The taxation of electronic commerce: Problems and solution offers

Electronic commerce is a kind of trade that gained momentum in the nineties after the important developments in the technology were adopted to our lives. Compared to traditional trade, this type of trade, which provides a cost advantage in most types of expenses and is easier to reach to customers, also contributes to the formation of most companies, new enterprises and the sector. Electronic commerce is subject to controversy in the international arena in order to have a structure that all transactions are realized through electronic tools and taxation. According to the traditional trade in which cross-border trade is carried out in accordance with the tax agreements, a number of problems can be encountered regarding the products and services in which sales transactions are carried out in digital environment. In addition, the lack of consensus on the implementation of net tax applicable to the whole world may cause problems to arise in different ways. In the first part of the study, the general structure of electronic commerce and the second part include applications that are related to the taxation of electronic commerce. In the final chapter, the problems encountered in the taxation of electronic commerce and the suggestions presented by the OECD and the European Union regarding these problems were examined.