The challenges faced by Ukraine’s forestry sector due to global climate change, the need to adapt the current legislation to the requirements of the European Union, as well as the unforeseen consequences of the negative impact of russia’s full-scale aggression on the industry, dictate the need for a comprehensive review of forestry legislation and regulations, including a radical change in approaches to forestry taxation as one of the major and defining areas. The article aims to develop a new model of taxation in the forestry sector of Ukraine based on a single forest tax. The impact of the current taxation system in the forestry sector of Ukraine on forest management processes is assessed. The shortcomings of the existing taxation system are identified. Two existing taxes (rent for special use of forest resources and forest land tax) are suggested to be replaced by a single forest tax. The authors substantiate the establishment of norms and procedures for calculating the single forest tax. The formula for calculating the single forest tax and the use of the electronic timber accounting system to automate the processes of its administration are proposed. The principles of distribution of revenues from the single forest tax between the budgets of different levels are offered. The article proves that the improvement of rent collection in terms of a single forest tax has a fiscal and reproductive nature for financing forestry activities, including reimbursement of costs for the protection, conservation, use, and reproduction of forests. The tax is also intended to increase local budget revenues by redistributing revenues from the single forest tax to local communities, given the difficult socio-economic situation in rural areas during the war and in the post-war period. 

taxation system, rent payment, special use of forest resources, forest land tax, single forest tax, electronic timber accounting system 

А forest sector is analyzed as a dynamic structure in the context of national economy functioning, using a system theory approach and taking into account classification of economic activities, and economic, environmental and social services related to its sector. The attention is paid to the role of different types of capital in the sector from point of view of ecological economics theory. The institutional aspects of the sector development and the essence of interrelations with other sectors of economy have been analyzed. 

forest sector of economy, forest resources, institutional structure, forestry products, services of forest sector 

The analysis of sustainable forestry concept in the framework of sustainable development theory has been presented. International processes concerning criteria and indicators of sustainable forest management have been characterized. The necessity of implementing new approaches and strategies in international and regional forest policies has been substantiated. 

ecological economic problems, criteria and indicators, forest management, sustainable development