Who belongs to small businesses
According to Art. 4 of the Law “On the Development of Entrepreneurship in the Russian Federation” dated July 24, 2007 No. 209-FZ, various economic entities are classified as SMBs (small businesses), namely:
- individual entrepreneurs;
- peasant (farm) farms;
- business societies;
- business partnerships;
- consumer cooperatives;
- production cooperatives.
All of them must comply with the main and additional criteria for small businesses outlined in law 209-FZ. These relate to the fundamental characteristics of the management of any company, namely: the number of employees, income received and the composition of the authorized capital. On their basis, it is determined whether the organization can be considered small or whether it must be classified among other categories of economic entities. Let us consider what criteria characterize a small enterprise in more detail.
Important! Recommendation from ConsultantPlus All SMEs are included in a special register on the Federal Tax Service website. If you do not find your SME there, submit a request to check the registry information. For more details, see K+. Trial access is available for free.
Unified list of small and medium-sized enterprises
The Federal Tax Service maintains a separate register of those who are classified as small businesses in 2021. To be included in the register, a company or businessman does not need to do anything. The list is compiled by the inspectorate independently on the basis of declarations and other reports received from taxpayers.
Check whether the subject is included in the specified register of the Federal Tax Service on the official tax website. To check, it is enough to enter the TIN of the company or individual entrepreneur or other identification details. For example, OGRN, OGRNIP or name.
If the information on the Federal Tax Service website is incorrect, the company has the right to contact the inspectorate with a request to change the information. For example, expand the information by adding data from the Federal Tax Service database with information about manufactured products, concluded contracts, participation in government programs, etc.
Please note that if a company or businessman is not included in the SME register, then it is pointless to count on benefits or additional support from the state. In this case, you will have to contact the Federal Tax Service for clarification as to why the company was not included in the register.
Basic and additional criteria indicating small enterprises
The first criterion that you need to focus on is the income received over the past calendar year from all types of activities. The maximum value of this criterion is 800 million rubles.
In addition to the profitability parameter, the main criteria include the average number of personnel for the past calendar year. For small enterprises this characteristic ranges from 16–100 people. The average headcount is calculated based on a certain rule, namely:
- First, the average number of full-time employees is calculated.
- After this, the average number of part-time personnel is determined.
As for additional criteria, these include the total percentage of membership of other economic entities in the authorized capital of the entity. Firstly, for business partnerships or companies, this indicator should have no more than 25% of the total participation of the Russian Federation, constituent entities of the Russian Federation or municipalities, public organizations or charitable foundations. Secondly, the management company must have no more than 49% of the participation share of other legal entities (not considered SMEs) or foreign companies. That is, at least 51% of the authorized capital must belong to individuals or small and medium-sized businesses.
Legal entities whose activities are related to intellectual developments in various fields, for example, the creation of information databases, industrial designs, etc., may also meet the criteria for a small enterprise.
In relation to joint stock companies, they can also have the status of a small organization, only in this situation their shares must belong to the innovative sector of the state economy.
Confirmation of the company's compliance with the status of SMP or SONO
For the activities of the organization, confirmation of status as such is not required. The company, while operating with its inherent success, is simply classified or not classified as a small business depending on its annual results.
However, small businesses receive support from the state . In particular, certain advantages are provided in the field of public procurement. In this case, confirmation of involvement in the EMS is necessary, in accordance with legal requirements.
Article 4.1 of 209-FZ specifies the conditions for including a company in the unified register of small and medium-sized businesses. The Federal Tax Service is responsible for maintaining the list.
The list of subjects is published on the official website of the authorized government body. Organizations are included in the list based on information available to the tax service.
The situation with SONO is somewhat simpler. In accordance with the requirements of Part 1 of Art. 13.1 7-FZ, a non-profit organization is subject to state registration and registration in the unified state register of legal entities . In addition, the company has appropriate entries about the goals of the organization in the charter.
As for confirmation of the status of a participant in public procurement, then, in accordance with the requirements of Part 3 of Art. 30 of the “Law on the Contract System” 44-FZ, it is enough for a person to declare in free form his own affiliation with the SMP or SONO. No other company supporting documents are required.
Moreover, by establishing a requirement for their provision, the customer violates the provisions of the law, which threatens him with administrative liability.
