Taxation agencies try to collect tax from YouTubers, Facebookers

Taxation agencies struggle to find individuals who have income from YouTube and Facebook, but have had some recent success.

The HCM City Taxation Agency discovered an individual who had income of VND19 billion from YouTube in the last three years and forced him to pay tax arrears of VND1.5 billion.

Taxation agencies try to collect tax from YouTubers, Facebookers



Under current laws, those who have income of VND100 million a year or more from foreign networks have to pay personal income tax equal to 7 percent of their income.

One year ago, the taxation body found another individual in the city who had income of VND41 billion, or $1.9 million, and collected tax arrears of VND4.1 billion.

According to the HCM City Taxation Agency, the database from five commercial banks showed that from 2014 to the end of November 2017, 18,903 institutions and individuals had income of VND1.092 trillion in total from Google and Facebook. The taxation agency also found accounts which received payment in foreign currencies, totaling $17.8 million. And the institutions and individuals did not declare and pay taxes.

A tax expert commented that it is not easy to find YouTubers and Facebookers who have taxable income and force them to pay tax. This is a heady problem for taxation agencies in many countries. The number of cases that avoid tax is higher in countries with lack of transparency.

A tax expert commented that it is not easy to find YouTubers and Facebookers who have taxable income and force them to pay tax. This is a heady problem for taxation agencies in many countries. The number of cases that avoid tax is higher in countries with lack of transparency.
 

The taxation body in South Korea collected t tax arrears of 1 billion won, or VND19 billion from seven YouTubers in the country after an investigation which lasted many months. The individuals earned money which was 4.5 times higher than the tax arrears.


In Vietnam, taxation agencies have to conduct investigations and ‘lay an ambush’ for Facebookers and YouTubers who have huge income, but they do not receive official cooperation and support to easily collect tax from the subjects.

According to the HCM City Taxation Agency, a review via the banking system one year ago helped it collect VND14 billion worth of tax arrears from 89 institutions and individuals who had income from Google and Facebook.

The agency also found information about 5,800 individuals who had income from Facebook and Google, totaling $7.1 million and VND97 billion, and transferred the information to local taxation agencies.

The current laws don’t require commercial banks to report or share information and data about clients with taxation agencies.

A banking expert said that it is taboo for banks to disclose clients’ personal information, and if Vietnamese banks do this, Vietnamese clients will use the services of foreign banks.

Thanh Lich 

Vietnam vows to force YouTubers to pay tax

Vietnam vows to force YouTubers to pay tax

The tax rate that Vietnam levies on YouTubers is 7 percent, much lower than other countries.

 
 

Other News

.
Vietnam imports rice from India for first time
Vietnam imports rice from India for first time
BUSINESSicon  08/01/2021 

Vietnam’s rice output is more than enough to satisfy domestic demand, but country is importing rice from India to use mostly for animal feed.

New entity to invigorate Vietnam’s stock markets
New entity to invigorate Vietnam’s stock markets
BUSINESSicon  07/01/2021 

With general optimism well-founded for Vietnam’s stock market building in the past year, there is now significant anticipation for 2021 with the arrival of a new entity to run the country’s exchanges.

High expectations laid out through fresh policy move
High expectations laid out through fresh policy move
BUSINESSicon  08/01/2021 

Three amended key laws on securities, enterprises, and investment have now come into force.

Stage set for scale-up of nation’s rice
Stage set for scale-up of nation’s rice
FEATUREicon  07/01/2021 

Vietnam’s rice processing and trading have overcome the difficulties caused by the ongoing pandemic to acquire the export turnover of over $3 billion in 2020, a record in the past nine years, with exporters remaining bullish over future prospects.

4% inflation target set for 2021 within reach: experts
4% inflation target set for 2021 within reach: experts
BUSINESSicon  07/01/2021 

Vietnam is likely to meet its target of reining in inflation at a rate of below 4% in 2021, although experts warn that unfavourable factors could impact market fluctuations.

Vietnamese billionaires’ net worth increases after battling headwinds of 2020
Vietnamese billionaires’ net worth increases after battling headwinds of 2020
BUSINESSicon  07/01/2021 

2020 was a difficult year for the global economy including Viet Nam, but some Vietnamese billionaires still saw their net asset value increase.

