Tax Agents Research Articles

Effect of Alternative Dispute Resolution on VAT Compliance Among Tax Agents in Nairobi County, Kenya

Purpose: Tax is a vital source of government revenue in almost all countries in the world as it ensures that the government can offer goods and services to the general public. Therefore, tax compliance is critical in all economies, which recognize the role played by revenue collected from tax in national development. The key aim of the current study was to establish the effect of alternative dispute resolution on value added tax compliance among tax agents in Nairobi County, Kenya. The study was anchored on the theory of conflict of management. Methodology: The study adopted an explanatory research design. The study targeted 321 agents in Nairobi County while the sample size was 178 respondents. In this study, 178 out of 134 distributed questionnaires were completed and returned correctly, achieving a 75% response rate. The study used primary data, which was collected through questionnaires. The data collected was analyzed using both descriptive and inferential statistics. A linear regression model was used to establish the strength of the relationship between independent and dependent study variables. Results: Alternative Dispute Resolution also exhibits a positive and significant correlation with VAT Compliance, with a coefficient of β =0.093 p<0.05. Conclusion: The study recommended that the KRA should enhance its alternative dispute resolution mechanisms by providing clear guidelines, increasing the availability of mediation and arbitration services, and ensuring that tax agents are well-informed about these options. Future research should examine the impact of the regulatory framework on VAT compliance.

Assessment of the quality of forecasts of seasonal fluctuations of budget revenues as part of effective management of public finances in Ukraine

Seasonal fluctuations in revenues to the budgets of Ukraine at different levels can significantly affect the fulfillment of financial obligations of the state and territorial communities, especially in conditions of martial law. The accuracy of forecasting such fluctuations becomes critically important for the formation of a balanced budget policy and ensuring timely financing of priority state programs. The purpose of the article is to assess the quality of forecasts of seasonal fluctuations in budget revenues of different levels in Ukraine during martial law. The research is aimed at increasing the efficiency of financial management in the crisis, which, in turn, will contribute to strengthening the economic security and stability of Ukraine. It is a continuation of the authors' previous research. Within the framework of the study, the actual indicators of receipts of the largest budget-forming taxes to the state budget of the Volyn region and to the local budgets of the Volyn region for January–May 2024 were analyzed and compared with previously obtained forecast data. To assess the quality of forecasts, a scale was used, according to which the accuracy of forecasts is ranked depending on the value of the mean absolute percentage error (MAPE) of the forecast as follows: high (<=10%), good (10.1–20%), satisfactory (20.1–40%), poor (40.1–50%), unsatisfactory (>50%). It was found that during the analyzed period, the accuracy of forecasts of seasonal revenues to the state budget in the Volyn region for VAT from goods imported into the customs territory of Ukraine was good (the MAPE of forecasts was 18.8%); for customs duties on goods imported by business entities – satisfactory (28.2%); for personal income tax paid by tax agents from the taxpayer's income in the form of wages – high (6.4%); for excise tax on vehicles imported into the customs territory of Ukraine – satisfactory (39.5%). It was determined that the accuracy of forecasts of seasonal revenues to the local budgets of the Volyn region for personal income tax paid by tax agents from the taxpayer's income in the form of wages was high (the MAPE of forecasts was 6.4%); for the single tax on individuals – satisfactory (25.0%); for land tax on legal entities – satisfactory (39.7%); for rent from legal entities – high (3.8%).

METHODOLOGY OF USING VIRTUAL ASSETS AS MEANS OF PAYMENT AT THE FIAT LEVEL: PROBLEMATIC ISSUES IN UKRAINE

The FinTech sector, as one of the dynamic parts of Ukraine's economic frontier, has not only withstood the challenges of one of the most difficult times of independence, but has also continued to develop despite all the difficulties of the difficult time, and often despite it. The purpose of the article is to study the legal framework and methodology for the use of virtual assets as a means of payment in Ukraine before and after the entry into force of the cryptocurrency- specific Law No. 2074. Methodology. Both general scientific and special legal research methods were used to achieve the purpose of the study. The scientific novelty is an attempt to provide a legal assessment of the existing methodology for conducting increasingly popular transactions with virtual assets through the acquiring mechanism, against the background of an almost non-existent legal framework for their regulation. Conclusions. In fact, there is a paradigm in Ukraine regarding the recognition of virtual assets as means of payment. On the one hand, formally, at the legislative level, there are no plans to recognize virtual assets as a means of payment after the entry into force of Law 2074. On the other hand, from a practical point of view, before the entry into force of Law 2074, virtual assets are increasingly accepted as a means of payment in Ukraine. Prior to the entry into force of Law 2074, banks and cryptocurrency exchanges must act as tax agents in acquiring transactions for the purpose of payment for services and goods. Amendments to the Tax Code of Ukraine for the entry into force of Law 2074 do not provide for withholding tax when paying income to an individual from transactions with virtual assets. This will not contribute to the timely and full payment of taxes to the budget. The widespread use of cryptocurrencies directly in payments for goods and services in Ukraine, without official acquiring operations, before the entry into force of Law 2074 may have certain negative tax consequences for business entities.

