scholarly journals Tax Investment Incentives: Worldwide Experience and Russian Practice

2019 ◽  
Vol 9 (4) ◽  
pp. 618-631
Author(s):  
I. V. Vyakina
Keyword(s):  
Institutional Environment ◽  
Tax Incentives ◽  
Business Environment ◽  
Economic Security ◽  
The State ◽  
Special Role ◽  
Investment Incentives ◽  
Policy Tool ◽  
Multidimensional Complex ◽  
Tax Benefits

Purpose:the main purpose of the work is research of the applying foreign tax experience to stimulate investment in the Russian business environment, taking into account the special role of the tax system in the national economy, it can be as both a factor in creating threats of the economic security and a resource for its provision. To achieve this goal in the article you must accomplish the following tasks: to perform systematization and critical analysis of theories, empirical research and foreign experience in applying tax incentives to attract investments; to identify the features of the tax relations of the state and business and features of the use of tax incentives in the Russian business environment.Methods:methods of systematic, logical and comparative analysis of the scientific literature were used, an analysis of descriptive statistics was carried out taking into account the assessment of hierarchical and correlation dependencies between empirical data.Results:numerous empirical and theoretical studies on the effectiveness of tax incentives as a tool to increase the investment attractiveness of a territory contain extremely contradictory conclusions. The effectiveness of the application of tax benefits differs depending on the conditions of doing business in the jurisdiction. There is no consensus about the effectiveness of tax benefits, the findings of scientists differ depending on the countries and methods. However, despite numerous criticisms, tax incentives remain a popular policy tool for attracting investment in developed, transitional and developing countries.Conclusions and Relevance:tax relations are essentially multidimensional, complex, and their social, political and legal content is initially conflicting, which determines the need to find a balance between the interests of the state and business. The effectiveness of their practical application to attract investment in the Russian reality is increasing in combination with other non-tax factors, such as business conditions, infrastructure, management quality and institutional environment.

scholarly journals Evaluation of the tax benefit effectiveness for certain types of activities in Ukraine (part 2)

2021 ◽  
Vol 2021 (6) ◽  
pp. 40-54
Author(s):  
Alla SOKOLOVSKA ◽  
Keyword(s):  
Tax Incentives ◽  
The State ◽  
Annual Reports ◽  
Effective Control ◽  
Production Cycle ◽  
State Support ◽  
Space Industry ◽  
Council Directive ◽  
State Tax ◽  
Tax Benefits

The second part of the article considers the consequences of assessing tax benefits for cinematography and the space industry, which they enjoyed in 2014-2019. Since these types of activities, in addition to tax benefits, also received direct state support in the form of expenditures on targeted budget programs, the effectiveness of their aggregate state support was analyzed. It was found that for both activities it was quite effective. At the same time, of the four types of activity which were the subject of analysis, the largest state support during this period was provided to cinematography, the smallest – to the space industry, which indicates real state priorities. The analysis of state support for priority activities in Ukraine showed that the most common form of tax benefits provided to them, in contrast to EU countries, is exemption from VAT for transactions of supply of goods to the customs territory of Ukraine. However, the application of such a benefit (this exemption becomes a benefit only in the case of a long production cycle), firstly, requires the establishment of effective control at customs over the legality of its provision and accounting for the amount of the benefit and losses of budget revenues due to its provision, as well as the transfer of relevant information from the customs authorities to the State Tax Service for the purpose of taking them into account in general reports. Secondly, considering that this contradicts the requirements of Council Directive 2006/112/EC, its truly temporary application must be ensured. In general, according to the results of the study, it was concluded that the introduction of constant monitoring of the effectiveness of the use of tax benefits requires clarification of the list of benefits that are losses of budget revenues, and that do not lead to such losses; providing public access to the reports of the State Tax Service on the amounts of benefits that are losses of budget revenues; ensuring proper control over the legality of the application of tax benefits, the completeness and accuracy of their accounting, the fulfillment of the conditions for the provision and targeted use of funds released as a result of the application of tax incentives prescribed in the legislation; inclusion of information about tax expenditures in reports on the execution of state budget, preparation of annual reports on the fulfillment of the conditions for the provision of tax benefits defined in the Tax Code of Ukraine; in case of using temporary tax incentives, a mandatory audit of their effectiveness and efficiency as a prerequisite for extending the period of their use.

scholarly journals TAX POLICY OF UKRAINE IN CONDITIONS OF ECONOMIC INSTABILITY: ANALYTICAL REVIEW

