Electronic Commerce and International Taxation

Document Type

Article

Publication Date

2002

Source Publication

Isuma Canadian Journal of Policy Research. Volume 3, Number 1 (2002), p. 101-107.

Abstract

The “new economy” and electronic commerce (e-commerce) pose a number of challenges for the existing tax system, including tax jurisdictional principles, arm’s length principles and international consumption taxation. This article first differentiates the dominant features of the new economy and e-commerce from industrial-based economies and traditional commercial activities respectively. The authors focus on the increasing fluidity of capital and fiscal goods, coupled with the evolvement of intra- and inter-firm mobility. The second part of the article underlines how the new economy and e-commerce defy practices and notions of mapping fixed geo-economic space upon which international tax law and conventional commerce are grounded. The authors stress that there has been negligible international effort to imagine new forms of geo-economic mapping that complements the fluidity of international tax law praxis. The article concludes that Canada must search for new means to cement its own position in the tax base of the new economy while co-operating with other OECD countries.

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Creative Commons License
This work is licensed under a Creative Commons Attribution-Noncommercial-No Derivative Works 4.0 License.

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