Q&A RELATING TO VIETNAM PERSONAL TAX COMPLIANCE WITH SELLING ON E-COMMERCE PLATFORMS

Do you need a professional team to deal with personal tax compliance for it?

FAV: For your consideration, based on our understanding, to save your time and cost, you can use the right to authorize & request the e-commerce platforms to – on behalf of you – declare and pay tax to tax authority. It is fine under regulation in Vietnam as they can manage all of your information.

Please note to explore that when you work with e-commerce platforms.

 

Is it correct that my salary from Vietnam company must be combined with this personal business?

FAV: No, tax compliance on remuneration is different with tax compliance on personal business.

 

For the personal business, the total sales or the net profit will be counted as “taxable income”?

FAV: We understand that the total sales will be counted as “taxable income”.

 

What do I need to know with personal tax filing if there are 2 sources of income in Vietnam?

FAV: As stated above, it is separate tax filing procedure.

 

What is tax rates and Is VAT applicable when I sell product on e-commerce platforms?

FAV: Under regulations, business individuals with annual income of 100 million VND or more will have to pay value added tax and personal income tax. The tax rate applied to individuals selling all kinds of goods is 1.5% on sales, including 1% VAT and 0.5% personal income tax (PIT).