TRANSFORMATION PERSONAL INCOME TAX IN UKRAINE

Abstract

The purpose of the article is to study the process of reforming the personal income tax since the independence of Ukraine and identify further areas for improvement of the modern system of personal income taxation.

The scientific novelty is to determine the historical aspects of the development of personal income tax, which has a significant impact on the current state of collection and payment of the tax at present. Perspective directions of improvement of mechanisms of accrual and payment of this tax are offered, which will promote filling of the state budget, will provide social equality of the population and social protection of poor layers of citizens of the country. The introduction of progressive tax rates will lead to an increase in budget revenues at all levels from the payment of personal income tax, subject to the official employment of employees and their receipt of wages in full without the use of surcharges "in envelopes". Also of great importance is the system of counteracting the development of the shadow economy, including schemes of tax evasion, which requires systemic changes in the financial and credit and fiscal policy of the state.

Conclusions. After analyzing the formation and development of personal income tax in independent Ukraine, it can be argued that this tax plays a key role in the budget system of the country, providing a significant share of budget revenues of Ukraine. This tax allows for the mobilization of funds that ensure the implementation of the state's functions and social policy. Participation in the payment of this tax to the majority of the country's population ensures social justice and equal receipt of services from the state as a result of its payment, as well as the fair distribution of national income among various segments of the population.

The introduction of a progressive taxation system, which will be a further area of research, will facilitate the redistribution of income from rich to poor, provided appropriate fiscal policy and counteract the development of the shadow economy, which will provide public authorities on the basis of appropriate legislation.