Kalakov, R. N. Practice of granting tax exemptions in the foreign states

Abstract: The article presents an analysis of the system of tax deductions and tax credits in the foreign states. The fundamental difference of the foreign practice of tax credits for physical persons is their direct application to the tax rate (amount of tax paid based on someone’s income) which allows, in some cases, reduction of tax liabilities down to negative, i.e. allows a taxpayer to receive non-taxable income from the government. The author underlines that there is a need in improvement of the Russian legislation on taxes and levies, especially the part of tax legislation regulating tax exemptions and other preferences for taxpayers.

Keywords: