We kindly inform you that, as long as the subject affiliation of our 300.000+ articles is in progress, you might get unsufficient or no results on your third level or second level search. In this case, please broaden your search criteria.
The idea of a flat tax dates to the middle of the last century. At the end of the 20th and the beginning of the 21st century it finds practical realization in many countries of Central and Eastern Europe (including Bulgaria). However, our tax is unique because it is proportional. The flat personal income tax in other countries is progressive. This article is dedicated to the application of this specific tax technique in Europe and in our country. The article is structured in three parts. Part one presents the pioneering theoretical ideas for flattening the multi-rate structures of the personal income tax and the practice of so-called flat tax in Central and Eastern Europe (mainly in the Member States of the European Union) in recent decades. Part two examines the specific model of flat personal income tax in Bulgaria – proportional taxation of personal income from 01.01.2008. Part three examines the effect of the introduction of a de facto tax- free threshold for families with minor children in Bulgaria in 2021.
More...
Over the past three decades the Balkan countries have experienced a range of transformations, from a change in political and economic governance in some and difficult early years of transition to stabilisation and an accelerated economic growth, crisis- and post-crisis periods, with certain countries going not only through hard economic times but also through political, including military, turmoil. This poses major challenges for their fiscal policies, to the extent that these developments affect the fiscal sector and its governance both directly and indirectly. After a period of enhanced revenues that helped finance higher spending, the Balkan countries like the European Union countries and the rest of the world have been enduring severe recessions during the years following 2008. Falling revenues and rising spending needs together have put heavy stress on fiscal balances thus reflecting in a serious increase of government debt. Despite the subsequent recovery in public finance, public sector governance in later years again faces serious challenges such as mitigating the consequences of the COVID-19 pandemic, while at the same time certain Balkan countries continue to experience serious economic problems. The aim of this paper is to offer a comparative study of public finances in twelve Balkan counties and provide an overall picture of fiscal policies implemented in these countries during the period 2004—2018.
More...
The article below is my intention of addressing some important issues regarding the role of accountancy as the main provider of economic information to business entities, and taxation as a system designed to collect taxes, fees and contributions through a specialized body. Business entities operate in an accounting system connected to or disconnected from taxation which can influence managers’ decisions. The accounting policy is elaborated and assumed by an entity’s management based on accounting principles. When determining an accounting policy, although the choice of one method or another is generated by the “need for truth,” the entity’s management interests as an object of accounting reflection and taxation cannot be avoided either.
More...
The mediation procedure with the National Agency for Fiscal Administration has been introduced since January 2019, by adopting Law no. 30/2019. The law adds this possibility in the Fiscal Procedure Code. The newly introduced procedure has no connection with the mediation activity carried out through mediators, based on Law no. 192/2006 regarding the mediation and organization of the profession of mediator.
More...
The present paper aims to highlight some theoretical and legal aspects of the offense provided by art. art. 9 letter c of Law no. 241/2005 on preventing and combating tax evasion, as well as stressing the need to reform the current legislative framework.. The current regulation aimed to reduce crime in the economic-financial field, but Law no. 241/2005 presents numerous deficiencies and has direct repercussions on the way of interpretation and application of the law by the judicial bodies and, at the same time, on the activities carried out by the economic agents. After a close analysis, we have determined that the provisions of art. 9 letter c of Law no.241/2005 regarding the object of the offense, the active subject, the criminal participation, but also in the situation of theft from the payment of several tax obligations, the regulation is not sufficiently clear and accessible to the recipients of the normative framework, being necessary the intervention of the legislator in order to accurately establish the content of the legal norm, with the consequence of applying it in a coherent way.
More...
