FISCAL METHODS TO SUPPORT ECONOMIC ACTIVITY FOR THE PERIOD OF MILITARY STATE

Abstract

The article discusses the fiscal methods of state support for economic activity under martial law. Separate levers of regulation of incomes and expenses are analyzed and the problems of budget support are defined. The state, dynamics and trends in the development of fiscal instruments of Ukraine in 2014-2022 are considered. The "packages" of the tax reform of the period of martial law are analyzed. The dynamics of tax revenues for August 2022 is traced. It is determined that revenues are uneven, in contrast to 2014, when their share was 78.43% of budget revenues, in 2021 it increased to 85.41% and in six months 2022 decreased to 58.54%. Personal income tax in January 2022 was 9% higher than the same period in 2021, reaching UAH 91 billion by August. Income tax with a 6% increase in January 2022 compared to January 2021 decreased by 18.3% in August 2022, reaching UAH 87 billion. The dynamics of functional expenses of the State Budget of Ukraine in 2014-2022 is considered. decreased from 8% to 2.51%. The structure of State budget revenues for the 2nd quarter of 2022 consisted of 73.61% tax revenues, 16.35% non-tax revenues, 0.16% capital income, 9.84% EU support. Dynamics of individual financial macro indicators of Ukraine for 2014-2022 shows a significant downward trend, primarily due to a decrease in the level of GDP by 37.2% over the 2nd quarter of 2022. Problems that impede the effective use of fiscal methods to support economic activity in Ukraine have been identified. The measures that need to be implemented to improve the efficiency of fiscal methods are proposed: analysis of the structure of budget revenues, trends in tax revenues, the dynamics of individual financial macro indicators and their interpretation to determine tactics and strategies for financial support of the economy during martial law in Ukraine.