Implications of fiscal control in the efficiency of the fiscal system of the Republic of Moldova. Summary of the doctoral thesis in economics

Abstract

The topicality of the research theme and the importance of the problem addressed resides in the importance of fiscal control from various perspectives, emphasizing its role in ensuring economic stability, in promoting fiscal equity and in ensuring the sustainability of public finances. The implications and the role of fiscal control in effective fiscal administration, allows the collection of fiscal revenues and the maintenance of the budget balance. By maintaining strict fiscal control, governments can obtain more favorable terms on international loan markets but also maintain investor confidence in a country's economy. Fiscal control does not only refer to the collection of revenues, being involved in the supervision of the efficient use of public funds in accordance with the strategic priorities of the state; in managing public expenditures and establishing a correct fiscal policy. The essence of fiscal control is determined by the prevention of excessive budget deficits that can lead to the unsustainable accumulation of public debt, by the need to avoid economic and financial crises, but also by ensuring economic resilience. Fiscal control is a fiscal administration tool that contributes to ensuring macroeconomic stability. The efficiency of the tax system through an adequate tax control becomes essential to ensure the correct and fair collection of tax revenues, the reduction of tax evasion and the development of the general business climate. Moreover, in the global context of accelerated technological changes, tax control must keep pace with new challenges and opportunities related to the optimization of tax administration and the tax system as a whole. The development and implementation of tax policies well adapted to the specifics of the Republic of Moldova through the prism of compliance with the commitments assumed by the Association Agreement is a primary problem of the tax administration bodies. Since the signing of the Association Agreement between the Republic of Moldova and the EU in July 2014, the harmonization and application of a tax administration system according to European standards has become an assumed objective. In this context, the national authorities through the Government of the Republic of Moldova presented several reports on the progress of the application of the association agreement, followed by several reform processes regarding the regulation of fiscal facilities in order to align the national framework according to the commitments assumed by the Association Agreement. On June 22, 2022, our country acquired the status of a candidate country for the EU, and in December 2023, the EU leaders decided to open negotiations for the accession of the Republic of Moldova to the EU, which implies a new set of obligations regarding reforms and changes to financial administration systems and fiscal.