Foreign suppliers such as Google, Facebook, TikTok… paid more than 8,600 billion VND in taxes in the first 10 months of the year, an increase of nearly 26% over the same period in 2023.
The General Department of Taxation (Ministry of Finance) said there are currently 116 foreign suppliers registering for tax through the electronic portal, an increase of 5 units compared to the update at the end of last month. The list of foreign suppliers that have declared and paid taxes includes Google, Meta (Facebook), Microsoft, TikTok, Netfix, Apple…
As of early October, they had paid more than VND 8,600 billion, an increase of nearly 26% over the same period last year. Thus, with this additional payment, accumulated from March 2022 – when the electronic information portal for foreign suppliers operated, foreign businesses have paid VND 20,174 billion.
Currently, foreign providers such as Meta (Facebook), Google, Microsoft, TikTok, Netflix, Apple… are holding about 90% of the market share of cross-border e-commerce service revenue in Vietnam.
Recently, some cross-border e-commerce platforms such as Temu, Shein, 1688 sell goods into Vietnam but have not registered their business with the authorities. These exchanges are also subject to declaration and payment of taxes as foreign suppliers.
At the Government press conference on November 9, Deputy Director General of the General Department of Taxation Mai Son said that these foreign suppliers are responsible for registering, calculating, declaring, and paying taxes directly through the Electronic Information Portal of the Government. General Department of Taxation quarterly.
With Temu, the owner of this online platform declared zero revenue for the third quarter, expected to arise from October and will declare it the following quarter.
Despite self-declaration, according to Mr. Son, in case a supplier is found to have not reported the correct revenue, the tax authority compares the data to determine. After that, they will require businesses to fulfill their obligations and conduct inspections when there are signs of fraud or tax evasion.
Also according to data from the tax agency, the total eight-month State budget revenue managed by this agency is estimated at 1.65 million billion VND, an increase of more than 17% over the same period last year.