Purpose: The article aims to identify the barriers before market inclusion for young people and the inertia of status while analysing the employers’ need of workforce. It also points out some of the factors which influence the youth labour market in Bulgaria in the strongest way and see how they affect young people on the one hand. Methodology: The study applies special approach and analyses the issue in two satellite contexts – state-of-the-art national environment and its strengths, parallel with individual specificities leading to readiness to enter the labour market and internal bindings. It includes descriptive research approach based on literature review. Statistical information from Eurostat and forecasts and analysis provided by the Ministry of Labour and Social Policy in Bulgaria were used to analyse the youth labour market in the country. Other analytical documents prepared by various experts’ groups have been considered as well. Findings: General factors predetermining the youth labour market are pointed out with special focus on the situation in Bulgaria. The analysis reflects not only the environment where young people start their professional life, but also the most common skills they need to improve in order to meet employers’ expectations. Practical implications: The paper might help different stakeholders bettering perspective on how youth labour market changes and how to support young people entering the workforce in a more effective way, removing part of the barriers. Originality/value: The article outlines the main current barriers before young people entering the labour market in Bulgaria and general trends, influencing youth labour market domestically and in other European countries as well. The analysis takes into account the fast, dynamic and unexpected changes in overall economic situation and the need for the youth labour market to adapt to the requirements of digital economy.
More...
In a supply chain, the business entity or entities often “forget(s)” to fulfill their obligation to pay VAT. This is all the more true in the case of transactions within the Community, where many abuse the right to tax exemption. Both NAV (National Tax and Customs Administration) and the government are fighting fraudulent taxpayer behaviour, aiming to whiten the economy by curbing fraud. As VAT evasion is difficult or impossible to catch up with, often an intermediary entity within the chain is held accountable as the entity knew or must have known that its transaction contributed to the realization of VAT fraud within the chain. The topicality of the issue is provided by the application of various new tools continuously introduced in Hungary in order to whiten the economy. One of the reasons for this is that there is a lot of abuse in the field of VAT fraud, which means a significant loss of revenue for the Hungarian central budget. Not only do abuses result in a loss of revenue, but revenue is also lost from the state due to unfounded VAT returns. In such cases, the issue involves billions that the state could have spent on the development of health care, education, or other areas. In the absence of due diligence, anyone might inadvertently get into a fictitious invoice chain, thereby supporting the “work” of legal offenders. In general, participation in VAT fraud can be eliminated with due care and reasonable measures. The main objective of the presented study is to introduce, through the verdicts of the Court of Justice of the European Union, some of the measures that the court can reasonably expect from the taxpayer.
More...
The authors are considering the gender aspects of the career in the sphere of public finance and in the financial law science. The achieved research results are pointing out to the need for promoting - among the students of finance and financial law — the examples of successful women-financiers. The data on the representation of women in key financial authorities of Russia are analyzed. The authors provide the data on the women’s role in the financial law science in three periods: pre-revolutionary, Soviet and contemporary. Besides, the authors undertake the analysis of the current situation in the financial law science. Among the holders of doctorate who specialize in 12.00.04 “Financial law, tax law and budget law” women constitute 57 %. Doing the research the authors conducted a questionnaire of master degree and postgraduate students majoring in “Lawyer in the sphere of public finance” in the Institute of Legislation and Comparative Law under the Government of Russian Federation. The results of the questionnaire show that not with standing the great potential of women in finance the students are less aware of women-financiers success than that of their male counterparts.
More...
In this paper we investigate the relationship between fiscal imbalances and long-term interest rates and assess various transmission channels of fiscal spillovers in EMU during 2002 – 2015. Our results support the importance of bilateral trade, informational and geographical channel of transmission, with spillovers accounting for more than 50 percent of the overall effect. Our findings suggest that if the share of public debt in GDP in all countries increases by 1 percentage point, the long-term interest rates of a given country will, on average, increase by 2.56 – 5.98 basis points, 1.9 – 3.61 basis points of which can be attributed to indirect effects.
More...
