- Emergence of E-Commerce: The rise of e-commerce has introduced new economic operators, including the concept of the Merchant of Record (MoR), which has evolved alongside digital marketplaces and online vendors.
- Definition of Merchant of Record: The MoR is a legal entity (typically a platform operator) that acts as the seller of goods or services to the end customer, thus assuming the legal responsibilities of the transaction.
- B2B and B2C Transactions: The MoR framework involves two key transactions: a B2B transaction between the online vendor and the platform, and a B2C transaction between the platform operator and the end customer.
- Legal Perspective: From a legal and tax standpoint, the platform operator is recognized as the supplier of goods or services, which has significant implications for compliance and liability.
- Examples of MoR Roles: The document highlights scenarios where the online vendor acts as the MoR versus when the platform operator assumes that role, illustrating the shifting responsibilities in digital commerce.
Source 1stopvat
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