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FISCAL POLICY AS AN INSTRUMENT OF THE STATE ECONOMY
REGULATION Manzhula T.Yu. (Donetsk People's Republic) Email: Manzhula577@scientifictext.ru
Manzhula Tatyana Yuryevna - Senior Teacher, DEPARTMENT OF FINANCE, STATE ORGANIZATION OF HIGHER PROFESSIONAL EDUCATION DONETSK NATIONAL UNIVERSITY ECONOMY AND TRADE NAMED AFTER MIKHAIL TUGAN-BARANOVSKY, DONETSK, DONETSK PEOPLE'S REPUBLIC
Abstract: the article examines the fiscal policy importance in the state economy regulation process. It has been determined that the task of the state budgetary and tax policy is to establish such an optimal level and conditions of taxation, ensuring a balance of interests of the state and payers. However, it has been established that the problem lies in the fact that these interests are dynamic and depend on many factors, therefore the parameters of the tax system that are optimal for certain conditions and at a particular moment in time cease to ensure a balance of interests with a change in the priorities of society development and the goals of the state's economic and social policy. The problems of budget and tax regulation at the present stage of society development are considered, ways of the budget implementation increasing efficiency and tax regulation are proposed.
Keywords: economy regulation, tax revenues, budget state, taxpayers, sustainable development.
БЮДЖЕТНО-НАЛОГОВАЯ ПОЛИТИКА КАК ИНСТРУМЕНТ ГОСУДАРСТВЕННОГО РЕГУЛИРОВАНИЯ ЭКОНОМИКИ Манжула Т.Ю. (Донецкая Народная Республика)
Манжула Татьяна Юрьевна - старший преподаватель, кафедра финансов, Государственная организация высшего профессионального образования Донецкий национальный университет экономики и торговли им. Михаила Туган-Барановского, г. Донецк, Донецкая Народная Республика
Аннотация: в статье исследовано значение бюджетно-налоговой политики в процессе государственного регулирования экономики.
Определено, что задачей государственной бюджетно-налоговой политики является установление оптимального уровня и условий налогообложения, обеспечивающих баланс интересов государства и плательщиков. Однако установлено, что проблема заключается в том, что интересы эти динамические и зависят от множества факторов, поэтому оптимальные для определенных условий и в конкретный момент времени параметры налоговой системы перестают обеспечивать баланс интересов с изменением приоритетов развития общества и целей экономической и социальной политики государства. Рассмотрены проблемы бюджетно-налогового регулирования на современном этапе развития общества, предложены пути повышения эффективности реализации бюджетно-налогового регулирования.
Ключевые слова: регулирование экономики, налоговые поступления, бюджет государство, налогоплательщики, устойчивое развитие.
The society development history has shown that the effective market economy functioning, despite its inherent self-organization and self-regulation, is impossible without state economic and social processes regulation at the level of society, regions and business entities.
State economy regulation should be understood as «a standard measures system of a legislative, executive and supervisory nature carried out by competent state institutions and public organizations in order to stabilize and adapt the existing socio-economic system to changing conditions» [2].
In other words, the economy state regulation is the state's influence on the economic processes course by adjusting them in accordance with the set goals of socio-economic development in the society interests. The state regulation system carries out, on the one hand, the certain rules development and establishment, which observance is mandatory for all economic entities, and on the other - these entities responsibility for compliance with the established rules.
Budget and tax regulation is understood as the purposeful state impact on participants in economic relations through the budget funds, tools and tax policy use. It is with the budget and tax policy help that the state not only forms financing sources socially necessary expenditures, implementing the fiscal taxes function, but also ensures the creation of the necessary prerequisites for the national economy structural adjustment and its growth. The taxation use as one of the most important state's economic policy levers is based on the regulatory function inherent in taxes and the taxation system as a whole [1].
In the taxation field, the state and regions interests overlap with the payers interests: business entities and citizens. In a simplified form, the tax regulation influence mechanism on the state and payers interests balance can be presented in this form. Given the taxes fiscal function priority, the state is interested in increasing the taxes and fees total amount that go to the budgets of all levels and state trust funds. However, an excessive increase in the tax burden (priority of the state's interests) deprives an incentive taxpayers to develop and expand the activities scope, leads to such negative consequences as the suppression of entrepreneurial initiative and stagnation, tax evasion and the shadow economy development.
Thus, the state budget and tax policy task is to establish such an optimal level and conditions of taxation that ensure the state and payers' interests balance. The problem is that these interests are dynamic and depend on many factors, so the tax system optimal parameters for certain conditions and at a particular time cease to provide an interests balance with changes in the society's development priorities and the state's economic and social policy goals [3].
In terms of scale, it is necessary to distinguish between economic processes tax regulation at the macro and micro levels.
