Tax Function Research Articles

Revolutionizing Textile Manufacturing: Sustainable and Profitable Production by Integrating Industry 4.0, Activity-Based Costing, and the Theory of Constraints

The textile industry, a cornerstone of daily life and a highly globalized sector, faces significant environmental challenges due to its high water and energy consumption and extensive chemical usage. This study proposes a comprehensive green production planning and control model integrating Industry 4.0 concepts, activity-based costing (ABC), and the theory of constraints (TOC). The model utilizes mathematical programming to optimize product mix, maximize profitability, and minimize environmental impact. It leverages real-time sensing technologies and ERP systems to facilitate waste recovery, reduce carbon emissions, and achieve energy savings. Various carbon emission cost models, including continuous and discontinuous tax functions, are explored to balance corporate profitability with environmental sustainability. The findings demonstrate the model’s potential in optimizing resource utilization, reducing the environmental footprint, and enhancing profitability.

The Current State Of Personal Property Taxation

A significant portion of local budget revenues is generated from tax revenues derived from individuals' property tax payments. Thus, the property tax levied on individuals is an important factor influencing the development level of the regions in our country. This article highlights the factors affecting property tax volumes and the tax incentives related to its payment. The theoretical and methodological foundations of taxing individuals on property are examined. The components of the property tax are analysed: the tax on real estate, excluding land plots, transport tax, and land use fees. The mechanism for collecting property tax from individuals is discussed under the Tax Code of Ukraine. The fiscal effectiveness of the existing system of property taxation for individuals in Ukraine is analysed, along with the peculiarities caused by the imposition of martial law. In the context of armed aggression against Ukraine, government budget expenditures have significantly increased. Therefore, studying the fiscal function of the property tax on individuals is a pressing issue. The article presents data on the payment of real estate tax by individuals, excluding land plots, transport tax, and land fees, before and after the onset of military actions in Ukraine. The research has established that the volumes of tax revenues from individuals' property taxes are increasing yearly. The research results confirm that the property tax on individuals, under martial law, is a substantial source of funding for local budgets in Ukraine. This underscores the importance and necessity of further enhancing the fiscal function of this tax. It has also been established that the fiscal potential of the property tax on individuals is not fully utilized due to the deficiencies in the existing taxation system. Brief examples of property taxation for individuals, based on the assessed value of such property in foreign countries, are provided. The prospects for reforming the property taxation system for individuals in Ukraine are discussed. Recommendations for reforming the property tax for individuals are formulated to increase its fiscal function.

Sosialisasi Pajak Daerah Pajak Bumi dan Bangunan (PBB) serta Pajak Kendaraan Bermotor (PKB)

Regional taxes, especially the Land and Building Tax (PBB) and Motor Vehicle Tax (PKB), have an important role in increasing Regional Original Revenue (PAD) and supporting infrastructure development and public services. Socialization activities carried out in RT. 42 RW. 13 Taman Village, Madiun City, aims to increase public awareness and compliance in paying taxes. Through seminars, direct counseling, as well as print and digital media, this socialization provides information on tax obligations and tax benefits for regional development. The results of the socialization show an increase in public understanding of the tax function, although there are still obstacles, such as a lack of in-depth understanding and access to information. This activity indicates that effective socialization can encourage public awareness and discipline in fulfilling tax obligations, which in turn supports the sustainability of regional development.

Teenage childbearing and the welfare state

Abstract Teenage childbearing is a common incident in developed countries. However, teenage births are much more likely in the USA than in any other industrialized country. Most of these births are delivered by female teenagers from low-income families. The hypothesis put forward here is that the welfare state (a set of redistributive institutions) has a significant influence on teenage childbearing behavior. We develop an economic theory of parental investments and the risky sexual behavior of teenagers. The model is estimated to fit stylized facts about income inequality, intergenerational mobility, and the sexual behavior of teenagers in the USA. The welfare state institutions are introduced via tax and public education expenditure functions derived from US data. In a quantitative experiment, we impose Norwegian taxes and education spending in the economic environment. The Norwegian welfare state institutions go a long way in explaining the differences in teenage birth rates between the USA and Norway.

