TAXATION AS A TOOL FOR REGULATING THE AGRICULTURAL LAND MARKET

Abstract

The article examines taxation as a key instrument of state regulation of the agricultural land market in Ukraine, emphasizing its growing relevance in the context of land reform, decentralization, and large-scale military aggression. The aim of the study is to analyze the role of fiscal mechanisms in shaping the functioning of the land market, assessing their influence on land valuation, investment attractiveness, transparency of transactions, and financial stability of local communities. The relevance of the research is explained by the urgent need to adapt tax policy to new economic and security conditions, ensure fair distribution of tax burden, and prevent market distortions. Methodologically, the study applies system and comparative analysis, statistical methods, normative evaluation of land plots, as well as logical generalization and structural-functional approach to identify positive and negative effects of fiscal regulation. Empirical data on normative and market land valuation across Ukrainian regions, legislative provisions of the Tax Code, and budget revenues of local communities form the informational basis of the research. The results demonstrate that the current system of land taxation performs both fiscal and regulatory functions but generates significant imbalances. The gap between normative monetary valuation and real market prices contributes to shadow transactions, reduces budget revenues, and creates unequal conditions for market participants. War-related factors such as occupation, destruction of infrastructure, limited access to cadastre, and depopulation worsen the accuracy of land accounting and fairness of taxation. At the same time, digital reforms and tax exemptions for farmers in frontline territories are identified as supportive instruments mitigating risks of financial collapse. The study concludes that taxation should combine stability of revenues with flexibility to regional conditions and economic risks. Practical value of the article lies in its recommendations for improving land tax policy: balancing fiscal interests of the state and local communities with sustainability of agribusiness, enhancing digital land registration, and aligning taxation with real market dynamics, which can ensure transparency, investment appeal, and resilience of the agricultural sector in the post-war recovery period.