Ten days after the launch of the new deal for retail import taxes on cross-border electronic commerce, known as “sea peddlers”, rumours, truths, and even the price truth of the peddle itself have flooded, not to mention the meaning behind and beyond。
Everything is not the same, and from here it should be seen behind it; from afar, it should be seen in future trends. The so-called “people must be close to each other” is also true。
Tariffs are not a problem
Pay customs duties
Sure. Why are you surprised。
Since fiscal taxes and employment levels in the country remain a neighbourhood-based domestic problem, consumer “ex flight” is by no means a good spirit, as it could mean that domestic businesses are facing depression and the economy is facing contraction if large-scale prolonged presence。
Customs duty, everybody。
The exemption for customs at frankfurt airport, germany, is a self-used commodity of less than 430 euros, which amounts to approximately 3,000 yuan, which is far lower than the exemption of 5,000 yuan for customs entry and exit. Moreover, the degree of freedom of discretion is often alarming as to whether such goods are “self-used”。
It's more rational, and it'll be more detailed. For example, if you bought a camera, he would ask where the invoice came from and whether it was credible; if the packaging was perfect and why it was not thrown out; if you were to open the machine to test your skill in using it; if the language used in the system was a foreign language, there could be a secret; and if you were to have a photograph of yourself, you would even need to be checked。
If you encounter anything less rational, you must be in violation. Some even enter the country in the form of luxury brands, which they wear to buy, and even impose fines。
Very common。
It has been argued that when a country's economy is strong and has an advantage in international competition, it tends to follow a policy of free trade and vice versa trade protectionism. In fact, the more the world moves, the more developed countries, not only the more sophisticated tax systems and frameworks are, but not the least of them, their financial prosperity。
The essence of fishing is electronic commerce
It's inevitable that both fishing and “taxed” will happen。
The first element of fishing is “cross-border”. Over the years, the cost of chinese residents travelling abroad has been declining. The decline in relative costs is reflected in the strong rmb exchange rate. With regard to absolute costs, china’s population’s wealth has increased without saying, and with china’s fiscal and monetary policy folding, domestic costs and prices continue to rise, so that the price gap, both within and outside the country, continues to narrow and even reverse, causing cross-border purchases to move towards a levelling, popularization and universalization of commodities。
The second element of fishing is “e-commerce”. According to the 37th china internet development statistics report, as of december 2015, china had 688 million internet users, of whom 413 million were internet users, representing 60 per cent. In 2015, the national net retail trade amounted to 3. 88 trillion yuan, an increase of 33. 3 per cent over the same period, of which 324. 2 billion yuan was sold online in real goods, an increase of 31. 6 per cent over the same period, which was 20. 9 percentage points higher than the increase in total retail sales of social consumer goods over the same period, accounting for 10. 8 per cent of total retail sales of social consumer goods. One year's sales of wang poi's department goods exceeded ali's “silence day”。
Both elements are the current trend towards global economic development, namely globalization and interconnection. The second element, “electronic commerce”, was fundamental to its trading phenomenon. The prevalence of e-commerce makes it easier to cross borders, globalization becomes so convenient and connectivity becomes truly possible。
Challenges of e-commerce to the tax base
Electronic commerce naturally involves cross-border issues。
The virtualization, digitization, concealment and electronicization of e-commerce trading spaces make it difficult to make accurate judgements about the sources of transnational proceeds. For example, a chinese customer ordered game software from a german manufacturer via the internet, whereas the server actually came from japan in the united states, while the telephone hotline reached the netherlands, where the installation and technical support were done by the germans, but the software downloaded and updated the mirror server from hong kong。
How should the composition of the transaction be divided and its source of business profits defined
In the traditional way of dealing, the identification of sources of transnational proceeds relies on objective geographical criteria such as the place of origin of business profits based on the location of the establishment, the place of contract and the place of delivery, or the place of supply, payment or use of labour remuneration. With the advent of electronic commerce, the identification of the source of the proceeds, which is the key to international tax jurisdiction, faces a serious challenge as a result of the considerable controversy over the definition of proceeds。
