Tax evasion in e-commerce: Legal gaps and directions for reform

E-commerce in Vietnam is undergoing rapid expansion and has become a key pillar of the digital economy. However, this growth has introduced significant challenges for tax administration, particularly the emergence of increasingly sophisticated forms of tax evasion. This study examines the current landscape of tax evasion in e-commerce, identifies prevalent fraudulent practices on digital platforms, and analyzes legal gaps and enforcement challenges associated with criminal prosecution under Article 200 of the 2015 Penal Code. The findings highlight critical deficiencies in the existing legal framework and underscore the complexities of regulating tax compliance in a digitalized marketplace, with implications for ensuring fairness and sustainability in Vietnam’s e-commerce sector.