Conceptual Basis of Tax Policy Formation in the Globalization Conditions

Abstract

The purpose of the article is to analyze the tax systems of the countries of the European Union and Ukraine, the impact of individual indicators of the tax system on the economies development, study the possibility of applying the accumulated experience. The subject-matter of the study is the methodological and conceptual foundations of the tax policy-making process of the EU and Ukraine. Methodology. Based on the analyzed scientific literature on tax policy formulation of countries, the methodological principles of this study provide for the joint application of a set of well-known general scientific and special methods of research in economics. In particular, the dialectical method, the method of scientific abstraction, the method of systematic analysis, economic and mathematical modeling were used. Results. The article analyzes the individual indicators of the tax system functioning of 28 countries of the European Union and Ukraine; and the impact of these indicators on the economy development. In particular, the following indicators were studied: customs and other import duties, firms expected to give gifts in meetings with tax officials; firms that do not report all sales for tax purposes; firms visited or required meetings with tax officials; labor tax and contributions; net taxes on products; other taxes; other taxes payable by businesses; profit tax; tax payments; tax revenue; taxes on exports; taxes on goods and services; taxes on income, profits and capital gains; taxes on income, profits and capital gains; taxes on international trade; time to prepare and pay taxes; total tax rate. The dependence of foreign direct investment on profit tax, tax revenue; taxes on income, profits and capital gains; time to prepare and pay taxes and total tax rate have been studied. The study shows that, on average, tax revenue affects foreign direct investment, net inflows with the same strength as time to prepare and pay taxes, but almost twice as much as taxes on income, profits and capital gains. Practical implications. The article contains a set of tools and rules for reviewing approaches, guidelines and criteria for the effectiveness of Ukraine's tax policy in line with the global development concept. Value / originality. The conceptual criteria for the formation and implementation of the tax policy of the state are determined, it is carried out the comparative analysis of the tax policy of Ukraine and the EU countries within the framework of the European economic integration, which occurs simultaneously with the globalization of the world economy.

Socio-economic and management concepts

“…Although a large enterprise may not care too much about its cash flow, many small businesses choose to report on a regular basis on a quarterly or even monthly basis. By doing so, 345 they will be able to predict with much greater accuracy how healthy their cash flow will be in the future [378].…”

The Impact Factors of Gini Coefficient: Taking the US as an Example

“…Academics have extensively delved into the investigation of elements that shape the Gini coefficient. Certain inquiries have centered around the effects of macroeconomic indicators on the Gini coefficient, encompassing aspects like economic advancement [1], distribution of wealth [2], and policy formulation [3]. Conversely, additional research has scrutinized micro-level determinants, for instance, education [4], health statuses [5], and the impacts of family arrangements [4] on the Gini coefficient.…”

“…Apart from considering economic expansion and governmental strategies, contemporary investigations have directed their attention towards alternative variables that might affect the Gini coefficient. To illustrate, the work of Bourguignon and Morrison in 2002 unveiled that both globalization and technological advancement wield substantial influence over income inequality [3]. Furthermore, certain inquiries have delved into the impact of social and cultural components on the Gini coefficient.…”

“…Furthermore, certain inquiries have delved into the impact of social and cultural components on the Gini coefficient. A prime example is the findings of Alesina and Rodrik back in 1994, when they unearthed a noteworthy correlation between the diversity in societal racial and religious aspects and alterations in the Gini coefficient [3].…”

Entrepreneurship development management in the context of economic security

“…Khalatur (2017) considers the state of agriculture in Ukraine and argues that the main reserves of agricultural development in Ukraine are government regulation, assessment of the attractiveness of the investment climate, the use of modern mechanisms of economic stimulation of production. Khalatur, Trokhymets & Karamushka (2020) analyzed the tax systems of the European Union and Ukraine, the impact of certain indicators of the tax system on economic development. The study of Khalatur, Khaminich, Dubovych, Budko & Karamushka (2020) showed that a multilevel system of investment decision-making is necessary to identify and form a positive synergy effect from the combination and interaction of assets and funding sources.…”