From July 1, 2025, households and individuals doing business on e-commerce platforms will have to comply with a series of new regulations on tax declaration, payment and information provision according to Decree 117/2025/ND-CP.
The Decree stipulates the responsibilities of organizations that are managers of e-commerce trading floors, digital platforms with payment functions (including domestic and foreign organizations) and organizations operating in the field of the digital economy for deducting and paying personal income tax (PIT) to households and individuals doing business on these platforms.
Organizations and individuals must declare and submit in accordance with regulations
The organization managing the exchange and digital platform must fully deduct, pay on behalf of and declare the deducted tax amount for business transactions of households and individuals. At the same time, follow instructions on documents and procedures for tax declaration, payment and refund.
On the business side, Article 11 of the Decree clearly stipulates the tax responsibility of households and individuals doing business on e-commerce platforms:
Responsible for declaring and paying taxes according to regulations such as special consumption tax, environmental protection tax, resource tax, etc. and other revenues under the management of tax authorities.
must provide a complete and accurate tax code or personal identification number (for Vietnamese citizens), passport number or foreign identification information (for foreign citizens), and other mandatory information to the platform management organization.
Information and documents related to determining tax obligations must be provided promptly to organizations subject to deduction and payment on behalf of others.
In case the organization has managed the platform to deduct, declare and pay VAT and personal income tax on behalf of the taxpayer, it is not necessary to declare or return these types of taxes for the part that has been deducted and paid on behalf of the taxpayer.
Expanding the scope of tax management in the digital environment
Decree 117/2025/ND-CP applies to organizations responsible for deducting and paying taxes on behalf of; households and individuals residing or not residing with business activities on e-commerce platforms; tax authorities and related organizations and individuals.
The issuance of the decree is expected to improve the effectiveness of tax management in the rapidly developing field of e-commerce, creating a fair business environment and ensuring state budget revenue.