Functions of taxes and other public liabilities. Can thefiscal function be performed by remuneration received bycompanies with State Treasury participation on the basisof civil law relations?

The scope of the functions of taxes and the entire tax system has not been precisely defined by the Legislator.Both fiscal and non-fiscal goals/functions are implemented by the tax system. Ensuring budget revenues to fulfillthe redistributive function is the foundation of the tax law system. On the other hand, all tax law norms also fulfillmany other functions, including: stimulation, development, protection, social or political. However, the indicatedfunctions are implemented by general legal norms, in particular public law – tax law, through public finance ties and units. Constitutional guarantees regarding the manner and procedure of shaping tax law provisions ensurethe security of citizens/taxpayers with regard to public law obligations. The statutory exclusivity in shaping taxesand other public levies provides a guarantee for counteracting the authoritarian imposition of „universal financialobligations” on citizens (entities from the sphere of private l aw).The issue to be analyzed is to determine whether fiscal and non-fiscal functions can be entrusted by the State toentities from the sphere of private law – including: commercial law companies with State Treasury participation.The actual entrustment of such functions would take place outside parliamentary control and without regard tothe requirements and regulations applicable to public finance entities and units. Additionally, the takeover and,consequently, the implementation of non-fiscal functions (e.g. stimulating or political) by commercial law companieswould be in violation of the provisions regulating business activity and the standards regulating the functioningof commercial law companies.In practical terms, the way civil law relations are shaped by companies with State Treasury participation, whichactually implement State monopolies, may result in the imposition of general, additional, economically unjustifiedfinancial burdens on citizens and private entities.

Tax system or a collection of random regulations?

The tax system is the total amount of taxes that occur in a given country at a given time. It should be built in accordancewith tax principles and the principles of proper legislation, reconciling the functions of taxes with theinterests of taxpayers. When building an optimal tax system, the legislator should take into account at least thebasic tax principles: tax neutrality, tax certainty, efficiency, mitigation of the tax burden, protection of sources oftaxation, and cheapness of assessment and collection. Tax law, due to its specificity and interference with theright of ownership, should be understandable to its addressees. The principle of statutory regulation of publiclevies should limit the frequency of changes, but this is not the case. In Poland, despite the postulates, we stillhave a set of random regulations instead of a tax system.

Современные тенденции развития российского предпринимательства: теоретические и практические аспекты

Entrepreneurship is a priority area for the development of the Russian economy. Thanks to the functioning and development of small and medium-sized businesses, new jobs are being created, technologies, spheres and industries are developing, the quality of goods and services is improving, and modernization is taking place. The article discusses various approaches to the definition of entrepreneurship as a special type of economic entities and the peculiarities of the development of Russian entrepreneurship, provides statistical data. The authors conclude that creating favorable conditions for the functioning and development of business, financial, tax and other types of state support are significant measures, The Government is committed to the development of the enterprise sector and contributes to the sustainable growth of the country’s economy.

TAX BENEFITS AS A STATE REGULATION TOOL

Taxes, as an economic phenomenon, have evolved over time, transforming from a purely fiscal mechanism into a tool of state management for economic processes. Evolutionary changes occurred, particularly through the clarification of tax functions. One of these functions is regulatory, aimed at altering economic and social processes within the state. The greatest regulatory effect can be achieved through direct taxes, where exemption or reduction of taxes payable directly influences regulated objects to achieve a specific objective. The administration of preferential taxation is transparent, allowing proper control over the use of tax-exempt funds and effective investment attraction. Tax benefits in Ukraine’s tax system not only influence taxpayers’ economic behavior but also prioritize their activities within the state’s economic policy framework. One of the key tools for such regulation is the corporate income tax, being a source of state budget revenue resources that impact the processes of investment, innovation, and foreign economic activity of the entities within the country.

