FOREIGN COUNTRIES' EXPERIENCE IN TAXATION OF SMALL AND MEDIUM BUSINESS ACTIVITY

Аннотация

This article examines the current state of regulation of small and medium-sized
businesses through tax instruments and the mechanism of taxing their activities in selected foreign
countries. The relevance of the research topic stems from the fact that one of the most important
issues within the BRICS cooperation framework is the question of measures to support small and
medium-sized business entities as one of the principal drivers of economic growth in the member
states of the intergovernmental association. The study aims to review and analyse the tax incentives
applied in BRICS member states to reduce the tax burden on small and medium-sized businesses.
To this end, the research carries out an analysis of special tax regimes and individual tax incentives
for small business in China, India, Brazil, South Africa, Egypt, and the United Arab Emirates. In
particular, the study analyses whether or not a special tax regime exists in each country, and
examines the criteria established for applying tax incentives and their thresholds, the taxable bases,
and the tax incentives and tax rates granted to taxpayers. The study also conducts a general
comparison of tax incentives for small and medium-sized business entities in these countries, on
the basis of which similarities and differences in special tax regimes and individual tax incentives
are identified. From the standpoint of the tax policy implemented towards them, those countries
offering the most favourable conditions for the development of small and medium-sized businesses
are determined.