Guide to Tax Declaration and Payment for Businesses on E-commerce Platforms

With the strong development of e-commerce, more and more individuals and households are engaging in business on e-commerce platforms. To ensure legal compliance and avoid legal risks, a thorough understanding of tax obligations and related regulations is crucial. This article will provide detailed guidance on the tax obligations of business households, especially the important changes from 2026.

According to Decree 01/2021 and Decision 3389, business households need to clearly understand the regulations on tax declaration, tax calculation group classification, and especially legal responsibilities when doing business on e-commerce platforms. Following the correct procedures will help you conduct business safely and develop sustainably.

Concept of Business Household

According to Clause 1, Article 79 of Decree 01/2021, a business household is an organization established by an individual or members of a household and has the following characteristics:

Important Characteristics:

• No legal person status: A business household operates as an individual, not a legal entity like a business.
• Limited number: An individual or household can only establish one single business household.
• Not compatible with sole proprietorships: Cannot simultaneously be the owner of a business household and a sole proprietorship, or a general partner of a partnership.

Tax Declaration and Payment Responsibilities

Unlimited Legal Liability

The most important point to note: A business household must be liable with all of its assets for obligations arising from business activities.

This means:

• Unlimited liability with all personal assets.
• All income from all accounts (personal and business) are considered income of the household.
• If the household has 5 bank accounts, funds from all accounts are considered business income.
• Tax obligations apply to all these revenues.

Declaration Obligations

According to regulations in Decision No. 40/2021-QD-TTg on tax management after inspection, business households must:

• Register for tax declaration according to the prescribed method.
• Pay taxes fully and on time.
• Keep valid supporting documents and invoices.

Tax Calculation Group Classification from 2026

From 2026, the system for classifying business households into tax calculation groups will undergo significant changes. Currently (in 2025), business households apply 2 main tax calculation methods:

Method 1: Declaration by Revenue

Applied to small-scale business households, with tax calculated based on a percentage of revenue.

Method 2: Declaration by Income (Group 3)

Applied to business households with larger revenues, with tax calculated based on actual income (revenue - allowable expenses).

Important note from 2026:

• There may be adjustments to the revenue thresholds for group classification.
• Requirements for supporting documents and records will be updated.
• You need to follow new guidance documents from the tax authorities.

Required Documents and Supporting Evidence

For all groups:

• Business Household Registration Certificate.
• Accounting books (if applicable).
• Sales invoices (if any).
• Valid payment and receipt documents.

Especially important for Group 3 (High Income):

Allowable expenses are deductible if:

• There are complete and valid invoices and supporting documents.
• There are non-cash payment documents for transactions of VND 5 million or more.
• Expenses are directly related to business activities.

Some Important Notes

1. Invoice Issuance Time

For goods sales: The time of invoice issuance is when the ownership or right to use the goods is transferred to the buyer, regardless of whether payment has been received or not.

This is particularly important when:

• Delivering goods first, receiving payment later.
• Installment sales.
• Handing over goods to a shipping unit.

2. Legal Responsibility when Doing Business on Platforms

Business households are liable with all of their assets for obligations arising from business activities on e-commerce platforms, including:

• Customer disputes.
• Product quality violations.
• Tax violations.
• Other legal obligations.

3. Bank Account Management

According to Decision 3389, it is recommended to open a separate account for business activities, which helps to:

• Clearly separate personal and business income and expenses.
• Easily reconcile and declare taxes.
• Minimize legal risks.

4. Allowable Expenses for Group 3

This is an EXTREMELY IMPORTANT point if you belong to the high revenue group:

• All transactions of VND 5 million or more must be paid non-cash (bank transfer, card).
• Must have a valid VAT invoice.
• If not met, that expense is NOT deductible when calculating income tax.

5. Preparing for 2026

The anticipated changes from 2026 regarding tax calculation group classification require business households to:

• Closely monitor new guidance documents.
• Prepare a more complete set of supporting documents.
• May need to upgrade their financial management system.

Conclusion

Understanding tax obligations and correctly following the declaration process is an important responsibility for all business households on e-commerce platforms. Especially with the changes from 2026, being prepared with documents, supporting evidence, and a clear understanding of regulations will help you conduct business safely, comply with the law, and avoid unnecessary risks.

Note: The legal liability of a business household is unlimited — protect your assets by complying with tax regulations!