Depreciation Methods Research Articles

Aset Tetap : Pengakuan, Pengukuran, Penyajian dan Pengungkapan

Recognition, Measurement, Presentation and Disclosure of Fixed Assets. This research was conducted at the Wredatama Sumedang City Cooperative which is one of the cooperatives in the Sumedang Regency which is engaged in the savings and loan sector. The purpose of this study was to determine the recognition, measurement, presentation and disclosure of fixed assets in the Wredatama Sumedang City Cooperative. In this study the authors used quantitative methods. Analysis of the data used is descriptive analysis. The data collection techniques carried out were interviews and questionnaires to the Management of the Wredatama Sumedang City Cooperative, observations of fixed assets and documentation of fixed asset.The results showed that the recognition of fixed assets was in accordance with SAK ETAP (Entity Financial Accounting Standards Without Public Accountability). The measurement of fixed assets is not in accordance with SAK ETAP due to an error in calculating the value of accumulated depreciation and no depreciation is carried out for 3 (three) years, in the presentation of fixed assets the accumulated depreciation account is not presented as a deduction from fixed assets and the nominal depreciation presented on the statement of financial position is not in accordance with carrying amount in the detailed list of fixed assets and last on the disclosure not disclosed regarding the depreciation method used and there is no provision for the useful life of fixed assets.

ПРАВОВІ АСПЕКТИ ВИКОРИСТАННЯ ЕКОЛОГІЧНОГО ПОДАТКУ ДЛЯ ВПЛИВУ НА ЕКОЛОГІЗАЦІЮ ГОСПОДАРСЬКОЇ ДІЯЛЬНОСТІ

The article is devoted to the research of the environmental tax as an indirect method of state influence on the activities of economic entities in order to achieve the environmental goals of sustainable development. It is proven that although the Economic Code of Ukraine does not directly provide for environmental policy as a component of state economic policy, the latter must be determined and conducted taking into account the environmental component. It is noted that the legal economic order includes the need for compliance with environmental norms by subjects of economic activity. One of the appropriate indirect methods of state influence for the implementation of sustainable development tasks is an environmental tax. It has two main functions – fiscal and nature protection. It is expedient to ensure a balance between these two functions, which can be achieved only within the framework of the proper economic policy of the state. In modern conditions in Ukraine, the fiscal function of the environmental tax prevails, because the money received from the collection of this tax is directed to other purposes. It is necessary to make changes to the Budget Code of Ukraine, which will establish the purpose of the funds received from the collection of this type of tax exclusively for ecological (nature protection) purposes. In the European Union, environmental or green taxes, which include taxes on energy, transport, pollution and resources, are one of the appropriate methods of influencing the behavior of economic entities to stimulate their fastest transition to a sustainable economy. Proper implementation of the nature protection function by the state within the framework of tax policy can have not only a stimulating nature, but also a restrictive and preventive one. This makes it possible to prevent or significantly reduce the negative impact of economic activity on the natural environment, and not to overcome the consequences of such negative impact. In the European Union, the carbon border adjustment mechanism СВАМ (Carbon Border Adjustment Mechanism) is being introduced, which makes it necessary for Ukraine to stimulate domestic economic entities to significantly reduce the level of CO2 emissions, because otherwise they may lose access to the markets of the European Union from 2025. The tax policy of Ukraine to increase environmental tax rates for environmental pollution is expedient. It is recognized as necessary to raise the level of environmental taxes to the level of rates of similar taxes in the member states of the European Union. One of the expedient economic methods of reducing the transaction costs of an economic entity for the introduction of “green” technologies and equipment is the use of accelerated depreciation of fixed assets for environmental protection purposes, which allows faster (compared to traditional depreciation methods) write-off of the cost of equipment used for environmental goals.

