Study on the Development of Digital Taxation in Guangdong, Hong Kong and Macao Greater Bay Area under the Background of Digital Economy
Year: 2025
Type: conference-paper
Abstract: Against the background of rapid development of digital economy, this paper takes Guangdong, Hong Kong and Macao Greater Bay Area as the research object, and analyzes in-depth the deep-seated impacts and institutional problems brought by digital technology on regional tax administration. Through a combination of theoretical analysis, case study and empirical analysis, it reveals the three core challenges currently faced by the Greater Bay Area in the tax system: first, the adaptation pressure brought by the adjustment of international tax rules, second, the difficulty of cross-regional collaboration in tax collection and administration, and third, the difficulty of matching the traditional tax source structure with the demand of digital economy development. My research has found that there are some problems in tax governance in the Greater Bay Area, including less clear criteria for the determination of tax jurisdictions, leading to double taxation or tax evasion; barriers to collaboration due to differences in the tax systems of different regions; low efficiency of cross-border exchange of tax-related information; and a lack of dominance in the formulation of international tax rules. All of these problems will constrain the development of tax governance in the Greater Bay Area. This paper proposes five innovative solutions to these problems: first, establish a consumer-based tax jurisdiction system and develop an intelligent tax source monitoring system and a cross-border profit accounting model using artificial intelligence technology; second, use blockchain technology to build a “Bay Area Tax Pass” platform to realize the instant synchronization and cross-validation of transaction data, capital flow and logistics information; third, develop a tax risk early warning system using artificial intelligence technology to enhance the efficiency of cross-border tax-related information exchange; and lack of dominance in the formulation of international tax rules. Third, develop a tax risk early warning system using artificial intelligence technology to improve the accuracy of risk identification; fourth, establish a data sharing mechanism to compress the verification time of cross-border tax-related information; and fifth, emphasize the cultivation of relevant talents through the introduction of professionals and participation in international rules. These measures provide feasible solutions to enhance the development level and international competitiveness of digital taxation in the Greater Bay Area.
Author: Junya Liu
Institution: Guangzhou Huanan Business College
Language: English
Topic: Taxation and Legal Issues
Subfield: Accounting
Domain: Social Sciences
Open Access status: hybrid
OpenAlex ID: W4412789899