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Pension provision in our country has undergone many reform processes directly and as part of the financial and social system of the state. The relative stability of the pension system is successfully tested even during martial law. The pension system of Ukraine is historically complex, three-level, regulated by many laws and instructions, and divides citizens into certain categories. One of the three levels is a voluntary accumulation system, which is represented by non-state pension funds (NPF) with different structures. The article examines the accumulation model with historical data on a typical example, builds regression models, and uses econometric analysis to extrapolate data for the next decade. According to the results of the study, it was found that regularly saving 10% of the average salary can preserve the standard of living of a retired citizen compared to the period of work, especially when using the tax credit mechanism.

Innovation technologies penetrated all spheres of economy in many countries of the world and Uzbekistan is one of them. The reforms being carried out in social and economic life of the country require innovation ideas and technologies. The article analyzes positive overseas experience and practice of using tax systems, which can promote the development of innovation activity and shows the impact of taxation on innovation activity. The subject of the research is mechanism of tax motivation of innovation activity at enterprises of real sector of economy. The author proposes steps aimed at improving economic efficiency of tax motivation in the field of innovation activity of enterprises in the Republic of Uzbekistan, as taxation system plays the most important role in supporting innovation. Mechanisms of tax motivation include creation of such conditions that can promote demand for innovative products and investment into new technologies.

This paper delves into the critical role of tax credits, specifically Sections 45Q and 45V, in the financing and economic feasibility of low-carbon-intensity hydrogen projects, with a focus on natural-gas-based hydrogen production plants integrated with carbon capture and storage (CCS). This study covers the current clean energy landscape, underscoring the importance of low-carbon hydrogen as a key component in the transition to a sustainable energy future, and then explicates the mechanics of the 45Q and 45V tax credits, illustrating their direct impact on enhancing the economic attractiveness of such projects through a detailed net present value (NPV) model analysis. Our analysis reveals that the application of 45Q and 45V tax credits significantly reduces the levelized cost of hydrogen production, with scenarios indicating a reduction in cost ranging from USD 0.41/kg to USD 0.81/kg of hydrogen. Specifically, the 45Q tax credit demonstrates a slightly more advantageous impact on reducing costs compared to the 45V tax credit, underpinning the critical role of these fiscal measures in enhancing project returns and feasibility. Furthermore, this paper addresses the inherent limitations of utilizing tax credits, primarily the challenge posed by the mismatch between the scale of tax credits and the tax liability of the project developers. The concept and role of tax equity investments are discussed in response to this challenge. These findings contribute to the broader dialogue on the financing of sustainable energy projects, providing valuable insights for policymakers, investors, and developers in the hydrogen energy sector. By quantifying the economic benefits of tax credits and elucidating the role of tax equity investments, our research supports informed decision-making and strategic planning in the pursuit of a sustainable energy future.

Starting this year, we are witnessing a significant modified tax regime for corporate tax paying microenterprises/companies that want to obtain tax credit for the sponsorships made. For the sponsorships granted starting from 2022 there is no longer the possibility of reporting the amounts undeducted from the enterprises’ income tax/corporate tax. By exception, Law No. 322/2021 provides transitional provisions, in so far as the carryovers are still possible until 2028 inclusively for the sponsorships granted until the end of 2021. If the companies provide sponsorships, and their amount is lower than the available tax credit, the remaining difference may be redirected in maximum six months from the legal term for submitting the annual corporate tax statement/the microenterprises income tax statement corresponding to the fourth quarter. The option to redirect the remaining difference can be made by the taxpayer by filling in and submitting Form 177, and this redirection is also made for sponsorships. With some exceptions provided by the Order of the Chairman of the National Agency of Fiscal Administration No. 1679/2022, the beneficiaries of the amount redirected from the tax must be enrolled on its payment date in the Register of entities/units of worship for which tax deductions are granted.

This policy brief proposes a tax credit with related qualifying conditions that address the serious deficiencies related to abuse and neglect found in the current for-profit long-term care space. It also seeks to address the lack of government accountability for huge outlays of taxpayer dollars in the form of Medicare and Medicaid payments to these facilities, much of which results in maximizing profits for wealthy investors at the expense of vulnerable individuals with limited voice. Our proposed policy arrangement alters the organizational DNA of the for-profit organization, including the moderation of profit, to circumvent the existing financial incentives that are driving the mistreatment and malpractice so evident in the system. It aims to achieve this through four policy components including social financing, a sliding dividend cap, employee-ownership, and limits on complex corporate structures which are tied to a tax credit. This multi-faceted policy idea is intended to start the discussion around a possible path forward.

