TAXATION OF CORPORATE PROFITS: ANALYSIS OF VULNERABILITIES, RISKS AND THREATS TO THE STATE

It is stated that corporate income tax is a complex tax to administer and digitalize, with structural deficiencies in the traditional approach to taxing corporate profits. These deficiencies include difficulties in accurately determining taxable income based on expenses and revenues for the reporting period and the distorting effect of the corporate income tax on the behavior of economic agents. Such deficiencies make the corporate income tax vulnerable to taxpayers seeking to evade Russian tax legislation, which may result in untimely or incomplete payment of corporate income tax to the budget. This may lead to increased expenses for the Federal Tax Service of the Russian Federation for administering the tax and conducting control procedures, including on-site inspections. Additionally, it may lead to violations of fair competition, the growth of the shadow economy, and a loss of trust between taxpayers and the Federal Tax Service of the Russian Federation. On the basis of the analysis a more precise definition of state tax risks for corporate income tax is proposed and the ways of their reduction are outlined. In particular, it is proposed to conduct a systematic analysis of the vulnerability of the tax system, tracking threats from taxpayers and assessment of potential damage, which should be the foundation of a comprehensive riskbased approach to tax control in the field of taxation of profits of organizations. This approach is expected to increase the effectiveness of tax control for organizations in high-risk areas, as well as to reduce or eliminate it for low-risk organizations.

tax control automation, tax control, taxation system, corporate income tax, tax risks of the state, tax risk management, tax risks of the state on corporate income tax, vulnerability of income tax, tax evasion, shortcomings of income tax, threats from taxpayers

Kritsky V. I. Taxation of corporate profits: analysis of vulnerabilities, risks and threats to the state. Biznes. Obrazovanie. Pravo = Business. Education. Law. 2023;2(63):160—167. DOI: 10.25683/VOLBI.2023.63.646.