Urgently manage tax from online business

In Vietnam, e-commerce is growing rapidly because of the advantages of the type of online business. Picture: TLinh.

It has reviewed over 25,000 social network accounts.

Implementing guidelines of the Ministry of Finance, the General Department of Taxation, the People's Committees of provinces and cities have directed the related Tax departments and branches to jointly implement tax collection from e-commerce business.

At the Hanoi Taxation Department, tax authorities have reviewed a database of 13,422 account holders on social networking that conducted online advertising and sales activities. In which, 1,950 individuals have been registered and granted tax identification code for tax declaration and payment.

In order to guide effectively the e-commerce business, the Hanoi Tax Department has sent SMS messages to the account holders who are determined not to register for tax online, instructing them to access the website of tax authorities. After several notifications, so far there have been 1,941 responses to tax agencies. As a result, the number of business individuals has registered was 499 cases.

In Ho Chi Minh City, through a period of review, statistics and guidance to taxpayers, the tax authorities sent 13,145 invitations (out of total 15,297 websites and facebook accounts collected by the tax authorities). Since then, it has established records to define 3,605 organizations and individuals engaged in the e-commerce business.

“In general, in a short time, the tax authorities have helped taxpayers in the field of e-commerce to determine the tax obligation of declaration and payment, understand the tax policy to voluntarily make tax declaration. At the same time, appealing to all business organizations and individuals engaged in e-commerce activities on the obligation to declare and pay tax and create the support of the public”, the Ministry of Finance said.

The legal system is incomplete

During the process of reviewing data collection and guiding taxpayers to register information and fulfill their tax obligations, the competent authorities must also acknowledge that the tax administration at all levels has not met the requirements of management as full and accurate.

Explaining the reasons, the tax authorities said that it is difficult to accurately determine the taxpayers, turnover arising, lack of focal point to detect new taxpayers and update the scale of business activities and the entire transaction process...

In addition, the operation of the internet is cross-border, and foreign operators are not registered and do not have an official representative office in Vietnam. This is difficult for the tax sector in tax management of foreign business networks under the form of online business. The Ministry of Finance cited, Google and Facebook provide online advertising services for the Vietnamese market through Vietnamese agents. Therefore, they will have to fulfill their tax obligations in accordance with the law when revenue is generated. This leads to the dependence on the agent's sense of responsibility for tax obligations.

In particular, the legal system of Vietnam relating to e-commerce also has inconsistent and incomplete, requiring the qualified civil servants to study the law in general, they must innovative and clear mind to handle, not to affect the state budget revenue as well as the interests of taxpayers.

Facing the rapid development of e-commerce, the Ministry of Finance said that it would direct the tax agencies at all levels to continue coordinating and exchanging information with internet service providers (VDC, FPT, Mobifone, VinaPhone, Viettel, ..) on the quantity and value of e-commerce transactions; on payment via bank in e-commerce transactions. At the same time, coordinating with the related agencies and branches in reviewing and amending regulations on the handling of violations in the field of e-commerce and tax to strengthen the deterrent to organizations and individuals operating in e-commerce activities as they intentionally evade tax.