Social media giants pay $109 million in February taxes

The sums collected from such providers in February are equal to one-third of the total sum of all of 2024, which came to $339.6 million.

E-commerce and digital platforms with payment functions are asked to declare and pay taxes on behalf of sellers for each transaction from April 1, 2025. The regulation will ease administrative procedures for sellers while strengthening tax management work for online business activities.

Currently, Vietnam is home to nearly 725,000 organisations and individuals conducting business on e-commerce platforms, with a total transaction value exceeding $2.94 billion. Tax revenue from e-commerce activities climbed from $3.2 billion in 2022 to $3.8 billion in 2023, before reaching $4.54 billion last year.

However, tax revenue from households and business individuals remains limited, with an estimated sum of $97.9 million last year. The taxes are collected from over 300,000 individuals doing business on over 400 e-commerce trading floors.

Total tax revenue from both local firms and business households, as well as foreign service providers without a permanent establishment in Vietnam, remains relatively low, accounting for less than one-fifth of the total revenue generated in Vietnam's e-commerce market. This proportion has declined from 20.1 per cent in 2022 to 17.4 per cent in 2024.

More than 300,000 stores have unidentified sellers on the five major e-commerce platforms (Shopee, Lazada, Tiki, Sendo, and Grab), with estimated revenues exceeding $2.74 billion.

Foreign tech giants pay $157 million in taxes in H1 Foreign service providers including Google, Facebook, and Netflix, have made a tax payment of VND4 trillion ($157.34 million) in the first six months of 2024, an increase of 18.5 per cent against last year's period.

Tech giants bet big on Vietnam's future As global tech giants like NVIDIA and Google mark their strategic expansion in Vietnam, the country is embracing a technological transformation that could reshape its economic landscape and innovation ecosystem.

E-tax system resumes full operations after temporary suspension The suspension, which lasted from 5pm on March 12 until 8am on March 17, was necessary to enhance tax management and implement structural changes.