Analisis Penerapan Metode Penyusutan Aset Tetap Pada Pabrik Tahu Tempe Waidoko Kel. Wolomarang

This study aims to know and analyze the depreciation method of fixed assets applied to the Tempe Waidoko Tofu Factory, Wolomarang Village. Research data is obtained from (secondary) data obtained from documentance and direct interviews with related parties. The analytical method used in this study is quantitative descriptive analysis, which is an analysis that describes the depreciation method of fixed assets applied by the Tempe Waidoko tofu factory Kelurahan Wolomarang using H straight-line depreciation method and double declining balance method. The results showed that the fixed asset depreciation method used in the tempeh tofu factory was a straight-line method. Because the straight-line method is greater in book value than the double declining balance method.

IMPACT OF DEPRECIATION EXPENSES ON FINANCIAL PERFORMANCE OF COMPANIES

A company’s or enterprise’s financial performance can be analysed by the obtained net results of current year. It is not significant because it always takes the profit taxes and the financial elements. The enterpice’s actual effort is difficult to ascertain in few cases. The results of an enterprise’s financial and business performance is always dependent on the companies fiscal and financial policy, but it also takes in account depreciation, amortization and provisioning policy and also the important one the inventory valuation methods. The main question for the enterpreneurs and owners is that ‘’ which depreciation method is effective and efficient? Will this effect their profitability?. From the view point of my research paper I would propose the ‘methods of depreciation’ the fixed assets & comparing it with the financial performances of the companies, specially on the results. In this research paper, I have primarily used the empirical data collected from various sources for my research value, from studies, stastical yearbooks, literacture, annual financial statements of companies.

Why is it so hard to provide a faithful representation? The impact of indirectly evoked incentives on the accounting policy decision and the accountant’s subsequent post-decision distortion

PurposeThe study aims to investigate the impact of indirectly evoked incentives, in the form of supervisor’s preferences, on the decision about accounting policy regarding depreciation method selection and to examine subsequent post-decision distortion by evaluating the depreciation method.Design/methodology/approachThe authors conducted two experiments with control and treatment groups, manipulating the supervisor’s indirectly evoked preferences. In Study 2, the authors also measured the evaluation of both depreciation methods to investigate post-decisional distortion regarding the assessment of the depreciation method chosen in a decision task. Study 1 was conducted among 85 accounting students, while Study 2 consisted of 200 accountants.FindingsBoth studies revealed the significant impact of supervisor’s indirectly evoked preferences on accounting policy decisions. Participants who were aware of supervisors’ preferences were more likely to choose the depreciation method that was consistent with those preferences. The authors also found that those participants attached a higher value to the depreciation method, providing evidence that adherence to the supervisor’s preferences results in a distorted assessment of the depreciation methods.Originality/valueFirst, this study shows that indirectly evoked supervisors’ preferences may lead to a departure from substantive criteria resulting in low-quality accounting outcomes. Second, the assessment of the depreciation method is inseparable from the situational context, as the evaluation of the depreciation method is interdependent upon the preferences of the choice of a depreciation method and the fulfillment of those preferences.

Analyzing the Impact of Depreciation-Estimating Methods on State Transportation Agencies’ Equipment Replacement Decisions Using Dynamic Programming

Replacing equipment at the most economical time not only helps to save state transportation agencies (STAs) costs for operating the fleet but also keeps the fleet’s level of service at an optimal level. Prior research studies focused on developing alternative economic-oriented equipment replacement models rather than the equivalent annual cost (EAC) model to achieve better economic decisions. In addition, various optimization techniques were applied to equipment replacement problems with different objectives, constraints, and contexts. However, few studies examined the impact of depreciation estimation on the equipment replacement decision within STAs by minimizing total equipment cost over a finite study period using the dynamic programming optimization method. This study performed a case study of two class codes of equipment [1.5 m3 (2-yd) diesel engine front-end loaders and 0.453 t (half-ton) fleetside pickup trucks] to analyze the impact of different depreciation calculations on equipment replacement decisions. Using real-world data provided by the Oklahoma Department of Transportation, the study showed that the double-declining balance depreciation method substantially reduces the number of pieces of equipment recommended for replacement compared with the result of the straight-line depreciation method. This study contributes to the understanding of the impact of depreciation methods on equipment replacement decisions as well as the importance of properly estimating equipment depreciation to minimize the equipment costs over a designated study period among STA communities. The demonstrated manual calculation procedures of dynamic programming for cost optimization potentially may facilitate STA’s adoption of dynamic programming for equipment economic decisions.