The most important tasks solved with the budget and tax regulation help at the macro level include:
- regulation of supply and demand. This problem's solution is provided by changing the direct and indirect taxes ratio, restraining the demand for certain software products groups through the special taxes and fees introduction;
- rational relationship formation between accumulation and consumption. A reduction in tax pressure usually leads to a savings faster growth;
- influence on the inflationary processes rate. On the one hand, taxes are considered as a removing excess money supply means, and on the other hand, changes in the indirect taxes rates affect the price level. High taxes are accompanied by a twofold inflation factor: a) due to the reduction (going into the shadow) of the tax base and an increase in the budget deficit; b) due to the entrepreneurs desire to compensate for tax exemptions with additional income from rising prices. At the same time, an increase in the tax burden on citizens' incomes constrains effective demand, which can to some extent counteract the increase in prices by producers;
- rational industry structure formation. The industry tax incentives introduction, as well as special industry tax regimes, leads to a reduction in tax exemptions for enterprises operating in these industries, provides an increase in profitability and an increase in the industries investment attractiveness on this basis, and, ultimately, their accelerated development;
- stimulating investment processes. This tax regulation area has become particularly popular in the most developed countries tax systems and affects all taxpayers' interests. The most typical instruments that are used for tax incentives for investment activities are: tax investment credit (in the form of deferred or tax liabilities installment payment for the relevant project implementation
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period); special mechanisms for taxing dividends; the accelerated depreciation use; special tax regimes introduction (within special economic priority development zones and territories), etc.;
- support for innovation activities. This tax regulation area has also gained popularity in the most developed countries tax systems and concerns not only innovative enterprises interests, but also all taxpayers. Tax instruments similar to those used to create a favorable investment climate are used to stimulate innovation activity. Specific tax policy means aimed at accelerating innovation processes in the country include direct benefits to innovative enterprises, as well as special taxation regimes for innovative projects in techno parks;
- depressed regions accelerated development. This problem's solution is carried out at the expense of such tax regulation means as the special taxation regimes introduction for individual territories, as well as the regional tax policy implementation by local self-government bodies (whose competence includes not only the most local taxes and fees introduction and abolition, but also the benefits provision for national taxes and fees received by local budgets).
The tax regulation implementation at the micro level is manifested through a change in the tax burden on specific payers who meet the established criteria:
- ensuring the interest in the population entrepreneurial initiative development. Among the measures in this direction in the domestic and foreign taxation practice, such as the established business entities exemption from taxation for a certain period (the so-called tax holidays), the simplified tax system introduction, etc. deserves attention;
- increasing the activities volume and developing a competitive environment. The most radical influencing economic entities means in this direction was the single tax introduction on individuals - small businesses, tax liabilities for which are not related to the amount of revenue from the products (goods, works, services) sale;
- rational resources use promotion. In a certain sense, such national taxes and fees actual introduction as land fees, fees for environmental pollution and other taxes and fees is aimed at solving this problem. In addition, the taxation practice in European countries indicates the expediency of using special tax instruments for this purpose, aimed at introducing environmentally safe equipment, technology, stimulating the production of environmental products, etc.;
- ensuring the enterprises economic interest in innovative development. This task is solved by stimulating: improving the enterprises' employees educational level (attribution to gross expenditures for professional personnel training and retraining, which reduces the tax burden on profit tax); development of scientific and scientific and technical business entities activities (research costs are also allowed to be included in gross expenditures) targeted benefits introduction for innovative projects, etc.;
- curbing the goods production growth in which the state is not interested in increasing consumption. The most typical example in this regard is the excise duty introduction, which increases the excisable goods final price, and this negatively affects its consumption volume, resulting in increased competition and a corresponding restriction on such goods production.
The state should guarantee the taxation basic principles stability, and their operation mechanisms and rules should be fixed in a single document (Law, Code, etc.).
Conclusions. The budget and tax system current state study shows that today there are still unresolved reorientation issues of the current budget and tax system to stimulate the country socioeconomic development processes, and the tax system shortcomings have led to systemic problems. The budget and tax system should be reformed in such a way that it becomes an effective tool for improving the state competitiveness and contributing to the economy development. The main tax system reforming task is to reduce the tax burden on the economy. However, a reduction in the tax rates and the General taxation level (tax gain) may not lead to the expected increase in investment and economic growth, however, tax reductions will boost enterprises investment opportunities.
In addition, if the tax rates reduction is accompanied by an increase in the budget deficit and inflation, this will negatively affect the business entities investment activity.
A more promising strategy is to gradually reduce the tax burden by eliminating inefficient (costly) taxes and fees, increasing the taxes fiscal efficiency by expanding the tax base, providing benefits to business entities that develop and implement innovations and produce innovative
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products, improving administration, reducing the tax evasion scale, budget revenues formation at all levels on the balanced budget policy basis for the medium term and the tax revenues direction in the areas on which long-term economic growth depends.
Thus, the budget and tax regulation implementation is connected with the state, regions and taxpayers interests' interaction system. These interests are multidirectional, so the balanced budget and tax regulation use should not significantly disrupt these interests balance, that is, the limitation in the budget and tax regulation process should be ensuring the stability of this system.
References / Список литературы
1. Biryukova N.P. Improving the budget and tax policy tools / N.P. Biryukova // Education and science without borders: fundamental and applied research, 2017. № 6. Pp. 67-72.
2. Klimenko A.I. State economy regulation as one of ensuring its stability conditions // PSU news named after V.G. Belinsky, 2011. № 24. [Electronic Resource]. URL: https://cyberleninka.ru/article/n/gosudarstvennoe-regulirovanieekonomiki-kak-odno-iz-usloviy-obespecheniya-ee-stabilnosti-1/ (date of access: 13.01.2021).
3. Tax regulation: goals, objectives, classification [Electronic resource]. URL: https://articlekz.com/article/14062/ (date of access: 13.01.2021).
