EXCISE TAXATION ON STRONG ALCOHOLIC DRINKS
Abstract
Ukrainian social and economic challenges require finding additional tax and non-tax sources of funding for public needs. In 2022, changes were made to the tax system, including the indexation of rates of excise tax on alcoholic drinks and fuel, rates of environmental tax. rates of rent to provide additional revenues to the budget. The purpose of the article is to study the peculiarities of the fiscal and regulatory effect of the excise tax in terms of taxation on alcoholic drinks. The partial loss of the fiscal effect of excise taxation on alcoholic drinks due to the refusal to increase (indexation) of excise tax rates in terms of taxation on alcoholic drinks in 2018-2021 was determined. Revenues from the excise tax on alcoholic drinks provided 1.7% of tax revenues of the Ukrainian state budget in 2015-2016, followed by a decrease to 1.4% in 2017, 1.3% in 2018-2020. Regression multifactor models of excise tax revenues from taxation of wine products and alcoholic drinks have been built. The priority of the influence of the dynamics of excise tax rates for wine and the priority of the influence of the dynamics of consumption volumes for alcoholic drinks was determined. The regulatory effect of excise taxation was assessed using a correlation analysis of excise tax rates and socio-economic indicators of alcohol consumption. These are the retail turnover of alcoholic drinks, the cost of alcoholic drinks in the total expenditure of households, the number of accidents and their consequences when driving while intoxicated, the number of accidents and their consequences when a pedestrian is intoxicated, the prevalence of mental disorders and behavior due to alcoholism. It is concluded that the indexation of excise tax rates in terms of taxation of alcoholic drinks in 2022 should potentially result in an increase excise tax revenues to the state budget. Indexation of excise tax rates on alcohol taxation should potentially strengthen the regulatory effect by further reducing the number of accidents due to drunk drivers and drunk pedestrians. The priority areas for implementing the regulatory effect of the excise tax in terms of taxation of alcoholic drinks are the reduction of alcohol consumption and the share of alcohol costs in total household expenditures.
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