Blockchain-Based Tax Invoices to Be Used in Local E-Commerce Industry in Guangdong, China
Blockchain technology is being implemented for smart contracts and even the storage of some important digital documents that would otherwise be cluttering an office somewhere. Considering the security of this type of ledger, the Guangdong Municipal Taxation Bureau has decided to use it for a new platform that allows consumers to view their tax invoice electronically.
Guangdong Province is one of the biggest regions in China by population, and this new service is meant to be implemented for customers and merchants in the first blockchain service of its kind. Overall, this plan is still in its nascent stages, and the creators plan to scale it to meet the needs of the large-scale e-commerce field.
With the use of blockchain technology for this service, the tax authorities will have a much easier time maintaining efficiency and ensuring transparency as a result of electronic invoices. In a report from local news outlet Southern News Network, the article states,
“Blockchain technology has established a highly mutual trust data sharing mechanism among tax authorities, invoice service providers, taxpayers and other parties. This is a major reason for the tax authorities to take a new step in deepening the [technological] reform [by] the distribution services.”
Back in the middle of December 2018, Shenzhen of the Guangdong Province had decided to use blockchain technology to issue electronic tax invoices as well. However, it was in connection with the WeChat payment platform.
A month earlier, the capital of Guangdong Province, Guangzhou, was chosen to be the location of the headquarters for a new blockchain alliance in the country. The new alliance includes 54 companies right now and investigates the use of blockchain technology in funds, financing, trading, and related fields.