Vietnamese Economist Calls for Tax on Low-value Imports
Jayson 29 Sep 2024 09:10
According to reports, a Vietnamese economist said that in the first half of this year, $50 million worth of e-commerce products crossed Vietnam's border every day without being taxed, and this problem should be solved.
"The tax on these goods will be considerable, but currently we are not taxing them, and our current policies are not ideal," Thinh said at a recent forum hosted by the Vietnamese government portal.
He cited several examples, saying that many countries tax low-value e-commerce goods.
He said that the European Union abolished tax exemptions for goods worth less than 22 euros in 2021, the United Kingdom now taxes goods worth less than 135 pounds, and Vietnam's neighbor Thailand imposes a uniform 7% tax on all incoming and outgoing goods.
In 2010, Vietnam abolished taxes on goods worth less than 1 million Vietnamese dong to reduce congestion at border ports.
But Thinh pointed out that digital systems can now display trade data in less than a second, so the tax exemption policy should be abolished.
"The tax on these goods will be considerable, but currently we are not taxing them, and our current policies are not ideal," Thinh said at a recent forum hosted by the Vietnamese government portal.
He cited several examples, saying that many countries tax low-value e-commerce goods.
He said that the European Union abolished tax exemptions for goods worth less than 22 euros in 2021, the United Kingdom now taxes goods worth less than 135 pounds, and Vietnam's neighbor Thailand imposes a uniform 7% tax on all incoming and outgoing goods.
In 2010, Vietnam abolished taxes on goods worth less than 1 million Vietnamese dong to reduce congestion at border ports.
But Thinh pointed out that digital systems can now display trade data in less than a second, so the tax exemption policy should be abolished.
