During the regular Government press conference for May 2024, held on the afternoon of June 1st, Vice Minister of Finance Nguyen Duc Chi stated that livestream selling activities on online platforms can generate revenue and income. Such economic and commercial activities are subject to tax regulations and must be managed and monitored by tax authorities.
Regarding electronic commerce activities, including livestream selling, the General Department of Taxation (Ministry of Finance) is currently managing and monitoring them under two types of taxes.
For individuals engaging in electronic commerce or livestream selling activities who generate revenue and income, they are subject to personal income tax regulations and are required to pay taxes on their earnings.
In the case of family-run businesses engaging in electronic commerce or livestream selling activities and generating revenue, tax management and collection are carried out according to regulations related to business households. If the household opts for a flat-rate tax, they pay according to that rate; if they declare their income, they pay taxes according to their declared income.
According to Vice Minister Nguyen Duc Chi, with the advancement of information technology and electronic commerce, these activities have been gaining traction. The tax authorities have been actively communicating with all participants in this field to ensure they understand the tax regulations and voluntarily comply by registering and paying taxes as per legal requirements. Additionally, the tax authorities conduct supervision and inspection of the business activities of individuals and business households in this sector.
Regarding the results of tax management for electronic commerce, including livestream selling, Vice Minister Nguyen Duc Chi shared that in 2022, the managed tax revenue was 3.1 million billion VND, and the collected tax amount was 83,000 billion VND. In 2023, the managed tax revenue increased to 3.5 million billion VND, with a collected tax amount of approximately 97,000 billion VND.
Furthermore, in the three years from 2021 to 2023, 31,570 entities, including enterprises, business households, and individuals, were inspected for violations. The Ministry of Finance handled 22,159 cases of violations, resulting in additional tax revenue of nearly 3,000 billion VND.
“In the coming time, the tax authorities will continue to strengthen inspections and promote propaganda for taxpayers with business activities on e-commerce and livestream platforms to prevent situations of retroactive tax collection and handling,” emphasized Vice Minister Nguyen Duc Chi.
