PERFORMANCE EVALUATION OF TAX SHIFTING IN THE INDUSTRIAL SECTOR
Balances of the industrial production for the 9-year term (2005 - 2013) based on the industrial sector analysis have been developed. Special emphasis was placed on taxes required for development of particular industries as well as on taxes paid to budget and adjusted to the production output of the particular industries. As a result, precise approach to taxation is determined. To determine the need, size and efficiency of tax shifting in the industrial production sector, the author used Leontief’s open input-output model. For illustration purposes two large sectors, namely electrial energy industry and fuel industry were considered. Characteristic of their gross product and sectoral final product structure based on its physical composition was given. The following parameters have been defined: aggregate demand in every sector, total gross output, intermediate product-final output ratio. Analysis of top 10 industries’ balances suggested a certain method which enables determining industries’ output required for developing j-th industry concerned considering output and taxes shifting to other industries, intrabranch consumption being taken as 1,0. Thus, evaluation of efficiency of the usage and shifting industries taxes is done, each sector’s output costs being determined for any period of time under consideration.