The tax system of Ukraine in the international tax environment: modern trends and challenges

Abstract

The article is devoted to the study of the peculiarities of the functioning of the tax system of Ukraine in the international economic and tax environment. The purpose is to analyze the state of development of the tax system of Ukraine for 2020-2025, compare the level of the tax burden, the fiscal role of the main taxes, the state's position in international ratings, and on this basis develop a proposal for solving identified problematic issues. Research methods are presented: analysis of domestic and international legislation in the field of functioning of the tax system; systematic and comparative analysis of basic indicators; graphic and tabular methods; by the method of cause-and-effect analysis of the relationship between changes in the international and domestic tax environment; by the method of economic forecasting – to establish prospects for the development of research issues. The results state that it is the digitalization of tax administration, the rapid introduction of electronic services, steps of harmonization with EU legislation and the implementation of OECD tools (BEPS, KIK, CRS, Pillar Two) that create opportunities to abandon the positioning of the tax system of Ukraine as a low-tax jurisdiction. The national tax system is open, and therefore the important challenges of its development in the conditions of the international tax environment are systematized: the limitation of the tax base and the shadowing of the economy, the variability of legislation, demographic decline, significant institutional risks. The digital transformation of the tax system of Ukraine has become a key tool for ensuring financial stability in crisis conditions. Harmonization of the tax system in relation to EU rules has moved to an active process, approximation of VAT and excise tax methods, automatic exchange of tax data with international fiscal structures and strengthening of corporate tax approach standards. The conclusions outline the strategic directions of the transformation of the national tax system in order to expand the tax base, economic transparency, improve the investment climate and subsequent integration into the world tax environment.