Study On Effects Of Transactional E-Commerce On Legal Regime Of International Taxation

The development of transactional e-commerce has had profound influence over the present legal regime of international taxation. Because of the dummy and transactional nature of the network, the present international tax legal regime on the basis of the traditional business activities can no longer accommodate e-commerce activities. Problems therefore have arisen as to how international tax regime could adapt to changes which e-commerce has brought to the international trade, and establish a stable and rational international legal regime for taxation. Currently, the relevant countries have made positive study, and there is tendency that the international tax law is to regulate e-commerce activities.PRC is a developing country and has great interests in taxation over transactional e-commerce activities, and the study as to how transactional e-commerce activities are taxed is now of imminent necessity. This article focus on the ascertainment of jurisdiction over taxation, resident institutions, categories of incomes through induction and analyses of the characteristics and the challenge which e-commerce activities have brought to international tax regime, and has proposed to establish a special regime for international taxation on e-commerce activities.