Urgency and Impact of Green Taxes Implementation in Encouraging Green Business Post Covid-19

This study aims to examine the urgency, impact and strategy of Green Taxes in encouraging Green Business after the Covid-19 pandemic. This study uses a qualitative approach with a comparative descriptive type of research, in which the application of Green Taxes in various countries for the purpose of encouraging Green Business is compared to the conditions in Indonesia. The results of the research show that environmental damage due to industrial activities that occur in Indonesia can harm the country because, coupled with the COVID-19 pandemic, the end of which is not yet known, it will increase the state’s health spending. It. Many countries have successfully implemented Green Taxes and changed their business patterns to be environmentally friendly, although the negative impact of the green tax implementation, i.e. a decrease in net profit in the business sector, can result in layoffs and a decrease in tax revenue in several sectors. The application of Green Taxes in Indonesia is still at the level of the domestic tax function, which can be seen in the increasing target and realization of Green Taxes each year. The government must be more assertive in enforcing Green Taxes and be transparent in the use of the funds. Supervision in the implementation of the green tax policies must also be improved so that the expected goals can be achieved.

ФИСКАЛЬНАЯ ПОЛИТИКА РАЗВИТИЯ РОССИИ

With the sanctions restricting Russia's for-eign economic activity, high inflation re-mains, provoked by indirect taxes, which reflect the insufficient efficiency of material production in the system of distribution rela-tions. Direct taxes have a significant impact on the pricing strategy of a business. The fiscal policy of the state does not adjust the economy to high efficiency and social jus-tice. The profit is mainly obtained by infring-ing on the interests of buyers. Artificial re-striction of the physical volume of sales neg-atively affects employment. The tax system brings the fiscal function of taxes to the fore. It is necessary to create incentives to in-crease the return on funds, reduce the capi-tal intensity of production. The state should provide financial support, first of all, to those industries and companies that are ready to expand production with lower prices and in-creased profitability.

ФИСКАЛЬНАЯ ПОЛИТИКА И ЭФФЕКТИВНОСТЬ ХОЗЯЙСТВЕННОЙ СИСТЕМЫ РОССИИ

In Russia, demand inflation persists with an excess cash overhang, which is credited to deposit accounts in banks. The fiscal policy of the country does not adjust the economy to high efficiency and social justice. Distribu-tive relations are needed. Direct taxes affect the pricing strategy of a business, while indi-rect taxes provoke inflation. The fundamen-tal disadvantage of the immature market as a spontaneous regulator aimed at maximiz-ing unit profit and profitability, and not at maximizing the physical volume of sales, and capacity utilization is confirmed. The tax system brings to the fore the fiscal function of taxes, and does not perform a stimulating one. It should be taxed to stimulate the creation of business conditions characteristic of a competitive market.

Соотношение экономического основания налога и смежных явлений

The article delineates between concepts that closely relate to economic basis of tax, such as the subject matter of tax, taxable item, tax base, source of tax, and function of tax. Also, the author clarifies the legislative definition of the taxable item and the tax base and provides a classification of taxes by types of the tax base and of taxable economic benefit.

Determination of molecular epidemiologic pattern of human T-lymphotropic virus type 1 (HTLV-1) in Alborz province, Iran.

