Vietnam's e-commerce grew nearly 15% to $13.2 billion in 2020

VECOM chairman said that in 2020, Vietnam's e-commerce grew by nearly 15% to nearly US$13.2 billion, and is expected to maintain continuous growth until 2025.

According to Vietnam Internet Statistics 2020, Vietnam has more than 68 million social media users, ranking sixth among 30 countries.

This data is a "once-in-a-lifetime opportunity" for retailers, online sellers and traditional businesses to improve their digital business and marketing skills.

It is understood that after the implementation of the program by the Vietnam E-Commerce Association and Google, retailers said their orders soared by more than 57% and their consumer base increased by 60%.

The head of VISA Vietnam said that during the COVID-19 pandemic, small and medium-sized enterprises need to quickly turn to digital transformation and establish multi-channel trade while ensuring the protection of payment channels.

In the plan, VNPost Express JSC also pledged to introduce and help online sellers launch an "order fulfillment" service, which can benefit both buyers and sellers, and can also help consumers minimize operating costs, increase delivery speed and deal with post-sales emergencies.

There is no doubt that Vietnam's e-commerce will develop rapidly under the implementation of a series of plans. However, recently, there is also new news from the Ministry of Finance of Vietnam.

The Ministry of Finance has asked digital-based businesses and delivery service companies using their platforms and services to provide information about e-commerce sellers so that they can be taxed.

Tax authorities have repeatedly asked e-commerce businesses to be responsible for tax registration, declaration and payment of sellers through e-commerce and digital platforms.

The Ministry of Finance is preparing a draft circular to provide detailed instructions on the regulations, which were recently made public for comments.

The deputy director of the Small, Medium and Family Enterprise Tax Administration of the State Administration of Taxation said that according to the notice, the tax department will change the management of family and individual enterprises.

Instead of working directly with each household and individual, the tax authority will collect information about them from e-commerce businesses and monitor their payment cash flows through online transactions.

According to the circular, e-commerce businesses must publish information statements about their sellers. E-commerce websites such as Tiki, Shopee , Lazada or Sendo, as well as delivery service companies, are responsible for providing information about their sellers to the tax authorities.

The move is expected to help tax authorities determine the seller's actual income.

Cross-border e-commerce market

Southeast Asia