The diploma thesis will deal with the concept of value creation with the respect to taxation in the global digital economy that has partially paralyzed the current taxation system mainly based on the physical presence of a company as a taxation standard. The author aims to analyse the concept of value-creation, mainly from the economic perspective and to critically evaluate its legal applicability in the international taxation system. The null hypothesis is set as follows: value creation is a fully applicable and effective concept for the purposes of taxing the global digital economy. In case the hypothesis is approved, the author will also discuss the possibility of applying the concept of value creation in other areas, or possibly in the global economy itself. As for the scientific methods used in the thesis, the analysis will be used to understand and decompose the term value creation. The author will also describe and analyse the current legislative proposals created on the EU and OECD level. Comparison method will also be used in order to provide an overview of the currently adopted legislation in some countries. The thesis will conclude by synthesizing and summarizing all of the findings into a fact-based conclusion, which will lead to either approval or rejection of the hypothesis set. The author will become well acquainted with the current topic-related legal and economic literature, as well as with the current academic online journals. The check-up terms: 20.12.2018: 15 pages of a comprehensive text, 28.2.2018: 40 pages of a comprehensive text. The thesis shall not exceed 65 pages.