A taxpayer has a different interpretation about compensation for capital loss in the USA with taxable income in Indonesia from the tax authority (DGT). This compensation is related to foreign income tax credit. Tax court states that if the capital loss is recognized in calculating the foreign income tax credit, the capital loss must be considered in calculating the taxable income. By using the case in the tax court decision in Indonesia and analysis of existing regulations, this paper finds that are multiple interpretations in a regulation. The capital loss in the USA only can be compensated in the USA, not in Indonesia. This paper finds that besides the actual tax payments, the calculation of foreign income tax credit can use the tax rates in the tax treaty and effective tax rate from tax payment in a foreign country. The existing tax regulations should be revised to reduce multiple interpretations.

Providing a fiscal function, tax calculations are one of the key processes in the activities of enterprises. A study of the practice of using modern software products for accounting automation showed that even powerful decision support systems such as SAP cannot provide ease, efficiency and clarity of conducting business operations in compliance with historically established tax laws and accounting procedures. At the same time, VAT calculations are the most laborious, since they significantly depend on the peculiarities of the tax legislation of each country. The article reveals the key directions for improving the process of making calculations for VAT using the SAP ERP system. Taking into account practical experience, the main difficulties in complying with the regulatory requirements of Ukrainian legislation in accounting of business transactions in SAP ERP are highlighted. The features of tracking the first event in VAT-related transactions with the display of accounting procedures on the example of product sales were disclosed, taking into account the technical features of the information system. The methodological and technical reasons for the impossibility of full automation of tracking the first event were shown, based on the practice of Ukrainian enterprises. The standard process for calculating a tax credit for VAT in the SAP ERP system was outlined. It was determined that the existing procedures not only meet the requirements of the current legislation, but also provide significant efficiency in the rapid achievement of correct reporting indicators. To expand the automation of the accounting process, authors' substantiated recommendations were provided, some of which were implemented in the SAP program, in particular, the mass creation of accounting documents in the system and the assignment of status for electronic tax documents in individual cases determined by the current regulatory framework.

About 30% of single mothers in the US live at or below the poverty line. Poverty is associated with higher risk of depression and substance use. We investigated associations between state earned income tax credit (EITC) policies and reported depressive symptoms and alcohol misuse among birthing parents who responded to Pregnancy Risk Assessment Monitoring Survey spanning 1990–2017. Nearly half of birthing parents reported no more than a high school education (45.4%; 95% CI: 45.3%–45.6%). An estimated 28.5% of birthing parents reported binge drinking in the three months prior to conception (95% CI: 28.3–28.8%). Among birthing parents, each 10 percentage-point increase in the generosity of state EITC relative to the federal EITC was associated with a lower prevalence of binge drinking (prevalence ratio = 0.96; 95% CI: 0.93–0.99) prior to conception. This association was more pronounced among birthing parents with no more than high school education (prevalence ratio = 0.92; 95% CI: 0.88–0.97). There was no association between state EITC and number of reported depressive symptoms prior to conception or after birth, except among those with lower educational attainment (prevalence ratio = 0.94; 95% CI: 0.89–0.99). Anti-poverty policies such as EITC may reduce the burden of alcohol misuse, especially among people with children.

The relevance of the research is due to the need to improve the mechanism of state financial support for industrial production in the framework of stimulating the innovative development of the economy. The subject of the research is tax incentives for enterprises in the system of state financial support for industrial production.The purpose of the research is development of measures to improve the efficiency of tax incentive instruments for industrial enterprises based on the assessment of their effectiveness in modern conditions.When the national economy is unstable due to international sanctions against Russia, as well as internal factors, the need to form a core of industrial production capable of ensuring economic growth through the introduction of advanced technologies is of particular importance. In this regard, the article systematizes state measures aimed at supporting the activities of industrial enterprises used in the Russian economy and in the Republic of Adygea, in particular. The best foreign experience in tax incentives for industrial production in comparison with the Russian model of applying tax incentives has been summarized; tax expenses of the budgets of the budget system of the Russian Federation by types of taxes and types of state programs related to the development of industry have been analyzed; priority measures have been developed to reduce the tax burden of industrial enterprises.

