The taxation of the electronic commerce

There are ongoing debates regarding the taxation of electronic trade both at the national and international level. On top of these debates are the limits to the taxation powers of the countries that are parties to the e-commerce. International taxation principle rests upon two basic principles: origin and residence. Today we are faced with the most important problem of how the limits to the taxation powers among countries that are parties to the e-commerce will be because of the fact that although the economic boundaries of governments surpassed their geographical boundaries, the current legal regulations cannot cover the global trade areas. The issue of taxation according to the principle of origin and destination as well as the concepts of the place and the workplace where the income is acquired constitutes a problem. The purpose of the paper is to deal with the question of which governments have the authority of taxation among governments that are parties to the e-commerce, the problems encountered regarding this issue among the country of origin and the country of destination and the differences in interpretation brought about by OECD's not taking specific decisions. Keywords: E-commerce, Workplace, Server, Country of Origin, Country of Residence