2020 ◽  
Vol 1 (18(46)) ◽  
pp. 85-89
Author(s):  
Yana Solomka ◽  
Natalia Tydir
Keyword(s):  
Tax Policy ◽  
Tax Incentives ◽  
The State ◽  
Strong Impact ◽  
State Budget ◽  
Tax Revenues ◽  
Analysis And Synthesis ◽  
State Budgets ◽  
Analytical Review ◽  
Tax Benefits

The article examines the main results of the tax policy of Ukraine in 2017-2019. The methodological basis of the study are the fundamental postulates of the liberal theory of effective tax policy, formulated by the famous economists A. Smith, A. Wagner and A. Laffer. The article uses general scientific research methods, in particular, analysis and synthesis, induction and deduction, the unity of the historical and the logical, statistical methods, generalization. The purpose of the article is to find out the state of modern tax policy in Ukraine and further prospects for its development. The tax revenues to the state budgets of different levels are analyzed; their economic importance for the country’s economy is substantiated. It was found that tax revenues make up the largest share (80%) of all state budget revenues and all local budget revenues (61%). The calculation of the coefficient of elasticity of tax revenues in relation to the selected indicators showed that a strong impact on the total amount of tax revenues to the consolidated budget of Ukraine has a change in household incomes and sales of industrial products.The coefficient of efficiency of using tax benefits in Ukraine has been determined. It has been proven that tax incentives are used most effectively in financial and insurance activities, construction, industry, and ineffectively in education and health care. This indicates the advisability of reducing the number and size of tax incentives in these areas.The directions of improving the tax policy of Ukraine are proposed. Among the most important are: socialization of taxes, tax incentives for innovative development and investment climate; introduction of differentiated rates of personal income tax; implementation of the principle of social justice of taxation; the introduction of differentiated rates of the environmental tax depending on the discharge of pollutants in a specific region of the country; an increase in trade quotas for the export of goods to EU countries etc. The research results can be used by the state tax authorities of Ukraine. The novelty of the study lies in the analysis of the effectiveness of the tax policy of Ukraine from the standpoint of its impact on socio-economic development in 2017-2019 based on the author’s research methodology.

FINANCING THE PATRONIZED GOODS IN THE HUMANITARIAN SECTOR OF ECONOMY (Experience of Institutional Research)

2019 ◽  
Vol 86 (3) ◽  
pp. 62-77
Author(s):  
A. Ya. Rubinshtein
Keyword(s):  
Institutional Environment ◽  
Public Investment ◽  
Academic Research ◽  
Economic Incentives ◽  
The State ◽  
Scientific Journals ◽  
Investment Activity ◽  
Efficient Operation ◽  
Economic Agents ◽  
Tax Benefits

The article presents the rationale for the investment activity of the state, directly aimed at the realization of the society’s interests, as well as for the reform activities, the task of which is to modernize the institutional environment in order to maximally harmonize the interests of society and economic agents. Within the framework of the first direction, an original approach and a corresponding method of determining the volume of public investment to producers of patronized goods in the humanitarian sector are proposed, based on an assessment of the necessary compensation of the deficit in their income, arising as a result of objective economic patterns and social norms, established by the state. Within the framework of the second direction the need for institutional changes is discussed, which pushes the state to reform existing institutions in order to generate additional motivation for expanding the production of patronized goods, as a result of the maximum possible convergence of interests of economic agents and society as a whole. It is about creating economic incentives and generally favorable conditions for attracting to the humanitarian sector, including non-governmental non-profit organizations, as well as commercial organizations that have their own interests, sometimes far from the public goals of increasing human capital. As a general vector of institutional modernization of the conditions of cultural, educational and scientific activities, it was recommended to use institutions of individual budget assignments, tax benefits, marked taxes and endowment funds. The final part of the research is devoted to analyzing the consequences of the “flaw in public choice” – the proclamation of a growing number of journal publications and the peculiarities of institutional modernization of science, including the “journal reform”, as a public interest. It was recommended to develop a Federal program of state support to the scientific journals, ensuring their efficient operation, including paying fees to authors and reviewers, as well as allocating targeted subsidies to university and academic research libraries to pay for subscriptions to major scientific journals. 

scholarly journals Improving the system of economic security of the road freight transport organization

2020 ◽  
Vol 82 (2) ◽  
pp. 251-259
Author(s):  
E. V. Gorkovenko ◽  
I. V. Platonova
Keyword(s):  
Security Management ◽  
Well Being ◽  
Legal Framework ◽  
Business Environment ◽  
Economic Security ◽  
The State ◽  
Economic Activities ◽  
Universal System ◽  
The Road ◽  
Business Partners

