Taxes and payments paid by individuals, the impact on their financial situation

In accordance with the current tax legislation, on an equal footing with organisations and individual entrepreneurs, individuals who do not have income from business pay taxes on income from labor activities in organisations and taxes on property they own: transport, land, and personal property tax, as well as other non-tax payments (housing and communal services, etc.). The article analyses the role and importance of taxes paid by individuals in the budgets of various levels, non-tax mandatory payments, their impact on the financial situation of individuals. The relevance of the study is due to the fact that the payment of taxes and mandatory payments worsen the financial situation of taxpayers – individuals, and the fight against poverty has been declared a priority task of the state and local authorities. The study found that individuals, including non-working pensioners, bear a significant financial burden, which is caused, among other things, by the inability to shift the responsibility for paying taxes to someone, and therefore the number of people whose incomes are less than the subsistence level does not decrease, differentiation of the population does not decrease in terms of income. Recommendations on compensatory instruments to increase the income of the population are made

Territories development tax incentives

Nowadays, the regions of the Russian Federation are developing extremely unevenly. The fiscal mechanism and its major part – the tax incentives for economic entities activities, operating in regions and municipalities, play a special role in the successful territories’ development provision. The importance and relevance of the territories tax incentives is due to the necessity to solve the set tasks for the regional economy sustainable development, identify and effectively implement the tax potential in the territories, and it is complicated by the fact that, according to Rosstat, ¼ of the country’s population, living in municipalities and rural settlements, according to established practice, experiencing more financial difficulties than the rest of the population. The existing fiscal mechanism does not create incentives for the successful regional development, especially municipalities, which ultimately does not ensure the country’s successful economic development as a whole. It is impossible to change the situation without creating an effective taxation mechanism

The Russian Federation subjects budgets as a financial basis for their economic security

Ensuring the stability of economic security is impossible without a sustainable budget and tax system. In this regard, the tax system, being at the same time a factor of financial security, must contribute to ensuring such economic development that creates the necessary financial resources for socio-economic development of each region, the conditions for successful counteraction to internal and external threats. The relevance and importance of regional and national economic security has increased recently due to the unfavourable political and economic environment: the imposition of economic sanctions on Russia by the West due to the events in Ukraine. This leads to a decline in production, a decrease in budget revenues. The announced embargo on oil and gas imports from Russia will directly affect the economy of export-oriented regions engaged in oil and gas production, and indirectly on the budgets of other regions due to the reduction of interbudgetary transfers from the federal budget due to the reduction in oil and gas revenues in the federal budget. Under these conditions, the issue of increasing budget revenues through changes in the tax and budget mechanism is of paramount importance

REGIONS OF RUSSIA IN THE CORONAVIRUS PANDEMIC

The relevance of the study is due to the fact that the solution of the tasks facing the country is impossible without strengthening the role of the regions. Russia is characterized by deep differentiation of regions in terms of development level, which is due to the influence of natural and climatic conditions, uneven distribution of minerals, labor resources, external factors, etc. To these mentioned factors, another one was added – coronavirus. The purpose and objectives of the study are to determine the role and place of regions in their socio-economic  situation, assessing them using the indicators used by the rating agency RIA Rating, taking into account modern challenges. The practical significance of the study is as follows. The concentration of competitive advantages in some regions and their lack in others, which depend on the population`s incomes, exacerbate social inequality. At  the present stage of development, taking into account the changed economic situation in the world, the issues of  economic security of the regions are of particular importance. The article provides ratings of Federal districts,  regions by the level of their socio-economic situation for 2019 in comparison with 2018, for the 1st quarter, 9 months of 2020 in a pandemic

Fiscal function of taxes, its impact on budget revenues at various levels

Currently, in economics there is no single, well-established point of view on the number of functions performed by the tax. At the same time, all researchers are unanimous in their opinion that the main function is the fiscal function, according to which the revenue base of budgets of all levels is formed at the expense of taxes. All other functions: stimulating, regulating, etc. are closely related to the fiscal function. This function of taxes is used by the state in the development of tax policy at a particular stage of economic development. Based on official data, the article examines the impact of the fiscal function of taxes on the formation of budgets of the Russian Federation budget system for the period from 2006 to 2021. The author found that the state is currently pursuing a policy of fiscal federalism, which creates an imbalance in the revenue and expenditure parts of regional and local budgets

