In the context of the digital economy many tax authorities are redefining the location of a taxable transaction from the county of the supplier to the country of the buyer.

Question

Quizplus · Accepted Answer

This is true. With the rise of e-commerce and digital trade, many tax authorities are shifting towards a destination-based taxation system, where the location of a taxable transaction is based on the country of the buyer rather than the supplier. This is because it can be challenging to track and tax digital transactions that cross borders, and destination-based taxation helps ensure that countries can collect their fair share of taxes on these transactions.

In the Context of the Digital Economy Many Tax Authorities