The principles of taxation are nothing but the basic rules, ideas, provisions that apply in the field of taxation. Thus, we can say that they are the principles of building the entire tax system.
Modern principles of taxation is a guideline for the formation of the tax and legal policy of any state. All the principles that are important for the taxation system are divided into two subsystems: classical principles of taxation and intranational. The principles included in the first group idealize taxation. It is understood that, provided that the tax system is built solely on the basis of their use, it is considered optimal. The fundamental principles of taxation are described in numerous works of N. Turgenev, D. Ricardo, A. Smith and others. The classical principles are usually attributed to uniformity, justice, cheapness and convenience.
Adam Smith in his time formulated four basic principles of taxation. The first was that the subjects of any state must necessarily cover the expenses of the government, while each, if possible, that is, with respect to their own solvency. The second principle - the tax paid by everyone should be clearly defined, and in no case arbitrary. Third - any tax is levied from the payer at that time and in a way which is most convenient for him. The fourth principle is that the tax structure should be such that it extracts from the pockets of payers as little as possible above what goes into the state treasury.
The principles of taxation are divided into two groups, and the second is domestic. On their basis, entire tax concepts are created, and conditions are set for the operation of the tax mechanism in accordance with the type of state, political regime and the possibilities of an economic basis.
The principles of taxation of the Russian Federation are enshrined in the Tax Code. Here is a list of them:
1. The principle of legality. Its essence is that each person is obliged to pay the fees and taxes established by law. When establishing taxes, it is always taken into account whether the taxpayer has the actual ability to pay tax.
2. The principle of non-discrimination. Fees and taxes cannot and should not be discriminatory. They can not be applied in different ways, based on racial, social, religious, national and other similar criteria. In no case is it allowed to establish differentiated rates of fees and taxes, tax benefits depending on the place of origin of capital, citizenship of individuals or type of ownership.
3. The principle of economic feasibility. This means that fees and taxes should be economically justified, not arbitrary.
4. The principle of a single economic space. It consists in the fact that the establishment of fees and taxes that violate the common economic space is unacceptable. That is, they should not restrict the free movement of financial resources, work, services, goods within the Russian Federation, as well as create obstacles and restrict the economic activity of individuals and organizations, which is not prohibited by law.
No one should be obligated to pay fees and taxes, as well as other payments and fees, if they have the signs of taxes and fees that are established by the Tax Code, but are not actually provided for by it.
5. The principle of certainty and clarity of legal regulation. In the process of establishing taxes, all elements of taxation must be determined . Each taxpayer must know exactly what fees and taxes, in what order and when, he needs to pay them.