Transformation of the accounting and taxation system in Ukraine in the context of economic digitalization

Abstract

The article explores the processes of transformation of accounting and taxation systems in Ukraine in the context of the digitalization of the economy, which is a crucial stage in the modernization of public administration and business processes. The aim of the study is to provide an in-depth analysis of the challenges and opportunities of digital transformation, identify factors that either promote or hinder the effective implementation of digital technologies in accounting and taxation, and formulate recommendations for improving the regulatory framework to adapt to new digital requirements arising in the context of global economic changes. The main focus is on the need for legislative renewal, integration of accounting systems with state registers, and the enhancement of digital literacy among all market participants, ranging from small entrepreneurs to large companies and government agencies. Methods. The research methodology is based on the analysis of current legal acts, scientific studies, and international experience, which helps identify best practices in the digitalization of accounting and taxation systems. A comparative analysis of the effectiveness of digital solutions used in both the public sector and private businesses was conducted to determine the advantages and disadvantages of existing approaches. The results of the study showed that successful digitalization of accounting and taxation systems requires a comprehensive approach, including the updating of the regulatory framework, the development of unified standards for digital accounting, and the integration of modern accounting systems with state registers. However, significant barriers were identified, with the most critical being the lack of integration between accounting systems in various state bodies and the low level of cybersecurity, which jeopardizes data protection and confidentiality.The conclusions of the study confirm the need for systemic changes in both regulatory-methodological and technological directions. In particular, it is crucial to enhance the qualifications of users of new technologies, support small and medium-sized businesses in the digitalization process, and encourage the development of innovations in this field. Future research should focus on adapting international experience to the specifics of the Ukrainian economy and developing effective cybersecurity mechanisms in the accounting and taxation sphere to ensure data security and the successful integration of digital technologies into all sectors of Ukraine’s economy.