Study On Legal Issues Concerning On Tax Administration Of Network Transactions

In recent years, along with the increasing development of the Internet, the internettransactions which is becoming more and more frequently have brought along the riseof the internet economy. After the business volume of “Double Eleven on-lineshopping spree” in2012initiated by Tmall has amounted to RMB19.1billion, thebusiness volume of2013persists beyond that amount,“the daily trading volume ofAlibaba which Tmall and Taobao belongs to has reached RMB35billion in November11,2013, an increase of83%over RMB19.1billion of2012.” In view of this, theinternet transactions may also replace the traditional trade and become the dominantforce in future trade activities. This new form of the transactions has brought anenormous shock to our existing tax management system, at the same time it will alsobring a series of the new opportunities and challenges to the traditional tax law.In the thesis the author will elaborate and analyze the legal problems on tax fromthe angle of the tax administration. According to analyze the present situation, the legalstatus of the internet transactions and the problems in the process of the taxadministration, the author points out the limitations of the traditional tax administrationsystem in the new environment of the internet transactions. Through the comparativeanalysis on these problems’ understandings and countermeasures happened in somewestern developed countries, developing countries and international organizations, theauthor puts forward the conception of consummating the internet transactions tax,which is based on the sufficient demonstrations on the necessity and the feasibility ofcollecting the internet transactions tax, such as formulating the relevant tax laws andregulations, consolidating the coordination and cooperation between the departmentsof the tax law enforcement, strengthening the legal constraints for the taxpayers tofulfill their obligations of the internet transactions tax payment and intensifying theinternational tax information exchange etc. The author generally adopts such analysis methods as the comparative study,theoretical analysis, empirical analysis and historical analysis. The main meaning ofwriting this thesis is that our tax system should deal with the challenges brought by theinternet transactions and overcome the negative influence from the virtuality ofinternet transactions what not only causes the loss of the tax also violates the principleof fair taxation. Meanwhile how to conquer the blind zone of taxation of the virtualinternet transactions is of great theoretical and realistic significance especially forimproving the tax revenue, reducing the loss of tax revenue, safeguarding nationalinterests and promoting the development of the law system.