Do signatory auditors with tax expertise facilitate or curb tax aggressiveness?

Prior research concludes that tax-expert auditors facilitate tax aggressiveness. However, these studies examine auditors who also provide non-audit tax services to their clients, creating conflicting incentives. We predict that tax-expert auditors, who do not provide non-audit tax services, reduce tax aggressiveness, because tax aggressiveness imposes costs on them. We test our prediction using Chinese data, allowing us to identify Certified Tax Agents as tax-expert auditors. We find that companies are less tax aggressive when their signatory auditor is a tax-expert who does not provide non-audit tax services. Consistent with a causal relation, a decrease in tax rates, which reduces clients’ incentives to be tax aggressive, weakens the effect of tax-expertise on tax aggressiveness. Moreover, tax-expert auditors attenuate the type of tax aggressiveness that results in tax-related misstatements. Overall, by examining auditors who do not provide non-audit tax services, we find that tax-expert auditors curb tax aggressiveness, contrary to prior research.

The Mediating Effect of Taxpayer Perception in the Relationship between Tax Education and Income Tax Filing Compliance among Small Taxpayers in Mbarara City

Purpose: This study is about establishing the mediating role of taxpayer perception in the relationship between tax education and income tax filing compliance among small taxpayers in Mbarara city.
 Materials and Methods: The study used cross-sectional research design on a study population of 33,979 small taxpayers with a sample size of 380 respondents in Mbarara city. Systematic random sampling was used to select respondents while data was collected using a questionnaire tool whose validity (Content Validity Index) and reliability (Cronbach’s Alpha) were ascertained before data collection and found to be above 0.70. The collected data was analyzed with the aid of SPSS version 26.0 to generate regression coefficients which were exported to an Online Medgraph Calculator to determine mediation effect, significance and path analysis. 
 Findings: The regression analysis results revealed that taxpayer perception had a significant partial mediating effect (βmd=.366, p<0.05) on the relationship between tax education and income tax filing compliance among small taxpayers in Mbarara city. Based on the findings, the study concludes that efforts aimed at improving taxpayer perceptions play a significant role in strengthening the relationship between tax and income tax filing compliance.
 Implications to Theory, Practice and Policy: The study recommends a need for the government and tax authorities, in this case, Uganda Revenue Authority to put in place strategies and programs aimed at changing individual perceptions, social understanding and personal motivations regarding income tax filing. Some of these strategies include intensifying tax education and outreach services of the mobile tax office ‘Tujenge Bus Services’ to all locations; introducing basic tax education at earlier stages of formal education such that citizens are informed about their future obligations to file income tax returns; translating all information about income tax filing in different local languages and publishing the same in print format for public access at no cost; and recruiting more tax agents within Mbarara city who can assist small taxpayers in income tax filing at a reasonable fee. The assumptions of the Theory of Reasoned Action, Social Influence Theory and Motivational Posturing Theory could also be relevant in assisting the tax authorities to change the personal and societal perceptions about income tax filing and motivate them to willingly comply with their filing obligations. The study has significant implications for policy making as it identifies a need for government and tax authorities to establish policies and offer incentives and motivational postures that prioritize voluntary compliance rather than introducing sanctions to enforce income tax filing compliance.

