MODELING DIFFERENTIATED RATES OF THE SINGLE TAX IN UKRAINE BASED ON THE POLISH EXPERIENCE
DOI:
https://doi.org/10.35774/jee2026.01.155Keywords:
European principles of tax neutrality, fixed tax, Polish taxation system, simplified taxation system, single tax, small business, tax policy, tax rate differentiation.Abstract
The study is devoted to the adaptation of the simplified taxation system for small businesses in Ukraine to European approaches in the context of the implementation of European integration commitments and the National Revenue Strategy until 2030. The purpose of the article is to develop and provide economic and mathematical justification for a model of differentiation of single tax rates by type of economic activity based on Polish experience, assessing its impact on equalizing the tax burden between sectors of the economy. Achieving this goal involved: (1) a comparative analysis of the Ukrainian and Polish simplified taxation models; (2) formalization of a multifactor model for setting rates, taking into account industry profitability indicators and value added structure; (3) calculation of changes in the tax burden coefficient by sector as a result of modeling. The research methodology combined a comparative analysis of the tax regimes of Ukraine and the Republic of Poland with economic and mathematical modeling based on official statistical data. The modeling results show that the proposed system of differentiated rates reduces inter-sectoral disparities in the tax burden, contributes to fiscal fairness, and increases the consistency of Ukraine’s simplified taxation system with European principles of tax neutrality.
JEL: H21, H25, H26, K34.
References
Aditya, C. (2020). The presumptive tax regime on micro, small and medium enterprises in Indonesia. Syntax Literate; Jurnal Ilmiah Indonesia, 5(6), 50–63. https://jurnal.syntaxliterate.co.id/index.php/syntax-literate/article/view/1323
African Tax Administration Forum & International Centre for Tax and Development (2024, November). Taxing informal economies: Practices, challenges & ways forward [ATAF-ICTD Policy Paper]. https://www.ictd.ac/publication/taxing-informal-economies-practices-challenges-ways-forward/
Astuti, P., Rapina, Meythi, & Joni. (2025). The influence of big data, compliance risk management, and business intelligence on tax compliance. JASa: Jurnal Akuntansi, Audit dan Sistem Informasi Akuntansi, 9(2), 241–254. https://doi.org/10.36555/jasa.v9i2.2792
Balestrino, A., & Galmarini, U. (2005). On the redistributive properties of presumptive taxation (CESifo Working Paper Series No. 1381). CESifo. https://doi.org/10.2139/ssrn.648601
Bucci, V. (2020). Presumptive taxation methods: A review of the empirical literature. Journal of Economic Surveys, 34(2), 372–397. https://doi.org/10.1111/joes.12304
Cabinet of Ministers of Ukraine. (2023, December 27). On approval of the National Revenue Strategy until 2030 (Order No. 1218-r) [in Ukrainian]. https://zakon.rada.gov.ua/laws/show/1218-2023-%D1%80#Text
Dobrunik, T. (2024). Simplified taxation system: Fiscal significance and development priorities [in Ukrainian]. Economy and Society, (60). https://doi.org/10.32782/2524-0072/2024-60-10
Dubrovskyi, V., Hetman, O., & Cherkashyn, V. (2024, October). Comparative analysis of fiscal effect of tax evasion/avoidance instrument use in Ukraine [in Ukrainian]. Institute for Socio-Economic Transformation, CASE Ukraine. https://iset-ua.org/images/Shemi-2024-final.pdf
Eichfelder, S., & Vaillancourt, F. (2014, November). Tax compliance costs: A review of cost burdens and cost structures (Arqus Discussion Paper No. 178). Arbeitskreis Quantitative Steuerlehre (Arqus). http://www.arqus.info/mobile/paper/arqus_178.pdf
