Digitalization, and the new business models that have emerged as a result, have underlined the existing inefficiencies and limitations of the tax system, including the difficulty to capture significant digital activities that do not require any physical presence and the need to tax super-profits mainly related to valuable intangible assets located in low or no tax jurisdictions. More importantly, the global call for a substantial reform of the tax system has brought together many nations and their varied approaches to taxation, raising questions of fairness, global wealth distribution and sustainability. In this context, new approaches to global tax governance have also emerged.
Against this background, the module covers the challenges that technology has brought to international and domestic tax systems and the policy solutions that countries and international organizations developed as a response to these challenges. Emphasis will be put on identifying different perspectives (taxpayers, policymakers, legal advisors), developing a critical understanding of opposing interests, as well as conceptualizing how these might differ depending on the socio-economic characteristics of the countries involved (developing, developed and emerging economies) and ultimately shape international tax policy.
The module will also introduce the main areas where taxation interacts with technology, including the taxation of cryptoassets and the metaverse. The impact of automation on the labour market and the inevitable influence on domestic tax policy choices will be addressed, analysing the main issues of a robot tax and discussing alternative policy solutions. The module will also introduce the new topic of taxation of big data, information and generative AI and the unique challenges this presents. The module will, finally, cover the topic of the use of technology in tax administration and the tax judiciary.
15 Credits