JEL Classification: E62, H21, H26. | DOI: https://doi.org/10.31521/modecon.V18(2019)-13 |
Lagodienko N., Ph.D. (Economics), Associate Professor, Mykolayiv National Agrarian University, Mykolayiv, Ukraine
ORCID ID: 0000-0003-3528-0519
e-mail: lagodienko@mnau.edu.ua
Kostenko T., Applicant for Higher Education of Accounting and Finance Faculty, Mykolayiv National Agrarian University, Mykolayiv, Ukraine
ORCID ID: 0000-0003-4687-4574
e-mail: tanya120695@ukr.net
Rudichenko M., Applicant for Higher Education of Accounting and Finance Faculty, Mykolayiv National Agrarian University, Mykolayiv, Ukraine
Optimization of Tax Planning at Ukrainian Enterprises
Abstract. Introduction. The article deals with the possibilities of tax planning optimization in the conditions of increasing tax pressure on the payer enterprises, which induces the latter to evade taxes and this is a crime for the state. At the same time, the use of possible legal methods by enterprises to minimize taxes makes it possible to withstand financial difficulties. Tax optimization is one of the most important tasks of financial management, which reduces the amount of tax liability due to the full use of the benefits provided by law, tax benefits and other legal benefits. The main difference between tax optimization and tax avoidance is using by taxpayers ways permitted or not prohibited by the legislation to reduce the number of tax payments without violating the legislation. In this regard, such actions of the taxpayer are not a tax offense or a crime and, accordingly, do not entail adverse consequences for the taxpayer, such as tax deductions, as well as the imposition of financial sanctions.
Results. Consequently, it is often difficult to determine the limits of the permitted behavior of taxpayers in the process of practical activity, since legitimate to minimize taxes and avoidance of payment are often closed to each other and the boundary between them is vague and not obvious. So, if the choice of methods provided by the current legislation and actions are not illegal, then they can be identified as optimization of taxation. In other words, if the real purpose of the taxpayer is the realization of economic activity aimed at profit, regardless of the chosen method of its management, and not the avoidance of taxation, then such an entity acts following the law.
Conclusions. Tax planning is organizational measures within the framework of the current legislation related to the choice of time, place and activities, creation and maintenance of the most effective schemes and contractual relations, to increase the cash flows of the company by minimizing tax payments. Tax planning is about maximizing revenue by minimizing taxes. When minimizing taxes, it is necessary to achieve an increase in all types of financial resources of the enterprise.
Keywords: tax planning; optimization; tax payments; tax burden; tax minimization.
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Received: 04 December 2019
How to quote this article? |
Lagodienko, N., Kostenko, T. & Rudichenko, M. (2019). Optimization of tax planning at Ukrainian enterprises. Modern Economics, 18(2019), 79-84. DOI: https://doi.org/10.31521/modecon.V18(2019)-13. |