Abolishment of a tax on imputed income: consequences for business and budget

The article purpose is to investigate changes of taxpayers in the simplified and patent taxation system, in the structure of tax revenues of regional and local budgets, in the tax burden on taxpayers that occurred in connection with the abolition of tax on imputed income (from 2021). The research used generally accepted methods of scientific cognition, such as analysis, synthesis, generalization, grouping, tabular method. The information base of the study was the Tax Code of the Russian Federation, official reporting data of the Federal Tax Service of Russian Federation, authors’ publications on the topic under study. The study obtained the following results. The tax revenues of local budgets decreased, having lost the source of income in the form of tax on imputed income, previously credited in full; the tax burden on taxpayers increased (when tax on imputed income was applied, it was minimal). The main conclusion of the study is the fact that the patent taxation system, which can be applied by entrepreneurs who have ceased to be payers of tax on imputed income, needs a radical transformation. It is necessary to improve the efficiency of such system in terms of determining the amount of income from which the cost of a patent is calculated

INTERIM MEASURES UNDER PARAGRAPH 10 OF ART. 101 OF THE TAX CODE OF THE RUSSIAN FEDERATION: APPLICATION PRACTICE

The purpose of tax audits is to verify that the taxpayer complies with the norms of tax legislation. As a rule, in conditions of instability, constantly changing tax legislation, taxpayers violate the norms of the Tax Code of the Russian Federation. In this regard, as a rule, each tax audit ends with additional charges to the taxpayer of taxes, penalties and penalties, which negatively affect their financial position. At the same time, according to the Federal Tax Service of Russia, with a sharp reduction in the number of ongoing on-site tax audits, the amount of additional charges for one on-site audit increases сonstantly: in 2016 – 13.6 million rubles, in 2017 – 15.7 million rubles, 2018 – 22.2 million rubles, 2019 – 33.5 million rubles. The tax authority, by charging additional taxes and penalties to the taxpayer, is interested in collecting them. The current Tax Code of the Russian Federation makes it possible to enforce the decision by taking measures in accordance with paragraph 10 of Art. 101 of the Tax Code of the Russian Federation, the application of which in practice raises many issues. The article considers the practice of applying interim measures

Functions of the VAT, actual problems of administration

Value added tax (hereinafter – VAT), like other taxes, has certain functions, among which regulatory, incentive, fiscal functions are distinguished. Being an indirect tax assigned to one budget, VAT occupies a significant place in the tax revenues of the federal budget. The degree of performance of certain functions, including fiscal, depends on the level of tax administration of this tax. At the same time, the functions performed by the tax are closely interconnected: strengthening the stimulating function of the tax weakens the fiscal function and vice versa. The relevance of the research topic is due to the importance of VAT in the country’s budget system. The article analyzes the dynamics of tax revenues in general, including VAT, in comparison with the dynamics of Gross domestic product (GDP). the methods used in tax administration, including those not provided for by tax legislation are investigated. Taking into account world experience, measures are proposed to improve the tax calculation mechanism. The purpose of the study is to examine the impact of tax functions, tax administration on budget revenues

Budgetary and tax policy at the present stage and its role in forming budgets of different levels

Budgetary and tax policy is designed to ensure sustainable development of the Russian economy on the basis of modernization, to improve the living standards of the population by reducing social inequality, and to adapt the budget system to modern realities. The sanctions imposed by the European Union and the United States of America against Russia affect not only the production sphere, but also economy as a whole. The decline in oil prices, ruble devaluation, and outflow of foreign capital eventually lead to budget deficit. In these conditions, budgetary and tax policy remains one of the most important instruments of the economic policy pursued by the state. Increasing tax system efficiency becomes a priority. The objectives of the study include establishing budgetary and tax system effectiveness in forming budget revenues of different levels, including administrative centers (capitals of republics, regional centers). The article uses analysis and synthesis, generalization, grouping, dynamics, comparison, tabular method, and data of the Federal State Statistics Service, the Ministry of Finance of the Russian Federation, and the Federal Tax Service of the Russian Federation. It has been established that the existing budget and tax policy does not provide regional and local budgets with necessary financial resources as they are dominated by inter-budget transfers that cover only their deficit and do not ensure economic growth. All this predetermines the need to redistribute tax revenues in favor of regional and local budgets that will weaken the share of inter-budget transfers in these budgets