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Ride-hailing firms forced to complete tax mission


Ride-hailing firms forced to complete tax mission
12:38 | 14/12/2020
A new regulation could shake up the transport market as ride-hailing firms will be squeezed for tax
Going into effect on December 5, Decree No.126/2020/ND-CP guiding the Law on Tax Administration 2019 regulates that e-hailing platforms have a responsibility to declare tax for driver partners at the VAT rate of 10 per cent compared to 3 per cent as set previously. The rate is calculated based on all revenues from business cooperation activities and must be paid on behalf of individual partners instead of through commission as before.
Applying the new tax regime on ride-hailing service providers such as Grab and Gojek will make their tax declarations more transparent, contribute to increasing the state budget, and create a fair playground for the traditional taxi. ....

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