The tax sector is moving towards digital governance.

On December 10, 2025, the Law on Tax Administration No. 108/2025/QH15 was officially passed by the National Assembly, marking a turning point in building a modern, fair tax system that prioritizes taxpayers. To meet the demands of the digital economy, the Tax Department of Lao Cai province has implemented many comprehensive solutions, affirming its role as a reliable partner accompanying taxpayers in the new era.

Institutional reform, change in management methods.

Law No. 108 on Tax Administration reflects a modern management mindset, shifting strongly from manual management to risk management and comprehensive automation. The most significant breakthrough is the abolition of lump-sum tax for business households – a model that had existed for decades – in favor of an electronic self-calculation, self-declaration, and self-payment mechanism. Although the transition faced numerous obstacles, the tax sector, with high determination, has created a clear transformation.

As of December 31, 2025, the province managed 42,707 business households and individuals, including 40,281 households under the lump-sum tax system, with a total tax contribution to the State budget exceeding 280 billion VND. Lao Cai Provincial Tax Department launched a campaign to implement a "40-day intensive conversion program" with the motto "Households understand, households believe, households convert." As a result, 100% of business households in the province have accessed information, received guidance on tax policies, and been instructed on how to declare taxes through the online portal, converting from the lump-sum method to the declaration method starting January 1, 2026.

Business owners participated in training sessions in Yen Binh commune.

Furthermore, the new Tax Administration Law also creates a solid legal foundation for managing the digital economy and e-commerce, and officially uses personal identification numbers instead of tax identification numbers from July 1, 2025. According to the regulations, taxpayers will self-determine, declare, and pay taxes, while tax authorities will focus on supporting, monitoring, and processing electronic data instead of manual intervention. This forms the basis for a data-driven management model – a new direction aligned with the national digital transformation strategy.

The head of the Tax Department at Unit 6 held a discussion with the business owner.

Regarding reforms in tax administration and data-driven tax management, the Law also allows the use of personal identification numbers as tax identification numbers, linked to the national population database – a key solution for transparent management and reduced administrative procedures.

Breakthroughs from digital transformation

In the modernization process, "digital taxation" is considered an "extended arm" bringing policies into practice. Digital transformation is evident in every transaction, helping businesses access a more transparent and professional environment. A key highlight is the eTax Mobile application and the automated tax refund system. In 2025, the Lao Cai Provincial Tax Department accelerated the deployment of the eTax Mobile application for individuals on mobile devices, and the messaging service between the tax authority and taxpayers. Currently, more than 27,000 taxpayers in the province have successfully registered and installed this application.

Tax officials from Lao Cai province exchange professional knowledge.

Typically, at Tax Station No. 6 – which manages four wards: Yen Bai, Van Phu, Au Lau, and Nam Cuong, and five communes: Yen Binh, Bao Ai, Thac Ba, Yen Thanh, and Cam Nhan – the application of technology has yielded significant results. In the collection of non- agricultural land use tax, tax officials have closely monitored the area, coordinating with local authorities to guide people in installing, using, and paying taxes via the eTax Mobile application. They have also organized direct support points to address issues on the spot. Tax payments via eTax Mobile have increased significantly, contributing importantly to accelerating collection progress, reducing pressure on tax officials, and facilitating convenience for the people.

Just five days after its launch, revenue collected through the application accounted for 85% of the total non-agricultural land use tax revenue (reaching 3.5 billion VND). This figure reflects a strong shift in taxpayer awareness and habits and affirms the effectiveness of digital transformation in the tax sector. Mr. Tran Van Khanh (Van Phu ward) said: "The eTax Mobile application is very convenient. We successfully paid taxes directly on our mobile phones without having to go to the tax office. Simultaneously, the provincial tax department has standardized individual tax identification number data throughout the province and maintained good electronic signatures for various documents."

Tax officials guide citizens on how to use the eTax Mobile application.

Furthermore, the Lao Cai Provincial Tax Department maintains and operates a stable information technology system to receive and process electronic invoice data; connect, exchange, and share electronic invoice data with relevant state agencies according to the information exchange regulations and meet the requirements for exploiting and analyzing electronic invoice data. Throughout the province, more than 3,000 households, individual businesses, and enterprises have registered to use electronic invoices with tax authority codes generated from cash registers, creating a data environment that is "accurate - complete - clean - and active".

In addition, the provincial tax department continues to promote electronic tax services for individuals, such as electronic tax declaration and payment for landlords; and electronic declaration and payment of vehicle registration fees for cars and motorcycles.

In particular, from April 2025, the automated personal income tax refund system has completely changed the old process. The system will automatically determine the amount of tax to be refunded, and taxpayers only need to perform a few simple steps on their phones. Services such as filing and paying vehicle registration fees and paying rental income tax electronically will also be simultaneously enhanced.

With the implementation roadmap of the new Tax Administration Law, the Lao Cai Provincial Tax Department is committed to providing better support to taxpayers in the coming period, especially business households, to facilitate convenient tax declaration. The Tax Department will accelerate digital transformation in all aspects of tax management; effectively utilize electronic invoice data and centralized tax management data to serve guidance, operation, and risk management. This is a solid foundation for transitioning from administrative management to smart digital management, making a significant contribution to the modernization and revenue collection of the locality.

Source: https://baolaocai.vn/nganh-thue-huong-den-quan-tri-so-post895569.html