Human T-cell lymphotropic virus type 1 (HTLV-1) is linked to two debilitating diseases, adult T-cell leukemia/lymphoma (ATLL) and HTLV-1 associated myelopathy tropical spastic paraparesis (HAM/TSP), which are prevalent in various parts of the world, including the Alborz province in Iran. Understanding the prevalence and evolutionary relationships of HTLV-1 infections in these endemic areas is of utmost importance. In the realm of phylogenetic studies, long terminal repeat (LTR) region of HTLV-1 stands out as highly conserved, yet more variable compared to other gene segments. Consequently, it is the primary focus for phylogenetic analyses. Additionally, trans-activator of transcription (Tax), an oncoprotein, holds a pivotal role in the regulation of gene expression. This cross-sectional study delved into the phylogenetic analysis of HTLV-1 among individuals in Alborz province of Iran. To confirm infection, we amplified partial sequence LTR (PLTR) and HTLV-1 bZIP factor (PHBZ). For phylogenetic analysis, we sequenced the full sequence LTR (FLTR) andfull Tax sequence (FTax). The FLTR and FTax sequences underwent analysis using BioEdit, and phylogenetic trees were constructed using MEGA-X software. Out of the roughly 15,000 annual blood donors in Alborz, 19 samples tested positive for HTLV-1, indicating a 0.13% HTLV-1 positivity rate among blood donors. Furthermore, the HTLV-1 virus prevalent in the Alborz province belongs to subtype A (cosmopolitan) subgroup A. The findings revealed that while mutations were observed in both the LTR and Tax genes, they were not significant enough to bring about fundamental alterations. Despite positive selection detected in three Alborz isolates, it has not led to mutations affecting Tax function and virulence.

Arbitrage and non-linear taxes

AbstractIncorporating a progressive income tax into an economic decision problem raises the question whether this tax does not create arbitrage opportunities. We investigate this problem in a riskless (multi-period) economy. With a convex tax function we identify a particular kind of arbitrage (called bounded arbitrage): In this case the gain achievable through arbitrage trade is limited and cannot reach infinity.We are able to give a complete characterisation based on prizes of the traded assets as to whether bounded as well as unbounded arbitrage opportunities will exist.

Environmental regulation effect study of the environmental protection tax law during strict epidemic control: based on heavy pollution enterprises sample data test

The implementation of the Environmental Protection Tax Law was seriously affected by strict pandemic control. The Environmental Protection Tax Law imposed environmental taxes on enterprises based on measuring their pollution emissions to restrain their bad environmental behaviour and stimulate their green technological innovation ability. However, during the pandemic control period, the green technological innovation ability of enterprises was not developed. Therefore, it is necessary to optimize the environmental regulation effect of the environmental protection tax. This study is based on sample data covering heavily polluting enterprises in China collected from December 20, 2022, to January 7, 2023. It finds that the follow cost effect existed, but the value compensation effect obviously declined, which leading to a decline in the green technological innovation ability of heavily polluting enterprises. The study shows that although strict pandemic control maintained the environmental protection function of the environmental protection tax, it weakened the economic driving function, which will not only damage the long-term economic development potential but also make the environmental protection function unsustainable.Graphical

POWER AND TRUST: A MEDIATOR IN THE RELATIONSHIP BETWEEN PROCEDURAL JUSTICE AND TAX COMPLIANCE IN INDONESIA

This study analyses the connection between procedural justice, trust and power concerning tax compliance in Indonesia and investigates the mediating influence of trust and power tax authorities hold in this relationship. While various factors play a role in tax compliance behaviour in Indonesia, the country still struggles to achieve maximum compliance, falling short of international standards in terms of tax ratio. Only half of Indonesians have confidence in the tax system, and procedural justice is closely linked to power and trust. This study is groundbreaking as it is the first to investigate these three factors simultaneously in Indonesia. A quantitative approach was employed, with data gathered from 371 taxpayers and analyzed using the PLS-SEM method. The findings indicate that legitimate power and trust are positively associated with voluntary tax compliance and function as mediators between procedural justice and tax compliance. However, no correlation was found between procedural justice and tax compliance or between coercive power and tax compliance. To enhance taxpayer compliance in Indonesia, it is recommended to bolster trust in the tax authority and its jurisdictions. This study addresses a gap in the tax compliance literature. It enhances the theoretical framework, providing valuable practical insights for compliance improvement strategies, particularly for the Indonesian Directorate General of Taxes. The findings support developing more effective policies, improving tax education, and promoting transparency to strengthen public trust and compliance.

