Some issues of legal regulation of the land tax in Ukraine and foreign countries

Abstract

Problem setting. One of the basic principles of land law is the principle of payment for land use, which is enshrined in the Land Code of Ukraine and provides for the payment (in monetary terms) of the object, which is transferred to the property or use of the respective entity.

At present, the essence of the principle of payment for land use is also revealed through the existence of a legal mechanism for payment of land, which includes land tax and rent for land of state and communal property (rent). These payments are provided for by the Tax Code of Ukraine. Land payment is a significant source of local budget revenue and is the second largest source of income after the personal income tax.

Analysis of recent researches. A lot of scientists, in particular: M. P. Kucheryavenko, T. M. Shulga, E. M. Bogatyryova, Yu. I. Plotnikova, and others are trying to cover some aspects of modern legal regulation of land taxation.

Article’s main body. The article is devoted to the study of the modern legal regulation of land tax in Ukraine and foreign states. The experience of OECD countries is explored.

The author found that each state has a fairly well-established land tax model that provides for effective tax rates and benefits, an objective tax base, and so on. At the same time, differentiated taxation in different countries varies in terms of taxation, tax base, rates, methods of tax collection, fiscal powers of different levels of government, scope and amount of privileges, etc. A common feature of these countries is that in the rampant countries, the proceeds from the payment of a real estate tax or a pure land tax are directed to the development of urban infrastructure, so it is profitable for citizens to pay this tax. At the same time, the most effective systems of land taxation operate in the countries with developed land and real estate market, since the efficiency of taxation and increase of tax revenues to the budgets depend on the completeness of accounting of the objects of taxation.

Conclusions and prospects for the development. Therefore, we consider it expedient and logical to apply the land valuation used in OECD countries. Unlike land valuation (currently in use in Ukraine), mass valuation makes it more fair to assess the taxation of land and its objects from the point of view of the objective distribution of the tax burden in the context of constant changes in the real estate market.