TAXATION CHALLENGES IN INTERNATIONAL E-COMMERCE TRANSACTIONS

Loso Judijanto
Caroline Caroline
Eko Cahyo Mayndarto

Multidiciplinary Output Research for Actual and International Issue (Morfai Journal)
Vol. 5 No. 3 (2025): Multidiciplinary Output Research For Actual and International Issue

International e-commerce transactions present a range of complex taxation challenges, affecting tax authorities around the world. Key challenges include difficulties in determining tax jurisdiction due to the cross-border nature of digital transactions, which creates ambiguity regarding tax collection rights. In addition, the identification and tracking of e-commerce transactions is often hampered by the anonymous and global nature of digital transactions, which enables tax evasion. The issue of tax policy harmonisation between countries is also an obstacle, given the different tax systems and rates applicable in each country. To overcome these challenges, international cooperation and multilateral agreements are needed that can create fair and efficient tax standards and procedures for all parties involved.