.svg)
Decree 254/2026/ND-CP Officially Takes Effect from July 1, 2026
On June 30, 2026, the Government officially issued Decree 254/2026/ND-CP on electronic invoices and electronic documents in tax administration, which came into effect on July 1, 2026. This Decree continues to strengthen the legal framework governing electronic invoices while promoting digital transformation in tax administration through standardized data, enhanced electronic connectivity, and expanded applicability to a broader range of taxpayers.
One of the most notable provisions concerns entities required to use electronic invoices. Under Article 6 of Decree 254/2026/ND-CP, economic organizations, other organizations, household businesses, individual businesses, and taxpayers classified as high tax-risk cases under regulations issued by the Minister of Finance must use tax authority-authenticated electronic invoices when selling goods or providing services. This marks an important step toward improving business transparency and modernizing tax administration.
Which Entities Are Required to Use Electronic Invoices?
According to Article 6 of Decree 254/2026/ND-CP, the following entities are required to use electronic invoices:
a) Entities Required to Use Tax Authority-Authenticated Electronic Invoices
Economic organizations, other organizations, household businesses, individual businesses, and taxpayers classified as high tax-risk cases under regulations of the Minister of Finance must use tax authority-authenticated electronic invoices when selling goods or providing services, except for those specified under Points b and c of this Article.
b) Entities Eligible to Use Electronic Invoices Without Tax Authority Authentication
Businesses operating in sectors such as electricity, petroleum, postal services, telecommunications, clean water supply, finance and banking, securities, crypto assets, carbon trading support services, insurance, healthcare, e-commerce, supermarkets, commerce, aviation, road, railway, maritime, and inland waterway transportation may use electronic invoices without tax authority authentication, provided that they:
-
Have implemented or will implement electronic transactions with tax authorities;
-
Possess adequate IT infrastructure;
-
Operate accounting software and electronic invoicing software that comply with applicable regulations; and
-
Ensure electronic invoice data can be transmitted to both buyers and tax authorities.
This provision does not apply to taxpayers identified as high tax-risk cases by the Minister of Finance or businesses that voluntarily register to use tax authority-authenticated electronic invoices.
c) Entities Required to Use Cash Register-Based Electronic Invoices
Economic organizations, household businesses, and individual businesses engaged in direct sales of goods or services to consumers: including shopping centers, supermarkets, retail businesses (excluding automobiles, motorcycles, and other motor vehicles), food and beverage services, restaurants, hotels, passenger transportation, road transport support services, arts, entertainment, cinemas, and other personal services under the Vietnam Standard Industrial Classification must issue electronic invoices generated from cash registers.
However, entities that have already registered to use electronic invoices under Point a or Point b are not required to additionally register for cash register-based electronic invoices.
d) Specific Regulations for Household Businesses and Individual Businesses
Household businesses and individual businesses with annual revenue exceeding VND 1 billion, or those selling assets requiring ownership or usage rights registration, must use either tax authority-authenticated electronic invoices or cash register-based electronic invoices connected to the tax authority.
Household businesses and individual businesses not subject to mandatory adoption may voluntarily register to use tax authority-authenticated electronic invoices or cash register-based electronic invoices connected to the tax authority.
Clearly defining the applicable entities enables businesses to proactively select the appropriate invoicing method while minimizing compliance risks in tax declaration and administration. Below are several key highlights of Decree 254/2026/ND-CP.
1. Household Businesses with Annual Revenue Above VND 1 Billion Must Adopt Electronic Invoices
One of the most significant changes introduced under Decree 254/2026/ND-CP is the clearer requirement regarding electronic invoice adoption for household businesses and individual businesses with relatively large annual revenue.
Accordingly, household businesses and individual businesses generating annual revenue exceeding VND 1 billion, or those transferring assets requiring ownership or usage rights registration, are required to use either tax authority-authenticated electronic invoices or cash register-based electronic invoices connected to the tax authority.
This regulation expands the application of electronic invoices to larger-scale household businesses while allowing sales data to be transmitted directly to tax authorities. With revenue, invoices, and supporting documents recorded within the same electronic system, both taxpayers and tax authorities will benefit from improved data management, reconciliation, and information retrieval.
Household businesses and individual businesses not yet subject to mandatory implementation may still voluntarily register for either tax authority-authenticated electronic invoices or cash register-based electronic invoices if desired.
2. Expanded Application of Cash Register-Based Electronic Invoices
Decree 254/2026/ND-CP further expands the mandatory use of cash register-based electronic invoices for economic organizations, household businesses, and individual businesses that directly sell goods or provide services to consumers.
Applicable sectors include shopping centers, supermarkets, retail businesses (excluding automobiles, motorcycles, and other motor vehicles), food services, restaurants, hotels, passenger transportation, road transport support services, arts, entertainment, cinemas, and other personal services under the Vietnam Standard Industrial Classification.
