Modern Trends in Improving Tax Administration in E-Commerce

The present study analyses contemporary tendencies in the efficiency of tax administration processes that will be taking place at a time when e-commerce and digital economy is rapidly developing. E-commerce and new tax challenges: The growing volume of online transactions, the large-scale adoption of electronic payment systems, as well as the rising platform economy are creating challenges to traditional approaches to taxation. The research aims to study the current mechanisms of e-commerce taxation and formulate scientifically based proposals aimed at increasing the efficiency of tax administration. The research methodology is applied and consists of a combination of economic, statistical and comparative methods. The paper analyzes international experiences, including practices from the OECD, European Union and Asian economies to identify an effective approach in terms of regulation and taxation of digital trade. The paper also analyzes the current situation with regard to the taxation of e-commerce in Uzbekistan and identifies major problems such as challenges in identifying taxpayers, monitoring economic transactions that take place through digital channels and cross-border e-commerce. The results suggest the crucial importance for tax control of e-commerce platform integration with information systems of tax authorities, mandatory digital identification and advanced technologies (e.g., Big Data and artificial intelligence). In addition, a simplified tax regime alongside increased international cooperation makes the expansion of the tax base and the reduction of the shadow economy more feasible. It concludes that digitalization of tax administration plays a role in solving relevant problems by contributing to the sustainable development of the economy, increasing budget revenue and improving efficiency of the tax system in the conditions of contemporary digital environment.