The review of: De VRIES, Michiel S. – NEMEC, Juraj – ŠPAČEK, David (eds) (2019): Performance-based Budgeting in the Public Sector. London: Palgrave Macmillan. 248 s. ISBN 978-3-030-02076-7.
More...
Certain tasks in the Republic of Slovenia are in the domain of the state or local community. In order to carry out these tasks, state-owned or public companies have been established.The management of such companies is not always good and transparent, and as a result, it often leads to considerable damage to public property. Such situations are mostly caused by poor management by the management boards, and rarely by poor and inadequate control by the supervisory boards. They are also the result of poor and inadequate communication between the management and supervisory boards. Unfortunately, poor governance does not occur in isolated cases and the mismanagement of such companies is often only introduced to the public through affairs that are presented in the media.There are, however, also some positive exceptions with good and transparent corporate governance that bring profits to the shareholders and, consequently, lower the prices of individual services for citizens.
More...
Starting from the research assumption that the Corporate Governance Code issued by Bucharest Stock Exchange (BSE) aims at building an internationally attractive capital market in Romania, based on best practices, transparency and trust that encourages companies to build a strong relationship with their shareholders and other stakeholders, communicate effectively and transparently and show openness towards all potential investors, in this paper we would like to present the degree of compliance of the companies listed on the Bucharest Stock Exchange with the principles and provisions of the Corporate Governance Code. The aim of this paper is achieved by presenting and commenting on the principles issued by the BSE regarding the corporate governance and by analysing the Corporate Governance Reports of the companies, presenting at the same time the compliance of the listed companies with these principles and provisions, by using the data issued in 2018 by the entities included in our study, namely the listed companies on the main market of the Bucharest Stock Exchange. Our analysis reflects that, although the provisions and principles of the Corporate Governance Code are not mandatory for the listed companies, they are largely implemented in the activity of companies because an efficient corporate governance system can represent a competitive advantage for any economic entity in the context of globalisation.
More...
The purpose of the study to reveal how interest rates on loans offered to consumers by banks in Turkey are affected by macroeconomic factors. For this purpose, the personal loan interest rate is considered as the consumer loan interest rate, mortgage loan interest rate and vehicle loan interest rate. Macroeconomic factors, inflation, gold, exchange rate and money supply are included in the analysis. Three models have been established using monthly data for the period January 2009-June 2020. Firstly, cointegration test was applied to the models and it was determined that there is at least one cointegration relationship in each model. Long-term estimation results for the models are obtained by using the FMOLS method. In general, it was observed that the increase in the exchange rate tended to increase the bank loan interest rates, while the increase in the money supply lowered the bank loan interest rates. As a result of the causality analysis, bidirectional causality relationship from consumer loan interest rate to money supply and inflation, unidirectional causality from interest rate to gold price, unidirectional causality relationship from exchange rate to interest rate was determined. Unidirectional causality relationship from mortgage loan interest rate to money supply, unidirectional causality from exchange rate to interest rate was found. While it was determined that there is a bidirectional causality relationship between vehicle loan interest rate and money supply, gold price and inflation. It is expected that these results may guide banks and policymakers to determine interest rate policies.
More...
The highly concentrated ownership in the Bosnia and Herzegovina market provides a rich environment to explore corporate governance practices. The paper will assess effects that ownership structure of companies has on the level of implementation of corporate governance in companies listed on the Official market of the Banja Luka Stock Exchange. Results of implementation of the corporate governance in companies will be presented using Scorecard analysis for evaluation of the implementation of practices and principles of corporate governance for companies which are listed on the Official market of the Banja Luka Stock Exchange. Ownership structure will be presented in three groups of owners determined by controlling owner: government, domestic and foreign owners. Paper will show correlation and effect which different owners of companies have on the level of implementation of corporate governance in these companies.
More...
