258 trading floors have provided information via E-commerce Portal

General Department of Taxation has officially operated the e-commerce portal since December 15, 2022

According to the provisions of Clause 4, Article 98 of the Law on Tax Administration No. 38, other agencies, organizations and individuals related to taxpayers are responsible for providing information in writing or electronic data of taxpayers following the requirements of tax authorities. Therefore, e-commerce trading floors have to provide information at the request of each taxing authority.

However, the General Department of Taxation said that providing such information has caused difficulties for trading floors and data sharing among tax authorities. For example, there is a large amount of information provided while the way of information provision is only done manually (paper copy, excel file sent by email, sent by USB); forms of requesting information provision are inconsistent between tax authorities, and many tax authorities may request the same information.

To solve difficulties for e-commerce trading floors in providing information, the General Department of Taxation has officially operated an E-commerce portal to receive information from e-commerce trading floors from December 15, 2022.

On October 30, 2022, the Government issued Decree No. 91/2022/ND-CP amending and supplementing several articles in Decree No. 126/2020/ND-CP dated October 19, 2020, of the Government, stipulating several articles of Law on Tax Administration. Accordingly, it stipulates that the information provision of e-commerce trading floors is carried out quarterly by electronic method via the e-commerce portal of the General Department of Taxation.

According to the General Department of Taxation, this regulation has facilitated organizations that are owners of e-commerce trading floors when providing information to tax authorities, such as: reducing administrative procedures, saving law compliance costs following the orientation of the Government that are putting people and businesses at the centre of digital transformation. The portal can receive information on a large scale, regularly and continuously, from e-commerce trading floors through a modern and integrated information technology system. The information collected from the trading floor is used to build a centralized database for risk management on tax to ensure information security following the law.

The e-commerce portal of the General Department of Taxation supports three main functions, including:

Firstly, to provide information support, trading floors only need to log in to this function to be provided with information following regulations. When logging into this function, the screen interface will show all the instructions to ensure that trading floors are provided with convenient information.

Secondly, support tax declaration on behalf of individuals operating business on the trading floor: in this function, the owner of the e-commerce trading floor can declare on behalf of individuals operating business on the trading floor following civil law. According to current regulations, the tax rate applied on turnover of individuals (for example, commodities distribution and supply: value-added tax rate is 1%, personal income tax rate is 0.5%).

Thirdly, support individuals to declare tax directly on the portal: individuals and business households operating businesses on the e-commerce trading floor can directly declare tax at the portal. Tax rates apply on turnover following the current regulations for business individuals.

It is known that as of February 6, 2023, there were 258 e-commerce trading floors providing information on the e-commerce portal with detailed information of 14,883 organizations and 53,212 individuals registered to sell goods on the e-commerce trading floor.