FISCAL POTENTIAL OF PERSONAL INCOME TAXATION IN THE SYSTEM OF PUBLIC FINANCE
Abstract
A study of modern trends in the development of the personal income tax system in domestic practice has been conducted. A comparative analysis of personal income tax rates in Ukraine and foreign countries was carried out, the results of which showed that Ukraine has a proportional system of citizens' incomes taxation and one of the lowest rates among European countries, at the same time, this tax is the object of numerous shadow schemes and tax evasion attempts. An analysis of personal income tax receipts to the Consolidated Budget of Ukraine was carried out, it was established that during the studied period the dynamics of personal income tax receipts was positive with unchanged tax rates, which is primarily due to the increase in the size of the tax base - the income of the population. It is noted that the fiscal value of the personal income tax in budget resources in 2022, in the conditions of martial law, has significantly increased against the background of the reduction of other main budget-forming taxes. Аn assessment of the income tax structure of individuals was carried out by identifying the most important items of receipts. It was found that wages are the most important source of income and produce an average of 87.7% of the mobilized personal income tax. The fiscal potential of the personal income tax is calculated as the difference between potential and actual tax receipts to the budgets of all levels. The level of realization of the fiscal potential of the personal income tax was assessed by researching the structure of the population's income. It was established that the fiscal potential of the personal income tax in Ukraine is not used to its full extent due to the presence of a simplified taxation system, tax benefits and differentiation of tax rates. It is noted that in the conditions of military operations, unstable economic situation, a significant level of income shadowing, the existence of a large number of tax avoidance and evasion schemes, essential stratification of the population's income level in Ukraine there is an urgent need to change approaches to taxation of citizens' incomes. Recommendations regarding the directions of reforming the personal income tax in order to maximize its fiscal value were formulated.
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