1. Tax Policy Regarding Taxpayers
According to Article 4 of Circular 103/2014/TT-BTC, taxpayers include:
- Foreign contractors and foreign subcontractors who meet the conditions under Vietnamese law. These contractors must have business activities or income in Vietnam;
- Organizations established and operating under Vietnamese law;
- Organizations registered for activities in Vietnam, and other organizations;
- Individuals engaged in business activities…
2. Tax Management for E-commerce and Digital Platform-Based Business Activities of Foreign Providers
Article 73 of Circular 80/2021/TT-BTC (Circular 80) specifies the entities involved in tax management for e-commerce and digital platform-based business activities, including:
- Foreign service providers (FSPs);
- Organizations and individuals in Vietnam purchasing goods or services from FSPs;…..
According to this, FSPs have the following characteristics:
- They do not have a permanent establishment in Vietnam;
- They engage in e-commerce or digital platform-based business activities with organizations and individuals in Vietnam.
FSPs perform electronic tax transactions and directly register taxes on the Electronic Information Portal of the General Department of Taxation, as regulated in Articles 74 and 76 of Circular 80.
Subsequently, FSPs declare taxes, calculate taxes… and directly pay taxes on the Electronic Information Portal of the General Department of Taxation. FSPs must pay taxes in foreign currency, converted as per the received notifications.
FSPs can delegate tax authority to organizations or tax agents, as stipulated in Article 79 of Circular 80.
3. Entities Involved in Cases of Purchasing Goods or Services from FSPs
According to Article 81 of Circular 80, entities involved in cases of purchasing goods or services from FSPs include:
- Organizations established and operating under Vietnamese law.
- Organizations registered for activities under Vietnamese law.
- And individuals.
These entities are involved when they purchase goods or services from FSPs and must fulfill tax obligations on behalf of FSPs only when the FSPs fail to fulfill their tax obligations in Vietnam.
About our company:
HMLF is a Law Firm licensed to provide legal services to Enterprises. With over 70 years of experience in:
– Finance, Accounting, Tax.
– Industry: Manufacturing, Service, Aviation, Transport, Technology, Finance.
– Helping Customers control transactions from internal legal to international trade. Become the best legal defender for Businesses.
– Try to offer optimal solutions to bring customers satisfaction.
HMLF is always available to offer assistance in understanding the procedures with authorities.
Harley Miller Law Firm “HMLF”
Head office: 14th floor, HM Town building, 412 Nguyen Thi Minh Khai, Ward 05, District 3, Ho Chi Minh City.
Phone number: +84 937215585
Website: hmlf.vn Email: miller@hmlf.vn