The Superbonus is an Italian tax relief policy aimed at encouraging residential buildings’ energy and seismic efficiency. Only the energy part of the legislation is analyzed here. The tax deductions of the Superbonus exceed the nominal value of the project, making the interventions convenient even for economically disadvantaged citizens and small construction companies. However, the measure has only found wide diffusion in single-family housing, while it proceeds more slowly for multi-family buildings, where procedural complexities greatly amplify the risk of the financial failure of projects. The purpose of the paper is to analyze how urban planning and technical and administrative problems affect the Return on Investment (ROI) when the Superbonus is applied to multi-unit buildings. Therefore, a financial risk analysis is conducted from the perspective of an ordinary Energy Service Company (ESCo), which assumes the burden of carrying out energy efficiency measures. The property considered has all the requirements of an ordinary multi-family building for which the Superbonus is generally used. The works considered are also those carried out most frequently. The study shows that only three out of five energy interventions are financially sustainable. This result is in line with the data provided by the Italian Revenue Agency.

This research analyzes the effects of tax imposed on capital flight in the industrial import sector of Riobamba – Ecuador. The Ecuadorian government imposes taxes on capital flight to protect the economy from capital outflow. The aim of the research is to determine the appropriate use of tax money to optimize business resources. Data collection and analysis of the current corporate structure led to a financial diagnosis of the companies. Besides a comparative analysis on the use of tax money according to current regulations was made in order to disclose the effects on companies’ profitability. The results show that using this tax as a credit is the best option for the taxpayer.

In conditions of limited resources, the government is looking for the most effective way of supporting and innovative development of priority sectors of the economy. Despite the fact that the question of the correlation between direct and indirect methods of stimulating investment and innovation activity remains open, more and more economically developed countries make a choice in favor of tax incentives and preferences. The need of finding the effective mechanisms of stimulating R&D in order to develop knowledge-intensive industries, creation of favorable conditions for innovation activity in the country - all of these confirm the importance of additional restructuring of the taxation system of the innovation sector of the economy. The most common form of tax incentives for innovation activity is tax credit. Based on the analysis of a wide range of foreign studies on the effectiveness of applying a tax credit for stimulating innovation activity, the article discusses and systematizes the positive and negative aspects of applying incremental and volume tax credits for R&D. In the study were used the method of comparative analysis to confront the experience of using different types of tax credit in different countries, the methods of cause-effect and system analysis to identify the main positive and negative aspects of applying volume and incremental tax credits. Based on dialectical method of knowledge, the directions of improving the mechanism of incremental tax credit were formulated. As the result of the analysis the assessment of applying the incremental tax credit for R&D in the existing tax system of Russian Federation and the recommendations for its transformation for increasing the effectiveness are given.

The personal income tax, which has a significant influence on total tax revenue, has been part of the Czech tax system since 1993. The main objective of this paper is to evaluate the dependence of tax revenue on the personal income tax based upon a dependent activity related to tax relief for the taxpayer, namely the tax credit for children in the Czech Republic in the period of 2008 - 2017. Another objective is to analyze the dependence on the valorization of the tax reliefs and tax credit claims. The database of the Czech Statistical Office and the Ministry of Finance of the Czech Republic is used as a source of input data for the analysis. To achieve the objectives of the paper, methods of description, comparison, analysis, synthesis, as well as regression and correlation analyses are used. The results of the analysis show that the tax credit for children has a positive effect on tax revenue. The amount of the tax advantage for children has almost doubled in the last 11 years. On the other hand, general tax relief for all taxpayers has not been valorized since 2008. The existence of a certain non-taxable minimum is typical for personal income tax systems around the world tax, and the valorization in the Czech Republic did not show a negative impact on the tax system’s competitiveness. Increasing the amount of deductions might be non-effective from the perspective of the state, but the results of this study show that the effect on personal income tax revenue in the Czech Republic is the opposite. The projected value and uniqueness of the article is not only in the analysis of dependencies of selected tax allowances upon each other, but also in the context of tax revenue and selected macroeconomics indicators.

The research objective of this article is to examine the Economic Recovery Tax Act of 1981 (ERTA) on innovative efficiency, which measures how effectively firms convert research spending and existing human capital into new patents and products. Research method- wise, this study measures innovative efficiency by dividing the number of new patents to average R&D expenses and analyses how innovative efficiency changed after the ERTA using regression. The main conclusion is that the ERTA tax credit decreased innovative efficiency and competitions for research resources could explain this reduction. These findings provide new insights on the effectiveness of R&D tax policies from the efficiency perspective. Policy makers should consider these findings when designing R&D tax policies in the future.

