THE FISCAL CHALLENGES OF THE DIGITAL ECONOMY IN THE EUROPEAN UNION: A BIBLIOMETRIC ANALYSIS

Abstract

The digital age offers new opportunities for innovation and growth. From a fiscal point of view, it creates opportunities for tax administrations to reduce tax evasion. On the other hand, as business models change, there is international pressure on the tax system. The current rules were developed at the beginning of the 20th century for traditional companies that relied on the principle of corporate taxation where value was created. In the case of digital activities, physical presence is no longer a condition for the provision of services. There are two major questions: Where do we tax? In the case of a company with a low or even non-existent physical presence and what do we tax? in the context of a digital business plan based on knowledge, data and intangible assets. The digital economy is a challenge for all tax regimes, as its rapid development has led to the conclusion that international tax rules are not properly adapted. One objective currently pursued at EU level is to adapt Member States' tax systems to optimize them to meet the challenges of the digital era. The aim of this paper is to identify the model and the most effective instruments for charging the digital economy at the level of the European community, as well as the way in which the directives issued by the European Union manage to harmonize the fiscal policies of each member state for charging and regulating the digital economy. In order to achieve that, we performed a bibliometric analysis on the database Web of Science Core Collection, regarding our study research. This study was performed according to the Preferred Reporting Items for Systematic Reviews and Meta-analysis (PRISMA) statement.