Sosialisasi dan Pelatihan Akuntansi untuk Penyusutan Aset Tetap pada BUMDes Amanah Desa Bukit Gajah Kecamatan Ukui Kabupaten Palalawan Riau

This activity aims to provide socialization and training regarding the depreciation of fixed assets to village-owned enterprises called BUMDes Amanah Bukit Gajah, Palalawan Regency, Riau. It was due to that BUMDes have never depreciated their fixed assets at all. Depreciating fixed assets owned by BUMDes will improve the current quality of financial reporting. This activity began with understanding the business of BUMDes. Then it continues with the provision of training and pilots following existing cases in BUMDes, including compiling tables and making sheets of Microsoft Excel-based depreciation calculators needed by BUMDes. This activity was attended by 5 BUMDes employees responsible for financial reporting. The depreciation method and useful life of fixed assets will be adjusted to tax regulations. The result of this activity was in the form of the socialization of fixed assets and their depreciation.

PENERAPAN METODE PENYUSUTAN AKTIVA TETAP PADA DINAS PERTANIAN KABUPATEN GARUT

This study aims to find out how the fixed asset depreciation method is implemented in the Garut Regency Agriculture Office. Every company, including SKPD, has fixed assets for operational activities. Therefore, fixed assets have a significant role in the continuity of SKPD activities. To support each activity, SKPD will utilize the assets owned; therefore, it requires a large enough capital and has an extended period. The research method used is a descriptive analysis method, carried out by directly reviewing the research object, collecting, compiling, processing, and analyzing the data obtained. Based on the results of the study, 1) The determination of acquisition costs is appropriate because it is assessed at cost, 2) The estimated useful life of the Garut Regency Agriculture Office is under tax rules, 3) In determining the residual value or residual value, the Garut Regency Agriculture Office determines that all fixed assets owned by SKPD do not have residual value at the end of their useful life; in other words, all remaining fixed assets have the same value as zero. This study can be concluded that the application of the fixed asset depreciation method at the Garut Regency Agriculture Office needs to be revised; this is shown because the assessment does not determine the residual value. Suppose the depreciation calculation does not determine the residual value. In that case, this is less effective because it will cause the depreciation cost to be calculated too high, affecting the acquisition.

Feasibility Analysis of The Investment Project of Additional High Frequency Machinery in Increasing Production Capacity

UD Berkah is a small business, that currently produces surface mats for adult slippers and children's slippers. Hot Embossing is one of a series of processes for making the surface of slippers. The Hot Embossing process requires a High Frequency machine to create a pattern on the printed slipper surface. Currently UD Berkah has 3 units of High Frequency machines to meet consumer demand. Due to the large number of requests, not all of them can be done by the company itself, so it requires the services of subcontractors to meet production shortages. Currently, the company plans to purchase High Frequency machines to overcome this problem. So it is necessary to analyze the feasibility of investment projects by considering several aspects with the Straight Line Depreciation method approach, Payback period, Net Present Value, Profitability Index and Internal Rate of Return. This is done to consider whether the investment in adding High Frequency machines is feasible or not for UD Berkah. Research results with an investment value of Rp. 55,000,000 with an economic life of 5 years, the results for a depreciation of Rp. 7,000,000 every year, NPV of Rp. 477,026,441, payback period results for 1 year and 8 months, Profitability Index value is 11.7, the IRR value shows the result of 37.54%, So it can be concluded that investing in high frequency machines is feasible.
 Keywords: Hot Embossing, High Frequency, Investment, Net Present Value, Internal Rate of Return.