Purpose: the article is aimed at studying the present state and current trends in R&D activities of France in the context of French state scientific policy. For that purpose the French scientific policy’s main areas and instruments were analyzed, the principle shifts were highlighted. The transformation of the French scientific policy was examined and assessed.Methods: in the article there were used such methods as description, comparison, system principle, analytical approach and tabular method.Results: by research findings the course of the French scientific policy’s transformation under the EU influence was stipulated. The crucial, to the author’s mind, areas of the French scientific policy were defined. Some current development trends of the French R&D activities’ were stipulated.Conclusions and Relevance: it was proved that under the EU influence France is gradually shifting away from its traditional tough regulation of the national innovation system toward stimulating private innovations and developing R&D infrastructure. Among crucial areas and instruments of the French scientific policy there were: direct financing; providing tax reliefs; regionalization and clusterization; support of SMEs; development of universities’ research potential; stimulating cooperation between research institutions, just as between research institutions and industrial firms. Among crucial trends of change there were: R&D expenditures increase among universities and industrial companies, including fundamental research R&D; state research institutes’ R&D expenditures downfall in 2010 and their further stagnation; attempts to copy some US innovation development experience. It was shown that the reforms implemented, though get some increase of R&D activity of commercial firms, are not effective enough, according to some experts, because of bureaucratization and sometimes come down to creation of new bureaucratic institutions or their merging.

This policy memo proposes and simulates the effects of a two-tier, nonrefundable tax credit for charitable contributions. A two-rate credit would expand access to tax incentives for charitable contributions to most Americans and increase charitable giving significantly, with substantial cost savings compared to alternative policy changes.

La custodia del territorio en España posee una tradición ya asentada, de manera que se pueden contar por miles los acuerdos suscritos entre propietarios de terrenos con valor ambiental, y entidades de conservación. En cambio, las altas cifras de utilización de la custodia como sistema de aseguramiento de protección ambiental, contrastan con los escasos incentivos con que cuentan los propietarios de terrenos sometidos a custodia en las diferentes Comunidades Autónomas. Es tarea de este trabajo, analizar el sistema de incentivos a la custodia del territorio en EEUU, ampliamente reconocido a nivel internacional, tanto por sus beneficios como por su eficacia en términos de protección ambiental, y realizar una propuesta de transposición a la legislación española de su principal herramienta desgravatoria: el tax credit.

In modern conditions activity of small innovative business, as the most flexible component of the innovation economy of the country is particularly important. However, due to the specifics of their activities small innovative business needs state support, including in the field of a tax policy. In this connection, consideration of tax incentives for small innovative business activity is relevant and timely. The purpose of this study is to identify the main directions of improvement of tax incentives for small innovative business in Russia through the use of foreign experience. The study used data analysis and comparisons to identify features of the tax incentives of small innovative business in Russia and abroad. In determining the main directions of improving, the study used the method of forecasting on the basis of the results of the analysis and comparison. The article described the basic instruments of tax incentives for activities of small innovation business in Russia. The article analyzed foreign experience of application of tax privileges and preferences. The article developed and substantiated recommendations on the improvement of the Russian system of tax incentives of activity of small innovative business. The authors make conclusion that the Russian system of tax incentives is ineffective and needs to be reformed by increasing the number of tax benefits, and the development of a special tax regime through the use of foreign experience.

An aim of the author’s considerations contained in the article is to describe the models of tax incentives supporting research and development activity carried out by enterprises in European Union countries, with a particular consideration of Polish solutions as well as their attractiveness from the enterprises’ point of view. To achieve the objectives there were analyzed reports and surveys conducted by international organizations as well as presented the generosity level of tax incentives in different countries. There is also evaluation of Polish legal regulations supporting R&D activities, pointing out the potential directions of change in tax law.

Due to the increase of the economic pressure on households, it is increasingly more difficult to balance family life and economic activity. Reasons for this evolution can be the increased labour market participation of women, the ageing of the population to name a few. Within the EU, different systems to offer assistance in creating a balanced social and economically active life have been established in numerous countries. However, the aims, results and general scope of these national policies differ.The main focus of this paper will be the Belgian situation, i.e. the voucher system (services cheques). Starting with a general view of the reasons of existence of family-support services, followed by the different support services policies offered in various European countries, the Belgian situation will be discussed.The voucher system in Belgium has encountered an explosive boom which brings unexpected results and side effects. These affect the country’s social economical system. The paper discusses the evolution of the system. What are the reasons for the unexpected success? What are the economic and social consequences for a modern active welfare state, can growth be limitless? The paper will attempt to provide answers on these questions raised.

