Simplification of the tax administration procedure and the expediency of application in Ukraine
Abstract. Results of the research were obtained by applying the methods of abstraction – to define the essence of tax administration, comparison – to identify advantages and drawbacks of the current procedure of tax administration, generalization and idealization – to determine an optimal component of the effective procedure of tax administration.
The research confirms the necessity to apply a procedure of tax administration that is different from the current one. The authors substantiate the dependence between the impact of the fiscal and political factors on the tax reform implementation in terms of its procedural assistance. The work presents analysis of the evolution of changes of some tax legislation norms to simplify the procedure of administration on the example of the personal income tax and property tax other than land. The research specifies a set of stagnating elements of the procedure of tax administration, which should be eliminated or crucially changed to achieve the maximum fiscal budget effect and to reach the adequate level of the tax discipline of tax-payers. The article suggests a clear and comprehensive order of actions to fulfill the optimal and easy procedure of tax administration by all subjects of tax legislation.
Reorientation of the current procedure of tax administration to its simplified version is suggested as a creative and rational solution of the problem of mutual confidence and respect between the tax legislation subjects, minimization of budget expenditures of the fiscal apparatus and reduction of the tax-payers’ time for tax administration.
The proposed elements of the procedure simplification will cut down the time for tax administration both for the fiscal authority staff and for tax payers. It will also considerably save the budget and commercial costs. The simplification of the tax administration procedure will improve the confidence of population and small business to the fiscal bodies of the state.
Key words: tax administration, tax burden, budget, tax discipline, personal income tax, property tax.