Dynamics of tax revenues as an indicator of strengthening the fiscal function of taxes

The importance of the fiscal function of taxes is due to the fact that without the receipt of financial resources into the country’s budget, most of which are tax revenues, the effective and normal functioning of the state is impossible. The implementation of the fiscal function of taxes also predetermines the possibility of implementing in the future other functions inherent in taxes.The article examines the leading role of the fiscal function of taxes in conjunction with other functions. An analysis of the dynamics of tax revenues of the consolidated budget of the Russian Federation and the structure of tax revenues for 2019–2022 is provided. The authors note an increase in tax revenues to the state budget, which indicates an increase in the implementation of the fiscal function of taxes.However, the process of increasing tax revenues is also an indicator of an increase in the tax burden, which is confirmed by the data of the Federal Tax Service presented in the article. Increasing the tax burden can lead to negative consequences for both the economy of the state and the country as a whole. In conclusion, the conclusion is substantiated that the growth of tax revenues to the state budget should be ensured through the development and implementation of new directions for improving the Russian tax system without increasing the tax burden of taxpayers.

Tax Function and Investment Decisions

Tax Function and Investment Decisions

НАЛОГОВОЕ АДМИНИСТРИРОВАНИЕ НДФЛ В СОВРЕМЕННЫХ ЭКОНОМИЧЕСКИХ УСЛОВИЯХ И ЕГО ПЕРСПЕКТИВЫ

The article is devoted to the changes that will affect the personal income tax in the near future. At the legislative level, they take the initiative to use this tax as an instrument of a fair, socially oriented state policy. On the one hand, the main function of taxes is fiscal, and they should serve as a source of stable financial revenues to the budget system of the Russian Federation, on the other hand, the personal income tax is designed to perform a social function. The experience of introducing a progressive scale of taxation – a 13% tax rate for incomes not exceeding 5 million rubles and 650,000 rubles + 15% from exceeding 5 million rubles was recognized as successful, personal income tax receipts are steadily growing. To date, various options are being considered for both the step of the progression itself and the initial amount of total income from which the application of the progressive scale will begin. A stable increase in tax revenues from the personal income tax and the implementation of a socially oriented state policy can be achieved with a competent tax policy, where not only a progressive tax scale is introduced, but also a bundle with a non-taxable minimum works.

УПРАВЛІННЯ ПОДАТКОВИМИ РИЗИКАМИ ПІДПРИЄМСТВА ЧЕРЕЗ ІНСТРУМЕНТ СТРАХУВАННЯ

The introduction of the newest tax risk management approaches has become more and more critical for Ukrainian enterprises. This paper analyzes and summarizes international experience in tax risk management and defines trends in this area. The author presents several recommendations for improving fiscal relations using an insurance coverage mechanism. The article also emphasizes the changes in tax relations determined by the development of information technology, as well as new opportunities and challenges associated with these processes. The methods used worldwide to manage these processes are analyzed in order not only to mitigate tax risks but also to implement necessary changes required to make tax function more efficient in a company. Given the complexity of tax regulations and the development of new instruments for managing tax risks, the author proposes to consider and put into practice the US experience, where, as a way of providing transparency and consistency in accounting for income tax liabilities, Interpretation No. 48 "Accounting for Uncertainty in Income Taxes" (FIN 48) was adopted in 2006 by the FASB. Practical foreign experience of insurance coverage for tax risks, uncertain tax positions, and the potential development of such insurance in Ukraine are outlined. It is noted that the essence of tax risk insurance is to cover possible financial losses incurred by a business entity as a result of changes in tax legislation or an unformed approach of court practice. It is determined that there are certain inconsistencies in the sectoral legislation regarding the absence of rules governing tax risk insurance. At present, the national legislation does not define tax risk insurance as an independent class of insurance (or its component), which reduces its effectiveness. The development of tax risk insurance in Ukraine could become an effective tool to help minimize business risks of monetary liabilities to the budget. The authors argue that there is a need for high-quality transformation in the transparency of business, accounting, financial, and tax reporting within relationships with tax authorities. In addition, it is determined how the implementation of the Standard Audit File (SAF-T) could affect the taxpayer's cooperation with the government and insurers in assessing tax risks.