Nguyen Ha Dong, the developer of popular game Flappy Bird has voluntarily declared VND1.4bn (USD63,600) in tax payments as local tax management agencies continue to struggle to control online business.
Flappy Bird became a world-wide hit in 2014
Dong released Flappy Bird in May, 2013 and the game became a world-wide hit in early 2014. In February, 2014, Dong removed the game, saying that the game was designed to just for relaxing instead of becoming too addictive.
During this time, Dong claimed that he made USD50,000 a day, which would have meant a tax bill of around VND10bn. However, since then, the authorities have been trying to find ways to verify his income as well as control online businesses.
Nguyen Thi Hanh, spokesperson from the reform division under the General Department of Taxation said the majority of people weren't aware that they had to pay tax or avoided their duty. In addition, the authorities are facing huge troubles in managing this kind of business as it's easy to hide someone's identity or declare false income tax numbers based on internet transactions.
Nguyen Quang Tien, deputy head of the reform division, admitted that human resources were a problem because the officials needed foreign languages and an understanding of technology. The department is unable to verify declarations and depend greatly on the honesty of tax payers.
