THE IMPACT OF THE TAX BURDEN ON ENTERPRISE INVESTMENT ACTIVITY

Abstract

The impact of the tax burden on enterprise investment activity is one of the important scientific issues in the modern economy. This study analyzes the influence of the tax burden on investment decisions using econometric methods. The relevance of the topic is associated with the role of investment in economic growth and the fiscal factors that shape it. The main objective of the study is to reveal the economic essence of the tax burden and to identify the mechanisms through which it affects investment activity. The analysis employed methods of theoretical generalization, comparative analysis, and regression analysis. The results show that an increase in the tax burden reduces the investment activity of enterprises. This effect emerges through a reduction in internal financial resources and an increase in investment risks. In addition, the complexity of the tax system and the insufficient stability of fiscal policy also have a negative impact on the investment environment. According to the conclusions of the study, the effect of the tax burden depends not only on its level but also on its structure and mechanisms of application. The scientific novelty of the research is reflected in the assessment of the impact of the tax burden on investment through a comprehensive econometric approach. Based on the results, proposals have been developed to optimize the tax burden, strengthen investment incentives, and stabilize tax policy.