Taxpayer Perception and Income Tax Filing Compliance among Small Taxpayers in Mbarara City

Purpose: This study is about establishing the relationship between taxpayer perception and income tax filing compliance among small taxpayers in Mbarara city. The study is driven by the fact that despite Uganda Revenue Authority’s efforts to improve tax compliance, income tax filing compliance is still low among small taxpayers in Uganda in general and Mbarara city in particular.
 Materials and Methods: A cross-sectional study design was used to collect data from 33,979 small taxpayers in Mbarara city out of which 31,324 were individual taxpayers while 2,655 were non-individual taxpayers. The sample size included 380 respondents out of which 350 were individual taxpayers while 30 were non-individual taxpayers. Systematic random sampling was used to select respondents from each of the six divisions of Mbarara city. A questionnaire method was employed in data collection where self-administered 5-point Likert type questionnaire with a Content Validity Index (CVI) of .91 and a Cronbach’s alpha (α) of .86 was used in data collection. Data was analyzed using SPSS version 26.0 where correlation coefficients were generated and presented in a table.
 Findings: Results from the correlation analysis revealed that taxpayer perception was positively and significantly related to income tax filing compliance (r=.715**, p<0.05). The study concludes that efforts aimed at improving taxpayer perceptions play a significant role in improving income tax filing compliance.
 Implications to Theory, Practice and Policy: The study recommends a need for the government and tax authorities, in this case, Uganda Revenue Authority to put in place strategies and programs aimed at changing individual perceptions, social understanding and personal motivations regarding income tax filing. Some of these strategies include intensifying tax education and outreach services of the mobile tax office ‘Tujenge Bus Services’ to all locations; introducing basic tax education at earlier stages of formal education such that citizens are informed about their future obligations to file income tax returns; translating all information about income tax filing in different local languages and publishing the same in print format for public access at no cost; and recruiting more tax agents within Mbarara city who can assist small taxpayers in income tax filing at a reasonable fee. The assumptions of the Motivational Posturing Theory could also be relevant in assisting the tax authorities to change the personal and societal perceptions about income tax filing and motivate them to willingly comply with their filing obligations. The study has significant implications for policy making as it identifies a need for government and tax authorities to establish policies and offer incentives and motivational postures that prioritize voluntary compliance rather than introducing sanctions to enforce income tax filing compliance.

Assessment of Tax Risks Arising from Personal Income Tax Agents

Personal income tax (PIT) is one of the budget-forming taxes in the Russian Federation, therefore, an important direction of tax planning is the assessment of risks arising from both tax agents (at the micro level) and the state represented by tax authorities (at the macro level). The subject of the study is tax risks on personal income tax, and the purpose is to develop proposals for their assessment and reduction. Objectives: to classify tax risks according to personal income tax; to clarify the quantitative characteristics of tax risks; to identify directions of their decline. The relevance of the study is dictated by the need to study theoretical issues and practical aspects of the emergence of tax risks on personal income tax. The main methods of study are systemic, logical, theoretical cognition, scientific abstraction. The results of the study include the following: identification of the main types of tax risks for personal income tax and the development of a tax risks matrix for their assessment depending on residence, type of contract, amount of payment, court decisions, taking into account the possibility of identification, determination of amount of risk (arrears and penalties as well as intention). Conclusions: in the paper developed proposals for the assessment and reduction of tax risks under personal income tax: on the basis of the classification of tax risk (by subject, by basis of occurrence, by elements of taxation, by connection with tax checks, by types of risks, by the time of identification of tax risk, as well as taking into account the regional specifics) the amount of possible tax risk is calculated on the example of specific income (premium, financial assistance, gift) a tax risk matrix has been developed for practical application, which will enable to assess and rank tax schemes aimed at reducing tax obligations under personal income tax.

How Can Lower-Income Countries Collect More Taxes? The Role of Technology, Tax Agents, and Politics

Increasing tax revenues is a major policy goal in many low- and lower-middle-income countries. While economic growth is an important determinant of taxation, available evidence indicates that it does not automatically increase taxation. Rather, countries must make targeted investments in their tax capacity. In this paper, we examine the rapidly growing body of evidence on different interventions to improve tax capacity and increase tax revenues in lower income countries, with a focus on two key inputs: information technology and tax officials. We examine the role and limitations of digitization for identifying taxable entities, verifying tax liabilities, and ensuring collection of tax owed. We also consider how the deployment and incentives of tax officials shape their performance, and the interplay between them and technology tools. Lastly, we emphasize the importance of political incentives and consider the conditions under which governments choose to invest in tax capacity and expand tax collection.

