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Authority targets tax evasion by high earners

2022-05-14 08:57

 

A tax official helping a man fill out his tax applications in the capital city Hà Nội. — VNA/VNS Photo

HÀ NỘI — The tax authority is to clamp down on tax evasion by Vietnamese nationalities who generate income on international e-commerce and social media platforms, according to the head of the General Department of Taxation Cao Anh Tuấn.

Tuấn said, for the time being, his department strongly advises and encourages taxpayers to come forward and seek instructions from tax authorities on how to fulfil their duties. 

According to the department, collection from high-income individuals, who mostly operate in the fields of marketing, IT, service industries, digital commerce and social media, was nearly VNĐ500 billion during the first ten months of 2021. 

Notably, the department has collected up to VNĐ23.4 billion (US$1 million) in late penalties from one individual who reported earnings of VNĐ330 billion in 2020, along with several others whose incomes were reported to be north of half a million dollars in 2021. 

Tuấn has demanded his subordinates start gathering information to build a database of high-income individuals, who will soon be contacted by the country's tax authority about their financial and potential legal obligations.

Hà Nội's tax authority said it has a list of more than 460 individuals with exceptionally high income generated from operations on international e-commerce and social media platforms. The department said it will soon add more than 500 other individuals to the list, who will be given notice. 

HCM City said it has contacted a number of Google, Facebook and YouTube users who have not declared income or failed to meet tax duties. 

The country's tax authority said many among the list will likely face not just a collection of unpaid income tax for the previous years but heavy financial penalties for attempts at tax evasion. 

A YouTuber who goes by the name of Thái Chuối TV was made to pay income tax and fines in the amount of VNĐ810 million for failing to declare income in the last four years. —VNS

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