Household businesses selling on e-commerce platforms in Vietnam: the platform withholds tax, revenue counts toward the 1 billion threshold

Short answer: An e-commerce platform (sàn thương mại điện tử) with an online ordering function and a payment function must withhold, declare and pay on the seller's behalf the VAT (thuế GTGT) and PIT (thuế TNCN) on each transaction of household businesses (hộ kinh doanh) and individual businesses (cá nhân kinh doanh) (Article 11(1) of Decree 68/2026 (Nghị định 68/2026)). From 1/7/2026, the way platforms withhold follows Article 43 and Article 44 of Decree 252/2026 (Nghị định 252/2026). Platform revenue is still added to in-store revenue when assessing the 1 billion VND threshold (Article 8(1)(b) of Decree 68/2026). If your revenue for the full year does not exceed 1 billion VND but the platform has withheld tax, that tax is an overpayment and may be refunded or offset (Article 12(1) of Decree 68/2026). The 1 billion VND threshold was raised from 500 million VND by Article 1(1) of Decree 141/2026 (Nghị định 141/2026).

Which platforms must withhold tax on behalf of sellers?

Only platforms that have both an online ordering function and a payment function, whether domestic or foreign (Article 11(1) of Decree 68/2026). The platform withholds VAT on revenue arising in Vietnam. For resident individuals, the platform withholds PIT on revenue both in Vietnam and abroad (Article 43(1)(a) and (b) of Decree 252/2026).

If you are a resident household or individual selling through a platform without ordering and payment functions (for example social networks or websites), nobody withholds on your behalf. You declare and pay tax yourself under Articles 8, 9 and 10 of Decree 68/2026 like an ordinary household business (Article 11(2) of Decree 68/2026). A household that sells only on e-commerce platforms and has no business location declares and pays tax at the tax authority where it resides (Article 8(4)(c) of Decree 68/2026).

Article 11(1) of Decree 68/2026 refers to Decree 117/2025/NĐ-CP (Nghị định 117/2025/NĐ-CP) for how platforms withhold. Decree 117/2025 was replaced by Decree 252/2026 from 1/7/2026 (Article 74(1) and (3)(d) of Decree 252/2026).

How much does the platform withhold, and when?

The platform withholds at the time it confirms that the transaction is successful and accepts payment (Article 44(1)(b) of Decree 252/2026). The tax equals the percentage rate under VAT and PIT law for each type of transaction multiplied by the revenue you are entitled to that the platform collects on your behalf (Article 44(2)(a) of Decree 252/2026). For the rates for each sector, see How do household businesses pay tax from 2026.

You need to declare your business line correctly to the platform. If the platform cannot determine whether you sell goods or services, or which type of service, it withholds at the highest rate (Article 44(2)(b) of Decree 252/2026). A household business on a platform is responsible for providing the platform with its tax identification number (mã số thuế) or personal identification number (số định danh cá nhân) and the information needed to determine its tax obligations (Article 13(8) of Decree 68/2026). The platform withholds based on the information the seller provides (Article 46(1)(b) of Decree 252/2026). If an order is cancelled or goods are returned, the platform offsets and returns the tax withheld on that transaction (Article 45(2), Article 46(1)(d) of Decree 252/2026). A real case: Which sector applies when a household selling its own products on a platform has tax withheld?

Does platform revenue count toward the 1 billion VND threshold?

Yes. When you determine yourself whether your annual revenue is above or below 1 billion VND, you must include revenue on which an organisation or individual has already withheld, declared or paid tax on your behalf (Article 8(1)(b) of Decree 68/2026, threshold as amended by Article 1(1) of Decree 141/2026).

• Full year not exceeding 1 billion VND: you are not subject to VAT and do not pay PIT (Article 3(1) and Article 4(1) of Decree 68/2026, threshold as amended by Decree 141/2026); you only report your actual revenue no later than 31/1 of the following year (Article 8(1)(a) of Decree 68/2026). Tax withheld by the platform is an overpayment (Article 12(1) of Decree 68/2026).
• Above 1 billion VND: you calculate VAT and PIT under Articles 3 and 4 of Decree 68/2026 on revenue including the part made through platforms (Article 8(1)(b)). VAT is declared and paid quarterly, or monthly if annual revenue exceeds 50 billion VND (Article 10(1) of Decree 68/2026).
• Above 3 billion VND, or above 1 billion VND and choosing to calculate PIT on income: you aggregate all revenue for the annual PIT finalisation. Tax withheld by platforms is deducted from the amount payable (Article 11(3) of Decree 68/2026).

If the platform has withheld tax but revenue is below 1 billion, how do I get it back?

You request an offset, a refund, or a refund combined with an offset of the overpaid tax (Article 12(1) of Decree 68/2026). If you pay PIT as a percentage of revenue, the form is Form 01/TKN-CNKD (Article 5(1) of Circular 18/2026 (Thông tư 18/2026)). This form has been replaced by a new form issued with Circular 50/2026/TT-BTC (Article 3 of Circular 50/2026 (Thông tư 50/2026)). The new form has a separate column for amounts withheld and paid on your behalf by organisations and a separate line for revenue on e-commerce platforms. If you calculate PIT on income, use Form 02/CNKD-TNCN-QTT (Article 5(2) of Circular 18/2026, as amended by Article 2 of Circular 50/2026).

Submit the refund file to the tax authority where you file your tax returns. If you sell only on platforms and the platform has withheld and paid on your behalf, submit it to the tax authority where the head of the household resides (Article 12(5) of Decree 68/2026). Households with annual revenue of no more than 1 billion VND that declared and paid tax under Decree 68/2026 before the threshold was raised also have the amounts paid handled under Article 12 of Decree 68/2026 (Article 4(1) of Decree 141/2026).

To make the refund, the tax authority needs your bank account number or e-wallet. Households with annual revenue of no more than 1 billion VND that have not yet sent the Notice of Account Number Form 01/BK-STK must send it no later than 31/7/2026 (Article 4(2) of Circular 50/2026).

Do I need to issue invoices when selling on a platform?

Households with annual revenue above 1 billion VND must use electronic invoices with a tax authority code or generated from cash registers, including when selling through platforms (Article 8(5)(a) of Decree 68/2026, as amended by Article 1(2) of Decree 141/2026). See What is new in e-invoices 2025–2026. For goods sold on e-commerce platforms, if an invoice is issued with errors, the seller is not required to make a written agreement with the buyer before adjusting or replacing it (Article 10(1)(b) of Circular 91/2026 (Thông tư 91/2026)).

When to ask a lawyer or tax agent

• You sell on several platforms and in a shop, revenue is close to the 1 billion or 3 billion VND threshold, and you need to choose how to calculate PIT.
• The platform withholds at the highest rate or under the wrong business line, and you need to deal with the platform and the tax authority.
• Your refund file for overpaid tax has been returned, or you have received a notice that the refund is refused.
• You have revenue from foreign platforms, or you are a non-resident individual.