The business environment in which russian organizations operate is complex due to the intense competition between business partners. In such conditions, organizations are forced to adapt to the imperfections of the legal framework, search for qualified personnel, solve issues related to the physical and moral deterioration of fixed assets, lack of current assets and cash, imperfect tax policy, insolvency of business partners, etc.to ensure their own economic security. Economic security is considered at two levels: at the macro level, that is, as the security of the state, and at the micro level – as the security of the organization. In this study, we will understand the economic security of an organization as a condition in which it is protected from external and internal threats, as well as aimed at obtaining a stable income in an uninterrupted operation and using all the resources available to it. Economic security can be characterized not only by qualitative, but also quantitative indicators. The most significant quantitative indicator is the level of economic security, which is an assessment of the state of use of the organization's resources according to certain criteria. Economic security management is a complex mechanism on which the well-being of an organization depends. In turn, to implement such a mechanism, it is necessary to create a system for managing the organization's economic security. At the same time, the organization's economic security management system consists of a set of organizational and managerial, regime, technical, preventive and propaganda measures aimed at protecting the organization's interests and property from both external and internal threats. In many cases, enterprises create their own security system to manage and ensure economic security of their financial and economic activities. However, it should be taken into account that it is impossible to create a universal system of economic security suitable for any organization, since each organization is unique, with its own characteristics of work, capabilities, potential and is focused on a specific market segment.

scholarly journals Development of Tax Stimulation and Business Environment in Slovakia

2020 ◽  
Vol 83 ◽  
pp. 01011
Author(s):  
Ivona Ďurinová ◽  
Natália Tačarová
Keyword(s):  
Graphical Representation ◽  
Slovak Republic ◽  
Tax Incentives ◽  
Business Environment ◽  
The State ◽  
Analysis And Synthesis ◽  
Business Entities ◽  
The One ◽  
The Impact ◽  
New Jobs

Tax incentives are specific and targeted tax instruments in the economic and social policy of the state. With appropriate tools, the state can support the creation of new jobs and also the sustainability of human resources in existing companies. The article deals with the issue of stimulation of companies in Slovakia and the suitability of the applied incentives in connection with the business environment. The aim of the paper is to approach and analyze the impact of tax incentives applied in the Slovak Republic and evaluate them based on their impact on business entities, respectively business environment. The analysis of the overall development of provided tax incentives in the Slovak Republic is focused on the period from 2002 to 2018. The paper uses the method of analysis and synthesis together with the methods of tabular and graphical representation. Mathematical and statistical methods are used in individual calculations. On the one hand, it can be stated that tax incentives are important, even necessary, for countries, given the inflow of foreign capital, but on the other hand, domestic businesses are disadvantaged by which foreign investors disrupt the domestic business environment.

scholarly journals IDENTIFICATION OF THE MONETARY SYSTEM’S THREATS TO THE STATE ECONOMIC SECURITY

2020 ◽  
Vol 4 (2) ◽  
pp. 49-58
Author(s):  
G. Myskiv ◽  
◽  
W. Caputa ◽  
N. Grygoryshyn ◽  
◽  
...  
Keyword(s):  
Institutional Environment ◽  
Negative Impact ◽  
Political Stability ◽  
Economic Security ◽  
The State ◽  
Security Threat ◽  
Economic Activities ◽  
Economic Interests ◽  
Monetary System ◽  
Economic Balance