МІЖНАРОДНЕ ОПОДАТКУВАННЯ ДОХОДІВ, ЩО ВИПЛАЧУЮТЬСЯ НЕРЕЗИДЕНТАМ: ЗАСТОСУВАННЯ СТАВОК ПОДАТКУ ТА ОБЛІКОВІ АСПЕКТИ

The article examines the main aspects of international taxation of incomes paid with a source of origin in Ukraine by legal entities – residents for the benefit of legal entities – non-residents. Such income includes dividends, interest, freight, royalties, engineering income, etc. A legal entity – resident may be obliged to comply with the provisions of tax legislation to tax such income with corporate income tax, which is also called "non-resident income tax" or "repatriation tax". An analysis of the norms of the Tax Code of Ukraine, which regulate the procedure for payment of non-resident income tax, was carried out. The composition of residents who must act as tax agents when paying income to non-residents and withholding non-resident income tax was studied. Attention is paid to the rates that should be applied by legal entities – residents when taxing incomes paid from Ukraine to legal entities – non-resident. The term is specified when legal entities – residents, which have withheld tax from the income of non-residents, must transfer this tax to the budget. An analysis of tax legislation was carried out in terms of the application of international treaties for the avoidance of double taxation. Cases were considered when legal entities – residents, when paying income to legal entities – non-residents, should not withhold non-resident income tax at the source of the payment. The conditions under which legal entities – residents can reduce the amount of non-resident income tax paid to the budget or avoid paying this tax have been studied. Attention is focused on the document that confirms that the non-resident is a tax resident of the relevant country, which means that he can claim tax benefits (for example, claim a reduced tax rate on his income). The conditions under which the controlling body can refuse to grant tax benefits regarding the exemption of income from taxation or the application of a reduced rate on non-resident income tax to these incomes are considered. Attention is paid to the peculiarities of the reflection in the accounting of the legal entity – resident of the operation of payment of income from Ukraine in favor of the legal entity – non-resident and the accounting of withheld nonresident income tax.

The factors influencing the digital transformation intention of Tax Agents of the Consultancy and Tax Agent Association (HTCAA) in HoChiMinh, Vietnam

The factors influencing the digital transformation intention of Tax Agents of the Consultancy and Tax Agent Association (HTCAA) in HoChiMinh, Vietnam

Особливості обліку, звітності та оподаткування суб’єктів господарювання сфери гостинності

The aim of the article is to study the theoretical and practical issues regarding the procedure, in accordance with the current regulatory framework, for determining economic entities that carry out activities in the field of services for the accommodation of persons for short-term temporary residence. The economic entities that are tax agents for the payment of tourist tax have been identified, as well as the possibility of expanding the base of taxation with tourist tax for a separate category of economic entities involved in the accommodation of persons for temporary short-term residence, through the introduction of licensing of certain types of activities, has been substantiated. The main aspects and systems of taxation of economic entities related to the hotel and restaurant business are emphasized, including the use of the preferential regime of taxation of services by value added tax. The problematic issues of the organization of accounting and control over the payment of excise duty in the implementation of the sale of alcoholic beverages are identified and the main aspects and features for ensuring control over its implementation in multicomponent alcoholic beverages are emphasized to prevent the imposition of financial sanctions by the tax authorities when they carry out control measures. The expediency of using electronic accounting devices in the sale of excisable products with the possibility of its classification by type and volume has been determined. The main directions and procedure for reflecting in the accounting of incomes related to the accommodation of persons for temporary residence and the provision of related services during their residence are studied. It is proposed to improve the existing forms of primary registration of persons who temporarily rent housing, as well as to expand their use for economic entities, i. e. individuals who provide temporary accommodation services for short-term residence.

The Influence of Personal and Professional Ethics of Tax Agents on Their Perception of Tax Evasion

Research aim: This study seeks to identify the relationship between the personal and professional ethics of tax agents and their perception of tax evasion. Design/ Methodology/ Approach: A four-section survey questionnaire was used to collect data from primary sources. A total of 349 questionnaires were collected via online distribution. Research finding: The results suggest a strong positive significant relationship (p < 0.001) between personal ethics and tax agents’ perception of tax evasion. As for professional ethics, the findings show a moderate positive significant relationship (p < 0.001) between professional ethics and tax agents’ perception of tax evasion. Theoretical contribution/ Originality: Considering that this study focuses on tax agents’ perception of tax evasion, the theory pinned to this study is utilitarianism. The theory is used to predict and understand tax agents’ behaviours based on two factors: their perception of tax evasion with the influence of personal and professional ethics. Practitioner/ Policy implication: In the context of this study, government and tax authorities should provide a clear framework to guide the ethical conduct of the tax agents because of the complex nature of the tax planning environment. The framework is important to ensure that tax agents are not trapped between tax minimisation arrangements, aggressive tax planning, and tax evasion. Additionally, tax authorities, the Malaysian Association of Tax Accountants, and the Chartered Tax Institute of Malaysia can continuously organise professional development programmes addressing ethical issues and tax planning arrangements covering different jurisdictions. Research limitation: This study focuses only on tax agents’ perception of tax evasion. Future studies should include accountants, auditors, and company secretaries to gauge their perception of tax evasion because they are also actively involved with taxpayer activities.

