You are using an outdated browser and your browsing experience will not be optimal. Please update to the latest version of Microsoft Edge, Google Chrome or Mozilla Firefox. Install Microsoft Edge

March 13, 2025

Vietnam’s Expected E-Commerce Tax Rules: What Do Platforms Need to Know?

Subscribe to Updates

Vietnam’s Ministry of Finance has released a draft Decree on Tax Administration for E-Commerce and Digital Platforms (“Draft Decree”), introducing significant tax compliance obligations that could reshape how digital platforms, and individuals and business households conducting business through the platforms, manage their tax responsibilities. Aimed at strengthening tax enforcement, the Draft Decree requires e-commerce and digital platforms to actively track and withhold taxes from business households and individual sellers, and remit payments to tax authorities.

While it has not yet been promulgated, the Draft Decree is expected to take effect on April 1, 2025, leaving platforms with a limited window to prepare for compliance.

Who Is Affected by the New Tax Rules?

The Draft Decree significantly broadens the tax administration scope beyond traditional e-commerce platforms to cover a wide range of digital economy participants. Specifically, the Draft Decree places direct tax-related responsibilities on two major categories (collectively, “Regulated Operators”):

  • E-commerce and digital platforms with payment functions (e.g., platforms that process buyer payments via e-wallets, bank transfers, cards, or cash-on-delivery); and
  • Other digital-economy players that enable e-commerce transactions, including (i) intermediary service platforms connecting service providers with consumers, (ii) digital content platforms, (iii) online advertising providers, (iv) cloud computing and data storage providers, (v) social media platforms engaged in business activities (e.g., live-stream, in-app transactions), (vi) online education, gaming, and digital entertainment platforms generating revenue from digital transactions, (vii) Vietnam-based partners of foreign digital service providers facilitating local payments for overseas platforms, and (viii) intermediary payment service providers handling financial transactions for e-commerce activities.

Under the Draft Decree, Regulated Operators will be required to track, report, and enforce tax compliance for both resident and nonresident individuals and households conducting business through their platforms (“Sellers”).

What New Tax Obligations Do Platforms Face?

Onshore platforms

For the first time, Regulated Operators will bear direct tax enforcement responsibilities. This represents a significant shift from the current system, where Sellers bear the primary tax responsibility. Specifically, Regulated Operators must comply with the following key tax obligations:

  • Ensure that every Seller provides a valid tax identification number (TIN) before being allowed to conduct transactions on the platform.
  • Withhold VAT and personal income tax (PIT) from Sellers’ revenues before transferring proceeds, following the tax rates discussed in the section below.
  • Issue e-commerce tax withholding certificates to Sellers annually and submit data to tax authorities. The tax withholding certificate must contain detailed transaction information, including the Sellers’ details, revenue, and withheld tax amounts, and the platform’s digital signature.

These requirements are designed to prevent tax evasion by anonymous Sellers operating on digital platforms. Notably, platforms that comply with their tax withholding obligations are exempt from additional transaction reporting requirements under Decree 91/2022/ND-CP. Nonetheless, it appears that Regulated Operators still need to report Seller information upon request by tax authorities.

The Draft Decree, however, leaves several aspects unclear, including:

  • Liability of noncompliant Sellers: It remains uncertain whether Sellers who fail to provide TINs will be subject to higher withholding tax rates, restricted from conducting business, or potentially suspended from platform operations based on the severity of noncompliance.
  • Liability of platforms: The Draft Decree does not specify whether Regulated Operators will face penalties for failing to collect TINs from Sellers. In addition, in a transaction involving multiple platforms, it would be difficult to identify which platform is directly liable for the tax withholding and payment.
  • Implementation timeline: No clear guidance is provided regarding how long Regulated Operators will have to collect TINs from existing Sellers before enforcement begins.

Further clarification from regulators is expected to ensure a smooth transition and avoid disruptions for both platforms and Sellers.

Offshore platforms

Offshore platforms must comply with Vietnam’s foreign tax registration requirements under Circular 80/2021/TT-BTC, which requires, among other things, (i) electronic tax registration via the General Department of Taxation’s online portal and (ii) direct tax declaration and payment, or appointment of a Vietnam-based tax agent to handle tax obligations.

How Will Tax Withholding Be Calculated?

