The analysis of tax burden in the context of different tax populations.

There is a vast literature on empirical studies of tax burden determinants. Today, in general, there is an understanding that not only the economical determinant but also demographic, institutional and even geographical determinants may have a significant impact on the level of taxes in one or another country. However, the results concerning the importance and character of these determinants influence are contradictory. The aim of the research is to identify the determinants and the character of their impact on the tax burden in the countries forming the various tax populations and subpopulations. The concept of tax populations is established on the basis of evolutionary economics. Tax population is formed by the group of countries, in which the formation and development of tax relations occurred in the same socio-economic, cultural and civilization, geographical conditions, which led to a particular vision of the role of taxes and use of similar taxation practices. In the paper the results of cluster analysis sample of 117 countries are presented. These results are certain empirical confirmation of the objective existence of tax populations, as obtained grouping of countries in general coincides with the main identified types of tax populations with the use of logical analysis in previous works. Moreover, Western European and Eastern European subpopulations were clearly defined as parts of the European tax population as well as the subpopulation of postcolonial countries. The results indicate that the set, character and significance of the influence of various factors on the level of taxation vary in different tax populations and subpopulations. For example, economic growth has a significant impact on the tax burden only in the countries of Western European tax subpopulation. As far as the budget deficit is concerned, the factor has a significant influence in Eastern European and postcolonial countries tax subpopulations, but its character is opposite (in the first case it is positive, while in the second - negative). There are other differences as well. Understanding of the tax burden formation in the countries belonging to different tax populations and subpopulations allows calculating the potential tax rate and evaluate the tax efforts of these countries more accurately. It gives opportunity for decision makers to get solution if the government should cut down the tax burden or there is possibility to increase it.