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We investigate whether the Tax Cuts and Jobs Act (TCJA) of 2017 motivated firms to increase capital investments. Using a unique approach that identifies firm-level tax benefits and incentives introduced by the TCJA, we find that firms that realized tax benefits increased their investment in fixed assets in the following year. Specifically, as a result of the change, an increase in forecasted earnings and an increase in nonrecurring tax benefits stimulated growth in capital investments. We also find that the investment-inducing effect of the TCJA was larger for firms with a higher cost of capital and for those with better alignment between management and shareholder interests. Although our study is not able to explain the long-term consequences of TCJA, it improves upon the previous literature demonstrating that the mixed findings of previous studies may be the result of the unequal distribution of tax benefits among firms. [ABSTRACT FROM AUTHOR]

This article provides an overview of the understanding of the concept of digital economy within Ukrainian legislation, legal doctrine, economic science, and documents from the Organization for Economic Cooperation and Development (OECD), particularly in Action 1 of the BEPS (Base Erosion and Profit Shifting) Action Plan, which aims to develop rules for the taxation of the digital economy. During the analysis, the author focused on defining the concept of digital economy, describing its characteristic features as a phenomenon, and examining its impact on taxation. Specifically, conclusions were drawn regarding the distinctive traits of the digital economy that contribute to the erosion of the tax base and the shifting of profits out of taxation, thus leadi ng to overall tax avoidance. Based on the conducted analysis, it was determined that Ukrainian legislation and legal science predominantly operate with a narrow understanding of the concept, equating the digital economy with activities in the IT sector. Economic researchers primarily interpret this concept as an evolution of business practices resulting from the industrial-technological revolution and a consequence of the digitization of business processes. The understanding of the digital economy within the OECD is similar to that found in Ukrainian legal science. Additionally, the article examined the characteristic features of the digital economy highlighted by the OECD, such as asset mobility, functions, personnel, sources of profit, data utilization and collection, and user participation in data creation and value addition. Furthermore, the research demonstrated why the narrow understanding of the digital economy in legislation and legal science negatively affects the lawmaker's ability to fairly regulate relationships in the realm of digital economy taxation. In conclusion, a hypothesis was proposed regarding the understanding of the digital economy as a socio-economic phenomenon. A definition of the digital economy was suggested to guide legislative efforts in regulating the digital economy, particularly concerning its taxation. [ABSTRACT FROM AUTHOR]

Devlet toplum için üretmek zorunda olduğu mal ve hizmetleri kamu harcamaları aracılığıyla yerine getirmektedir. Kamu harcamalarının en önemli ve en büyük gelir kaynağı vergilerdir. Vergiler firmalardan ve bireylerden karşılıksız olarak alınan ekonomik değerlerdir. Firmalardan ve bireylerden oluşan vergi mükellefleri, vergiye karşı bazı davranış ve tepkilerde bulunabilmektedirler. Vergi kaçırma, vergiden kaçınma, verginin reddi, vergi grevi, üretimden vazgeçme gibi mükellef davranış ve tepkileri oluşmaktadır.Türkiye’de vergilerin yapısı ve oranı gibi nedenlerden dolayı vergi mükellefleri vergi ödememek veya daha az ödemek yollarına girebilmektedirler. Toplanacak vergi miktarının azalması ise kamusal mal ve hizmetlerin miktarını azaltmakta ve kalitesini düşürmektedir. Bu çalışmada Türkiye’de vergi mükelleflerinin vergiye karşı tutumları ve bunların nedenleri üzerinde yapılan çalışmalar dikkate alınarak analiz edilecektir.

This study is devoted to a comparative analysis of different models of the risk-based approach used in tax administration in the BRICS countries. The risk-based approach is widely recognized as the fundamental basis for defining and legally consolidating the tasks of tax administration bodies in modern conditions. According to this approach, the objectives of the tax administration are to identify, prevent and minimize threats to tax security in the course of the implementation of the full range of administrative functions in the tax sphere, as well as to work towards overcoming the consequences of the realization of threats. The authors propose the following points for conducting a comparison of the BRICS countries using tax risk assessment: the implementation of risk assessment in the practice of tax administration and the quality of its legislative regulation, the impact of risk indicators on the behavior of taxpayers and the impact of risk indicators on the effective implementation of tax control measures. In general, there is a high degree of similarity among all aspects of the risk-based approaches adopted in the BRICS countries. However, the methods of implementation and levels of legal certainty in laws differ from country to country.