It would therefore be too short-sighted to consider the collection of customs duties on fishing as a temporary measure of current trade in commodities, even to avoid it. In future societies, the internet will only be more closely linked to our lives and the traditional concept of borders will become blurred and possibly global fishing. The question arises, then, as the national boundaries of commercial transactions become blurred, while the national welfare sectors remain, how can national commercial, industrial and fiscal interests be guaranteed in the new business era
That is, how can tax more effectively be taxed when there is a new change in the structure of the tax base, or tax base? How can tax efficiency be improved? In the future, this is not just about certain industries, but perhaps about the country's fiscal well-being。
Fair competition for e-commerce
Therefore, this adjustment to tariff policy will not be an outcome, but a start. For this matter, not only will it not disappear or decline as a result of policies such as taxation, but it will also increasingly become the main tax base。
Indeed, research, exploration and planning of tax modalities and rules for electronic commerce are taking place globally。
The united states is the country with the most extensive use of e-commerce and the world's first country to have a specific policy on e-commerce taxation. According to statistics, united states enterprises account for two thirds of the global business community. While the united states electricity market accounts for less than 10 per cent of the online and offline market, the electricity market is growing steadily and is of high interest to industry。
In 1997, the united states government had issued the global agenda for electronic commerce, which stated that governments should support, rather than hinder, the development of electronic commerce, maintain a tax system that was simple, transparent, easy to implement and followed the basic principles of international taxation. The european union, the international organization for economic cooperation and development (oecd) and others have also discussed the issue, and in general the decisions taken by major global economies are “impartial” in terms of taxes. This indicates both a support and an enormous space for future taxes on e-commerce and cross-border transactions。
Over the past two decades, countries around the world, whether in the united states, the european union, japan, the united kingdom, canada, india or others, have established tax policies on e-commerce transactions。
Taxes are not just an industry, but the overall welfare of the state. E-commerce would not be faced with competing with so-called traditional transactions, but with fair competition throughout the market。
Taxes become part of e-commerce
In may 2013, the senate of the united states congress passed the market equity bill, which abolished the ex-e-commerce state government sales tax exemption. Large e-businessers like amazon and the government are the driving force behind the bill。
For governments, as e-commerce approaches the scale of traditional physical transactions, and even vice versa, the tax base of their fiscal revenues is seriously eroded in the “tax exemption”, while unfair competition from real industries can hit the economy second. Taxes are therefore imperative。
The main reason for the shift in support of taxation, such as amazon, is that the amazon has completed its “entity presence” in the states, has a well-established market position, no longer requires tax-free competitive advantages, and has moved to take advantage of the financial and technical advantages of participating in the state's costly e-sales tax infrastructure, thus gaining a pre-emptive advantage for future e-commerce taxation。
The study by the united states bureau of economic research (nber) found that the impact of taxes on e-commerce was diminishing. Around 2000, the state sales tax on e-commerce, which is the same as traditional commerce, will reduce internet sales by 25 per cent, resulting in a 30 per cent decline in online sales. The decrease in online sales was only 6 per cent around 2006。
In other words, when e-commerce has become part of the environment, taxes can become part of e-commerce。
The future of rules
We can already feel two-way and multi-way cross-border electronic commerce, driven by the national “one-way road” strategy. Cross-border e-commerce is inevitable and important。
For us, the internet was an earlier concept and is now part of life and may be all in the future. We see it as a technology, or an industry concept, that is out of date。
What we see today is some cross-border, electronic-related, imported, physical goods. Behind this, however, is the future of decentrized trade in goods and services connected to the internet。
And this future has profoundly changed not only our daily lives, but, more importantly, our traditional trading perceptions and ways. When it fundamentally changes our business landscape, we should understand that what we need is to step up understanding and adapting to this new scene. And be well prepared to take control of this new scene. This also means that, in the future, this is first and foremost a conflict of rules, and who is the winner who can take the lead in mastering, analysing, researching and developing new rules to achieve efficient returns in the invisible。
For china, which was not tax-efficient enough, e-commerce had developed ahead of the world. With this wind, it is particularly important to be proactive and to be able to get ahead of it。
The foolish are hidden in their deeds, and the wise see not。
We urgently need new fiscal frameworks, governance capacity assessments and supporting systems that can be adapted to the concept of the internet. (the country is wednesday
