Vietnamlawmagazine

Last year, Facebook and Google came under fire for allegation that their online advertising arms, while profiting in millions of US dollars from the Vietnamese market, had evaded tax obligations with the Vietnamese state[1]. The claim was after all unfounded[2] but it did raise some interesting questions about the state’s ability to tax in a new world where the internet plays an increasingly important role in promoting business while traditional brick-and-mortar model, i.e., physical shops and stores, are in many cases rendered redundant. [1] “Facebook’s, Google’s agents suspected of evading tax in Vietnam”, VietNamNet Bridge, 9 March 2012, retrievable at http://english.vietnamnet.vn/fms/business/19568/facebook-s--google-s-agents-suspected-of-evading-tax-in-vietnam.html [2] “Google and Facebook did not evade tax in Vietnam” [Vietnamese], ICT News, 10 April 2012, retrievable at http://www.ictnews.vn/home/Internet/77/Google-Facebook-khong-tron-thue-tai-Viet-Nam/101814/index.ict