IMPROVING TAXATION OF TOURISM ENTITIES TAKING INTO ACCOUNT INTERNATIONAL EXPERIENCE

Abstract

The tourism industry serves as a significant source of tax revenue for countries worldwide. Taxation of tourism has a substantial impact on the overall prosperity of nations, serving as a stable source of financial resources for local communities. Specifically, in European Union member countries, tourism presently contributes to approximately 10% of the gross domestic product, while in certain countries more reliant on tourism, tax revenues derived from tourism significantly exceed this level. In the current stage of development, the tourism sector is experiencing increasingly significant expansion, significantly contributing to enhancing the competitiveness of the national economy and achieving sustainable socio-economic development. The market for tourist services is gaining greater importance, both for specific regions and for many countries as a whole. It stimulates infrastructure development, facilitates job creation, boosts various economic activities, raises the standard of living for populations, and consequently increases the level of tax revenue and collections. Research into the theoretical works of domestic and foreign scholars has confirmed that taxation plays a crucial role in the development of the country's tourism sector and contributes significantly to government revenues. Analysis of both domestic and global experiences has identified both positive and negative aspects of taxing businesses within the tourism sector in Ukraine and worldwide. Based on this research, a series of improvements have been proposed to enhance the quality and effectiveness of Ukraine's tourism sector. The most crucial task is to improve the taxation system for the tourism business. It has been proposed to change the basis for calculating the tourist tax from the minimum wage to the cost of accommodation per night. Equally important is the introduction of a range of tax incentives to promote tourism development in the country and the targeted allocation of the funds acquired to the tourism industry.