Modern Approaches to the Taxation of the IT Business under Globalization

Abstract

The rapid evolution of the digital economy, the growing role of platform business models, the intensive development of e-commerce, and changes in the nature of value creation generate new challenges for national tax systems. The lack of physical presence of suppliers, the use of digital interfaces, the cross-border nature of electronic services, and the large-scale mobility of digital assets necessitate a rethinking of traditional taxation mechanisms and a transition to models based on the place of consumption rather than supply. The aim of the research is to provide a theoretical and methodological justification for contemporary approaches to the taxation of digital services in the European Union countries and Ukraine, to analyze the implemented fiscal instruments, and to identify problem areas in their harmonization with global OECD initiatives, in particular Pillar One. The article summarizes trends in the development of the digital economy, examines the scale of electronic sales and structural differences between web sales and EDI operations, and analyzes digital tax models in EU countries and key parameters for their application. The content of regulatory changes in Ukrainian tax legislation is disclosed, including the Diia City regime and the introduction of VAT for non-residents providing digital services. It is substantiated that the performance of digital taxation is determined not only by the level of tax rates, but also by the effectiveness of cross-border transaction control, the functioning of the CESOP system, the transparency of payment data, and the adaptability of tax regulators to new digital models. It has been shown that issues of taxation of cryptocurrency transactions and determination of the place of value creation in the virtual environment remain unresolved. The research results form a conceptual basis for improving Ukraine’s tax policy, harmonization with European standards, and the development of a modern digital taxation architecture in the context of global economic transformation. Particular attention is paid to the need to develop flexible tax adaptation mechanisms capable of responding to the emergence of new digital products and technological solutions.