Tiếng Việt
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On July 23, 2024, the Vietnam General Department of Taxation took a significant step toward strengthening the management of tax obligations in the rapidly growing e-commerce sector.
This move is marked by the issuance of Official Dispatch No. 3153/TCT-DNNCN, which outlines comprehensive measures aimed at ensuring effective tax administration for e-commerce activities, enhancing state budget mobilization, and securing budget collection targets in the coming years.
Key Directives to Provincial and Municipal Tax Departments
To implement these objectives, the General Department of Taxation has directed the heads of Tax Departments across Vietnam’s provinces and centrally affiliated cities to undertake the following actions:
Enhancing Public Awareness and Training
Tax Departments are instructed to intensify the dissemination of information to organizations and individuals engaged in e-commerce businesses, livestream sales, and digital platform-based operations. This includes utilizing various online channels and mass media outlets—such as newspapers, radio, and television—to ensure consistent messaging. Furthermore, the organization of training conferences on relevant tax policies is emphasized as a crucial tool for educating stakeholders.
Database Management and Development
A key focus is placed on regularly reviewing and updating databases related to e-commerce. This will ensure that tax authorities have access to accurate and comprehensive information necessary for effective tax administration.
Leveraging E-Commerce Data for Tax Administration
Tax Departments are encouraged to proactively utilize databases provided by the General Department of Taxation, which include information from e-commerce platforms, inspections, and internet sources. This data will be critical for identifying taxable activities and ensuring compliance with tax laws.
Classification and Notification of Tax Obligations
Departments are tasked with classifying businesses according to management requirements and compiling review lists of organizations and individuals subject to tax declarations. Notices will be issued to remind these entities of their obligations to declare and pay taxes as required by law.
Coordination with Local Authorities and Relevant Entities
Tax Departments are advised to work closely with provincial and city People’s Committees, as well as other relevant departments, commercial banks, and telecommunications companies. This cooperation aims to facilitate the collection of necessary information and ensure timely compliance with tax regulations. In cases of non-compliance, coordinated efforts will be made to address violations.
Strengthening E-Invoice Control
The use of e-invoices is emphasized as a critical component of tax administration. Tax authorities will direct business facilities to comply strictly with e-invoice issuance regulations, ensuring that all transactions, including those in e-commerce, are documented with properly issued e-invoices.
Inspection and Enforcement
Regular inspections of business facilities involved in e-commerce, including platform owners, transport units, payment intermediaries, and agents of foreign providers, are mandated. This measure aims to ensure that these entities adhere to tax laws and regulations.
Compliance with Reporting Requirements
Finally, Tax Departments are reminded to adhere strictly to reporting regulations, ensuring that all reports to the General Department of Taxation are complete, timely, and accurate.
The promulgation of Official Dispatch No. 3153/TCT-DNNCN underscores the Vietnamese government’s commitment to enhancing tax administration in the e-commerce sector. By implementing these measures, the General Department of Taxation aims to ensure that e-commerce businesses contribute their fair share to the state budget, while also promoting a transparent business environment.
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