Title: China's legislative challenges regarding income taxes on mobile commerce

Authors: Peiyan Zhou; Qi Wei; Xuelei Zhang; Yun Ruan

Addresses: School of Management of Jilin University, Changchun, China ' School of Management of Jilin University, Changchun, China ' School of Management of Jilin University, Changchun, China ' Nanyang Central Sub Branch of The People's Bank of China, China

Abstract: In the past two decades, mobile commerce has developed rapidly throughout the world. As a result, it has become apparent that mobile commerce has distinctive characteristics. The research on the tax management of mobile commerce is a refinement of - and supplement to - the research on the tax management of the digital economy, as well as the maintenance of national tax power and general trends. Therefore, we directly show the urgency of China's mobile commerce income tax legislation through our proposed model. We also analyse whether China's current income tax legislation can cope with mobile commerce activities. Further, we examine the practice of legislation in the OECD, the EU and India, and the practice of information tax control in the USA. Moreover, we discuss China's national interests, actual situation and characteristics of mobile commerce, to carry out legislation on China's mobile commerce income tax research. Finally, we offer suggestions on the determination of 'permanent establishment', profit distribution, information and multilateral cooperation of non-resident enterprises.

Keywords: digital economy; e-commerce; mobile commerce; income tax; legislation.

DOI: 10.1504/IJMC.2021.118594

International Journal of Mobile Communications, 2021 Vol.19 No.6, pp.683 - 707

Received: 11 Oct 2019
Accepted: 27 May 2020

Published online: 25 Oct 2021 *

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