This article argues that tax is a hybrid of civil and common law, public and private law, and is cross-disciplinary. It observes that tax law has become an all-purpose tool for legislators. It seeks to demonstrate how the United States, a common law jurisdiction, has turned to civil law models for taxation while civil law jurisdictions and the European Union have become common law-like in applying general legal principles from constitutions and treaties and have sought common law models to combat tax avoidance. The ubiquity of tax and its public law influence on private law transactions, its cross disciplinary nature, and its deployment as a legislative tool to manage the economy make it a candidate for reform targeting cross-border uniformity and systemic convergence. Absent rare embedded cultural barriers in tax law, hybridity lends itself to assisting convergence of tax systems critical to a global and uniform tax system essential to global economic development., TABLE OF CONTENTS I. INTRODUCTION II. OVERVIEW OF TAX HYBRIDITY AND CONVERGENCE III. COMMON LAW/CIVIL LAW HYBRIDITY IN TAXATION IV. TAX UBIQUITY: PUBLIC LAW DRIVING PRIVATE LAW TRANSACTIONS AND FUELING [...]

Although optimal tax theory dominates both tax economics (1) and tax law scholarship (2) in the upper academic ranks, legal academics make remarkably little use of it in their day-to-day work. There are at least three reasons for this. First, the mathematics required to understand optimal tax theory are beyond the comfort level of most legal scholars. (3) Second, optimal tax theorists commonly base their normative claims in formulaic welfare maximization. (4) Many in the legal academy are unwilling to abandon more widely held theories of the good. (5) The electorate, after all, has yet to internalize Mirrlees's or Ramsey's equations. Third and perhaps most importantly, until recently even the most dedicated optimal tax theorists have viewed the theory as having relatively limited practical scope, relating primarily to rate structure and base definition at a high conceptual level. (6) Two decades ago, David Weisbach attempted to extend the methods of optimal tax theory to tax line-drawing (7)--the bread-and-butter of tax scholarship. He began with the premise that 'welfare is maximized by using the rate structure to meet distributional concerns and efficiency to solve line-drawing problems.' (8) Efficiency could be maximized, he argued, by looking 'at whether the sum of the cross elasticities with the taxed commodities is greater than or less than the sum of the cross elasticities with the untaxed commodities.' (9) In effect, he concluded, we should 'tax a commodity like its closest substitutes.' (10) In the years since its publication, Weisbach's proposal has made few inroads, in part for the same reasons that optimal tax theory itself has had limited practical impact on day-to-day tax scholarship--the difficulty of the mathematics and the foundational assertion that only efficiency should matter in drawing lines for tax purposes. In addition, in the typical case the relevant econometric data are not conveniently available. This is unfortunate. Although I am unwilling to accord efficiency the primacy that optimal tax theory gives it, in my view the behaviorally distortive effects of tax rules should be of concern regardless of one's normative perspective. Distortive effects are not merely inefficient; they affect fairness and administrability as well. We know, for example, that if the relevant supply or demand curve of a nominal taxpayer is elastic, she is unlikely to bear the ultimate burden of a tax or rule. (11) If so, the burden of a tax or rule that is supposed to be borne by one group may end up being shifted to others. (12) Tax shelters and the administrative problems they create similarly cannot be understood without taking into account the behaviorally distortive effects of the rules on which they rely. Part I of this article begins with an exploration of the relationship between efficiency, on the one hand, and fairness and administrability, on the other. Its purpose is to persuade tax scholars and policy makers who do not subscribe to optimal tax theory that they should care nonetheless about the problem of behavioral distortion. In the process, Part I offers a new and perhaps independently useful taxonomy of tax avoidance. Part II then proposes four nonmathematical principles which, consistently applied, should result in rules that minimize such distortion: 1. Tax liability should not turn on factors as to which taxpayer is relatively indifferent ('relative indifference '). 2. The least distortive tax base for any taxpayer is whatever that taxpayer would seek to maximize in the absence of taxation ('taxing the maximand'). 3. Taxpayers should be classified for tax purposes by reference to whatever it is they would seek to maximize in the absence of taxation ('classification by maximand'). 4. Taxes should not be based on numbers created primarily for tax purposes ('taxing economic reality '). The first is an approximate restatement of Weisbach's premise that one should 'tax a commodity like its closest substitutes. ' (13) The remaining three are corollaries of the first. None require the use of econometric data, although such data may usefully inform their application. All else being equal, rules consistent with these four principles are more likely to be efficient, more likely to effect intended distributive goals, and less likely to invite tax avoidance than rules that are not., TABLE OF CONTENTS I. BEHAVIORAL DISTORTION AND THE GOALS OF TAX POLICY A. Efficiency and Distributive Justice B. Efficiency and Tax Avoidance II. FOUR PRINCIPLES OF OPTIMAL TAX SYSTEM DESIGN [...]