Comparison of Depreciation Concept and Methods in terms of Turkish Tax System, Accounting Theory and Accounting Standards

Maddi duran varlıklar, işletme bünyesinde yer alan, fiziki yapıya sahip ve bir hesap döneminden fazla süreyle işletme faaliyetlerinde kullanılan varlıkları ifade etmektedir. Maddi duran varlıkların kullanımı sonucunda, bu varlıkların faydalarının tükenen kısmının dönemsellik ilkesi gereği hasılatla eşleştirilmesi gerekmektedir. Ancak bu hesaplamanın kesin bir sonuç verecek şekilde yapılması mümkün değildir. Muhasebe teorisi açısından bu sorun amortisman kavramı vasıtasıyla çözülmeye çalışılmıştır. Maddi duran varlığın maliyetinin tükenen ve döneme isabet eden kısmı olarak ifade edilen amortismanın hesaplanabilmesi için birtakım varsayımlardan yola çıkılarak oluşturulan yöntemler ise amortisman yöntemleri olarak adlandırılmaktadır. Muhasebe teorisi, amortisman kavramına ve amortisman yöntemlerine olabildiğince geniş çerçevede yaklaşmakla beraber teori ışığında oluşturulan muhasebe standartları da teoriyle uyumlu bir bakış açısına sahiptir. Ancak Türkiye'de amortisman konusunda temel yaklaşım olarak muhasebe standartları yerine Türk Vergi sistemi (TVS) benimsendiği için mevzuatta teori ve standartlarla çelişen birçok düzenleme bulunmaktadır. Bu yüzden işletme ilgililerine yönelik faydalı finansal bilginin üretimi ve gerçeğe uygun şekilde sunumu mümkün olmamaktadır. Çalışma ile muhasebe literatüründe yer alan amortisman kavram ve yöntemlerinin muhasebe standartları ve TVS açısından karşılaştırılarak uygulama ve teori arasındaki farkların ortaya konulması amaçlanmış olup TVS’de yer alan düzenlemelerin gerçeğe uygun sunumdan ziyade teşvik veya kısıtlama niteliğinde olduğunu ve söz konusu düzenlemelerde muhasebe ilkelerine uygunluğun gözetilmediğini ifade etmek mümkündür.

Accounting of installation and use of solar power plants

Through the using of solar power plants, a business entity reduces operating costs by using solar electricity for its own needs and generates income by selling this electricity on the market. The construction of solar power plants in Ukraine is an important factor in the development of the national energy market and a tool for integration into the European renewable energy market. The article examines the role and importance of using solar electricity as one of the types of alternative sources of electricity. The authors investigate the peculiarities of accounting for the initial cost of solar power plants depending on the method of its receipt by an enterprise. In particular, the author presents the correspondence of accounting accounts, which are drawn up upon receipt of a solar power plant when it is purchased for cash, in case of its construction by the enterprise using the economic and contractor methods. The procedure for recognition and valuation of solar power plants as an object of fixed assets is substantiated. It is noted that the costs of forming the initial cost of a solar power plant should be accounted for by using the relevant subaccounts of account 15 “Capital Investments”. The article also presents the results of the impact of establishing the useful life and depreciation method of a solar power plant on the financial results before corporate income tax.

How do accounting records affect corporate financial performance? Empirical evidence from the Indonesian public listed companies

Previous studies demonstrate that accounting choices could, directly and indirectly, affect firm performance. We investigate whether accounting choices and financial ratios could affect firm performance. We extend the financial ratio variables by adding accounting choice and interaction variables. Based on the panel random effect regression analysis of 100 Indonesian public listed firms, we report that activity ratio, leverage, and depreciation method choice tend to be associated with firm profitability. We conclude that higher assets and leverage tend to be associated with higher efficiency and fewer monitoring costs. However, there is a difference in direction between equity and asset for the leverage variable. This may be explained by the existence of premiums (or discounts) in the equity component, but not in the asset component.

