№ 1/2019

Fìnansi Ukr. 2019 (1): 50–67https://doi.org/10.33763/finukr2019.01.050

TAX POLICY

YUSHKO Serhii ¹

¹Simon Kuznets Kharkiv National University of Economics
OrcID ID : https://orcid.org/0000-0001-6323-7687

Taxation of entrepreneurs: Ukrainian practice

The article is devoted to the research of modern practice of taxation of entrepreneurs in Ukraine. The conditions of application of the general and simplified taxation systems are considered in detail. There are calculated obligatory payments of entrepreneurs in each of the groups of single tax payers and the general system of taxation. The advantages and disadvantages of taxation of entrepreneurs in the lower (by number) group of single tax payers relative to the higher (by number) group against the general system of taxation are determined. It is demonstrated that the level of tax burden on single tax payers can be quite substantial (for persons with low incomes it can exceed 23.5, 36 and 24.7% of the income of single tax payers of the first, second and third groups respectively), and moderate or quite acceptable: the maximum 3.9, 1.2 and 5.2% of the income of single tax payers of the first, second and third groups respectively. It is noted that the simplified taxation system was in some cases involved in the schemes of minimizing taxes and compulsory payments, which pushed legislators to return to the question of its cancellation or restriction of its application terms. The author notes the futility of such a decision and gives recommendations on adjusting the conditions of application of the simplified system. The main shortcomings of the general system of taxation are emphasized (incorrect approach to the definition of the object of taxation, the requirement to pay tax from incomes for lossy months, a prohibition of transfer of losses for the next calendar year, etc.). The liquidation of such disadvantages will make the simplified system really attractive for practical application and encourage more persons to join it.

Keywords:taxation of entrepreneurs, general taxation system, simplified taxation system, single tax, tax burden, net taxable income, single contribution to compulsory state social insurance

JEL: H20, H24

YUSHKO S. . Taxation of entrepreneurs: Ukrainian practice / S. YUSHKO // Фінанси України. - 2019. - № 1. - C. 50-67.

Article original in Ukrainian (pp. 50 - 67)

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