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77% of small businesses are considering closing, limiting growth or splitting their companies due to tax changes.

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🇷🇺 Russia · Map

77% of small businesses are considering closing, limiting growth or splitting their companies due to tax changes.

Changes in tax rules force Russian entrepreneurs to reconsider their development plans. Three-quarters of those surveyed are considering cutting back on activity, curbing revenue growth or dividing the business.

These are the results of a survey by the Chamber of Commerce and Industry of the Russian Federation, in which 23 thousand entrepreneurs from 87 regions participated.

How businesses respond to new tax requirements:

27% are thinking about downsizing or closing their business.

26% intend to curb income growth in order not to exceed the set threshold;.

24% are considering the possibility of splitting their business.

Only 23% expect to continue working without changes.

Tax changes come at a time when the financial performance of the business is deteriorating. According to Rostat, in the months of January - August 2026, the balanced financial result of Russian enterprises decreased by 11% in annual terms, and the share of unprofitable enterprises increased from 30% to 32.9%.

Recall that from January 1, 2026, the basic VAT rate in Russia increased from 20% to 22%. At the same time, the annual revenue threshold for exemption from VAT under the simple tax system was reduced from 60 million to 20 million rubles.

As a result, the tax burden has increased both for some of the existing VAT payers and for small businesses that previously benefited from this tax exemption.

Therefore, for some businesses, the tax changes have become an additional critical pressure factor in view of the deterioration of financial results.

Do you have friends who have already closed their business because of taxes or are thinking about it?

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