Indirect land use change, an agricultural market leakage, has been a major controversy over the Environmental Protection Agency’s (EPA) requirement for corn-ethanol to reduce greenhouse gas (GHG) emissions by 20 percent relative to gasoline it is assumed to replace. This paper shows that corn-ethanol policies generate far greater carbon leakage in the fuel market itself. Hence, corn-ethanol does not meet EPA’s threshold, regardless of ethanol policy and whether one includes emissions from land use change.

Abstract In many countries, newspapers receive indirect financial support through VAT exemption schemes. Recently, however, a tax credit scheme based on editorial costs has been suggested as an alternative. Tax credit schemes are widely used in OECD countries to promote R&D investments, but so far have not been used to promote journalism, which is another form of knowledge production. We discuss the economic justification for media support and how the two forms of indirect media support influence the industry. Economic theory suggests that a tax credit would increase editorial quality, while VAT exemption would be more efficient in promoting media diversity.

Families with children are traditionally the target group of the social system in developed countries. This paper deals with one component of family policy in the Czech Republic, which is household entitlement. The main focus is on the child tax bonus (hereafter CTB). The paper is divided into descriptive and methodological-analytical parts. The descriptive section provides basic information about the beneficiaries of CTB. In the latter section we formulate research questions about the impacts and effects of CTB. We discover that the influence of tax instruments has grown in recent years. The amount of the tax bonus for children exceeded CZK 3 billion in 2009, with almost 22% of all households with children eligible. Although CTB is income-tested, its redistributive impact is rather small – approximately 80% of recipients cannot be considered as poor. Outcomes from our microsimulation model reveal that 82 to 86% households with CTB were at the same time modelled as eligible and therefore we can use microsimulation techniques for future analyses of policy change.

The United States has used tax credits and mandates to promote ethanol production. To offset the tax credits received by imported ethanol, the United States instituted an import tariff. This study provides insights about the quantitative nature of a U.S. trade policy that would establish a free-market price for ethanol, given the U.S. ethanol mandate and tax credit. The theoretical results from a horizontally related ethanol-gasoline partial equilibrium model show that the United States should provide an import subsidy rather than impose a tariff. The empirical results quantify that this import subsidy is 9 cents, instead of a 57 cent import tariff, per gallon of ethanol.

The article offers a systematic review of tools and mechanisms utilised by developed countries (United States, Japan, EU) to pursue their innovation policies, and classifies methods which support innovation and ways that help to strengthen the innovation capacity. It describes the evolution of research and development (R&D) policy in other countries. The article examines arguments in support of a trend in the innovation policy which promotes the development of national innovation systems. It reviews the substance and components of the national innovation system. It also explores the trends of R&D cooperation. The article outlines the variety of domestic tools which regulate innovation in EU countries (framework programs, the European Research Area Initiative.

An aim of the author’s considerations contained in the article is to describe the models of tax incentives supporting research and development activity carried out by enterprises in European Union countries, with a particular consideration of Polish solutions as well as their attractiveness from the enterprises’ point of view. To achieve the objectives there were analyzed reports and surveys conducted by international organizations as well as presented the generosity level of tax incentives in different countries. There is also evaluation of Polish legal regulations supporting R&D activities, pointing out the potential directions of change in tax law.

In July 2013, the Italian photovoltaic (PV) support policies changed the feed-in tariff (FIT) mechanism and turned to a tax credits program, which is currently in force. The aim of this paper is to investigate how such a radical change has influenced the electricity demand coverage of the PV systems installed in urban contexts. A methodology, which connects the economic assessment to a detailed architectural and energy suitability analysis, was applied to some case studies to analyse the relationships between the physical parameters related to multi-storey buildings (roof shapes, number of floors and area of flats) and the most relevant economic and financial features affecting the viability of rooftop PV systems. The study, which considers only the electricity produced by the PV systems that are economically profitable, highlighted that the tax credits scheme is even more effective in covering the electrical consumption of densely urbanised Italian city districts. The results, which are significantly influenced by the latitude of the analysed districts, underline the opportunity for governments to adopt PV promoting policies that are more sensitive to the amount of solar energy available in the different regions of their national territory.