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Online tax a worry

THE growth of electronic commerce is causing governments to reconsider their tax plans with a long-term view to creating a coordinated global tax structure.

The critical issue facing governments is to create a more homogenous international tax regime while not eliminating a nation’s sovereignty over import duties and treasury policies.

At the forthcoming World E-Com 1999 conference the Organisation for Economic Cooper-ation and Development will review how far these plans have developed after its inter-governmental briefing on 12 and 13 October Paris.

OECD director Risaburo Nezu, who will present the OECD’s report, said tax was a field where existing rules had to be modified if online transactions were to be treated effectively and equitably with offline transactions.

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