The HCM City Department of Taxation has collected a list of 13,469 Facebook accounts which are doing online business which they believe liable for tax.

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Le Thi Thu Huong, vice head of the city Department of Taxation, said the list was also known to the Department of Industry and Trade and the Department of Information and Communication. The list has been sent to local departments of taxation at 24 districts in the city.

"Collecting taxes via Facebook, YouTube or Zalo is the department's responsibility and to ensure that all businesses will be treated fairly," she said.

At first, the department won't set up specific tax rates but only want to have most accurate data and encourage internet users to co-operate. They will zero on Facebook accounts that are the most active and have large incomes. Those who earn less than VND100m (USD4,400) a year must pay a business licence tax. Those with over VND100m of annual incomes must pay additional VAT and personal income tax.

While some people dodged the authorities, many have registered business licences. The authorities will work with all users on the list to understand more about the business operation and whether it will be permanent or not. Due to the huge number of Facebook accounts, the authorities will need time to check the information.

The Department of Taxation announced that they would go to the internet users' houses to apply fines if they avoid taxes.

Bui Quang Tin from the Banking University of HCM City said taxes for online businesses were the same as for other offline businesses. "To ensure transparency, the authorities should ask all businesses to do receive and make payments via banks," he said.

Dong Nam Accounting Corporation said Vietnamese people had the habit to pay by cash so it was difficult to monitor the revenues of online businesses. The authorities may apply a general tax as the declarations to revenue depend largely on the sellers' truthfulness.

Lawyer Dao Nguyen Huong Duyen also emphasised on the sellers' willingness and truthfulness. The authorities can ban someone from doing online business for failing to pay tax but it's very easy to register another account.

"Regulations and punishment for online businesses need to be carried out gradually, comprehensively and with collaborations from all related agencies," Duyen said./.

VNF/Dtinews