Tax policy: scientific and regulatory approaches to the definition and its implementation

Abstract

The article is devoted to the study of tax policy, its implementation and definition. The research contains an analysis of key concepts of tax policy of the state. The bodies of state power that carry out its implementation are considered. It is established that the concept of tax policy is quite debatable, because there is no single view on the definition of its content. Attention is focused on the inadequacy of the normative definition of tax policy contained in the current legislation of Ukraine.

It is established that tax policy is part of public policy and has an undeniable impact on many spheres of public life – economic, political, social, cultural and so on. Activities related to the implementation of tax policy are carried out by public authorities in conjunction with budget, currency and customs policies. Attention is drawn to such a feature of tax policy as cyclicality, ie the continuous implementation of certain actions aimed at improving the welfare and efficiency of all public policy.

It is established that the country’s tax policy is a key tool of all public policy, which can negatively or positively affect economic stability. Tax policy concerns both the formulation of the tax system, and the development of strategies that will promote investment, and the creation of an acceptable environment for doing business.

Indicates four approaches to the interpretation of tax policy that have emerged in academia. According to the first, tax policy is considered in a broad sense as a systemic concept, a set of all means and methods of its implementation. The second approach characterizes tax policy as a type of state and, accordingly, the activities of state bodies for its implementation and maintenance. Proponents of the third approach hold the view that tax policy is part of the fiscal policy, and the fourth – that tax policy should be equated with fiscal.

The key features of the implemen-tation of effective tax policy are proposed: initiation of relevant bills; public consultations; income generation and economic impact analysis; promotion of international tax relations; monitoring the impact of changes in tax policy; harmonization of tax policy with other types of public policy.