ANALISIS PERENCANAAN PAJAK TERHADAP PENYUSUTAN PADA PT.X

This research was conducted at PT. X which is domiciled in Banda Aceh, with the aim of knowing what depreciation methods can be used to minimize the company's tax burden and the impact it has. The data used is secondary data collected through documentation of financial statements for 2021 which includes data on the list of company fixed assets for 2021. This research is included in the type of descriptive qualitative research by collecting facts and identifying data that focuses on depreciation of fixed assets. Based on the research results, it was found that tax planning shows an effort to minimize the tax burden through the depreciation step using the declining balance method as a depreciation calculation. The conclusion of this study by recalculating depreciation using the declining balance method can save the tax burden that must be paid by the company

ANALISIS PENERAPAN PERNYATAAN STANDAR AKUNTANSI KEUANGAN (PSAK) NO. 16 ATAS ASSET TETAP PADA PT. PATRA SELARAS SEJATI

Fixed assets have an important role in supporting the company's operational activities and possess material value in the financial statements. Therefore, companies need to apply fixed asset accounting policies in accordance with PSAK No. 16. This study aimed to obtain empirical evidence and analyze the implementation of PSAK No. 16 policy regarding the fixed assets of PT. Selaras Sejati. The research was conducted using qualitative research method with the research approach of case study. The data collection techniques were carried out by interviews and documentation. After analyzing the results of interviews and searching for the documents related to recognition, depreciation, measurement, presentation and disclosure, it was found out that PT. Selaras Sejati has not fully implemented PSAK No. 16 policy well. Accounting treatment of fixed assets which were not in accordance with PSAK No. 16 was calculating the review of residual values and fixed asset useful life, and the use of the double declining balance (DDB) depreciation method. It is recommended that the company conduct an annual review of the depreciation expense on its fixed assets, using the depreciation methods which were suitable with the characteristics of its fixed assets.

A Consistent Implementation of IFRS 13 and IAS 36 for Non-current Assets

There is much debate for both the academic community and accounting professionals with respect to the use of fair value and cost accounting, as well as the application of impairment to current and non-current assets. Fair value and impairment are two related concepts, the reason being that in order to proceed with the latter, the current market price of an asset should first be measured. IAS 36 came into force to stipulate that no asset should be valued above its current actual value. Assets’ revaluation affects not only the companies’ outcome but also the applied depreciation method, which must be adjusted accordingly to the new data. Assets that cannot be measured to their fair value, in accordance with the IAS instructions, are grouped to form identifiable units within the company that was able to generate cash inflows and be tested for impairment as a whole. In this article, we focused on presenting a methodology from a technical approach on these issues, whilst at the same time remaining compatible with the principles of both accounting and finance. Real-life data from existing companies have been used not only for the valuation of the same following their transformation into cash-generated units, but also for non-current assets by controlling both the impairment and the depreciation process. We use cash flow generation models through the business plan process and apply certainty and uncertainty techniques such as sensitivity analysis and Monte Carlo simulation. After having reviewed the estimations and bearing in mind the structure of the model, we have concluded that specific parameters are affecting the fair value measurement on non-current assets. The value of this article is to develop a methodology that can be easily applied to different companies and is compatible with the spirit and provisions of both the international accounting standards as well as those of financial accounting.
 Keywords: FVA, cost accounting, finance, impairment, OR

Evidence of fixed assets by Brazilian subnational governments

Objective: To analyze the evolution of the accounting treatment given to fixed assets by Brazilian public sector entities in the face of the process of convergence of Brazilian Accounting Standards to international standards.
 Methodology: Descriptive, qualitative and with the use of bibliographic and documentary survey through the examination of financial statements and explanatory notes of all states of the Brazilian region in the period between 2015 and 2019.
 Results: Were considered few satisfactory in relation to the items surveyed due to low adherence (55%) and non-adherence (33.33%) of the data analyzed to the standards examined, demonstrating that informational asymmetry persists to stakeholders, so harmful to public transparency and accountability. The lack of information regarding depreciation methods, fixed assets offered as collateral, contractual commitments in the acquisition of assets and indemnification of third parties for asset items were noted.
 Study Contributions: To know the main changes and gains in the convergence process, with the standardization of accounting procedures in relation to the standards examined those deals with fixed assets, as well as the results of the evolution of the evidence process and the main challenges in meeting this standard.

