Household businesses change accounts for cash flow transparency

ĐBP - Starting from March 1, 2026, new regulations on the management of payment accounts require household businesses to use bank accounts officially registered in the household’s name for all transactions related to production and business activities.

The separation of personal and business accounts aims to clarify cash flows and enhance tax management efficiency while fostering professional business habits that align with the global trend of digital transformation and non-cash payments. Previously, most household businesses paying presumptive taxes used personal accounts or those belonging to relatives. In many cases, a single account was used for everything from receiving sales revenue and paying business costs to daily living expenses and personal transfers. This mixing of business and personal spending made it difficult for authorities to track revenue and perform oversight duties.

Currently, small household businesses mainly use one account for both business and personal use.

Under Circular No.25/2025/TT-NHNN, effective March 1, 2026, all cash flows for production and business must be conducted through an account officially named after the household business, matching the information on the business registration certificate. This means owners can no longer use personal accounts to receive payments or pay partners as they did before. Furthermore, the payment account name must match the full name on legal identification documents such as a citizen identity card or passport.

Recently, Decree No.68/2026/NĐ-CP dated March 5, 2026, and Circular No.18/2026/TT-BTC from the Ministry of Finance further tightened the requirements for transparently identifying bank accounts and e-wallets used for business. All active household and individual businesses must now notify the tax authority of the list of accounts or e-wallets they use for business, providing a tool for the tax sector to cross-reference data and monitor cash flow fluctuations against declared revenue.

Many household businesses in remote areas face many difficulties in switching accounts.

During the implementation process, many business owners initially expressed concerns about opening or converting accounts to separate their personal and business funds. Nguyễn Thị Hồng, a trader of sanitary equipment and tiles in Điện Biên Phủ ward, shared that household businesses like hers previously used one account for all family and trade activities. Under the new rules, she had to open a separate account for business and noted that having to notify the authorities of any change in account numbers or e-wallets felt like a barrier.

Similarly, Nguyễn Văn Thăng, a grocery dealer in the Bản Phủ market area, noted that sales were previously conducted mainly in cash, and he used his personal account for transfers. While he initially found the change inconvenient due to the need to update payment information for customers and partners, he eventually found that managing income and expenditure became much clearer and easier to track daily.

Staff at Hoa Ba Supermarket performing non-cash payments for residents.

Despite these changes, a portion of household businesses still maintains the habit of limiting bank transfers or using multiple personal accounts to disperse cash flow to hide revenue and maintain low presumptive tax levels. To standardize according to the new regulations, commercial banks and tax authorities are intensifying communication and support for household businesses to make the transition more convenient. This includes offering solutions for opening accounts with the correct name and purpose while advising on transaction processes suited to specific business types.

In Điện Biên province, the tax sector has reviewed and updated data for all managed household businesses. As a result, 13,125 households were reviewed, reaching a 100% completion rate. These businesses were guided on how to install and use the eTax Mobile application for electronic tax declaration and payment. Of the total households reviewed, 11,318 have an annual revenue below VND 500 million, while 1,807 households earn over VND 500 million per year.

Tax official disseminating information to residents about switching to business accounts.

The standardization of data and the implementation of electronic tax management applications have created a foundation for authorities to control business activities more effectively. When account systems are transparent, data cross-checking between tax authorities and commercial banks will become automated, minimizing discrepancies in declarations. Therefore, the new regulation is considered a vital solution to bring these activities into a formal framework, ensuring fairness between compliant businesses and those intentionally seeking to profit from ambiguity. Separating accounts also brings practical benefits to the owners themselves, as clear cash flow management allows them to easily track profits and losses, control costs, and evaluate business efficiency.

Nguyễn Văn Như, a business owner in Mường Thanh ward, shared that after opening a separate business account and performing payments through the bank, he found money management to be much clearer. He noted that checking his transaction history allows him to know his revenue and costs immediately each day, which is highly beneficial for long-term business. According to the Điện Biên province’s tax authorities, the application of official accounts for household businesses is part of the modernization of financial management. This regulation not only serves state management but also helps businesses build a transparent and professional financial foundation to develop sustainably in an increasingly modern environment. In reality, after an initial period of adjustment, many traders have proactively adapted to the new requirements.

Thu Phương
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