Peer-reviewed articles 17,970 +


Title: PREDICTABLE AND STABLE TAX POLICY FOR THE BIOECONOMY SECTOR
PREDICTABLE AND STABLE TAX POLICY FOR THE BIOECONOMY SECTOR

PlumX Article Metrics by Elsevier
Ilze Upite; Irina Pilvere; Aleksejs Nipers
10.5593/sgem2022/5.1/s21.082
10.5593/sgem2022/5.1
1314-2704
978-619-7603-46-0
English
22
5.1
•    Prof. DSc. Oleksandr Trofymchuk, UKRAINE 
•    Prof. Dr. hab. oec. Baiba Rivza, LATVIA
Environmental Economics
The development of areas of bio-economy, which replace fossil fuels with bioresources in production and the provision of services, is important in many countries. Therefore, in 2017, the government approved the Latvian Bioeconomy Strategy 2030, which provides for four key integrated groups and one complementary group of measures to implement this strategy. As five years have passed since the strategy was approved in Latvia, it is necessary to assess the progress of its implementation. Therefore, the aim of the present research is to study one of the sections “Predictable and stable tax policy for the bioeconomy sector” for the implementation of the strategic goal of the Latvian Bioeconomy Strategy 2030 “Attractive business environment for entrepreneurship in the bioeconomy” in Latvia. The study concluded that the tax reforms implemented in Latvia in 2018 can be positively assessed and the bioeconomy sectors account for 25% of national tax revenues. The most significant investment is in the payment of corporate income tax (CIT) and in the field of compulsory state social insurance contributions (SSIAI), as the bioeconomy sectors account for 24% and 20% of the respective tax revenues to the state budget. In turn, the smallest share of bioeconomy sectors is in value added tax (VAT) payments, which are determined by the reduced VAT rates and the procedure of application of reverse VAT in certain sectors of production of bioresources and the provision of services. The tax system needs to be further assessed and improved, in particular as regards the ability of companies to adapt to the new EU Green Deal policy.
[1] Bringezu, S., Distelkamp, M., Lutz, C., Wimmer, F., Schaldach, R., Hennenberg, K. J., Bottcher,H., Egenolf, V. (2021). Environmental and socioeconomic footprints of the german bioeconomy. Nature Sustainability, 4(9), pp. 775-783. Doi:10.1038/s41893-021-00725-3.
[2] Wesseler J., von Braun J. (2017). Measuring the Bioeconomy: Economics and Policies. Annual Review of Resource Economics, 9:1, pp. 275-298. Doi: 10.1146/annurev-resource- 100516-053701.
[3] Bugge MM, Hansen T, Klitkou A. (2016). What Is the Bioeconomy? A Review of the Literature. Sustainability, Volume 8(7):691, 22 p. Doi: 10.3390/su8070691
[4] Kardung, M., Cingiz, K., Costenoble, O., Delahaye, R., Heijman, W., Lovri?c, M., van Leeuwen, M., M’Barek, R., van Meijl, H., Piotrowski, S., Ronzon, T., Sauer, J., Verhoog, D., Verkerk, P.J., Vrachioli, M., Wesseler, J.H.H., Zhu, B.X. (2021). Development of the Circular Bioeconomy: Drivers and Indicators. Sustainability, Volume 13, 413, 24 p. Doi:10.3390/ su13010413.
[5] Latvian Bioeconomy Strategy 2030 (2017). Informative report. http://tap.mk.gov.lv/mk/tap/?pid=40433525.
[6] State Revenue Service (2022). VID administretie kopbudzeta ienemumi 2017.-2020.gada. https://www.vid.gov.lv/lv/statistika/vid-administretie-kopbudzeta-ienemumi.
[7] Ministry of Agriculture of Republic of Latvia (2021). Latvijas lauksaimnieciba 2020 (Ministry of Agriculture. Agriculture in Latvia 2020). Riga, 207 p. (in Latvian). https://www.zm.gov.lv/public/files/CMS_Static_Page_Doc/00/00/02/12/76/2021_lauksaimnieci bas_gada_zinojums.pdf
[8] Ministry of Finance of Republic of Latvia (2019). Nodoklu atvieglojumu zinojums par 2019. gadu. Available: https://www.fm.gov.lv/lv/informativie-zinojumi-un-petijumi
[9] Ministry of Finance of Republic of Latvia (2016). Informativais zinojums “Apgrieztas jeb reversas pievienotas vertibas nodokla maksasanas kartibas ieviesanas efektivitates izvertejums un tas turpmaka piemerosana”, https://www.fm.gov.lv/lv/informativie-zinojumi-un-petijumi
[10] Ministry of Economics of Republic of Latvia (2021). Latvijas ekonomikas attistibas parskats, 166 pp., https://www.em.gov.lv/lv/latvijas-ekonomikas-attistibas-parskats
[11] Ministru kabineta rikojums Nr. 245 “Par Valsts nodoklu politikas pamatnostadnem 2018.- 2021. gadam”. https://likumi.lv/ta/id/291013-par-valsts-nodoklu-politikas-pamatnostadnem- 2018-2021-gadam
[12] Ministry of Finance of Republic of Latvia (2016). Latvijas nodoklu sistemas izvertejums, 284 pp., Projekts. https://www.fm.gov.lv/lv/media/176/download
[13] Ministry of Finance of Republic of Latvia (2020). Valsts nodoklu politikas pamatnostadnu 2018.-2021. gadam istenosanas (ex-post) novertejums. Available: https://www.fm.gov.lv/lv/media/2521/download
[14] Ministry of Finance of Republic of Latvia (2018). Nodoklu atvieglojumu zinojums par 2018. gadu. Available: https://www.fm.gov.lv/lv/informativie-zinojumi-un-petijumi
[15] EK (2020). SWD(2020) 513 final. Komisijas dienestu darba dokuments. 2020. gada zinojums par Latviju. https://ec.europa.eu/info/sites/default/files/2020- european_semester_country-report-latvia_lv.pdf
The research was promoted with the support of the project lzp-2020/2-0413 “Assessment of the Implementation of the Latvian Bioeconomy Strategy 2030 and Possible Solutions for Achieving the Goals Set (LIBRA-LV)”.
conference
https://doi.org/10.5593/sgem2022/5.1/s21.082
Download PDF
Proceedings of 22nd International Multidisciplinary Scientific GeoConference SGEM 2022
22nd International Multidisciplinary Scientific GeoConference SGEM 2022, 04 - 10 July, 2022
Proceedings Paper
STEF92 Technology
International Multidisciplinary Scientific GeoConference SGEM
SWS Scholarly Society; Acad Sci Czech Republ; Latvian Acad Sci; Polish Acad Sci; Serbian Acad Sci and Arts; Natl Acad Sci Ukraine; Natl Acad Sci Armenia; Sci Council Japan; European Acad Sci, Arts and Letters; Acad Fine Arts Zagreb Croatia; Croatian Acad Sci and Arts; Acad Sci Moldova; Montenegrin Acad Sci and Arts; Georgian Acad Sci; Acad Fine Arts and Design Bratislava; Turkish Acad Sci.
653-660
04 - 10 July, 2022
website
8746
bioeconomy, strategy, tax policy, implementation