taxation in the digital economy

Abstract

Today's economy is rapidly transforming into a digital economy, with e-commerce, online systems, digital currencies, and cloud technologies playing a key role. These processes enable new revenue streams, but also pose significant challenges for tax systems.

Traditional taxation methods, which rely on a business's physical presence, are becoming ineffective in the face of cross-border digital transactions. Difficulties also arise in determining the tax base, collecting taxes, and preventing tax evasion.

This paper examines the key challenges many countries face when taxing digital companies and analyzes possible avenues for reforming fiscal policy. Particular attention is paid to the use of artificial intelligence (AI) in tax administration, the development of digital taxes, and prospects for international coordination.

The purpose of this article is to identify areas for adapting tax systems to new economic conditions in order to ensure the equitable distribution and sustainable development of tax revenues.