Under the Draft Decree, tax withholding must occur before Regulated Operators transfer payments from buyers to Sellers. Particularly, Regulated Operators are required to withhold VAT and PIT for each transaction, calculated as a fixed percentage of gross revenue based on the type of transaction.

The taxable revenue per transaction is defined as the total amount received from the buyer, collected by Regulated Operators on behalf of the Sellers.

The tax withholding rates are set out in the table below:

Notably, if a Regulated Operator cannot classify a transaction as goods or services, it must apply the highest withholding tax rates (5% for VAT and 5% for PIT). The withheld taxes must be declared and remitted monthly.

Outlook

With the decree set to take effect on April 1, 2025, the digital economy in Vietnam is on the brink of a major regulatory shift. While industry stakeholders are advocating for a postponement of the effective date, businesses should proactively prepare to mitigate regulatory risks and avoid operational disruptions. Successfully adapting to these changes will require Regulated Operators to focus on three key areas: tax compliance, data management, and Seller engagement.

To ensure a smooth transition, platforms may consider the following:

  • Mapping out Seller categories (resident vs. nonresident) and evaluating potential tax liabilities based on the categories, transaction types, and revenue models (goods, services, or transportation).
  • Developing education initiatives (FAQs, tutorials, chatbot assistance, etc.) to help Sellers understand their TIN registration, tax compliance, and data obligations.
  • Implementing automated TIN collection and verification to ensure compliance before enabling Seller transactions.
  • Implementing secure data storage systems to retain Seller transaction records in compliance with Vietnam’s tax administration laws.
Related Professionals