With regard to both the consumer behavior and the overall competition structure, the retail industry is constantly changing. Each industry has its peculiarities, retail is no exception. The customer loyalty levels are decreasing, therefore, the retail management at large has to decide which effective measures to take, in order to simultaneously gain new customers and retain the existing ones. At present, the average buyer is educated, experienced, and keenly self-aware of his/her importance, as well as of the entire purchasing process. Consequently, it is essential to obtain access and keep the buyer satisfied. The changes required, with regard to the management of retail chains, should thus cover all the stages of the process, ranging from the procurement to sales. In this particular paper, we examine the corporate governance process and its’ requirements of competing on the retail market. The overview of the entire organizational structure and the processes required to operate under current retail management conditions will be analyzed. The findings will prove to be quite beneficial to Croatian retail companies and aid in overcoming the major threat of EU competitors, laying out the changes necessary for survival within this particular industry branch.
More...
The paper focuses on the relationship between exchange rate volatility and foreign trade. The aim of this study is to evaluate the effect of exchange rate volatility on the foreign trade of Visegrad Countries on bilateral level as well as on the commodity level for different traded product groups determined by SITC classification. An empirical analysis uses territorial and commodity structuring of foreign trade data and is realized for the period 1999:Q1 – 2014:Q3. We use panel regression applied to the gravity model of foreign trade for analyzing the exchange rate volatility effects. Exchange rate volatility leads to decreasing of foreign trade turnover on the bilateral level. In the case of Slovakia, a negative effect on foreign trade was identified in all groups except chemicals, raw materials and raw materials for food purposes. For Poland was these effects detected for trade with mineral fuels, lubricants, animal fats, oils and waxes, while other products show their negative effects of exchange rate volatility on international trade. For Hungary, all statistically significant coefficients are negative and thus confirm the assumption of reduction of foreign trade turnover with increased exchange rate volatility. For the Czech Republic, the negative effect of exchange rate volatility was reflected in trade flows of food and live animals, animal and vegetable fats, machinery, transport equipment and miscellaneous manufactured articles.
More...
This paper investigated the efficacy of street vending as a means for achieving economic sustenance by those engaged in the business with special interest to those operating in the central business district of Harare. A sample of 225 street vendors was decided on and questionnaires were used to gather data. The questionnaires had a response rate of 89.7%. The paper also adopted the descriptive research design. The study found that most of the street vendors understudy are earning less than $2 per day which is very low. Moreover, the majority cannot afford decent homes and are renting or still living with their parents and relatives. The study also found that street vending could be a means for achieving economic sustenance by those engaged in the business if proper support structures are put in place by the government.
More...
Public investment in APBN annually budgeted as capital expenditure. However, public investment not only in the form of physical capital but also in the non-physical forms of human resources that can be looked at education expenditure and health expenditure that called as human capital. The purpose of this study is to provide empirical evidence about causality that occurred between public expenditure and private sector investment in Indonesia with 33 provinces over the study period 2010-2013. The statistical tool used in this study is the Three-stage Least Squares from E- Views. Results of this study indicate that there are causal relationship between public investment in infrastructure and private investment and between public investment in infrastructure and public investment in human resources. However, no causal relationship occurs between the public investment in human resources and private investment. As a control variable, GDP has positive and significance effect on private investment.
More...
Countries allocate resources for defence expenditures for various reasons, especially deterrence. In this study, the convergence hypothesis for defence spending in the Middle East and North African (MENA) countries is examined. In the study, annual Defence Expenditures / GDP for the period 1993-2019 were used for the MENA countries. According to the results, determining that there is an unconditional β convergence in defence expenditures on a panel basis in the MENA countries. According to the convergence of results by country, Morocco, Tunisia, Jordan, Turkey at the 10% statistical significance level, Bahrain, Kuwait and Lebanon at the 5% statistical significance level, and Saudi Arabia at the 1% statistical significance converges to the group average. As a result, most of the countries act according to the average trend of the country group in the region in defence expenditures due to factors such as the increase in regional security risks and / or changes in armament policies of neighbouring countries.
More...