On the Ministry of Finance Information Portal, reader V.H. D in Phu Tho asked:
How much revenue does an individual earn from YouTube in a year generate tax obligations?
Answering this question, Phu Tho Provincial Base Tax Department said that based on point d, clause 1, Article 2 and clause 2, Article 4 of Circular No. 40/2021/TT-BTC dated June 1, 2021 of the Ministry of Finance, content creation activities on digital platforms are identified as e-commerce activities, belonging to production and business activities.
Accordingly, by the end of December 31, 2025, household businesses and individual businesses with revenue in the calendar year from 100 million VND or less are not required to pay value-added tax and personal income tax.
If revenue in the year is over 100 million VND, it is subject to tax obligation determination according to the provisions of law applied at that time.
Regarding revenue generated from January 1, 2026, the Base Tax Department of Phu Tho province said that according to Article 3 and Article 4 of Decree No. 68/2026/ND-CP dated March 5, 2026 of the Government, business households and individual businesses with annual revenue of 500 million VND or less are not subject to value-added tax and are not subject to personal income tax.
However, in Clause 1, Article 1 of Decree No. 141/2026/ND-CP dated April 29, 26, the Government has amended this revenue level from 500 million VND to 1 billion VND.
Accordingly, from January 1, 2026, business households and individuals with revenue from production and business activities in the calendar year from 1 billion VND or less are not required to pay value-added tax and personal income tax.
In case revenue in the year is over 1 billion VND, it is subject to tax obligation determination according to the provisions of law applied from 2026.
Regarding the question of whether tax is calculated on the portion of revenue exceeding the threshold or on the entire revenue when revenue reaches the tax threshold, the base tax of Phu Tho province 3 said that for revenue generated until December 31, 2025, Clause 2, Article 4 of Circular No. 40/2021/TT-BTC only stipulates the revenue threshold to determine subjects who are not taxable, and does not stipulate tax calculation only on the portion of revenue exceeding 100 million VND.
Therefore, when revenue in the year exceeds 100 million VND, business households and individual businesses subject to tax and value-added tax, personal income tax are calculated on the entire taxable revenue arising, not only on the revenue exceeding 100 million VND.
Clause 1, Article 10 of Circular No. 40/2021/TT-BTC stipulates that revenue for value-added tax and revenue for personal income tax for business households and individual businesses is the entire amount of sales, processing costs, commissions, and service supply costs arising in the tax period from production and business activities of goods and services, along with other revenues as prescribed, regardless of whether money has been collected or not.
Regarding revenue generated from January 1, 2026, the base tax of Phu Tho province 3 said that when annual revenue exceeds 1 billion VND, business households and individual businesses are subject to tax payment.
Regarding value-added tax, based on the Law on Value Added Tax No. 48/2024/QH15, the tax is calculated by direct method on the entire taxable revenue.
Regarding personal income tax, Clause 1 and Point a, Clause 3, Article 7 of the Personal Income Tax Law No. 109/2025/QH15 stipulate that taxable revenue is determined by the portion of revenue exceeding the level of revenue not subject to tax.
At the same time, Decree No. 68/2026/ND-CP stipulates that revenue to determine personal income tax is the entire amount of sales, processing costs, service provision costs and other revenues as prescribed.
Based on the above regulations, the base tax of Phu Tho province 3 said that from January 1, 2026, if revenue is over 1 billion VND per year, business households and individual businesses must calculate and pay value-added tax on the entire taxable revenue and calculate and pay personal income tax on the portion of revenue exceeding 1 billion VND.
The determination of the amount of personal income tax payable also depends on the revenue level of the taxpayer and the tax calculation method applied according to the Law on Personal Income Tax No. 109/2025/QH15, Decree No. 68/2026/ND-CP and Decree No. 253/2026/ND-CP dated June 30, 2026 of the Government.
