Economic states policy development tax administration area in activation of foreign investment

Abstract

The Baltic countries’ tax system is similar in its structure, but differ in their legal reglamentation and tax base. Although the tax classification is identical, but there are charges, which are limited to one country or another. Analysis showed that in Lithuania, Latvia and Estonia are collected the same basic rights, but differ in their rates, the preferences and tax base. The Baltic countries joining the European Union joined the European Union's fiscal framework, and undertook to harmonize the tax and fiscal systems. Analysis showed that Lithuania, Latvia and Estonia have different perceptions and use European Union legislation. The paper presented the analysis to determine the differences and the reasons why this is so, what is causing the legal and economic consequences for businesses and governments. European Union legislation in the Baltic countries, prospects for the composition analysis showed, that Lithuania, Latvia and Estonia, in close cooperation with each other, voluntary and conscious in the same way, and through European Union legislation, establish a common market based on law. This would result in better operating conditions for businesses, stimulate the economy, reduce unemployment, which will allow the parties to the tax system in to the state budget to accumulate more wealth.