The tax system is an effective instrument of state policy
The tax system is a complex of taxes andThe fees levied on business entities and ordinary citizens in accordance with the relevant legislation (for example, the Tax Code). The necessity of its existence is determined by the functional state tasks, and the stages of development depend on the historical features of the evolution of statehood. In other words, the organization and structure of the tax system should characterize the level of the country's statehood and the development of its economy.
Principles of construction
The tax system is a set of receipts,charged to budgets of various levels, the construction of which is carried out on the basis of certain principles in accordance with the Tax Code and the Constitution of the Russian Federation. The domestic tax system is characterized by a three-level type, implying a division into federal, regional and local taxes. This type fully corresponds to the world practice of various federal countries.
As the main principles of the tax system, special attention should be paid to:
- each person must pay taxes and fees in a timely manner;
- taxes are not discriminatory and can not be used in various ways, based on racial, social or religious criteria;
- differentiated rates are not applied, as well as certain benefits, based on the forms of ownership, the place of formation of capital or citizenship;
- arbitrariness in determining the amount of tax payments is not allowed.
Taxation and taxation system
The effectiveness of any tax system should be ensured by compliance with certain requirements, criteria and basic principles of taxation:
- justice, which implies uniformity and proportionality in the distribution of taxes between citizens;
- certainty, which consists in the precise determination of the amount, method and time of payment;
- Convenience: the tax is collected at the most convenient time and the most convenient way for the payer;
- savings, implying a reduction in costs when levying taxes.
These principles were formulated as early as the 18th century by A. Smith.
Functions of the tax system
This system serves as a mechanism for public administration for the redistribution or distribution of revenues, which are defined by its functions.
So, the tax system is a tool thatcontributes to the formation of the revenue side of the state budget spent for various needs of the country, expressed in the content of the state apparatus, the army, the sphere of science and technology, education, orphanages, health and the environment. The factors listed above are an expression of the fiscal function in the tax system.
The tax system is an effective tooleconomic regulation of the state, manifested in the impact on social reproduction, due to the introduction of certain restrictions or the implementation of simple control of certain processes. Thus, in this manifestation of the tax system, it is already a question of its economic function.