Engelschalk, M., & Loeprick, J. (2015). MSME taxation in transition economies: Country experience on the costs and benefits of introducing special tax regimes (World Bank Policy Research Working Paper No. 7449). SSRN. https://ssrn.com/abstract=2676418
VVA & KPMG. (2022, January). Tax compliance costs for SMEs: An update and a complement. Final report. European Commission, European Innovation Council and SMEs Executive Agency (EISMEA), Directorate-General for Internal Market, Industry, Entrepreneurship and SMEs (DG GROW). https://taxation-customs.ec.europa.eu/system/files/2022-12/221208%20DG%20GROW%20report%20-%202022%20Tax%20Compliance%20Costs%20SMEs.pdf
Hoy, C., Scot, T., Oguso, A., Custers, A., Zalo, D., Doino, R., Karver, J., & Orgeira Pillai, N. (2024). Trade-offs in the design of simplified tax regimes: Evidence from Sub-Saharan Africa (Policy Research Working Paper No. 10909). World Bank. https://doi.org/10.1596/1813-9450-10909
Ihnatenko, S. (2023). Peculiarities of the simplified taxation system under martial law [in Ukrainian]. Analytical and Comparative Jurisprudence, (1), 334–339. https://doi.org/10.24144/2788-6018.2023.01.54
Inter-American Development Bank. (2009). Recommendations and best practices on taxation of SMEs in Latin America. http://dx.doi.org/10.18235/0008712
National Bank of Ukraine. (2025, July 1). IMF-Ukraine: Letter of Intent and Memorandum of Economic and Financial Policies as of June 19, 2025 [in Ukrainian]. https://bank.gov.ua/ua/news/all/mvf-ukrayina-list-pro-namiri-ta-memorandumpro-ekonomichnu-ta-finansovu-politiku-19-chervnya-2025-roku
Joshi, A., Prichard, W., & Heady, C. (2014). Taxing the informal economy: The current state of knowledge and agendas for future research. The Journal of Development Studies, 50(10), 1325–1347. https://doi.org/10.1080/00220388.2014.940910
Kleven, H. J. (2016). Bunching. Annual Review of Economics, 8, 435–464. https://doi.org/10.1146/annurev-economics-080315-015234
Krysovatyy, A., & Valihura, V. (2024). Approaches to reforming the simplified taxation system under the conditions of implementation of the National Revenue Strategy until 2030. Finance of Ukraine, (8), 7–29. https://doi.org/10.33763/finukr2024.08.007
Loeprick, J. (2009). Small business taxation: Reform to encourage formality and firm growth (Investment Climate in Practice: Business Taxation No. 48313). World Bank. http://documents.worldbank.org/curated/en/538351468158062534
Mas-Montserrat, M., Colin, C., & Brys, B. (2024). The design of presumptive tax regimes in selected countries (OECD Taxation Working Paper No. 69). OECD Publishing. https://doi.org/10.1787/58b6103c-en
Mas-Montserrat, M., Colin, C., Ribault, E., & Brys, B. (2023). The design of presumptive tax regimes (OECD Taxation Working Papers No. 59). OECD Publishing. https://doi.org/10.1787/141239bb-en
Mbise, K. S., & Baseka, L. (2022). The impact of the digital tax administration system on compliance among SMEs. The Journal of Informatics, 2(1), 69–82. https://doi.org/10.59645/tji.v2i1.94
Republic of Poland. (1991). Ustawa z dnia 26 lipca 1991 r. o podatku dochodowym od osób fizycznych [Law as of 26 July 1991 on personal income tax]. https://sip.lex.pl/akty-prawne/dzu-dziennik-ustaw/podatek-dochodowyod-osob-fizycznych-16794311
Republic of Poland. (1992). Ustawa z dnia 15 lutego 1992 r. o podatku dochodowym od osób prawnych [Law as of 15 February 1992 on corporate income tax]. https://sip.lex.pl/akty-prawne/dzu-dziennik-ustaw/podatekdochodowy-od-osob-prawnych-16794608
Republic of Poland. (1998). Ustawa z dnia 20 listopada 1998 r. o zryczałtowanym podatku dochodowym od niektórych przychodów osiąganych przez osoby fizyczne [Law as of 20 November 1998 on fixed tax on certain income received by individuals]. https://sip.lex.pl/akty-prawne/dzu-dziennik-ustaw/zryczaltowany-podatek-dochodowy-od-niektorych-приchodow-osiaganych-16832090
