VI Affiliate marketing and digital content creation on e-commerce platforms raise various legal issues concerning tax obligations, withholding responsibilities, and accounting documentation. In Official Letter No. 7403/CT-TMĐT providing guidance to relevant entities, the Hanoi Tax Department clarifies how to determine personal income taxable income, the responsibilities of platform operators for tax withholding, tax declaration and payment on behalf of individuals, and the documentary requirements for enterprises to recognize deductible expenses when calculating corporate income tax. Let’s explore these matters with Pham Consult in the following article.
1. Determination of Tax Obligations on Income from Affiliate Marketing and Digital Content Creation
Where an individual receives income under a labor contract or collective labor agreement entered into with an organization or individual paying the income in accordance with labor laws, such income shall be classified as income from salaries and wages.
The organization or individual paying the income shall be responsible for withholding, declaring, and paying personal income tax in accordance with applicable regulations.
Where an individual engages in digital content creation, product promotion, or affiliate marketing on e-commerce platforms or digital platforms and receives income in the form of remuneration or goods from a business organization, other than salary or wage income, such income shall be classified as income from business activities. Business households and individual business operators shall register for tax purposes, declare, and pay taxes in accordance with Decree No. 68/2026/ND-CP and Decree No. 141/2026/ND-CP.
Regarding the personal income tax rate: Pursuant to Clause 2, Article 13 of the Law on E-Commerce No. 122/2025/QH15, affiliate marketing in e-commerce refers to the advertising of goods or services through access links, referral codes, or similar methods linked to an e-commerce platform. Accordingly, affiliate marketing conducted on e-commerce platforms is subject to the personal income tax rate applicable to the provision of digital information content products and services, including entertainment, electronic games, digital films, digital images, digital music, and digital advertising, at a rate of 5%, pursuant to Point đ, Clause 3, Article 7 of the Law on Personal Income Tax No. 109/2025/QH15.
2. Responsibilities of Platform Operators for Tax Withholding, Declaration, and Payment on Behalf of Individuals
Pursuant to Article 43 of Decree No. 252/2026/ND-CP, operators of e-commerce platforms that provide online ordering and payment functions, such as TikTok Shop, are responsible for withholding tax, declaring the withheld tax, and paying such tax on behalf of household businesses and individual business operators conducting business activities on their platforms.
3. Supporting Documents for Affiliate Marketing Service Payments When Determining Deductible Expenses for Corporate Income Tax Purposes
An enterprise’s expenses may be treated as deductible expenses when calculating corporate income tax if they satisfy all the conditions prescribed in Article 9 of the Law on Corporate Income Tax No. 67/2025/QH15 and Clause 1, Article 9 of Decree No. 320/2025/ND-CP.
Regarding supporting documents: Where an enterprise uses affiliate marketing services in e-commerce provided by a business household or individual business operator, the following requirements apply:
- Where the annual revenue of a business household or individual business operator exceeds VND 1 billion: The business household or individual must register to use invoices. The enterprise shall use invoices issued by the business household or individual as supporting documents in its records for recognizing expenses deductible for corporate income tax purposes.
- Where a business household purchases goods or services from another business household or individual whose revenue is below the revenue threshold subject to value-added tax (VAT): The purchasing enterprise must obtain payment documents in accordance with applicable laws on accounting, invoices, and supporting documents. For purchases of goods or services with a value of VND 500,000 or more per day from a business household or individual, payment must be made through non-cash methods. In addition, a schedule of purchased goods and services must be prepared and signed by the enterprise’s legal representative or an authorized person, who shall be responsible for its accuracy, in accordance with Point b1, Clause 1, Article 9 of Decree No. 320/2025/ND-CP. These documents shall form part of the records supporting the recognition of deductible expenses for corporate income tax purposes.
Where goods or services are supplied through an e-commerce platform, the seller of such goods or services is entitled to request that the operator of the e-commerce platform or digital platform provide the buyer’s information, transaction details, delivery time, and confirmation of the order status recorded in the system, enabling the seller to issue electronic invoices in accordance with applicable regulations.
This requirement applies to the sale of goods and provision of services through e-commerce platforms and digital platforms pursuant to Clause 1c, Article 17 of Decree No. 254/2026/ND-CP.
The operator of the e-commerce platform or digital platform is responsible for providing the buyer’s information, transaction details, delivery time, and confirmation of the order status recorded in the system to enable the seller to issue electronic invoices in accordance with Clause 2, Article 19 of Decree No. 254/2026/ND-CP.
