Citizen ID cards will be used instead of tax identification numbers.

VietNamNet•16/06/2023

As part of the "Cashless Day" event, on the afternoon of June 16th, the Payment Department and the Communications Department (State Bank of Vietnam - SBV), in collaboration with Tuoi Tre newspaper and Vietnam National Payment Corporation (Napas), organized a seminar titled "Data Connection, Smart Payments - Promoting Social Development".

At the event, Mr. Pham Quang Toan, Director of the Information Technology Department (General Department of Taxation), shared that in the future, the tax identification number will be abolished and the citizen identification card will be used as the tax identification number. That is, when citizens are issued a citizen identification card, it will be considered their tax identification number for convenience in tax declaration and procedures.

To accomplish this, it is necessary to upgrade the technical infrastructure, meet information security requirements, and inspect the network infrastructure, servers, and storage systems. The tax authorities are coordinating with C06 ( Ministry of Public Security ) to synchronize the national population database and the tax database; currently, approximately 52 million tax identification numbers have been reviewed.

Regarding the promotion of cashless payments, the Chairman of the People's Committee of Ho Chi Minh City, Mr. Phan Van Mai, said that the health, education , insurance, and transportation sectors in the city are accelerating implementation. Through the transition to level 4 online public services (30% of units), many agencies have adopted cashless payments.

Meanwhile, in shopping malls and traditional markets, people also have a habit of not using cash. To further promote cashless payments, Ho Chi Minh City could mandate a minimum payment amount for cashless transactions. For example, payments for goods and services valued at 10 million VND or more.

Cashless payments are booming. (Illustrative image)

According to Deputy Governor of the State Bank of Vietnam Pham Tien Dung, the banking sector is actively implementing the Project on the Development of Non-Cash Payments in Vietnam for the period 2021-2025; the "National Digital Transformation Program to 2025, with a vision to 2030"; and Decision No. 06/QD-TTg of the Prime Minister approving the Project on the Development of Data Applications on Population, Identification and Electronic Authentication to Serve the National Digital Transformation for the period 2022-2025, with a vision to 2030 (Project 06).

In this context, "data" is the key element, contributing to the development of smart payment activities and promoting social development. Currently, the percentage of adult Vietnamese people with bank payment accounts is approximately 74.63%.

In the first four months of 2023, cashless payment transactions increased by 52.8% in volume; internet-based transactions increased by 83.76% in volume and 2.83% in value; mobile-based transactions increased by 64.84% and 9.47% respectively; and QR code transactions increased by 161.6% and 36.62% compared to the same period in 2022.

Speaking at the event, Deputy Prime Minister Le Minh Khai said that after two years of implementing Decision No. 1813 of the Prime Minister on approving the Project for the Development of the Non-Cash Payment Program in Vietnam for the period 2021-2025, the targets and results achieved have been extremely impressive.

Non-cash payments reached over 7.59 trillion transactions with a value of nearly 219.5 trillion VND, an increase of 89% in volume and 32% in value. These figures are significantly higher than the targets set in the plan (a 20-25% increase in both transaction volume and value). Alongside this, the annual growth rate of mobile and internet payments exceeded 100%, and many banking services are now conducted entirely through digital channels with simplified and faster procedures.

The Ministry of Public Security and the State Bank of Vietnam have 'cleaned' 25 million credit records . Completing the verification of tens of millions of customer records against the national population database helps support banking operations such as credit scoring, online customer verification, and multi-dimensional information verification.

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