Implications Of E-Commerce For Tax Legislation

As e-commerce develops ambiguities in the current tax code in which it may be exposed. It would not be regarded as too early to take premature steps for undertaking such a review at a time when detailed international legislation are going on to promulgate acceptable standards laws for imposition taxation in this regard. The Central Board of Revenue should take active part in promulgation of conducting research on this subject in hand and should propose any changes to tax law in the light of what emerges in development in e-business. In the meantime, Central board of Revenue will do two things:

o Make sure that e-commerce taxation requirements are fully considered when recommending amendments are made to existing laws, and

o Such changes should be made to national tax laws that are needed as unforeseen legal obstacles to the growth of e-commerce emerge to subject to tax revenue constraints.

If there is a difficulty in fitting any of our existing tax legislation to e-commerce transactions, then CBR should look at these emerging legal problems connect with its execution and administration. Uncertainty is bad for business. Taxpayers should not be left in doubt as to the applicability of a particular provision of tax laws. This is not to say that all of the existing tax legislation should be made applicable to e-commerce. However, the fact remains that e-commerce is just another way of doing business and it should normally be subject to the same tax requirements as any other method of doing business. The development of e-commerce may require some fine tuning of our tax laws in consistent in international legislative trends.

The writer is an advocate of High Court and practicing immigration and corporate laws in Pakistan since September 2001. He is a self employed and pioneer in research on electronic commerce taxation in Pakistan. His articles were published widely in the critical areas of cyber crimes, electronic commerce, e-taxation and various other topics. He wrote LL.M thesis on titled "Legislation of electronic commerce taxation in Pakistan" in which he provided comprehensive legal proposals for statutory reconstruction of tax laws for purpose of imposition of taxation on e-business in Pakistan. Currently he is conducting is research on topic 'Electronic commerce taxation: emerging legal issues of digital evidence'.Author can be contacted by adil.waseem@lawyer.com.

---

Accepting Credit Cards For Your Online Business

Did you know that one of the best ways to increase sales for any online or offline business is to offer your customers the convenience of paying by credit card? As a merchant,... Read More

How To Stay Cutting Edge In Online Business

Let's face it, there's just way too much information out there for any one individual to try to keep abreast of. And yet, if we shut ourselves off from the world, we risk... Read More

PayPal Powered

Three years ago I was doing some work for a local university helping to redesign an internal website they wanted updated and made more user friendly. When the job was done the person... Read More

Say Something Worth Talking About

I recently published a short e-book called 'One Thing I Know About Doing Business Online'. Seventeen people contributed - including Seth Godin, Jeffrey Zelman, Danny Sullivan, Jared Spool, Gerry McGovern and Ann Handley.But... Read More

Top 5 Dot Com Myths Debunked

Most people who get into business know what's involved. They have completed hours of research before getting into it. That's great! Even so, we may still have some myths that need to be... Read More

Web Store - Why Do You Need One?

Internet has opened a new era of business opportunities. Each day, thousands of new consumers are joining the Internet. More and more companies are adopting Internet as their primary sales and distribution channel.... Read More

10 Reasons To Survey Your Visitors, Subscribers And Customers

1. To find out what type of content visitors want to see on your web site. This should increase repeat visits to your site.2. To find out how to improve existing products or... Read More

How Measuring Key Performance Indicators Can Improve E-Commerce Strategy - Part Three

The first article of this series discussed page views per session as a kind of early warning system key performance indicator (KPI) for your website. The second discussed time on site as another... Read More

Cheap Cigarettes, Discount Tobacco and Cigars Online - Is It Legal?

Many people online today still believe that buying tobacco products via the Internet is an experience that is doomed to failure. Either, the package will go astray, or the HM Customs and Excise... Read More

Is ECommerce Right for Our Business?

If your business features products or services for sale, undoubtedly the topic of eCommerce has come up. What is eCommerce? Literally defined as "the conduct of financial transactions by electronic means," it refers... Read More

How to Boost Conversion Rates, While Lowering Merchant Account Fees!