Sales tax is generally not included in the advertised price quoted to consumers in the United States. In contrast, value added taxes (VAT) are embedded into the price in most other countries. This article investigates how the two different pricing structures and consumers' decision-making process affect the intensity of price competition. The two pricing structures yield identical market outcomes with fast-computing consumers who are willing and able to recompute the exact sales tax each time there is a price change. With slow-computing consumers, prices and profits are higher when sellers quote and compete in prices without sales tax. In this case, a model extension with two-stage decision making shows that the entire tax burden is shifted to the consumers when they completely ignore sales tax during their initial search. Key words: price competition, price comparisons, sales tax, value added tax, fast and slow-computing consumers, mental accounting, inattention, consumer decision making JEL classification: D43, H29, L13, M3, 1. Introduction The last stage in the supply chain of any product or service is the final sale to the consumer. Governments levy a tax on this final transaction which [...]

The article analyzes the legal nature of crypto assets in Russian legislation and the specifics of their taxation, focusing on the need to form a legal framework that promotes effective protection of the rights of participants in the turnover of crypto assets.The methodological basis of the research is the dialectical method, the formal logical method, the formal legal method and the method of interpretation of law.The lack of a unified terminology base in the field of digital economy in Russian legislation creates additional difficulties in creating comfortable conditions for the development of the crypto asset market. Currently used various terms such as “virtual assets”, “digital assets”, “crypto assets”, “cryptocurrency” are not fixed in the current legislation. At the same time, the terms existing in Russian legislation do not allow for effective regulation in the field of taxation and civil turnover, since they intentionally exclude the most common crypto assets from their scope. Without clear and unambiguous legal regulation, it is difficult to ensure proper control and taxation of transactions with crypto assets, which can lead to significant tax losses and a decrease in budget revenues.Moreover, the concept of “digital currency” used in Russian legislation does not correspond to the generally accepted meaning in international practice and is mainly considered in an economic context, rather than in a legal one. Such a discrepancy in terminology creates additional difficulties for participants in the cryptocurrency market and creates obstacles to the formation of an effective legal framework for the regulation of the digital economy. According to the results of the study, it was concluded that the current approaches to the development of the terminological apparatus of the regulation of crypto assets have flaws, since they allow for a mixture of concepts and do not imply the formation of a clear hierarchy. The definition of “the digital asset” is proposed for the purpose of filling existing terminological gaps in the current legislation.

The article explores the peculiarities of harmonizing legislative norms of financial and tax law within the framework of public legal regulation. It is established that the norms of financial and tax law shape the rules for managing the financial system and taxation, contributing to a balance between the state’s needs for financial resources and the preservation of economic stability for citizens and businesses. The demarcation of norms of financial and tax law by the subject of regulation is characterized, emphasizing the common method of legal regulation. It is determined that the norms of financial law regulate budgeting, financial planning, state debt, financial accounting, financial stability, and additional sources of funding. Norms of tax law cover tax rates, tax incentives, tax accounting and reporting, and combating tax evasion. It is noted that due to the common features and subject of legal regulation, conflicts arise between the norms of financial and tax law. It is established that the public legal regulation of conflicts between the norms of financial and tax law involves a systematic and organized process aimed at harmonizing legislative norms and resolving conflicts through the activities of the executive authorities of Ukraine. The competencies of central executive authorities that contribute to the harmonization of norms of financial and tax law are characterized. It is determined that the Cabinet of Ministers of Ukraine, the Ministry of Finance, the State Tax Service, the Ministry of Justice, and the National Bank of Ukraine play a key role in resolving conflicts and coordinating strategies in the financial and tax sectors. It is noted that central executive authorities coordinate and cooperate for systematic conflict management and the achievement of harmony in financial and tax legislation. The efficiency of harmonizing norms of financial and tax law is ensured by creating an Interdepartmental Committee, conducting consultations and discussions, as well as adopting and implementing harmonized subordinate legislative acts. Attention is drawn to the fact that the effectiveness of harmonizing norms of financial and tax law is determined by the efficiency of the procedure for developing harmonized subordinate legislative acts conducted by central executive authorities. [ABSTRACT FROM AUTHOR]

