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Father of Flappy Bird may be liable
for large tax bill
Flappy Bird developer Nguyen
Ha Dong, who earned around VND 210 billion (USD9.93 million) from the game,
may have to pay around VND 10 billion (USD473,148) in income taxes, experts
said.
Recently,
stories about Flappy Bird, a Vietnamese game that skyrocketed to worldwide
popularity, has garnered not only a lot of attention and criticism, but also
a lot of money.
According
to a statement by a game developer, the Verge, the game generated revenues of
around USD50,000 a day.
Reporters
at DTiNews have determined that Dong has personally brought in VND210 billion
(USD9.93 million) so far.
An
anonymous official from the Ministry of Finance told said the General
Department of Taxation is looking into whether the game's creator was earned
this income as an individual or under an entity in order to determine the
amount and means of tax collection.
“Tax
agencies and other relevant authorities will not take all required taxes from
such information and technology innovation,” he emphasised.
Another
anonymous expert of state tax collection management said, “Based on his
statements to the press, Flappy Bird creator may have earned around VND210
billion. However, relevant authorities will have to verify this information
before taking tax collection measures.”
Generally,
Google pays game developers from 0.1 USD to USD7 per click on their
advertisements. The developer of Flappy Bird has at least once confirmed that
he had earned from USD0.2 to over USD1 per hit.
He
went on to say that in the
If the game developer has earned this income under both a legal
entity as personal income, along with tax exemptions for family members, the
taxes owed in Vietnam may be around VND2 billion (USD94,629), the expert said.
He added that the General Department of Taxation would be
responsible for collecting taxes from Dong.
Vi Van Dien, Deputy Director of Thien Minh Law Firm, said that
if rumours about Dong’s income are true, he would obviously be subject to personal
income tax. However, if he has registered under a legal entity, he would have
to pay corporate income tax.
By Nguyen Hien | dtinews.vn
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Thứ Tư, 12 tháng 2, 2014
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