Research On The Impact And Countermeasures Of Corporate Income Tax In The Era Of Digital Economy

In recent years,the extensive application of the internet has fully demonstrated its profound impact on human production and lifestyle.With the development of the internet,digital economy,which is based on modern information network technology as the carrier,rose rapidly.The proportion of the global economy increased year by year.Digital economy is experiencing rapid growth,rapid innovation,and widely used in other economic fields.It has gradually become the core driving force to promote global economic development.However,the development of digital economy has brought a lot of social problems.Such as: the impact on traditional industries,digital crime,network security issues,tax issues and so on.Among them,the tax issues have become the most important topic around the world.On the one hand,the increasingly frequent transnational operation of enterprisesresults in the existing international tax rules' difficulty to apply,and then leads to the problem that a lot of tax is difficult to achieve;On the other hand,the technology,which is using in the tax department,is behind the development of digital economy,causing that the efficiency of tax collection and management is gradually reducing.Under digital economy,how to determine the tax,how to divide between countries,and how to collect and manage,become the problemswhich need to be solved immediately.Taking into account the innovation of the research,this paper intends to use the digital economy as the background,and choose a separate tax –“corporate income tax” as the perspectiveto study its problems and countermeasuresthrough international comparison.First of all,this paper will analyze the formation mechanism ofcorporate income tax's problemsunder digital economy from the two aspects,which is“tax source identification” and “tax collection and management”.Secondly,this paper will analyze and compare the problems of corporate income tax and the related countermeasures from three aspects: 1)the division of jurisdiction of corporate income tax.That is,underdigital economy,the non-nationalization of business profits leads that how the income tax involved should be divided between countries becomes more and more complex.2)determination of taxable income of enterprises.The difficulty to qualify and quantify corporate income in the digital economy poses a great challenge to the determination of taxable income.3)the problem of corporate tax avoidance.The rapid movement of capital leads to man-made control tax avoidance more and more prominent,which is manifested as base erosion and profit shifting,and the inefficiency of international tax collection and management methods.In addition,this paper will be based on Chinese national conditions,and analyze the problems of corporate income tax that China is facing.This part will be divided into two levels: “corporateincome tax law” and “tax collection and management”,aiming to study the loopholes of Chinesecorporate income tax law and the efficiency of tax collection and management under digital economy.On this basis,this paper will draw on international experience,and makepolicy recommendations on how to solve the problems of corporate income tax in the context of digital economy.