Disbursement of public investment at record since 2016, still misses Gov’t target
Disbursement of public investment at record since 2016, still misses Gov’t target
BUSINESSicon  07/01/2021 

The disbursement of public investment was estimated at VND398 trillion as of the end of December, meeting 82.8 per cent of the Government’s plan – the highest rate in the 2016-20 period, according to the Ministry of Planning and Investment.

Vietnamese dragonfruit needs to find new export markets: Experts
Vietnamese dragonfruit needs to find new export markets: Experts
BUSINESSicon  07/01/2021 

In the first 11 months of this year dragonfruit exports fell by 10 per cent because of the COVID-19 pandemic but still dominated Vietnamese fruit exports with shipments of more than US$1 billion.

Fintech forecast to be robust this year, driven by the creation of regulatory sandbox
Fintech forecast to be robust this year, driven by the creation of regulatory sandbox
BUSINESSicon  07/01/2021 

The regulatory sandbox for financial technology (fintech) which is expected to be created this year, coupled with efforts to promote the use of digital financial services, are expected to accelerate the development of fintech in Vietnam.

Brexit deal met with relief across Europe
Brexit deal met with relief across Europe
BUSINESSicon  07/01/2021 

After four long years of debate, negotiation, elections, and more debate, the United Kingdom has finally and officially left the European Union. 

Party congress to highlight critical role of private sector
Party congress to highlight critical role of private sector
FEATUREicon  07/01/2021 

Vietnam’s development outlook is set to be formulated over the next few weeks when the 13th National Party Congress takes place in Hanoi, 

Country’s IT groups pioneering in digital transformation efforts
Country’s IT groups pioneering in digital transformation efforts
BUSINESSicon  06/01/2021 

The Vietnamese IT market has seen a strong increase in digital products, platforms, and services in 2020, with many gaining bolder steps in domestic and international markets.

Building a modern Vietnam for all
Building a modern Vietnam for all
FEATUREicon  06/01/2021 

The Vietnamese economy has been witnessing tremendous achievements over the past few decades under the sound policies and strategies by the government and the great contributions of the planning and investment sector. 

Cash flows to Vietnam, more young people start up businesses
Cash flows to Vietnam, more young people start up businesses
FEATUREicon  07/01/2021 

The Covid-19 pandemic has disrupted investment flow into Vietnam’s startups, but for venture funds, Vietnam is still considered a priority market in Southeast Asia in 2021.

Investment funds beat the market in 2020
Investment funds beat the market in 2020
BUSINESSicon  06/01/2021 

2020 marked an unexpectedly successful year for big investment funds in Vietnam, with Pyn Elite Fund having the best performance.

Over 14 billion USD mobilised through G-bond auctions at HNX in 2020
Over 14 billion USD mobilised through G-bond auctions at HNX in 2020
BUSINESSicon  06/01/2021 

Nearly VND324 trillion (over $14 billion) was mobilised through G-bond auctions at the Hanoi Stock Exchange (HNX) in 2020, accounting for 108 percent of the set plan.

VIETNAM BUSINESS NEWS JANUARY 7
VIETNAM BUSINESS NEWS JANUARY 7
BUSINESSicon  07/01/2021 

Handicrafts target $5 billion in export value by 2025

Vietnam heads towards modern, integrated agriculture
Vietnam heads towards modern, integrated agriculture
BUSINESSicon  06/01/2021 

Minister of Agriculture and Rural Development Nguyen Xuan Cuong talks about measures to promote modern agricultural development.

After fast growth, domestically assembled cars face downtrend
After fast growth, domestically assembled cars face downtrend
BUSINESSicon  06/01/2021 

The year 2020 witnessed many ups and downs of the car market. In H1, demand dropped dramatically because of Covid-19, but in H2, cars sold well thanks to the preferential vehicle registration tax.

Digitizing traditional markets – $10 billion potential
Digitizing traditional markets – $10 billion potential
FEATUREicon  06/01/2021 

Traditional markets and groceries still hold the largest share of the consumer retail market, but new business models are scrambling for a piece of the pie.

 
 
 
Leave your comment on an article

OR QUICK LOGIN