Digital economy has created big impacts on the world economy without physical or territorial limitations. It is estimated that the size of the digital economy ranges from 4.5 to 15.5 percent of world GDP with more than $7 trillion market capitalization in 2017 (UNCTAD, 2019). In addition, the growing digital economy also resulted in an increase in productivity and value added, employment creation, investment, and diffusion of R&D. However, due to the limitation of traditional tax systems, the existence of a digital economy has a very small contribution to state revenues. It is necessary to address the issue within the international corporate tax system on the digital economy as a potential source of state revenue.

Tax system has been regulated based on the principle of permanent establishment which is inadequate to the growing digital economy. Based on the 2015 BEPS Action report, OECD highlighted that the whole economy is becoming digital. Thus, a new tax policy is needed and should not separate between digital and non-digital activities. In order to gain a consensus among countries, it is also necessary to raise public awareness and knowledge regarding this issue.  As part of civil society organizations concerning tax issue and fairer wealth distribution, The PRAKARSA and SOMO are organizing a series of training to address tax on digital economy, including how to conduct research and advocacy on this issue. In addition, this training also aims to build research and advocacy of the participants.