Hanoi tightens tax collection for individuals doing business on Facebook, Google

This is one of the requirements of the Hanoi People’s Committee to the authorities in the area to strengthen tax management for business households and individuals with e-commerce activities.

Specifically, in the newly issued Document No. 1633, the Hanoi People’s Committee requested the City Tax Department to assume the prime responsibility for, and coordinate with local authorities in, promoting propaganda and dissemination of new regulations and policies. to business households and individuals, ensuring that taxpayers understand, agree and follow the new policy.

The tax authority of Hanoi is also required to focus resources and effectively implement new policies to each business household and individual in the area. In particular, regularly review the area and compare management data and information between units to manage the right objects and according to regulations. At the same time, continue to coordinate to review, capture, guide and put into tax administration for households and individuals doing business on digital platforms like Google, Facebook…

Also according to this document, the Hanoi People’s Committee requested State bank (SBV)- The city branch directs and guides commercial banks in the area to provide information to the Department of Taxation related to transactions of organizations and individuals engaged in e-commerce activities.

The City People’s Committee also asked the People’s Committees of districts to direct the People’s Committees of communes and wards to coordinate with the tax authorities, to review the area to manage the subjects, to improve the role and responsibilities of the tax advisory council, to for the tax agency to determine the annual revenue and flat tax amount close to the reality of business households and individuals…

In order to ensure effective tax collection, Hanoi Tax Department is also required to apply electronic invoices generated from cash registers (payment devices) with electronic data transfer connection with tax authorities. .

At the same time, proactively propose and report to the City People’s Committee to consider and direct departments, agencies and People’s Committees of districts, towns to coordinate with tax authorities in implementing solutions to improve management efficiency. Tax on business households and individuals.

Regarding the application of e-invoices in tax administration, sharing at a special press conference on the afternoon of June 1, Mr. Dang Ngoc Minh, Deputy Director of the General Department of Taxation, said that by the end of May, there are a total of 764,314 enterprises (equivalent to 92.6% of total enterprises) and 52,778 business households and individuals using e-invoices.

The total number of invoices received and processed by the tax authorities from the date of deployment to May 24 is more than 318 million invoices.

Particularly for nearly 1.8 million business households having difficulties in professional accounting, the leader of the General Department of Taxation said that these are mainly tax paying households in the form of flat tax. However, up to now, 500,000 households have switched to using electronic invoices.

According to the General Department of Taxation, when all taxpayers use e-invoices, the number of e-invoices that this agency is expected to process will be about 6.5-7 billion invoices/year, equivalent to about approx. 400 – 500 million e-invoices are used every month.

“According to this progress, by the end of June, it is possible to complete 100% of businesses using e-invoices”Mr. Minh informed.

According to the roadmap in Decree No. 123/2020 of the Government, by the end of June 30, the General Department of Taxation must complete 100% of enterprises, economic organizations, business households and business individuals using invoices. switch to using electronic invoices.