Georgias fiscal systemand the ways of its perfection

Abesalom Gabritchidze

Achieving of economic stability based on a correct fiscal policy is one of the most important tasks that Georgia has to fulfill in the nearest future.

In the country there are many ways for invigoration of the fiscal sphere, and we believe that it is purposeful to carry out the following arrangements: firstly – creation of favorable conditions for the development of small and medium-scale business; secondly – improvement of the business environment; thirdly – regulating of export activities; fourthly – effective measures should be taken in order to stop smuggling in the country and provide for full registration of export and import.
At the same time we can conclude that fiscal policy gives the state an opportunity, by means of regulation of, on the one hand tax rates and privileges, and government spending on the other, to as much as possible influence the volume and structure of the population’s consumer demand, the state’s and entrepreneurs’ investment potential, cycling recurrence of economic development, and, on the whole, formation of stable economic environment, since the country’s prosperity largely depends on effectiveness of the implemented fiscal policy.