Tax collection coordination proposed for online sale of goods in HCMC

The HCMC Department of Industry and Trade has proposed authorized agencies to join hands in managing and collecting taxes in e-commerce field, first of all they should work with Facebook about that.
According to the agency, HCMC now has 8,000 e-commerce websites. Of these, 4,000 have operated stably with the noticeable activity being online sale of goods on Facebook. However authorized agencies have yet to closely work together in tax management and collection causing huge tax loss in this field.
Last year, the retail sale activity on the internet between businesses and individual customers was estimated to reach US$5 billion accounting for 3 percent of the country’s total retail sales and consumer service turnover.
According to the Tax Management Law, subjects doing business in Vietnam must do tax declarations before carrying out trading activities. Domestic trading organizations and individuals must do tax declaration by each contract and pay tax for foreign firms who sell goods to them or provide them services but have no permanent establishments in the country.
However, Vietnam has still seen tax loss in e-commerce. For the last many years, big brand names in the world such as Facebook, Instagram, Youtube, Google, Ebay and Alibaba and many domestic e-commerce websites such as VCCorp, Vatgia, Rongbay, Enbac, Muare, Muachung, 5giay and Zalo have freely traded in many fields but not ensured their tax obligations.

By Han Ni – Translated by Hai Mien

Other news

Most view

Beer production at Sabeco

Thai Group still considers Sabeco share purchase

Vietnam Beverage, a subsidiary of Thai Beverage Public Company Limited (ThaiBev), is still considering share purchase of Saigon Beer, Alcohol and Beverage Corporation (Sabeco) and will make the final decision on December 17.



Garment, textile obtain highest trade surplus value in export items

After the US withdrew from the talks on Trans-Pacific Partnership (TPP), Vietnam’s garment and textile export met with difficulties in the first two quarters this year. However the industry has posted the record high trade surplus value taking the lead in export items.

Self - introduction

Stock market

Shares rise amid growing caution

Shares extended gains on November 23 but caution appeared among investors after the VN-Index hit its decade-high.