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Quality of VAT administration in OECD countries and Russia. Reform of the Russian system of tax collection

Author

Listed:
  • Maria Kazakova

    (Gaidar Institute for Economic Policy)

  • Alexandr Knobel

    (Gaidar Institute for Economic Policy)

  • Ilya Sokolov

    (Gaidar Institute for Economic Policy)

Abstract

The paper presents an analysis of international and domestic practices of VAT administration in OECD countries and in Russia, according to the results of which there were identified major constraints and factors affecting the quality of VAT administration. Assessment was made in terms of tentative implications of one of the options for reforming the VAT to the Russian Federation budget: the establishment of the flat VAT rate at 12%, VAT replacement with the sales tax, the transition to VAT taxation on the basis of a balance method. As an alternative of a revolutionary modernization of the tax, the paper presents a package of measures, the implementation of which with minor budgetary losses is able to ensure the impartiality and improve VAT collection efficiency.

Suggested Citation

  • Maria Kazakova & Alexandr Knobel & Ilya Sokolov, 2010. "Quality of VAT administration in OECD countries and Russia. Reform of the Russian system of tax collection," Research Paper Series, Gaidar Institute for Economic Policy, issue 134P.
  • Handle: RePEc:gai:rpaper:79
    as

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    File URL: http://www.iep.ru/files/RePEc/gai/rpaper/79Kazakova.pdf
    File Function: Revised version, 2012
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    References listed on IDEAS

    as
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    Full references (including those not matched with items on IDEAS)

    More about this item

    Keywords

    VAT; OECD countries; Reform; tax collection;

    JEL classification:

    • H20 - Public Economics - - Taxation, Subsidies, and Revenue - - - General
    • H21 - Public Economics - - Taxation, Subsidies, and Revenue - - - Efficiency; Optimal Taxation
    • H25 - Public Economics - - Taxation, Subsidies, and Revenue - - - Business Taxes and Subsidies
    • H61 - Public Economics - - National Budget, Deficit, and Debt - - - Budget; Budget Systems

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