A threat is a factor that causes the likely destruction of the system and leads to crisis events. A security threat is a set of conditions and factors that endanger the vital economic interests of a person, society and the state. Internal threats to the monetary system make it impossible to ensure the necessary level of economic growth, negatively affect the trade, internal and foreign economic activities of Ukraine, contribute to the emergence of obstacles to improving the budget, tax, insurance and several other financial systems of Ukraine. The successful solution of this problem directly affects the monetary, economic, social and political stability of Ukraine. Therefore, the definition and solution of internal threats to the monetary system and the financial and economic security of the state are one of the pressing problems of today. The article classified, examined and analyzed internal threats to the monetary security of the state, their impact on the financial and economic security of Ukraine. To better understand the problem and detail the threats, the author grouped the threats of the monetary system by the directions (spheres) of their manifestation. The selected groups of monetary threats are considered and analyzed in more detail, since they lead to a violation of the economic balance of security in the state and require the development of a system for managing them and countering their negative impact on the economic system or localizing their actions. The theoretical aspects of the financial and economic security of the state have been studied by many authors. Noteworthy are the scientific works of such well-known economists as: Abalkin L.I., Alikperov I.M., Baranovsky O.I., Bogachev V.I., Bogdanov I.Y., Burtsev V.V., Vershinin V.M., Vozhenikov A.V., Delyagin M.G., Yermoshenko N.N., Echmakov S.M., Kozyrin A.N., Kolosov A.V., Kuklin A.A., Popov E.V., Senchagov V.K., Fokina N.P., Shnipko O.S., Lebid O.V., Garkusha V.O. and others. However, the emergence of new internal threats to the monetary system and the uncertainty of the essence of financial and economic security require additional research. The purpose of this work is the need to classify and justify rational and more effective mechanisms to counter internal threats to the monetary system of the state. Having studied the totality of monetary threats and their impact on the economic security of the state, we came to the following conclusions: monetary threats are created under the influence of external national and supranational threats (factors) that actually activate them; it is advisable to divide monetary threats into four groups: institutional, monetary, banking, investment - in the place (area) of the threat; the activity or inactive state of a threat can be determined by analysing the dynamics of the indicators that characterize it; the study showed that each of the identified threat groups has active threats that require the development of measures to minimize or counter them; today, the most active threats lie in the institutional environment of the monetary system, since most of them are subjective in nature and depend on from the professionalism of officials, their qualifications, the desire to change the situation, etc.

scholarly journals TAX INCENTIVE SYSTEM FOR INNOVATIVE ACTIVITY: STATE AND PROSPECTS

2021 ◽  
Author(s):  
Nataliia Havrilenko ◽  
◽  
Olena Hryshchenko ◽  
Keyword(s):  
Tax Incentives ◽  
The State ◽  
Government Support ◽  
Weak Links ◽  
Technical Equipment ◽  
Negative Consequences ◽  
State Budget ◽  
Tax Benefits ◽  
Low Efficiency ◽  
The Impact

The article examines the mechanisms of tax incentives for innovation of economic entities, which should focus on the development of national production and ensure sustainable macroeconomic growth. It was found that the main problems of the domestic economy, which create barriers to its innovative renewal, are the weak links between science and industry, lack of demand from industry and research and development, very low level of technical equipment of the economy, lack of market motivation for the development of knowledge-intensive production, worn-out equipment and, as a result, low efficiency of the economy as a whole. It is proved that among the main reasons for the reduction of budget revenues in the economy of Ukraine, in addition to the crisis, there are also tax benefits. For certain areas of business, this is one of the most attractive types of government support, as it means that some businesses are starting to pay less taxes. The rest, respectively, must be paid by other business structures or the state receives less money to finance its expenditures. As a result, inequality between taxpayers and a simultaneous reduction in the amount of funds that can be collected by the Ministry of Finance. Thus, in 2019 alone, due to the provision of tax benefits, the state budget did not receive budget revenues equivalent to 1.3 billion US dollars. Total budget losses from this source during 2015-2019 amounted to 6.4 billion dollars. It was found that in Ukraine there is almost no system for monitoring the impact of tax benefits, and this does not allow to assess the future effect of the introduction of such measures. Of course, this has important negative consequences for both public finances and the economy as a whole. The influence of granting tax benefits on the loss of state budget revenues is analyzed. Specific measures aimed at tax incentives for the development of innovation in Ukraine, the introduction of innovations by economic entities of all sizes are proposed. The need to rethink the criteria for granting tax benefits is noted. Foreign practice of tax incentives for innovation and investment activities, the cost of innovation is time-tested and quite diverse. Undoubtedly, it can be useful in the development of this area of tax incentives in Ukraine.

scholarly journals Tax Incentives as an Instrument of Tax Regulation of Ukraine

2021 ◽  
Vol 26 (1) ◽  
pp. 135-140
Author(s):  
Svitlana Savitska ◽  
Keyword(s):  
Large Scale ◽  
Tax Incentives ◽  
The State ◽  
Investment Activity ◽  
Advantages And Disadvantages ◽  
Tax Benefits ◽  
State And Local ◽  
Business Entities ◽  
The Impact ◽  
Tax Regulation