Industries

Technology

Practices

Corporate/M&A

Tax

Location

RELATED INSIGHTS​ 

September 24, 2026
Vietnam is implementing and developing a broad package of regulatory reforms that could reshape how IP, data, digital platforms, and product authenticity are regulated and enforced. Several of the key measures have been led by the Ministry of Public Security in its legislative and administrative capacity, as part of a broader government effort. The core reform package consists of four key legal instruments: proposed amendments to the Criminal Code, a proposed new Data Security Law, a draft Decree on Product Identification, Authentication and Traceability, and the newly enacted Decree No. 330/2026/ND-CP. These instruments include rules on criminal enforcement, data security, electronic identification, product identification and traceability, administrative violations, and cybersecurity sanctions. Combined, these measures will affect copyright enforcement, industrial property rights, trade secrets, AI training data, product provenance, online takedowns, valuation of counterfeit goods and electronic evidence. It is worth noting that, in addition to strengthening criminal penalties for IP crimes, Vietnam’s emerging regulatory framework increasingly treats infringement, data misuse, product authentication, and platform-enabled violations as interconnected regulatory and enforcement challenges. For rights holders and foreign investors, this could mean stronger tools against counterfeiting and online infringement, but also more compliance obligations around data, traceability, AI, platform controls and government-facing reporting. Expansion of Criminal IP Enforcement Proposed amendments to Article 225 of the Criminal Code would expand criminal copyright exposure beyond reproduction and distribution to cover large-scale commercial public performance and online communication of works, phonograms and video recordings. This is important because piracy is increasingly about streaming, unauthorized communication, and platform access models rather than physical copying. Aggravated copyright infringement could be subject to up to 10 years in prison for individuals and fines of up to VND 6 billion (about USD 228,300) for commercial legal entities. The amended Article 226 would expand criminal industrial property liability beyond
Read More
September 17, 2026
Thailand’s Office of the Consumer Protection Board (OCPB) has released for public comment a draft bill to amend the Consumer Protection Act B.E. 2522 (1979), the country’s foundational consumer protection legislation. The draft amendment aims to modernize the nearly five-decade-old framework to address the rapid growth of digital commerce, online advertising, influencer marketing, and new business models. The public consultation period is open until October 10, 2026. Expanded Definitions Covering Digital Commerce The draft significantly broadens several core definitions to capture modern commercial activities: “Consumer” is expanded to include natural persons and nonprofit juristic persons who purchase or receive services, including those solicited by businesses and end users who do not directly pay for the goods or services. “Business operator” now explicitly covers advertising business operators and hired advertising persons, such as influencers and content creators. “Advertising media” is expanded to include digital platforms, social media, and social media user accounts. “Label” now encompasses electronic labels—symbols, codes, or other electronic formats displaying product information. Influencer and Advertising Disclosure Requirements In addition to these expanded definitions, “hired advertising person for selling goods or services” is a new definition covering influencers, content creators, live streamers, affiliate marketers, and virtual online media operators who receive monetary compensation or other benefits for advertising goods or services. Hired advertising persons—including influencers and content creators—must disclose to consumers that content is advertising and reveal their relationship with the business owner. Disclosure is required when the business owner employs the advertiser, pays or provides other benefits for the advertisement, or provides free or discounted products or services. These requirements apply where consumers would not otherwise know that the business has a connection to the person presenting the content. Labeling Requirements for Importers The draft introduces a clearer labeling obligation for importers of label-controlled goods, who must
Read More
September 11, 2026
Thailand’s National Broadcasting and Telecommunications Commission (NBTC) has published a new five-year master plan that will bring significant regulatory changes to the broadcasting and digital media sectors, including formal licensing requirements for internet-based audiovisual services. The Master Plan for Broadcasting and Television, 3rd Edition (B.E. 2569–2573/2026–2030) was published in the Government Gazette on September 1, 2026, and will affect OTT platforms, internet-based audiovisual service providers, and traditional broadcasters. Licensing Reform The NBTC will develop new licensing frameworks ahead of existing digital television license expirations, which are slated to occur between 2028 and 2030. This creates both uncertainty and opportunity for incumbents and new market entrants. New licensing criteria will also be developed for audiovisual services delivered over the internet, meaning previously unregulated internet-based providers may face licensing, fee, and content obligations for the first time. The plan also calls for a new law to govern converged communications services. OTT Regulation and Content Oversight The plan explicitly acknowledges and aims to lessen the regulatory asymmetry between traditional broadcasters—which are subject to licensing, fees, and content regulation—and internet-based services that currently face fewer obligations. The NBTC intends to develop regulatory frameworks to bring internet-based audiovisual services, including OTT platforms, streaming services, and user-generated content platforms, under content, consumer protection, and licensing requirements. Consumer Protection and Digital Rights The NBTC will strengthen its oversight of broadcasting, television, and telecommunications operators to ensure compliance with consumer protection and personal data protection requirements. This includes updating relevant notifications and orders and more strictly enforcing rules against practices that unfairly exploit consumers. These measures may layer NBTC-specific requirements on top of Thailand’s existing Personal Data Protection Act obligations. Stricter enforcement against practices that exploit consumers is a priority, with particular scrutiny on advertising practices. The NBTC will modernize complaint resolution processes, meaning service providers should
Read More
September 7, 2026
On September 4, 2026, Thailand’s prime minister convened the first meeting of the Data Center Business Policy Committee. The committee endorsed a draft policy framework for the data center industry and tasked four subcommittees with developing the standards that would sit beneath it, shifting away from fragmented, agency-by-agency approvals toward a unified national strategy aiming to maximize economic value while managing environmental and infrastructure concerns. Proposed Scope and Pillars of the National Data Center Policy Framework The proposed framework would cover all types of data centers, including internal or captive facilities operated within a company or its affiliates, rather than only commercial third-party providers. If adopted in this form, companies running private data centers purely for internal purposes would also become subject to regulatory oversight. Minimum safety and operational standards would be established, with uniform enforcement across all categories. The committee endorsed a draft policy framework with four key pillars: Industrial classification: Data centers exceeding 2 MW would be classified as industrial operations, which may require factory licenses and environmental impact assessments under the Factory Act. Resource pricing: Utility rates would be structured to reflect both direct and indirect costs, supporting green energy and green data center standards. Centralized screening: A centralized review would evaluate project suitability and resource allocation. Operators may be required to submit proposals through periodic “pitching” rounds, where projects are competitively assessed on their potential economic and strategic benefits to Thailand. Digital ecosystem: The framework would prioritize data sovereignty, tax incentives, and conditions promoting domestic digital businesses, AI, and cloud infrastructure. Multidimensional Evaluation Criteria and Subcommittees Four subcommittees will be established to develop standards responsible for the following dimensions: Economic: Criteria for assessing the economic viability of data center projects, for use in prioritizing data centers based on infrastructure readiness, demand type (including AI factories),
Read More