Online sales still require household registration if operating regularly
Selling goods online via Facebook, TikTok, Shopee or e-commerce platforms is becoming a popular form of business. Many individuals believe that this is just a small-scale activity, so business registration is not necessary. However, current law clearly stipulates: If sales are carried out regularly and for profitable purposes, individuals must register as business households.
According to Decree 01/2021/ND-CP on business registration, business households are established by individuals or household members to carry out business activities at one location. Small-scale individual businesses, long-term online sales with stable revenue are still in the group that must register business households according to regulations.
In reality, many sellers sell goods through social networks or livestream sales continuously but do not carry out business registration procedures. This makes business activities not officially recognized and potentially violate the law.
Failure to register household business may be fined up to 10 million VND
The penalty level for business acts without registering business households is specified in Article 62 of Decree 122/2021/ND-CP on sanctioning administrative violations in the field of planning and investment.
According to this regulation, individuals or households carrying out business activities but not registering business households as prescribed may be fined from 5 million to 10 million VND.
In addition to fines, violators must also register business households according to regulations if they continue business operations. Registration helps management agencies have a basis to monitor business operations, while ensuring tax obligations and legal rights for business people.
In the context of rapid e-commerce development, management agencies are strengthening the management of online business activities to ensure market transparency. Therefore, individuals selling goods through social networks or online platforms, if doing business regularly, need to proactively register household businesses to avoid violation risks and stabilize long-term operations.
