Ouaba A. E., Ryabik A. E.
DIAGNOSIS OF FORMATION AND USE OF
COMPANY PROFITS AND MANAGER’S RESPONSIBILITY FOR INFRINGEMENT OF TAX
LEGISLATION
Under present-day conditions, the basis for
high-quality and effective strategy for enterprise development is their high
level use and profit generation in conditions of effective tax regulation to
balance the interests of the State, as well as resulting from economic reforms
in
According to E. Y. Tkachenko, the profit of an enterprise is realized when the
amount of revenue gained from a business activity
exceeds the expenses, costs and taxes. It is a single form of own savings and
one of the key indicators of business operation, which is part of the coming
money for the company when selling products, excluding tax payments and other
costs incurred in the production and sales of products. Also, profit is defined
as the main source of all forms of investment in the financial business,
scientific and technological progress in its facilities and products. The
activity of the enterprise aims to increase profits, because it is of great
importance in the operation. According to A. R. Krivitskaya, the profits of an enterprise is determined by
multiple positions, particularly in terms of: social, economic and financial
relations. Labour Studies S. A. Sharmanskoj provide an opportunity to say that the main
features of company profits is showing a financial result by an enterprise
using capital, implementation of budgetary and extra-budgetary funds to meet
the needs of society as a source of formation, keeping in itself fees for
activities in situations of uncertainty and risk; determining the level of
competitiveness of the enterprise; ensuring the development of the enterprise
as well as its income.
As for the formation of the profit of the enterprise,
it is essentially formed in the process of implementation of the operational
and financial investment activities [1]. Thus, the forming of company profits
is a continuous process that includes a set of appropriate actions to ensure
the coherence between the income and expenditures of the enterprise to obtain a
positive balance though the use of various technologies and resources as well
as the application of methods and technologies for managing them [3]. Taking
into account the above mentioned, I. P. Sklyaruk argues that the
emergence of profit depends on techno-logical and production processes at the
plant, including the norms of technological process cycle times and the
specifics of production operations. To date, the key factors of the formation
of the profit of the Enterprise Act [2]: the volume of production; the price of
raw materials; price of products sold, the level and structure of expenditure.
On the profits of the enterprise, as shown by the analysis of functioning
(activities) of the enterprises listed in scientific work [4], the level of
efficiency in the use of profit depends on the commodity enterprise strategy,
which characterizes the establishment of certain strategic zones, i. e. the market share of the enterprise that is capable
of exceeding the effect of marginal profit over costs. In addition, A. A. Zinchenko argues that the main directions of using profit
(net) venture is [7]: reconstruction, modernization or technical re-equipment
of production that is its own development; consumption of the owners of
enterprises, aimed at increasing the Social Development Fund and the Fund of
material incentives. It should also be noted that the main features of the process
of formation and use of a company
profits, today [2]: are setting the values of income and expenses, according to
certain types of activity of the enterprise such as investment, operation,
finances or emergency; formation of the production cost of the company for
marketing and sales, administrative or other expenses which are not related to
cost of production; setting total cost of the undertaking; the definition of a
particular method of accounting individual objects of activity of the
enterprise; the existence of the right to deduct the cost of certain assets on
the financial result in the event of inappropriate exploitation condition.
At the same time, based on the analysis of literature
sources [1-10] and the current practice of the functioning of
enterprises, it is determined that the responsibility of the manager of the
enterprise for violation of tax legislation is regulated by the norms of the Tax
code (NKU) [8], the Administrative Code [9] and the Criminal Code [10]. If the
manager of an enterprise violates laws relating to taxation and other
legislation, then he will be applied to legal, financial, administrative and
criminal liability. Following to that, Macelik N. A. [11] in his studies proves that the application of
administrative responsibility for tax evasion is more effective than use of
criminal responsibility, because it allows in the future to reduce the level of
delinquency through reaching the execution of obligations of citizens in
accordance with the legislation in the field of taxation. However, the analysis
of the legislative framework in the field of taxation, conducted by A. V. Rozdajbida, as well as the studies of practices (functioning)
tax authorities of Ukraine prove that today there are gaps in the legislation,
under which offenders avoid responsibility for infringement of tax legislation.
In particular, such items are: income tax evasion actors through the conclusion
of contracts of insurance business (financial) risks; evasion of income tax by
raising the gross expenditure, land tax evasion by not registering the land.
So, qualitatively new level of development and the
formation of the vision for the enterprise depends on solving the problems of
tax regulation in the context of economic reforms in
The list of references:
1. Tkachenko E. Y. Management business process engineering: Katege.
2. Shirjagina A. Å. formation and use of profit of enterprises: katege.
3. Krivitskaya A. profit
Formation in market conditions: Katege.
4. Sharmans'ka S. À. Profit and peculiarities of its formation and use a
transit economy: Katege.
5.
6. Sidjaga B. V.
problems of formation and use of profit businesses / B. V. Sidjaga,
V. À. Onis'kov // Herald
of the Chernivtsi trade-economic Institute. Economic
science. – 2014. – ISS 3. – Ð. 144-152.
7. Zinchenko A. A.
indicators and benchmarks of quality of business profits at the stage of its
use / À. À. Zinchenko // actual
problems of economics. – 2009. – No. 7 (97). – Ð. 106-111.
8. The tax code of
9. The code of
10. The Criminal Code of Ukraine of April 5, 2001 No.
2341-III [Åëåêòðîííèé ðåñóðñ].
– Ðåæèì äîñòóïó : http://zakon4.rada.gov.ua/laws/show/2341-14
11. Macelik N. A. administrative responsibility for evading taxation:
Katege. DIS. for the sciences. the degree Cand. legal. Science: special.