Tax Policy and the Priorities for its Implementation.

Abstract

The current tax system of Ukraine does not allow to forecast all possible tax revenue in the budget to a sufficient degree, and possess quite a lot of mechanisms for taxpayers to avoid the obligation to carry any tax expenses. In case of improving the tax system, it is necessary to generalize the applied tax system principles in the tax theory and to define their essential characteristics in order to understand their sufficiency for the normal functioning of the taxation system or eliminate redundancy, which obstructs to the tax improvement. It is important to take the following measures in order to stabilize the financial system in the tax policy priorities: to create the new tools for protection of the consumers’ rights as well as the investors’ ones from the financial sector; to form an effective system of investments (deposits) insurance; to construct the structure for resolving of the economic and legal problems of the specific financial institutions in case of financial crisis, as well as providing emergency funding to support the liquidity, if necessary; to evaluate the effectiveness of the fiscal instruments’ system with the application of the budgetary and taxation multiplier; to put into practice the monitoring system of risks, which is transparent for both the market participants and the investors.