Vietnam has always proactively applied and responded to trade defence measures (TMFs) in international trade to prevent negative impacts of massive imports, unfair competition and protect domestic manufacturing industries.

Revenue from e-commerce for domestic organisations and individuals reached VND536.5 billion (over US$22 million) this year, reported the General Department of Taxation (GDT).

Big data on e-commerce would help the tax watchdog to efficiently collect tax from foreign cross-border IT services providers, according to Nguyen Bang Thang, director of Tax Management Department of Large Enterprises.

The Ministry of Finance (MoF) has introduced many favourable policies on tax, fees and land rent to ease the financial burdens on individuals and firms, boosting economic recovery, according to Deputy Minister of Finance Cao Anh Tuan.

Vietnamese e-commerce is growing, creating many opportunities to generate jobs, develop the private sector economy and increase revenue for the State budget. However, preventing tax losses in this business requires improving mechanisms and policies.

Many major foreign online service providers such as Facebook, Microsoft, TikTok, and Netflix have directly registered, declared and/or paid taxes online into the Vietnamese budget.

Ho Chi Minh City recorded growth of 3.82% in gross regional domestic product (GRDP) in the first half of 2022, according to its Statistics Office.

Ho Chi Minh City’s economy shrank by 6.78% in 2021, the sharpest yearly decline on record, according to the municipal Statistics Office, as stringent COVID-19 restrictions took their toll.

The budget revenue increased significantly in the first five months of this year thanks to recovery from 2020 and some sectors seeing strong growth, such as banking, securities, real estate and automobile industries, according to the General Department of Taxation.

Nearly VND1.279 quadrillion (US$55.3 billion) in taxes was collected for the State budget in 2020, almost VND24.35 trillion, or 1.9%, higher than the annual target and VND175.85 trillion more than the estimate reported to the National Assembly (NA).