The article deals with the main directions of harmonization of Ukrainian tax legislation in accordance with the EU standards, key measures to optimize the taxation system of Ukraine in accordance with European norms. Considerable attention is paid to the harmonization of Ukraine's tax policy with the approaches used in the EU. The article identifies the main principles and objectives of the EU tax policy, analyses the priority areas for improving the Ukrainian tax system in the context of its adaptation to European standards. The author emphasizes that direct taxation in the EU is based on harmonization of standards for taxation of individuals and legal entities, especially in the context of preventing tax evasion and resolving the issue of double taxation. Ukraine has already implemented some European and international standards, which helps to stabilize the basic principles of taxation, create a coherent tax base and improve the mechanisms of tax assessment and collection. The author comes to the conclusion that at the present stage the main difficulties of the Ukrainian tax system include: predominance of the fiscal function of taxes over the regulatory function; numerous regulations from other areas of law which partially regulate tax relations; insufficient level of legal guarantees for all participants of tax relations. Considerable attention is paid to the analysis of international experience in the field of indirect taxation, which demonstrates the effectiveness of accumulating tax revenues for economic development, supporting low-income groups of the population, stimulating scientific and technological progress and increasing the country's labor potential. The article suggests ways to overcome the challenges in harmonizing the tax legislation of Ukraine and the EU. Integration into the EU is a priority of Ukraine's foreign policy, and harmonization of legislation is an important step in this process. Improving the efficiency of the tax system contributes not only to the financial stability of the state, but also to the intensification of business activity. [ABSTRACT FROM AUTHOR]

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From the standpoint of social development, the family cannot be considered the basis of the authoritarian state, only as one of the most important institutions which support it. It is, [...]

Tax is a complex legal and economic category, conditioning the functioning of the state, affecting the entire economic circulation. The economic significance of the tax is related to the change in the income and property situation of the subjects paying the tribute. Payment of tax influences the decisions made by economic agents in the sphere of savings, consumer spending or economic decisions. Taxes are the primary means of collecting public revenue and financing expenditures. It should be emphasized that, from the point of view of the science of finance, any economic, legal phenomenon that has all the above-mentioned characteristics is a tax, even if the name used by the legislator indicates a completely different nature of the legal and economic relationship, e.g. customs duty, fee, contribution, "voluntary payment", etc. There is a consensus in the literature that a tax should be characterized by six features: gratuitousness, compulsory, non-refundable, monetary form, generality and unilateral imposition.

Purpose. The purpose of the article is to comprehensively study the place and structure of financial law in the legal system of these States, based on scientific developments and analyzing the laws of Germany and Ukraine, and as a result to identify common and distinctive features and to draw the author’s own conclusions on the expediency of identifying the financial law of these two States. Methodology. In order to achieve the set goal, a comprehensive analysis of the available information regarding the analyzed problem was carried out and conclusions and proposals were formed on their basis. The following methods of scientific knowledge were used during the research: dialectical, systemic-structural, terminological, systemic-functional, historical, normative-dogmatic, generalization method. Originality. As a result of the study, a comparative legal analysis of the financial law systems of Ukraine and the Federal Republic of Germany is carried out. The place of budgetary and tax law in the legal systems of these countries is investigated. The author examines the grounds for separating tax and budget law of the Federal Republic of Germany into separate branches. The author draws conclusions about the place and structure of financial law in the legal systems of the two states under study. Scientific novelty. The analysis shows that each country of the world gradually created its own financial system by finding the most effective mechanisms for optimizing the reproduction process, and this led to different views on the internal structure of the legal provisions which ensure the financial activities of the State. The issues of the place of financial law in the system of law of the world’s leading countries and its structure remain relevant today, since it is the instrument of legislative formalization and practical implementation of financial policy and has an active impact on the socio-economic development of the State and society as a whole.Practical significance. The author establishes that the German legal system is one of the most developed and systematized in the Romano-Germanic legal family, which includes Ukrainian law. The German legal system is often analyzed by scholars from other countries with a view to finding mechanisms for improving their own legislation. The analysis of the system of financial and legal norms of Germany will reveal the peculiarities of legal regulation of financial activities of this state and will allow identifying common and distinctive features between the financial law systems of Ukraine and Germany.