Tax landscape formation for entrepreneurship development in Russian Federation

Abstract

Introduction. In modern conditions, the analysis of tax landscape formation as a basis for the development of entrepreneurship, taking into account recent changes in tax legislation, is of particular relevance, since the role of small and medium-sized enterprises in the formation of the revenue part of the state budget is significant and important for job creation and diversification of the economy. The main changes are focused on the adjustment of limits, cancellation of increased tax rates, introduction of value added tax and preservation of current tax rates for three years in case of tax jurisdiction change. Scientific novelty consists in the application of a mathematical model to analyses the impact on tax migration and economic activity of the consequences of innovations in tax policy.

Materials and methods. Scientific and practical materials, legislative and regulatory acts in the field of enterprise taxation formed the information research basis. Statistical data were collected and analyzed, tables and graphs for data visualization and interpretation being used. General scientific methods were applied, including the analysis of scientific works and regulatory framework information synthesis and comparison. Deeper understanding of the nature of changes in tax legislation and forecasting the consequences for the economy as a whole makes it possible to use system-functional and complex approaches, abstract-logical, mathematical method and the method of system analysis.

Results and conclusions. The dynamics of entrepreneurship development in recent years shows a stable growth in the number of enterprises, especially in the segment of microenterprises and medium-sized companies. The regions still retain the possibility to reduce tax rates for enterprises, creating more comfortable conditions for business. Flexible introduction of the value added tax and retention of the same tax rate for three years after a change of location are envisaged, which is expected to reduce tax migration and increase economic activity in the regions, ensuring stable growth of tax revenues to the regional budget. These measures contribute to an even distribution of business across the regions, sustainable economic development and increased financial discipline of entrepreneurs.

Discussion. The introduction of new taxation rules can significantly improve the financial sustainability of the small business sector, increase its contribution to the economy and create a more predictable tax environment promoting business development in the region, taking into account its peculiarities. Effective management of tax liabilities can be ensured if modern business models are adapted to changes in legislation. The model recommended for use makes it possible to determine the consequences of the introduction of the rule of keeping the tax rate at the same level when changing the place of registration on the example of a specific region, which will eventually lead to a decrease in the level of tax migration and improve the financial condition of business and the economy on the whole.