Reduction of administrative burden of Belarus tax system through the standard cost model

This study focuses on reduction of administrative burden of the tax system of Belarus through the standard cost model. It offers a brief description of the main features and problems of the tax system, explains standard cost model and highlights its main advantages for Belarus. The strong point of the proposed methodology is high degree of detalisation of measuring administrative costs and hence, potential for significant simplification of regulation, which ultimately leads to economic benefits for the country.

Among its other advantages are: distinguishing tax legislation which is most difficult for implementation; identification of areas of economic activity, where simplification of legislation will have the greatest impact; effective classification of the tax legislation; stimulation of regulation change and identification of its consequences; facilitation of informatisation of economy; identification of state bodies responsible for most complicated regulation; calculation of general costs of administrative burden. Using the standard cost model will do away with barriers to effective economic development.