PROBLEMS AND DISADVANTAGES OF DIRECT AND INDIRECT TAXATION IN THE STATE

Abstract

The relevance of the research is that direct and indirect taxation is an important means of influencing the economy, and its reform will increase the efficiency of the national economy, increase stable revenues to the country's budget, and improve conditions for doing business and attracting investors.The purpose of writing a scientific article is to substantiate the need for theoretical and methodological research on the effectiveness of direct and indirect taxation in the country, to develop recommendations for possible ways to further improve the system of direct and indirect taxation in transformational transformations.In the conditions of transformational changes in the state economy, taxes are the main lever of macroeconomic regulation, which affects not only the interests of the state, but also taxpayers.In general, according to the form of taxation, all taxes are divided into two groups, namely direct and indirect. Direct taxes are imposed directly on the object of taxation, and their amount depends on its scale. They form the basis of the tax system of the state.Consider in more detail the main types of indirect taxes: VAT, excise duty and duties.VAT is a form of excise duty that preserves the advantages of a multilevel sales tax over the taxation of all stages of movement of goods, but at the same time eliminates its main drawback – the cumulative effect.The second in importance and amount of revenues to the Consolidated Budget of Ukraine is the excise tax, the collection of which is regulated by Chapter VI of the TCU [5] and which is an indirect national tax on consumption of certain types of goods defined by the TCU as excisable. The next indirect tax is a duty – a type of customs duty levied on goods moving across the customs border of Ukraine, i.e. import, export or transit, and which is included in the price of goods and paid by the final consumer. The procedure for its collection is regulated by the Customs Code of Ukraine.Describing the significant achievements of leading scientists and economists, as well as legislative initiatives of the current government, it is possible to propose basic measures to reduce the tax burden on society.In our opinion, taking into account the experience of foreign countries, we can offer the following ways to improve the system of direct taxation: - introduction into domestic practice of generally accepted in international practice methods of calculating and optimizing tax differences in accordance with the corporate income tax;- systematic improvement of the tax environment (it is necessary to create an environment conducive to the intensification of business activities, to ensure equality of all payers before the current system of legislation);- gradual reduction of the tax burden on the national economy, taking into account the balance of the budget system.