Key Directions for Improving State Policy in Taxation of Small Businesses to Ensure Their Sustainable Development in the Russian Federation

This research highlights key areas for improving state policy in the taxation of small businesses to ensure their sustainable development in today’s challenging economic conditions. Small businesses play a critical role in the economy of any country, permeating all aspects of social life and activity. They provide employment opportunities and contribute to the circulation of money, making it essential to consider their interests when the state develops measures to maintain the stability of the country’s socio-economic situation. Recent global events, particularly in Russia, such as the pandemic and the subsequent imposition of international sanctions, have underscored the importance of small businesses in supporting the national economy and maintaining the quality of life for the population. The existing taxation framework significantly impacts the development of small businesses because factors such as tax rates, availability of tax benefits and incentives, and other measures of state support in the tax domain directly influence the economic feasibility of conducting financial and business activities. However, the current tax legislation is insufficiently tailored to the needs of small businesses, despite their importance to economic growth being no less critical than that of medium and large enterprises.