Research on C2C E-Commerce Taxation Based on Mixed Decision Game

The rapid rise of C2C e-commerce in China has brought serious difficulties to China's tax collection and management. Based on the principle of progressive taxation, the necessity of taxation on C2C e-commerce is analyzed and discussed. It is shown that the absence of taxation in C2C e-commerce is contrary to the principle of tax equity and tax neutrality, and the tax revenue is lost. It is demonstrated that it is imperative that China to implement C2C e-commerce taxation in a comprehensive and standardized way. By constructing a hybrid decision game model between C2C business operators and tax authorities, the static game analysis of incomplete information is conducted for the balance of interests between tax authorities and e-commerce operators.