Study On Legal Tax Collection And Administration Of C2C Electronic Commerce In China

With Internet’s penetration into every aspect of our production and life, e-commerce has been a booming emerging industry around the world. It has broken through the traditional space-time transactions ideally, shortened the distance between production, circulation, distribution and consumptuion. Meanwhile, it has blended physical distribution, capital flow and information flow highly, offering opportunities to producers, sellers and consumers to meet their needs better, and opening up an international market with broader and fiercer competition also. Although, compared to super economies like the United States, WTO, EU, the history of China’s e-commerce industry development isn’t that long and the starting point is low. But since China’s first professional e-commerce website——China Chemical Network appeared in1997, e-commerce industry has experienced a development process developing from nothing and from small to large, showing an explosive and fission growth in17years in China. In1999, Shao Yibo founded eBay, creating a precedent for China’s C2C e-commerce platform. Gradually, C2C e-commerce has most widely spreaded and got most users in China. It has become part of many people’s daily life to browse taobao, eBay, paipai and other sites. Meanwhile, C2C e-commerce has got breakthroughs in the forms constantly. Actrually, many new things are innovative development models of C2C e-commerce, like the micro-store network, mobile e-commerce platform, community e-commerce platform, etc.The theory of two sides decides that C2C e-commerce is a double-edged sword. It is greatly promoting the development of global trade, also, the lack of legal C2C e-commerce norms is a great shock to legal principles of tax fairness, state revenue and e-commerce trading market order, etc. How to regulate it lawfully and reasonably has been a hot issue of economic law circles since its appearance. If and how online stores should be taxed and the legal liability has not been clearly defined in China’s written law. It has led to doubts and passiveness of C2C e-commerce tax authorities in reality. How to include C2C e-commerce into China’s tax system is an urgent need to address the problem. On the basis of summing up and learnning from the experience of extraterritorial tax collection C2C e-commerce, C2C e-commerce tax is necessary without new tax types from the perspective of the facts of the e-commerce development in China. On specific aspects of building the legal system, we should follow the basic principles of tax law, clear specific tax types, offer the appropriate tax incentives and regulate law enforcement system to make sure the sustained and healthy development of China’s C2C e-commerce.