IMPROVEMENT OF TAX ADMINISTRATION MECHANISMS BASED ON DIGITAL PLATFORMS

Abstract

This study examines the conceptual models of digitalization in tax administration and the management mechanisms based on digital platforms. The research highlights how digital technologies are transforming traditional tax administration systems that relied on paper documentation, manual processing, and direct inspections. Digital platforms enable automation of tax collection, reporting, auditing, and compliance processes, while providing real-time data processing and interactive communication with taxpayers. The paper analyzes different conceptual models of tax digitalization, including centralized, decentralized, and integrated systems supported by technologies such as electronic filing, automated payment systems, artificial intelligence, blockchain, and cloud computing. The study also explores the economic implications of taxation and the balance between taxation, economic growth, and stability. International experiences from countries such as Estonia, India, and Singapore demonstrate the effectiveness of digital tax platforms in improving transparency, efficiency, and taxpayer compliance. The findings indicate that digitalization not only increases tax revenue collection but also strengthens governance capacity, improves monitoring mechanisms, and reduces tax evasion risks. Despite these benefits, challenges such as cybersecurity risks, infrastructure limitations, legal adaptation, and the need for skilled personnel remain important considerations in the implementation of digital tax systems.