Agrarian Economy 2024 Т. 17 № 1: 129-137
PROSPECTS FOR STRENGTHENING THE STATE FISCAL CAPACITY UNDER MARTIAL LAW
ORCID ID: 0000-0002-2198-9423
Lviv National Environmental University
https://doi.org/10.31734/agrarecon2024.01.129
ANNOTATION
The article discusses the issue of financing the consolidated budget in Ukraine, considering the increasing deficit of the state budget. It identifies crucial priorities for mitigating the adverse effects of the budget shortfall in 2024 and enhancing fiscal resilience in the long term by closely monitoring the government's financial initiatives. Government officials and lawmakers are actively searching for additional sources of budget funding at all levels. In 2023, the Cabinet of Ministers of Ukraine sanctioned the National Revenue Strategy of Ukraine for 2024-2030, which was required by international financial institutions to continue preferential lending during the state of war. mandated by international financial bodies to sustain concessional lending amidst ongoing hostilities. To address the budget deficit, tangible measures to bolster the state's revenue generation include soliciting domestic loans from residents, direct borrowings from the National Bank of Ukraine, utilization of frozen assets belonging to Russia, and broadening the existing tax base. The article analyzes two pivotal tax payments - personal income tax and tax on immovable property other than land - and identifies options for expanding the tax base to improve the fiscal efficiency of the tax system. The paper also summarizes the experience of modernizing the administration of these taxes in developed countries and highlights the perspectives and possible consequences of fiscal innovations. In pursuit of tax equity, the article advocates for a nuanced approach to structuring tax burdens and advocates for transitioning from a flat to a progressive tax system to foster social justice. Implementing such measures could help alleviate the strain on low-income earners while ensuring a fair distribution of fiscal responsibilities across income brackets. This shift toward progressive taxation aligns with international trends aimed at reducing income inequality and fostering economic inclusivity.
KEYWORDS
taxes, fiscal capacity, personal income tax, tax on immovable property other than land, tax agent
FULL TEXT
LINK
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