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GrabBike drivers meet at Grab’s office on Duy Tan Street, Hanoi – Photo: HONG QUAN
According to Ly Van Thang – GrabBike driver, the reason for the driver’s response is that as of December 5, Grab applies a deduction of 30% of income and 1.5% of personal income for drivers who earn more than 100 million / year. The 30% rate of revenue payable by Grab includes: 20% application fee deduction, 10% VAT (previously only 3%). With this income, the driver has no income.
“The driver’s wish is for Grab to keep the same 20% of the income for a chance to survive, while the VAT portion will be borne by the driver. The driver who earns more than 100 million / year will take over. . add 1.5% personal income tax “- said Mr. Thang.
Another driver said that if you run all day, you only earn around 300,000 VND, the driver has to pay Grab 90,000 VND, while the driver receives 270,000 VND, excluding gasoline and car depreciation, it is hard to live. Therefore, they want Grab to calculate the same deduction as before, the tax increase that Grab will bear, not the driver to pay.
Hanoi Labor Confederation GrabBike driver gives a petition – Photo: HONG QUAN
Day 7-12, Grab continued to respond to comments from the hosts. Specifically, Grab led Decree 126/2020 / ND-CP in force from 5 to 12, VAT 10% is applied to all income from transport activities, including income from transport of the driver’s partner.
As a result, Grab has deducted 10% of the VAT obligation from the current travel rate paid by users. The application use fee (discount) applied to the driver’s partner remains unchanged.
According to Grab, the fact that Grab deducts the taxes due, declares them and pays them on behalf of the drivers, is in accordance with Decree 126.
All tax collection on behalf of Grab will be paid to the State Treasury and the tax authorities will confirm compliance with tax obligations.
According to Grab, before and after the issuance of Decree 126, Grab was actively involved in providing specific comments on the impact of the decree on the tax administration and repeatedly submitted documents requesting guidance. to guide the implementation of the decree. However, so far Grab has not received an official response from these agencies.
Regarding the driver’s reflection that a 10% VAT deduction before December 5 brings the total deduction to almost 30%, Grab explained earlier that it was due to a display issue with some Grab Express driver accounts. . not all.
The applicable 5-12 deduction rate is 27.273%, including 20% of the application usage fee and VAT. This is a visual issue with vehicles prior to December 5 and Grab is enforcing it, with no impact on driver income.
Exchange with Online youthMr. Bui Danh Lien, former president of the Hanoi Transport Association, said that the disagreements between the GrabBike and Grab Company drivers pertained to civil relations. This is the second time that Grab drivers have protested their disagreement over the exchange rate.
However, the biggest flaw is that currently Grab and the driver running GrabBike do not sign an employment contract, so many of the driver’s rights are not guaranteed. In addition, current transport regulations do not regulate the GrabBike type either, so the authorities have no basis to resolve infractions or disputes.
Therefore, Mr. Lien said that the authorities, especially the Ministry of Transport, should consider and put the GrabBike type under management, looking after the interests of both drivers and Grab on the legal basis, avoiding the case of concentration complaints caused social unrest.
