A total of 120 foreign suppliers have registered, declared, and paid taxes worth more than VND8.68 trillion ($341 million) through the General Department of Taxation (GDT)’s e-portal in 2024, a year-on-year increase of 26%, the Vietnam News Agency has reported.

According to the GDT, the collection of foreign withholding tax from companies offering cross-border digital services fluctuated over the 2019 - 2021 period, with revenues recorded at close to VND1.17 trillion ($45.8 million) in 2019, over VND1.14 trillion ($44.6 million) in 2020, and more than VND1.59 trillion ($62.2 million) in 2021.

The general department acknowledged ongoing challenges to managing taxes on cross-border e-commerce. Transactions in this sector are conducted entirely online and reach end consumers directly, making it difficult to comprehensively track revenue. Additionally, some foreign suppliers without a permanent establishment in Vietnam can easily evade their tax obligations.

To address these issues, the GDT has been implementing various measures, including improving the legal framework, applying technology, enhancing the database, and boosting communications.