tax authority should adjust the compliance regulations for business households in the simplest way possible. Invoices have already been declared, so don't force us to write them by hand anymore.

Business owners, particularly those in Ho Chi Minh City with annual revenues below 3 billion VND, report spending excessive time on manual record-keeping. They feel this manual entry, combined with digital tax filings, leaves them with little time or mental energy to focus on their core business activities. The requirement to detail every incoming and outgoing transaction manually is seen as an unnecessary burden.

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Requiring mandatory data entry and accounting software for invoicing, yet still demanding handwritten records, sounds contradictory.

Readers describe the manual data entry as a "step backward" in the era of digital transformation. They question the logic of mandating digital invoicing and accounting software while simultaneously requiring handwritten ledgers. The consensus is that digital records, supported by invoices and sales management software, should be sufficient for tax purposes. Manual bookkeeping is viewed as inefficient for data verification and cross-referencing by tax officials.

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In an era prioritizing digital transformation, requiring business households to enter data into paper ledgers is a step backward. Furthermore, handwritten ledgers offer little benefit for statistical analysis or cross-referencing, as tax officials have limited time to review them.

Many suggest that tax authorities should simplify compliance procedures for small businesses. They propose that a simple accounting software solution could effectively manage transaction records, eliminating the need for manual ledgers. Readers urge for a shortened transition period for these manual record-keeping requirements, advocating for greater autonomy and self-responsibility in tax compliance.

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I understand this is a stepping stone for the authorities to ensure accuracy and transparency in the new tax declaration and payment regulations for business households. However, the transition period for these manual purchase and sales records needs to be shortened, as simple accounting software can effectively address this need.