Management priorities of tax reform in Ukraine: implementation of international experience

Abstract

The paper proves that the Ukrainian economy’s systematic structural crises stipulated the necessity of choosing the effective forms of tax mechanism for its regulation. Systemic and institutional methods have been used to study the peculiarities of Ukrainian tax regulation. The methods of coefficient and relative values have been used to assess certain parameters of the tax burden. The dynamics of statistical data have been studied by the method of trend analysis. To determine the impact of the current tax system of Ukraine on economic growth, the authors tested several hypotheses about the dependence of the tax system and: GDP (1), industrial production (2), exports (3), investment dynamics (4), and unemployment rate (5) using econometric analysis with the package-statistical module EViews. The existence of a directly proportional relationship between the growth of tax revenues to the budget of Ukraine and the change of certain macroeconomic indicators is substantiated. It was found that the total tax burden on business in Ukraine reaches 41.5% of corporate profits, which exceeds similar indicators in most European countries. A tax regulation mechanism to stabilize the Ukrainian economy is proposed, in particular: proposals to revise tax rates, implement macroeconomic risk management tools, customs post-audit while providing transparency of tax legislation and its harmonization with the EU Customs Code, digitalization of the service component of tax administration.