These industries typically generate a high volume of daily transactions. Using cash register-based electronic invoices allows invoices to be generated instantly at the point of sale and transmitted to tax authorities in accordance with regulations, thereby reducing manual reconciliation efforts and minimizing invoicing errors.
However, the Decree also specifies that organizations, household businesses, or individual businesses already registered under Point c of Article 6 are not required to additionally register for cash register-based electronic invoices.
3. Stricter Conditions for Using Electronic Invoices Without Tax Authority Authentication
For businesses using electronic invoices without tax authority authentication, Decree 254/2026/ND-CP further clarifies the eligibility requirements.
This invoice type is limited to businesses operating in specific sectors, including electricity, petroleum, postal services, telecommunications, clean water supply, finance, banking, securities, insurance, healthcare, e-commerce, supermarkets, commerce, transportation, and several other industries as prescribed by law.
In addition to operating in eligible sectors, businesses must implement or plan to implement electronic transactions with tax authorities, possess suitable IT infrastructure, operate compliant accounting or electronic invoicing software, and ensure invoice data can be transmitted to both buyers and tax authorities.
Furthermore, this provision does not apply to taxpayers identified as high tax-risk cases by the Minister of Finance or businesses that have registered to use tax authority-authenticated electronic invoices.
4. Stronger Management and Standardization of Electronic Invoice Data
Another important highlight of the Decree is its continued emphasis on electronic invoice data standardization and digital connectivity between businesses and tax authorities.
Under the new regulations, electronic invoicing extends beyond invoice issuance. Businesses are also required to store, transmit, receive, and manage invoice data in accordance with prescribed technical standards and formats to support tax administration.
Standardized data enables businesses to retrieve, reconcile, and archive invoice information more efficiently while ensuring tax authorities receive complete, timely, and consistent electronic data across the system.
5. Key Considerations for Businesses and Accountants
Decree 254/2026/ND-CP officially came into effect on July 1, 2026. Although certain technical standards and implementation procedures will continue to be clarified through guidance issued by the Ministry of Finance, businesses and household businesses should begin preparing as early as possible to ensure compliance and minimize operational disruptions.
Businesses should first review their applicable invoicing category to determine whether they are required to use tax authority-authenticated electronic invoices, electronic invoices without authentication, or cash register-based electronic invoices. Identifying the appropriate invoice type from the outset will help businesses adopt the right solution and avoid unnecessary system changes later.
Businesses should also assess their current electronic invoicing and accounting software to ensure compliance with data standards, storage, transmission, and connectivity requirements prescribed by law. Timely system evaluation and upgrades will improve data accuracy, reduce errors, and minimize operational interruptions.
For household businesses and individual businesses with annual revenue exceeding VND 1 billion, now is an appropriate time to prepare for the transition to compliant electronic invoicing. Likewise, businesses operating in retail, restaurants, hospitality, services, or e-commerce should evaluate the connectivity between their cash registers and electronic invoicing systems to ensure invoices can be generated and transmitted reliably.
Beyond technology, businesses should update internal procedures related to invoice issuance, invoice correction, electronic document retention, and invoice data management. Standardized processes not only help ensure legal compliance but also improve financial governance and reduce accounting and tax risks.
As Vietnam's tax authorities continue accelerating digital transformation, complying with Decree 254/2026/ND-CP is not merely a legal obligation: it is also an opportunity for businesses to standardize financial data, optimize accounting processes, and strengthen long-term financial management capabilities.
6. How Sliner Consulting Helps Businesses Comply with Decree 254/2026/ND-CP
Complying with the new electronic invoicing regulations involves far more than selecting the correct invoice type. Businesses must also review their accounting processes, assess their technology infrastructure, and ensure that financial data is properly connected, managed, and stored in accordance with regulatory requirements. For many businesses: particularly e-commerce companies and household businesses undergoing digital transformation, this is a critical stage that requires careful planning to minimize operational risks.
With extensive experience in tax, accounting, and financial consulting, Sliner Consulting helps businesses assess their readiness for compliance with Decree 254/2026/ND-CP and develop implementation roadmaps tailored to their business models and operational scale.
Beyond regulatory advisory services, Sliner supports businesses in reviewing electronic invoicing procedures, standardizing accounting data, reconciling sales records, and establishing invoice management processes that comply with current regulations. For retailers, e-commerce businesses, and household businesses subject to mandatory electronic invoicing, Sliner's specialists also work closely with software providers to evaluate existing systems and ensure smooth implementation.
In addition, Sliner offers comprehensive accounting and tax outsourcing services, compliance consulting, tax finalization support, and data-driven financial management solutions. These services help businesses not only comply with the latest legal requirements but also improve financial transparency, streamline operational processes, and build a stronger foundation for sustainable long-term growth.