ОБЛІК ОСНОВНИХ ЗАСОБІВ ПІДПРИЄМСТВА В УМОВАХ ВОЄННОГО СТАНУ

The war provoked significant challenges in asset accounting in general. The article examines the problems of accounting for fixed assets under the conditions of martial law in Ukraine. In April 2022, 55.9% of enterprises in Ukraine partially or completely stopped their work due to the war. Whereas, in November 2022, the situation changed for the better and the number of non-working enterprises decreased by 24.2%. The key issues of accounting for fixed assets are their recognition, determination of their book value, calculation of depreciation, as well as revaluation and liquidation (write-off). It has been established that traditional approaches to the recognition and calculation of depreciation of fixed assets in the conditions of war need to be revised and transformed. It is necessary to review the points of the accounting policy in terms of depreciation charges, in particular the useful life of fixed assets, liquidation value, amortized cost, depreciation methods used by the enterprise. The changes in the revaluation accounting of fixed assets were studied. It was considered and proposed to improve the method of writing off fixed assets, to ensure proper documentation and accounting. If there is access to the objects of fixed assets and the possibility of recording the facts of physical destruction, theft or fire, a commission must be formed, which forms the corresponding supporting documents. The company should reflect the depreciation of assets as expenses. If the enterprise does not have access to the assets and there are no relevant documents certifying their damage, then these objects of fixed assets continue to be reflected on the enterprise's balance sheet.an important condition for writing off fixed assets is the availability of primary documents, accounting registers, financial statements and other documents related to the calculation and payment of taxes and fees. The issue of reflecting in the financial statements fixed assets located in the occupied territories, relocated, physically destroyed in part or in full, stolen by the occupiers, etc. was studied. In the annual financial statements for 2022, enterprises must already reflect the consequences of the influence of military aggression on the financial condition of the enterprise. In particular, it is necessary to test assets that are not subject to their depreciation, to estimate the amount of the reserve for doubtful debts, to write off damaged assets that no longer meet the recognition criteria.

The Time Factor in the Account Books of the Soranzo Fraterna (Venice 1406—1434)

The paper considers the hypothesis proposed in the literature that the emergence in the 13th — 14th centuries of a new temporal conception defined by Jacques Le Goff as “the merchant’s time” played a significant role in the evolution of accounting in Central and Northern Italy. In order to lay the ground for research on this topic, the author identifies some of the ways and means by which the impact of the time factor could manifest itself in the ledgers of late medieval firms, for instance, the dating of transactions, the recognition of revenue and expense on either accrual or cash basis, various techniques employed to conceal interest on loans (i. e., the illicit “selling of time”), depreciation and amortization methods, the rhythm of business activity and the pace of economic life, capital and merchandise turnover etc. Issues related to the dating of operations are then explored through the example of the Venetian account book that is commonly known as the libro real nuovo of the Soranzo fraterna (1406—1434) and was compiled from numerous ledgers and financial documents to be presented in evidence during a litigation in the court of the giudici di petizion. About 10 % of entries in this manuscript remain undated, partly because the forensic accountant who drew it up was not always able to establish the chronology of long-past business dealings, but also because he opted to leave blank spaces in the new entries he made rather than to backdate them. On the whole, the study of the libro real nuovo reveals that the 15th-century Venetian merchants were fully cognizant of the economic value of time, and in their practice, the date of a business transaction formed an integral part of an accounting entry and supported the authenticity of the latter for legal purposes.

РАСЧЕТ КУМУЛЯТИВНОГО ЭФФЕКТА ОТ ПРИМЕНЕНИЯ РАЗЛИЧНЫХ ПОДХОДОВ К АМОРТИЗАЦИИ ОСНОВНЫХ СРЕДСТВ

The article discusses issues related to the assessment of the economic effect of the application of various directions of the depreciation policy of the organization. Based on the analysis of the provisions of Chapter 25 of the Tax Code, a set of basic tools is formulated that can influence the amount of depreciation of fixed assets and further on the amount of expenses, financial results and income tax. Using conditional data, calculations are carried out and the position is justified that the real economic effect is achieved not only by using appropriate tools, but also by immediately investing the released funds in income-generating activities. The main directions of depreciation policy management are the change in useful lives, the use of depreciation premiums and the use of a non-linear method of depreciation of fixed assets. An assessment of the impact on the result of each of the above tools has been made.

