Suglobov, A. E., Slovodchikov, D. N. Economical Content of Tax Potential in the Modern Models of Economic Development

Abstract: The authors suggest that the term “tax potential” should be understood as the stocks of financial resources which can be mobilized through an existing system of taxation in an existing legal environment by running the selected tax policy. According to the authors, the best way to stimulate the production development at the regional level through the legal and tax environment is rather reduction of the relative tax burden when there is a factual increase in production than the absolute tax burden. When governing regional and local authorities, making financial policy and budget projects and analyzing financial resources management it is advised to use certain criteria for evaluating taxation performance such as a size of tax potential within the territory, level of a single tax burden and specific tax burden.