Abstract. Introduction. In modern economic theory, theoretical discussions constantly arise about the feasibility and effectiveness of tax incentives. Tax incentives, under certain conditions, are an effective tool for supporting national competitiveness and creating a new technological core of any economic system, especially a transformational one. At the same time, the conditions for the effectiveness of the benefits provided are their strict purpose, time constraints and constant comprehensive monitoring. In addition, benefits have a certain psychological effect on business entities and increase the investment activity of enterprises. On the other hand, the ineffective practice of preferential taxation contributes to the formation of significant losses of budgetary resources of the state, which leads to a violation of economic stability, a slowdown in economic development and a decrease in the level of financial security of the state. The above confirms the relevance of the study of the impact of tax incentives on the formation of budget revenues, as well as the search for ways to optimize preferential taxation in Ukraine. Purpose. The purpose of the article is to summarize the theoretical aspects of the use of tax incentives as an instrument of tax regulation and to study the effect of preferential taxation on the formation of budget revenues in Ukraine. Results. The theoretical foundations of the functioning of tax incentives are considered. Approaches to the interpretation of the concept of "tax incentive" are generalized and its economic essence is revealed. The advantages and disadvantages of tax incentives, the rights of taxpayers to use tax incentives have been identified. The types of tax benefits in terms of direct taxes have been investigated and systematized. The analysis of losses of the state and local budgets from the provision of tax incentives has been carried out. The main sectors of the economy have been identified and analyzed, where more tax benefits are directed. Conclusions.It was found that the system of providing tax incentives in Ukraine is ineffective. Therefore, there is no doubt about the need to reduce the volume of tax benefits provided to business entities, mainly on non-transparent principles and lead to large-scale budget losses. Tax breaks are not directed to those industries that really need support, but to those that are lobbied in parliament. Therefore, it is necessary to introduce a clear mechanism for the provision of tax benefits, their monitoring, control of losses and benefits of each benefit. Proposals have been developed to improve the system of granting tax benefits and to strengthen control over their development.

scholarly journals Aspects of Ukraine’s Economic Security Development and Its Impact on the Economic Development

2020 ◽  
Vol 12 (515) ◽  
pp. 13-18
Author(s):  
R. P. Hromyka
Keyword(s):  
Economic Development ◽  
Business Environment ◽  
Economic Security ◽  
The State ◽  
Security Risks ◽  
Strategic Development ◽  
The Hierarchical Structure ◽  
Characteristic Features ◽  
Favorable Conditions

In today’s global conditions of functioning, the national economy is accompanied by the influence of both internal and external destructive factors. Consequently, the issues of increasing the level of economic security of both the country in general and the business environment and citizens in particular are being actualized. Achieving the the proper level of economic security will create favorable conditions for the stable functioning of the State. The article is aimed at analyzing the main factors of influence on the economic security of the country and their signs on the basis of systematization of indicators of economic activity results together with determination of their characteristic features. The scheme of the hierarchical structure of economic security of the country is provided, from which it can be traced that each higher level of the system of economic security management of the State should properly create favorable conditions for the development of the economy, form the prerequisites for ensuring the security of the lower level of the economic security. The tendency of the economic security risks of the country at both the international and the national levels is covered. Considering the nature of the relationship between the levels of economic security, it is proved that the key to achieving the economic security at the highest levels of the hierarchy is its provision precisely at the level of the business environment. It is identified that the economic security of the country consists in providing conditions for the effective functioning and strategic development of business in the conditions of influence of threats of a diverse nature. Based on the analysis and systematization of statistical data of the author’s approach, the factors of threats to the economic security of the country are analyzed, which include the level of GDP growth, tax revenues to budgets of different levels, dynamics of public debt, competitiveness, sustainable economic development, and harmonious interaction at the international level of the business environment.

Efficiency of Ukraine’s monetary policy in the context of achieving monetary security

2021 ◽  
Vol 92 (1) ◽  
pp. 13-31
Author(s):  
Galina Myskiv ◽  
Nazarii Grygoryshyn ◽  
Olha Levytska-Revutska
Keyword(s):  
Monetary Policy ◽  
Institutional Environment ◽  
Economic Security ◽  
The State ◽  
Present Stage ◽  
Effectiveness Of Monetary Policy

The article explores the effectiveness of monetary policy by identifying its main criteria and analyzing indicators of monetary security. The authors draw conclusions about the state of monetary policy and its impact on Ukraine’s economic security. The analysis indicates that the country’s monetary policy is sufficiently effective to achieve the monetary goals and guarantee economic security. Four groups of monetary threats to economic security were identified, related to monetary policy, banking, investment and institutional environment, which were rated on a scale from 0 to 5 for 2010, 2015 and 2020. At the beginning of 2020 Ukraine’s economic security was mainly threatened by excessive dollarization of the economy and a small share of long-term loans in all total loans granted by banks. The authors argue that effective monetary policy at the present stage should focus on stabilizing, modernizing and restructuring the industry.

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