Nikitishyn A. Tax regulation of socio-economic development of the country

The economic essence of tax regulation in the conditions of economic transformations as a component of the state regulation system of the socio-economic development of the country is revealed. That system ensures optimal interrelation between elements of tax architectonics, considering economic dynamics, changes of the institutional environment, and creates opportunities to increase the fiscal efficiency of tax mechanisms as a part of government financial policy. In this paper, we determined the essence of the system of formation and implementation of taxation mechanisms in conditions of economic cyclicality, which provide for the definition of a functional model of tax regulation, taking into account the level of development of relevant financial and economic relations, based on institutional-dynamic ratios of real gross domestic product and tax revenues. The basic directions to increase the efficiency of the system of tax regulation of economic branches by a strengthening of efficiency of fiscal stimulation are substantiated. A system-synergetic approach to the interaction of components of tax relations at the national and local levels is proposed. It is based on ensuring their coordination in the regulation of taxes on a complimentary basis to achieve fiscal, economic, and social balance to strengthen fiscal and social security, to foster economic development of the country, and territorial communities, to achieve a multiplier effect implementation of tax policy. The experience of the formation and implementation of tax regulation policy in countries with advanced and transformational economies is generalized and systematized. We also improved the methodological basis for assessing the effectiveness of fiscal policy under decentralization; approaches to disclosing the mechanism of tax regulation of the country’s social development; provisions on strengthening the tax and budgetary security; approaches to strengthening the effectiveness of tax regulation of human capital development; basic principles of formation and development of the institutional architecture of tax regulation. Methodological approaches to assessing the impact of institutional transformation of tax regulation on budget revenues in the medium and long term have been further developed; basic principles of development of the tax regulation system as a component of the government social policy; provisions to increase the level of effectiveness of environmental taxation; approaches to identifying priority areas for improving the efficiency of tax regulation, which will help create appropriate conditions for the formation and implementation of effective tax policy.