Republic of Poland. (2004, March 11). Ustawa z dnia 11 marca 2004 r. o podatku od towarów i usług [Law as of 11 March 2004 on tax on goods and services]. https://sip.lex.pl/akty-prawne/dzu-dziennik-ustaw/podatek-od-towarow-iuslug-17086198
Republic of Poland. (2018). Ustawa z dnia 6 marca 2018 r. – Prawo przedsiębiorców [Law as of 6 March 2018 – Entrepreneurs’ Law]. https://sip.lex.pl/aktyprawne/dzu-dziennik-ustaw/prawo-przedsiebiorcow-18701388
Sidliar, V., & Ivanova, A. (2025). The fiscal importance of the simplified taxation system in Ukraine [in Ukrainian]. Economy and Society, (73). https://doi.org/10.32782/2524-0072/2025-73-79
Skrypnyk, S., Lavrov, R., & Shepel, I. (2023). Accounting and taxation of small business entities [in Ukrainian]. Economy and Society, (52). https://doi.org/10.32782/2524-0072/2023-52-61
State Statistics Service of Ukraine. (n.d.-a). Value added at factor costs of enterprises by type of economic activity with a breakdown into large, medium, small and micro-enterprises in 2012–2024 [in Ukrainian]. Retrieved December 10, 2025, from https://www.ukrstat.gov.ua/operativ/operativ2021/fin/pdp/pdp_ue/dvvvp_vsmm_2012-2020_ue.xlsx
State Statistics Service of Ukraine. (n.d.-b). Turnover (goods, services) of enterprises by type of economic activity with a breakdown into large, medium, small and micro-enterprises in 2010–2024 [in Ukrainian]. Retrieved December 10, 2025, from https://www.ukrstat.gov.ua/operativ/operativ2022/fin/fin_new/Orp_kved_10_21.xlsx
State Statistics Service of Ukraine. (n.d.-c). Financial results of enterprises before taxation by type of economic activity with a breakdown into large, medium, small and micro-enterprises (excluding banks) for 2010-2024 [in Ukrainian]. Retrieved December 10, 2025, from https://www.ukrstat.gov.ua/operativ/operativ2021/fin/fin_new/fr_op_ek_vsmm_2010_2020_ue.xlsx
Thuronyi, V. (2004). Presumptive taxation of the hard-to-tax. Contributions to Economic Analysis, 268, 101-120. https://doi.org/10.1016/S0573-8555(04)68805-5
Tuchak, T. V. (2024). Simplified taxation system in Ukraine: Current state and prospects for reform [in Ukrainian]. Efektyvna Ekonomika, (5). https://doi.org/10.32702/2307-2105.2024.5.75
Wen, J.-F. (2023, June 29). How to design a presumptive income tax for micro and small enterprises (Note No. 23/02). IMF How To Notes. https://doi.org/10.5089/9798400241154.061
Yacoubian, L. J., Padilla Garcia, D. S., & Ferreira de Carvalho, G. H. (2025). Comparative analysis of tax regimes to stimulate micro-entrepreneurship in Latin America: The experience of Argentina and Brazil. Financial and CreditActivity: Problems of Theory and Practice, 6(65), 206–221. https://doi.org/10.55643/fcaptp.6.65.2025.4889
Received: December 15, 2025.
Reviewed: March 12, 2026.
Accepted: March 20, 2026.
Downloads
Published
How to Cite
Issue
Section
License
Authors who publish with this journal agree to the following terms:
- Authors retain copyright and grant the journal right of first publication with the work simultaneously licensed under a Creative Commons Attribution License that allows others to share the work with an acknowledgement of the work's authorship and initial publication in this journal.
- Authors are able to enter into separate, additional contractual arrangements for the non-exclusive distribution of the journal's published version of the work (e.g., post it to an institutional repository or publish it in a book), with an acknowledgement of its initial publication in this journal.
- Authors are permitted and encouraged to post their work online (e.g., in institutional repositories or on their website) prior to and during the submission process, as it can lead to productive exchanges, as well as earlier and greater citation of published work (See The Effect of Open Access).
