The Ministry of Finance said it has strengthened tax administration for e-commerce activities over the past time

The Ministry of Finance has just sent the National Assembly a report on the implementation of Resolution 62 on questioning activities at the 3rd session. The report was sent to the National Assembly to prepare for the 4th session, scheduled to open on October 20.

According to the Ministry of Finance, in the past time, in order to facilitate the implementation of tax management tasks in e-commerce business activities, this agency has operated an electronic portal for suppliers in the country (NCCNN) ( and deploying an electronic tax application on a mobile device platform (eTax Mobile).

Thereby, from March 21, 2022 until now, there have been 140,615 downloads and installs, using eTax Mobile application, 69,465 transactions via commercial banks with a total amount of over 308 billion VND. There are 30 major foreign suppliers such as Microsoft, Facebook , Netflix; Samsung; TikTok; eBay… register, declare on the Portal and pay taxes with a total tax of about 22.2 million USD.

Surprised by the tax amount Facebook, Google, Netflix, TikTok... paid in Vietnam - Photo 1.Surprised by the tax amount Facebook, Google, Netflix, TikTok... paid in Vietnam - Photo 1.

Facebook has paid taxes in Vietnam with the amount of VND 2,099 billion

The report of the Ministry of Finance stated that the revenue from e-commerce activities through organizations in Vietnam declared and paid on behalf of contractor tax from 2018 to now reached 5,588 billion VND.

The Ministry of Finance emphasized that this revenue tends to grow over the years, the average revenue in the period 2018-2021 will reach 130%, especially from 2021, with about 1,591 billion VND, up 39% compared to 2020.

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Specifically, some foreign suppliers are allowed to declare and pay taxes instead of large amounts contributing to the state budget, such as Facebook at VND 2,099 billion; Google 2,114.6 billion; Microsoft 714 billion VND…

As for the tax collection for Vietnamese organizations and individuals that have income from e-commerce business activities, the Ministry of Finance said that accumulated by the end of August 2022, tax authorities have collected from handling violations, combating revenue loss is about 1,082 billion VND.

The Ministry of Finance also acknowledged that tax administration for e-commerce businesses still faces many difficulties in fully managing revenue sources, taxpayers, and determining tax bases.

Besides, in the digital economy it is difficult to distinguish some types of income, especially royalties, service fees and business profits; difficult to control business transactions to manage tax collectors for e-commerce business activities.

The Ministry of Finance also stated that it is not easy to control cash flow when the payment system in the form of COD (cash on delivery) is more popular than non-cash payment methods. 

In order to strengthen tax management in the coming time, the Ministry of Finance emphasized that it will complete tax regulations to strengthen the responsibility of e-commerce floor owners in tax declaration and tax payment on behalf of users selling goods and services through an online ordering platform and providing information to tax authorities by electronic means.

The Ministry of Finance plans to build a database to manage risks for e-commerce; apply artificial intelligence (AI) to process data, issue warnings in case the risk threshold is exceeded, and propose risk-based tax management measures for e-commerce activities.

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Source: CafeF

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