E-commerce Tax Refund Procedure

The e-commerce tax refund procedure constitutes a standardized administrative process for households and individuals operating on digital platforms. This mechanism ensures transparent electronic data processing and accurate tax handling. The following analysis details the regulations regarding this procedure.

Requirements for Administrative Procedures

The e-commerce tax refund requires specific information technology infrastructure to transmit data electronically to tax authorities.

• Eligible Subjects: Resident individuals engaging in business on e-commerce or digital platforms with payment functions (both domestic and foreign). These platforms must possess the organization to deduct, declare, and pay Value Added Tax (VAT) and Personal Income Tax (PIT) on behalf of the seller, pursuant to Article 2 of Decree 117/2025/NĐ-CP (June 9, 2025).

• Information Provision: Households and individuals must provide accurate Tax Identification Numbers (TIN) or Personal Identification Numbers (for Vietnamese citizens). Foreign citizens must provide passport numbers or foreign authority-issued identification. This compliance aligns with Article 11 of Decree 117/2025/NĐ-CP.

• Data Accuracy: Tax authorities cannot process refunds if the TIN or identification codes remain unupdated or incorrect.

Competent Authority

Section 4, Part II of Decision 2345/QĐ-BTC (July 3, 2025) designates the competent authority. The tax authority at the individual’s current residence, temporary residence, or permanent residence at the time of submission handles the file.

Procedure for E-commerce Tax Refund

Understanding the e-commerce tax refund workflow helps business households and individuals mitigate legal risks and expedite processing.

Dossier Components

• Document: Written request for e-commerce tax refund for households and individuals.

• Quantity: 01 set.

>>> CLICK TO DOWNLOAD: REQUEST FOR TAX REFUND BY HOUSEHOLDS AND INDIVIDUALS CONDUCTING BUSINESS ON E-COMMERCE PLATFORMS

>>> See more at: Non-Resident E-commerce Tax Guide

Implementation Sequence

Section 4, Part II of Decision 2345/QĐ-BTC outlines the execution steps:

• Scenario 1 (Platform Deduction): The e-commerce platform management organization deducts and pays VAT and PIT on behalf of the seller. If the total annual revenue of the household or individual falls below the taxable threshold for VAT and PIT, the individual initiates the refund procedure. This occurs after the platform completes the obligation to declare and pay the deducted tax for the tax year.

• Scenario 2 (Direct Payment): The household or individual pays VAT and PIT on transactions. If the total annual revenue remains below the taxable threshold, the individual applies for a refund of the excess tax paid pursuant to the Law on Tax Administration.

>>> See more at: Per-occurrence Tax Declaration For Business Households

Common Procedural Inquiries

Long Phan Consulting Company provides clarifications on standard issues regarding the e-commerce tax refund.

Processing Results

The Electronic Information Portal of the General Department of Taxation sends automated responses regarding dossier reception and processing.

Execution Method

Entities execute the e-commerce tax refund exclusively via electronic methods. Legal Basis: Section 4, Part II, Decision 2345/QĐ-BTC.

Fee Schedule

This administrative procedure incurs NO FEES. Legal Basis: Section 4, Part II, Decision 2345/QĐ-BTC.

Processing Time Limits

• Refund First, Check Later: No later than 06 working days from the date the tax authority accepts the dossier.

• Check First, Refund Later: No later than 40 days from the date the tax authority accepts the dossier in writing.

• Legal Basis: Article 75, Law on Tax Administration 2019.

Conclusion

Strict adherence to e-commerce tax refund conditions protects the legal rights of digital business owners. Accurate information provision ensures efficient dossier processing. For professional assistance and technical legal solutions, contact Long Phan Consulting Company via Hotline 1900636389.