ЗАРУБІЖНИЙДОСВІДДЕРЖАВНОЇПІДТРИМКИІННОВАЦІЙНОЇ ДІЯЛЬНОСТІ (МАКРО-ТА МІКРОЕКОНОМІЧНИЙ АСПЕКТИ)

The foreign experience of state support for innovative activities of enterprises at both the macro and micro levels is discussed in the article.An important condition for the dynamic development of the country at the macro level is the accelerated introduction of modern innovative technologies in the economic, social and other spheres with the wide use of the achievements of science and technology.All rapidly developing spheres of public and state life of the country require close support of the reforms on the basis of modern innovative ideas, developments and technologies that ensure a quick and high-quality breakthrough of the country in this area of activity.State regulation of the economy and innovation processes on the macro level,according to scientists, is one of the main conditions for transferring the functioning of the economy to market relations. The main function of the state in the conditions of market relations is the protection of individual freedom, property and entrepreneurship. The government is obliged to work with the market in one harness.To overcome the crisis on the macro level, it is necessary to develop a strategy for maintaining and developing the scientific, technical and innovative potential of the country in the following areas: restructuring the scientific and technical potential in various sectors of the economy, taking into account the concentration of material, financial and intellectual resources; creation of a science and innovation property fund; development of a system for the use of leasing as an effective market mechanism for subjects of innovative activity; improving the mechanisms of the system for attracting bank loans to expand innovation and create conditions for the development of the capital market; creation in financial and industrial groups along with the system of consolidation of financial and production potentials of special innovation centers coordinating and implementing innovative projects; formation of an institute of developers of innovative projects from among scientific and technical workers, scientists and specialists; formation on the basis of funds supporting innovative activity, associations of funds with developed financial capital to help innovative projects; formation of a system for the targeted use of depreciation fund funds to finance activities related to R&D, experimental and other types of work, development of innovations, patenting of new solutions; improvements in tax legislation, which will increase innovation activity.In recent years, in the economically developed countries of the world, there has been a trend towards the widespread use of indirect stimulation methods on a par with direct ones. This is due to the fact that tax benefits involve much less intervention by the state in the economic life of an enterprise and they encourage already embodied actions, while subsidies only those that have yet to be implemented.An important role on the macro and micro level is played by tax incentives, which are used to develop the activities of enterprises that are aimed at stimulating scientific and technological progress and innovation.Some foreign countries use both types of tax discounts at the same time – both volumetric and incremental, but in relation to different types of expenses:in the USA, for private sector expenditures on fundamental research funding, the general incremental discount was supplemented by a volume discount of 20%;in France, newly established small and medium-sized companies are temporarily exempted from paying income tax or have a «tax holiday» with a reduction of 50% of the income tax they pay for the first five years of their activity;in Great Britain, the tax for innovative startups has been reduced from 20%to 1%.The experience of the USA, where the state encourages the interaction of enterprises and higher education institutions in the field of scientific and research work by providing tax benefits, should be used in Ukraine.Businesses provide necessary equipment to universities free of charge and are able to deduct the cost of this equipment from their gross income. This will make it possible to create powerful research centers on the basis of higher educational institutions of the country.In France, the state encourages personnel training:25% of the increase in personnel training costs are exempt from taxes;personnel training costs are not taxed at all if there is high unemployment.One of the methods that has the greatest value as a benefit is the accelerated depreciation method:in Germany, accelerated depreciation is applied in agriculture (up to 50% of the cost of equipment is written off in the first year, up to 80% in the first three years).Among the indirect economic measures of state regulation of innovative activity in the EU countries is the policy of industrial protectionism for the protection and implementation of innovations in the country.Keywords: state support, micro-macroeconomic aspect, innovation activity, strategy, world economy.