Research Of Legal Counter-measures About International Tax Evasion Under Multinational E-business

Since 1990s, e-business as an emerging method of trade, has brought great changes to each economy, which promote the globalization of production and sales. Compared with traditional means of trade e-business with quickness, movement and high secretiveness causes the act through which tax payers evade taxes in the international economic activities more concealed and complicable. For example, the commercial activities of intangible such as digital products that tax payers are involved in bewilder the limitation of the trade nature on the internet. The means protecting and hiding incomes and assets by enciphered methods and the materials according to which countries collect taxes made it more difficult that tax institutes trace the information and materials related to tax. The direction and non-medium of international e-commerce make it difficult to locate the brick buildings, which influences the execution of international tax's jurisdiction.International tax payers can extablish a company in low-rate or free tax regions to evade tax. Multinational company can distribute the costs of product development, design, production and sales "reasonally" to other countries through transfer price and conceal the real incomes, which make it difficult for tax institutions to trace them. However, current legal measures related to international tax evasion in international tax laws are not strong enough to control and correct tax outflows caused by evading tax in international e-business.This paper analysizes the characters of tax evasion in international e-business from the angle of the reasons why tax evasion appears in the international e-business and probes the measures countries take on the problems of tax evasion in transnational e-commerce. Combining China's real conditions, the paper stresses that China must pay much attention to the influence of international e-commerce on traditional tax system and set up relative measures of anti-tax-evasion to defend China's tax benefits. And also the paper raises concrete suggestion on profecting China's legal measures to tax evasion in international e-business.