The transferors and the transferees of domain names, still have to wait for guidelines on tax payments from the Ministry of Finance. File Photo

HA NOI (Biz Hub) — The transferors and the transferees of domain names, still have to wait for guidelines on tax payments from the Ministry of Finance.

This is despite a circular issued on the transfer of the right to use internet domain names assigned without auction, took effect from August 15, 2016, reports ICT news online.

Over the years, the sale or transfer of a ".vn" domain name is a legitimate demand of companies facing numerous difficulties. Actually, many organisations and individuals register to buy tens of thousands of domain names, or companies who want to sell or transfer their registered domain names. But they fail to do either of those things due to the insufficient legal mechanisms to implement such sales or transfers.

Meanwhile, many people want to use or repurchase domain names but they do not have the opportunity to obtain domain names they like. This leads to many people transferring domain names illegally at high risk.

By the end of June, the Ministry of Information and Communications issued a circular to instruct how to transfer internet domain names assigned without an auction. It came into effect on August 15, 2016. This circular applies to all organisations and individuals at home and abroad who want to participate in selling or transferring Vietnamese internet domain name ".vn" assigned without auction.

A representative of the Vietnam Internet Network Information Centre (VNNIC) said the introduction of the circular was aimed at bringing into daily life the provisions on transfer of rights to use domain names assigned without an auction. This is an importantly legal basis and is expected to make the internet domain name market boisterous and enhance the value of Vietnamese domain names as well as promote the development of Vietnamese domain name ".vn".

The circular stipulates clearly that all parties who have joined the transfer of internet domain names or registration of domain names ".vn" must implement the transfer or sale in a transparent manner.

The representative of VNNIC also said the circular only instructs on how to complete administrative procedures on the transfer of domain names ".vn". An important issue is the obligation of tax liabilities that must be fulfilled before transferring domain names required by the tax authority. However, to date, there has been no specific guideline on tax payments.

There are only two weeks left for the circular to come into effect. However, the transferor and the transferee still have to wait for a specific instruction on tax payment from the Ministry of Finance. — VNS