Template-Type: ReDIF-Article 1.0
Author-Name: Yury M. Gorlin
Author-Email: gorlinum@yandex.ru
Author-Workplace-Name: Russian Presidential Academy of National Economy and Public Administration (RANEPA), Moscow 119571, Russia
Author-Name: Victor Y. Lyashok
Author-Email: victorlyashok@gmail.com
Author-Workplace-Name: Russian Presidential Academy of National Economy and Public Administration (RANEPA), Moscow 119571, Russia; National Research University Higher School of Economics (NRU HSE), Moscow 101000, Russia
Title: Tax Incentives in Russia and Other Countries: Critical Analysis
Abstract: Nowadays tax incentives are widely used in many countries including Russia. Nevertheless, this tax instrument has a number of significant disadvantages. Firstly, they decrease budget revenues, and at the same time the efficiency of tax incentives usually is not estimated and seems to be not positive. Secondly, a lot of tax incentives can be replaced by more comfortable types of direct expenditures. Finally, as a rule, from an equity standpoint tax exemption is not a good, as recipients of tax exemption are usually wealthy people. This paper discusses main theoretical aspects of tax incentives (with focus on personal income taxation), provides a review of the world taxation practices and analyzes the tax exemptions in Russia. The results of analyses allow to outline the recommendations intended to improve the personal income taxation.
Classification-JEL: E62, H20, H24
Keywords: tax allowance, tax credit, tax rate relief, tax-free threshold, tax credit on earned income, child tax credit, tax system.
Journal: Finansovyj žhurnal — Financial Journal
Pages: 34-46
Issue: 6
Year: 2018
Month: December
DOI: 10.31107/2075-1990-2018-6-34-46
File-URL: http://www.finjournal-nifi.ru/images/FILES/Journal/Archive/2018/6/statii/fm_2018_6_03.pdf
File-Format: Application/pdf 
Handle: RePEc:fru:finjrn:180603:p:34-46