VAT ID for an individual freelancer

[db801079]

Hello to all,

I am an individual freelancer from Vietnam and I have recently joined Upwork for more than a month. About a week ago, I completed updating my Tax Information (according to Upwork notification). Today, I got another notification requiring me to update my VAT ID. 

I actually have little idea about VAT ID. What is the purpose of VAT ID in my case? May I know if VAT ID and Tax Identification are the same (for an individual freelancer)? 

Thanks very much and regards,

Kieu Truong.

PS: I attached here a screenshot of Upwork notification for Tax ID.

[759e32fa]

Hi Kieu,

Thank you for reaching out to us. Your Tax Identification number is the number that your country uses for collecting your tax information while your Vietnam VAT ID number is different from your tax identification number. It is a unique ID that you may request from your government by registering for VAT in Vietnam. It has 10 numbers and it should look like this, for example, 9999999999.

Vietnam requires Upwork to collect value-added tax, or VAT, and remit the tax to the government of Vietnam if we do not have a valid VAT ID on file for you.

[db801079]

Hi AJ,

Thank you for your fast response. I would like to have a few follow-up questions:

1. May I know how to register the VAT ID as an individual freelancer?

2. In case I do not have a VAT ID, how will I be affected? To make the question clearer, for example, currently, every I buy extra Connects, it will cost 1.5 USD, so what will happen if I have a VAT ID and vice versa?

Thank you.

Kieu.

[759e32fa · Accepted solution]

Hi Kieu,

Great hearing back from you. I don't have the answer to your first question but I suggest checking the link I added to my previous response or consulting a local tax advisor. But once you have the VAT ID, you can enter it in your account’s Settings > Tax Information.

As for your second question, Upwork is required to remit the tax to the government of Vietnam if we do not have a valid VAT ID on your file. But if you provide a valid VAT ID to Upwork, we will not have to collect this tax from you.

Hope this helps!