Fiscal expansion of small business in the economic instability

The relevance of the problem is determined by the fact that in the conditions of the economic instability, caused by the COVID-19 pandemic, the sanction pressure strengthening increases the signifi cance of the development of the small business sector, fi rst of all as a tool, proving the creation of jobs in Russia’s regions. At the same time, enterprises of the sector are the most susceptible to the negative impact of environmental factors, effects of exposes of which can be reduced with the help of the state fiscal policy. The purpose of the research is to work out the offers on the tax stimulation of small business in the conditions of current economic instability. We considered theoretical aspects of using special tax regime, as well as foreign and Russian experience of their review. We paid special attention to the implementation of fiscal expansion tools for small business at the regional level. The article proves the necessity to operating the fiscal policy by the state, aimed at supporting small and medium-sized business sector, which becomes particular acute in Russia’s entities, where such organizations provide a signifi cant share of jobs. For this purpose, we propose to use a number of measures, such as extension of the reduced rate under the simplifi ed tax system, increasing the income “threshold” that allows its application, measures to mitigate the effects of the abolition of a single tax on imputed income, etc. The research novelty is to comprehensively review theoretical and practical issues of fiscal regulation and to substantiate the need to fi nd ways of its improvement from the point of view of developing small and medium-sized business sector.