Using an Address Verification System (AVS) when processing your online credit card transactions can help to reduce the number of fraudulent transactions you receive. However, most online merchants don't know that using AVS... Read More

Credit Card Processing - 7 Things You Need to Know Before Opening an Online Merchant Account

When considering opening an online merchant account to accept credit card orders, there are a lot of things you need to keep in mind. The best thing to do is learn all about... Read More

Government Buying and Selling on the Internet

Global Insight, a leading economic and financial forecasting company, (formerly DRI-WEFA), states that all levels of government (federal, state, and local) should see steady increases in the purchases of goods and services through... Read More

One Point Two Billion

In this surreal world of the internet, anyone, even you, can put your point across to a staggering number of people in every country on the planet.From political activists to artists and writers,... Read More

The Clickbank Crash of 2003: Lessons Learned

I had a rude awakening recently. I checked the days worth of sales from one of my sites and there were none. This had never happened before and of course I was anxious... Read More

Is It Still Possible To Make Money On The Internet?

Many people are saying that the internet is dead. So is there still money to be made on the Internet?The answer is a definite YES.Research shows, time and again, that consumers want to... Read More

Online Customer Service - The Cornerstone of a Successful Online Business

Online customer service is still one of the most frequently overlooked aspects of running a successful online business. Yet, in the highly competitive world of Internet business, it could be (and should be)... Read More

E-Commerce Is Back On The Fast Track

How much holiday shopping did you do on-line this year? If you are reading this, then chances are good that you made at least one purchase on-line. Over 54% of all Americans did... Read More

How Measuring Key Performance Indicators Can Improve E-Commerce Strategy - Part Two

Why time spent on your site is importantAll websites regardless of type should measure this KPI, simply because all websites can use it as a gauge to see how compelling their offers are... Read More

Online Shoppers Say They?ll Buy from Small and Large E-Businesses Alike

As the holiday shopping season begins in earnest, consumers say they're just as willing to buy from small online retailers as they are from large, national e-commerce providers.In addition to this key finding,... Read More

Selecting The Right Shopping Cart For Your Website

Shopping Cart Installation And SetupShopping cart technology has evolved to be a must-have feature for the internet seller. Most e-merchants are aware that shopping carts function to facilitate the purchasing process. They provide... Read More

Chinas Online Shopping May Be Booming In The Next Few Years

Data from China Internet Network Information Center (CNNIC) shows that till June 2004 Chinese online user has reached 87 million, of which, 7.3% has experience of online shopping.CNNIC also expects that the percentage... Read More

How To Accept Credit Cards Without a Merchant Account

To increase sales on your website, you must accept credit cards. To process credit cards, you could apply for a merchant account through your bank or other financial institution.Sometimes, though, you would be... Read More

The Census and the E-Commerce Wave

Understanding business and product sales can sometimes put me in a whirlwind. My job tends to get me involved with loads of different opportunities dealing with all sorts of product lines. It is... Read More

Maximize Your Froogling for Increased Website Profits

Are you familiar with Froogle? If you are an online merchant, you certainly should be.Froogle is Google's product search engine and was launched as a "beta product" in December 2002. Froogle's significance is... Read More

Do Your Online Brokerage Business With Zero Down

If you have little or no capital but you want to do big international business; if your small business is not doing so well; or your capital is low, why don't you turn... Read More

Is ClickBanks Popularity Drawing To An End?

ClickBank is the Internet's most popular payment processor for online payments but with many rivals appearing on the scene is ClickBank's popularity drawing to an end?ClickBank allows website owners to accept credit and... Read More

The Top 10 E-Commerce Ways to Follow up with Clients - Part 1

Did you know that 80% of all sales are made after the 5th contact? The biggest mistake we make is not following up with our clients regularly. We not only lose the chance... Read More

7 Questions to Ask A Potential Internet Merchant Account Provider

Recently I went looking for an online merchant account, with disastrous results. I made the mistake of taking information at face value and relying on the ecommerce merchant account provider's good reputation in... Read More