Decree No. 117/2025/ND-CP on tax administration for business activities on e-commerce and digital platforms conducted by households and individuals
1. Tax Withholding and Remittance Obligations
E-commerce platform operators are required to withhold and remit on behalf of individuals:
- Value-Added Tax (VAT) for each domestic transaction involving goods or services;
- Personal Income Tax (PIT) for:
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- Domestic and international transactions of resident individuals;
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- Domestic transactions of non-resident individuals.
- Time of withholding: Upon confirmation of successful transaction and payment acceptance.
2. Tax Withholding Rates (based on gross revenue)
| Transaction Type | VAT (%) | PIT for Residents (%) | PIT for Non-residents (%) |
| Goods | 1% | 0.5% | 1% |
| Services | 5% | 2% | 5% |
| Transport & goods-related services | 3% | 1.5% | 2% |
- If the transaction type cannot be identified, the highest applicable rate shall apply.
3. Tax Declaration and Remittance
- Platform operators must file tax declarations monthly;
- Taxes for cancelled/returned transactions may be offset against taxes of other transactions within the same period.
4. Responsibilities of Business Households and Individuals
- Declare and pay other applicable taxes such as special consumption tax, environmental protection tax, and natural resources tax, if incurred.
- Provide complete and accurate identification information to platform operators.
- Not required to declare or pay VAT and PIT for transactions where taxes are already withheld and remitted by the platform.
| Issuing bodies: | Government | Gazette number: | |
| Official number: | 117/2025/NĐ-CP | Gazette dated: | |
| Types of documents: | Decree | Signer: | Ho Duc Phoc |
| Issuing date: | 09/06/2025 | Expiry date: | |
| Effective date: | 01/07/2025 | Effect status: | Not yet applied |
| Fields: | Advertising | Updated date: | 09/06/2025 |
