Research on the Impact of Digital Economy on Horizontal Tax Allocation between Regions: A Value Added Tax Perspective

Abstract

The booming development of the digital economy has an increasingly significant impact on the horizontal tax distribution mechanism of value-added tax. In the context of the rapid development of information technology and the rise of the Internet economy, the digital economy has become a new engine to promote global economic growth. However, this emerging economic form has brought unprecedented challenges and changes to the traditional tax system, especially in terms of horizontal tax distribution between regions. As an important tax directly related to enterprise production and consumption activities, the distribution mechanism and effects of value-added tax in the context of the digital economy have become an urgent research topic. By exploring the impact of the digital economy on the horizontal distribution of value-added tax among different regions, this study provides theoretical support for improving the tax distribution system and achieving tax fairness in China, optimizing local fiscal structure, promoting balanced regional economic development, and proposing effective policy recommendations to address tax policy challenges in the digital economy era.