Foreign service providers fulfill their tax obligations in Vietnam

These providers include six big names – Meta (Facebook), Google, Microsoft, TikTok, Netflix and Apple – which together account for 90% of e-commerce on cross-border digital platforms in Vietnam in terms of revenue. They paid hundreds of millions of dollars in taxes to the state budget, according to a representative of the Directorate General of Taxes.

Cross-border foreign companies are those that do not have a permanent establishment in Vietnam and conduct e-commerce and other services with companies and individuals in Vietnam.

Previously, foreign businesses had to rely on an agent or third party to file and pay taxes in the country.

The Ministry of Industry and Commerce said Vietnam’s e-commerce revenue was estimated at $13.7 billion in 2021, growing 16% annually and accounting for 6.5% of total sales revenue. by retail.

Prof. Hoang Van Cuong, a member of the National Assembly’s finance and budget committee and vice-rector of the National University of Economics, said Vietnam was ranked among four countries in Southeast Asia. in terms of cross-border tax management via tax declarations on the portal.

A representative from the General Department of Taxation said that foreign service providers work closely with tax agencies to learn about tax policies and offer them suggestions for improving tax policies and tax management tools./. ANV