Typology of Models of Legal Regulating Taxation of Added Value

Abstract

The article studies ideology of legal regulation of taxation of added value. It forms twomain aspects of a research: (1) identification of deep essence of taxation of addedvalue and (2) definition of the place of the Russian model of a legal mechanism of theVAT in variety of national models of taxation of added value. In the work, the typologyof legal mechanisms of taxation of added value in which, on the basis of the analysisof the international phenomenology of legal regulation of taxation the main models of alegal mechanism of taxation of added value are allocated, is presented for the first time:Western European model (regulatory); East European model (peripheral); neutral model(imitative); the group of national models of the largest states with pronounced specificfeatures, but each of which approaches one of above-named. In the offered classification,the main thing is the question of legal mechanism of the VAT which in what degree actuallydeveloped corresponds to the objective public requirements which are combined withthe interests of cost efficiency. The assessment of results of legal regulation of taxationof added value specifies that the regulatory Western European model is applied in theconditions of modern hi-tech production in a paradigm of an indissoluble unification ofmaterial and ethical structures of the modern Western European state, their coherenceby the basic political and legal ideas, the idea of property and the idea of general welfare.The legal mechanism of taxation of added value operating in restrictions of peripheral EastEuropean model (it is possible to refer to it legal regulation of the VAT in Russia), becomesa result the instrument of financial and legal control of the countries with the reformedeconomy which governments are fond of excessive VAT taxation. The comparativeanalysis of tax and legal influences of the Western European and East European modelsdemonstrates that until the condition of productive forces does not allow developingsocial industries, transition to an active legal mechanism of taxation of added valuecauses to destructive economic and legal transformations constrains development ofthe country. The study in typology of models of the considered mechanism allows toformulate a conclusion that in the Russian social and economic conditions application ofneutral model of legal regulation of the VAT may be most preferable today.
For citation: Bachurin D.G. (2020) Typology of Models of Legal Regulating Taxation of Added Value. Pravo. Zhurnal Vysshey shkoly ekonomiki, no 1, pp. 75–97 (in Russian) DOI: 10.17323/2072-8166.2020.1.75.97