Effects of Economic Deterrence Theory and Environmental Regulation on Tax Evasion: Evidence from Energy Sector

Environmental regulation is the responsibility of individuals, corporations, and other entities to prevent environmental damage or improve the tarnished environment. The Environmental law of every country works to protect the natural resources of land, water, air, and soil. There are research evidence that environmental regulation influences Corporate taxes. Economic deterrence theory acted as deterrent to threats of punishment for unwanted or illegal behavior. The fundamental concept of the theory is deterring the taxpayers into compliance by the risk of audit, penalty, etc. The objective of the study is to analyze the impact of economic deterrence theory and environmental regulation on corporate tax evasion, particularly petroleum profit taxes in Nigeria. The components of Economic deterrence theory (tax agents, tax complexity, tax knowledge) and environmental regulations are the independent variables and corporate tax evasion particularly PPT is the dependent variable of the study. It is quantitative research based on primary data which was collected from the oil and gas companies’ representatives. Structural Equation Modelling techniques were applied, and the outcome of the research is a positive and significant relationship between tax agents, tax complexity, tax knowledge, and environmental regulations on corporate tax evasion. The result further shows a positive but non-significant relationship between tax audits and perceived petroleum profit tax evasion. The study draws the attention of policymakers to formulate environmental regulations that are more robust, simple, and flexible, to reduce adverse effects of environmental damage on the economic growth and development of oil and gas-producing countries.

The effect of income and expense shifting on the corporate income tax evasion

PurposeThis paper aims to present a study on the effect of income and expense shifting on the corporate income tax evasion – an example of intentional noncompliance practiced by tax agents. The authors expected that the tool used would differentiate the extent of understatement of tax liability.Design/methodology/approachTwo experiments were conducted in which young (N = 62) and experienced (N = 68) tax agents read a scenario placing them in a position of an employee responsible for tax planning and calculations of tax liabilities. The respondents’ task was to decide about the extent of the tax liability understatement using income or expense shifting.FindingsResearch demonstrated significantly higher extent of corporate income tax understatement when using income shifting compared to expense shifting in case of experienced tax agents (Study 2) and on tendency level among young tax agents (Study 1).Research limitations/implicationsResults of the studies might be of interest to managers paying attention to tax procedures within the company, governmental agencies investigating corporate tax evasion, as well as educators responsible for tax agents’ initial training and lifelong learning.Originality/valueThis study concentrates on tax agents who are employed in companies and corporate income tax evasion, which has not been analyzed in the literature so far.

Can tax agents support tax compliance in low‐income countries? Evidence from Uganda

AbstractTax agents' role in ensuring or deterring compliance with tax obligations has received relatively little attention in the literature. Some evidence has emerged indicating when agents improve (or decrease) compliance, and why taxpayers employ their services. However, most existing studies have focused on high‐ or upper‐middle‐income countries. As the tax systems of low‐income countries present a unique set of compliance issues, a closer look at the role that tax agents play in these contexts is warranted. In this paper, we present evidence from two surveys on their use in Uganda. Our results show that tax agents contribute to an increased quality of filed returns thereby leading to lower audit adjustments The type of services more frequently requested by taxpayers seem to match those in high‐income countries, as do their reasons for engaging tax agents in the first place.

Architectonics of individual taxation system

Transformation of national economies caused by globalization and digitalization of business processes leads to changes in the whole chain of relationships at the levels of "state-individual", "employee-employer", "tax authority-taxpayer". The following research goal is to develop a unified construct of the taxation system, taking into account modern transformation processes and system economy principles. The research applies a comprehensive approach, which includes three main analysis methods: qualitative comparative analysis, simulation modeling, and interpretative qualitative research. Qualitative comparative analysis was used to identify the elements of individual taxation. Simulation modeling was used to visualize taxation main parameters and limitations. Interpretative research was used to describe the interaction of the system elements. The scientific novelty of the research is the presented architectonics of individual taxation system, which develops the theory of system economy of Kleiner and includes 4 elements (subsystems), classified by the criterion of definiteness of time and space. First, objects – exist in the uncertainty of time and the certainty of space. Second, projects - exist in limited time and defined space. Third, environments – exist in the indefiniteness of time and the uncertainty of space. Fourth, processes - exist in limited time and uncertainty of space. The elements of the objective subsystem include taxpayers individuals and individual entrepreneurs, tax authorities, tax agents, other participants of tax legal relations, and the territory. The project subsystem includes tools and mechanisms of tax regulation, which are experimental and temporary in nature. Tax functions implementation was visualized in the context of the presented system.

How Do Tax Agents Respond to Anti-corruption Intensity?

How Do Tax Agents Respond to Anti-corruption Intensity?

Аналіз фіскальної ефективності податку на доходи фізичних осіб та військового збору в місцевих бюджетах областей

The aim of the article is a comprehensive analysis of the fiscal efficiency of personal income tax in the revenues of consolidated local budgets of both the regions of Ukraine and the city of Kyiv; identification of factors and trends that cause changes in its volume and structure. The article analyzes the tendencies of changes in the receipt of the personal income tax and military fee on the income of individuals to the budgets of different levels, determines the change in their structure; an analysis of the receipt of the personal income tax and military fee on personal income to the local budget is carried out by the components – both in general and in relation to the local budgets of the regions and the city of Kyiv; tendencies of changes in the volume and share of personal income tax paid by tax agents from the taxpayer’s income in the form of wages and financial provision of military personnel in the regional context to local budgets are analyzed; structural changes in personal income tax as a fiscally significant tax in the formation of local budget revenues have been identified. The factors influencing the change in the volume and structure of personal income tax revenues are substantiated, among which the key one is the turbulent environment in Ukraine caused by a full-scale war, relocation, destruction of the material and technical base of business or temporary loss of business activity. This led to job losses, a decrease in wages, migration of the able-bodied population to other countries and, accordingly, affected the amount of personal income tax paid by tax agents from taxpayers’ salaries. The increase in personal income tax revenues in 2022 was due to an increase in the rate of enrollment in local budgets from 60.0% to 64.0% and an increase in personal income tax on financial provision of military personnel. Other components that form the personal income tax are insignificant and occupy less than 10%, while there is no increase, due to the weakening of tax control and the ongoing tax evasion by both taxpayers and tax agents, as well as partial shadowing of business.

Determining the Factors of Tax Agents’ Readiness Towards the Digitalisation of Tax Administration

Determining the Factors of Tax Agents’ Readiness Towards the Digitalisation of Tax Administration

Administrative law in the prevention of offenses in the tax field

Offenses in the tax field, which is one of the most important torts of a financial nature, to counter which the state directs effective countermeasures.
 The main place in the system of financial support for the functioning of the state is given to tax legal relations, which mediate the movement of funds for the implementation of state tasks in order to satisfy general public interests. Today, most spheres of public life are financed at the expense of state resources, received mainly from taxpayers in the form of taxes and fees.
 Understanding the content of the wording "tax sphere" becomes possible as a result of the analysis of the definition of the sphere of legal influence of the Tax Code of Ukraine, which regulates relations related to the payment of taxes, fees, and their administration, determines the peculiarities of the legal status of taxpayers and fees, their legal opportunities, in particular rights, duties, competence of subjects of tax administration, fees, control bodies, regulates the procedure of responsibility for violation of tax legislation.
 Therefore, when we talk about the prevention of offenses in the tax sphere, we mean offenses related to the collection and administration of the payment of taxes and fees, violation of the procedure for the implementation of the rights of taxpayers and fees, rights, duties, competences of control bodies and subjects of the administration of taxes and fees, other violation of tax legislation.
 In the Tax Code of Ukraine, the legislator outlined the content of tax offenses, which should be understood as illegal actions committed by taxpayers, tax agents, their officials and officials of control bodies, which lead to non-fulfillment or improper fulfillment of the requirements of tax legislation, the control of which is entrusted to regulatory authorities. At the same time, the possibility of applying financial, administrative and criminal liability for tax offenses is determined.
 Preventive and preventive influence is achieved by guaranteeing a balance between the legal possibilities and interests of taxpayers and the stability of the budget system, the competence of tax and other control bodies, and the possibility of satisfying the interests of the state and society in general. This is an important key to the functioning of the fiscal system. It is this balance that determines the content of restrictions on taxpayers in order to guarantee the state's performance of its main functions.