Does the company belong to the SMP (step-by-step table for determining the status of the company)
Let's look at the algorithm for determining a company's category step by step.
| Step | Algorithm |
| 1. Determine the average number of personnel for the past calendar year | Calculated by calculation. Information for calculation is taken from information submitted to the tax office. For small businesses the figure ranges from 16 to 100 people |
| 2. We calculate the income acquired over the past calendar year from all types of activities | The information is taken from the previous year's tax return. When combining modes, income is summed up for each declaration. For small enterprises, the value should not exceed 800 million rubles. |
| 3. We determine the percentage of membership of other companies in the authorized capital of the company | 1. The percentage of membership of the state, constituent entities of the Russian Federation, municipalities, public organizations or charitable foundations is no more than 25%. 2. The percentage of membership of foreign legal entities or Russian legal entities (not having the status of a small enterprise) is no more than 49% |
Small business taxation in 2021
Features of taxation of small and medium-sized businesses depend on the tax regime chosen and used by the organization. It also depends on the taxation system whether a small enterprise is recognized as a payer of VAT, personal income tax and income tax.
Taxes for small businesses using the simplified tax system
A small business entity can use a simplified taxation system if its activities meet the following requirements:
- the level of annual income does not exceed 150,000,000 rubles;
- the average number of employees is no more than 100 people;
- the residual value of fixed assets owned by the company does not exceed 000,000 rubles.
If the subject of a small business is an organization, then in order to obtain the right to use the “simplified tax” the company must not have branches or representative offices, and must also comply with the conditions for the participation of other organizations in its own authorized capital (up to 25%).
It is understood that an organization included in the ERSMISP as a small enterprise already meets the necessary requirements of the simplified tax system in terms of income level and number of employees. But to obtain the right to use the “simplified tax”, the organization must meet all other requirements of the tax regime (no branches, limit on the residual value of fixed assets).
Tax calculation for small businesses using the simplified tax system depends on the chosen tax scheme:
- Organizations and individual entrepreneurs using the simplified tax system “Income 6%” calculate the tax as the product of the tax base (income excluding expenses) and the 6% rate.
- Small businesses using the simplified tax system “Income minus expenses 15%” determine the tax base as the difference between income received and expenses incurred.
The application for transition to the simplified tax system can be downloaded here ⇒ Application for transition to the simplified tax system.
A small enterprise using the simplified tax system is not a payer of VAT and income tax. At the same time, organizations that act as small businesses and have employees are recognized as personal income tax payers as tax agents. Individual entrepreneurs with employees are obliged to pay personal income tax not only for their employees, but also for themselves.
The nuances of small and medium-sized businesses
If a small enterprise meets the 2021-2021 criteria, it is entered into a special register of small and medium-sized businesses. In this case, the organization is not required to submit any special information to the tax authorities or take other actions - it is automatically classified as a small business. Federal Tax Service employees classify companies as small based on the information they provide in the usual manner, which includes:
- average number of employees;
- data from the Unified State Register of Legal Entities or Unified State Register of Individual Entrepreneurs;
- tax returns.
Read about how the SME register is maintained and when it is updated in ConsultantPlus. Trial access to the system can be obtained for free.
It should be noted that enterprises with small status receive the right to use certain benefits in the field of accounting. These include the following points:
- The right not to set a limit on the cash balance in the cash register. If it was installed earlier, management can issue an order to cancel it.
- Possibility of conducting simplified accounting.
- Preferential conditions for special taxation, which are established at the regional level.
- Reduction of inspection period by state regulatory authorities - for small enterprises it is 50 hours per year.
- Some categories of individual entrepreneurs receive tax holidays, which must be specified in the regulatory legal acts of the region.
The following materials will help you understand the nuances of simplified accounting and reporting in small enterprises:
- “Features of accounting in small enterprises”;
- “Simplified accounting reporting for small businesses for 2021.”
Deposits are now insured
From January 1, 2019, the deposit insurance rule also applies to small businesses. But in order to claim compensation for deposits, the enterprise must be included in the register of SMEs. This is stated in Federal Law No. 322-FZ dated August 3, 2018.
Legal documents
- Federal Law No. 209 dated July 24, 2007
- letter dated August 18, 2016 No. 14-2-04/ [email protected]
- Federal Law dated August 3, 2018 No. 313-FZ
- instructions of the Bank of Russia dated March 11, 2014 No. 3210-U
- Art. 15.1 Code of Administrative Offenses
- Federal Law No. 402
- Federal Law dated June 29, 2015 No. 158
- Federal Law No. 246-FZ dated July 13, 2015
- Federal Law of December 25, 2018 No. 480-FZ
- Federal Law dated 04.05.2011 No. 99-FZ
- Federal Law of August 3, 2018 No. 322-FZ
When a small enterprise turns into a medium or large one
There are certain circumstances, the occurrence of which will lead to the organization losing its status as a small enterprise. Naturally, this is due to the fact that it will not fall under the criteria of small enterprises in 2020-2021. These conditions include the following:
- If circumstances are associated with an increase in the percentage of participation in the authorized capital above the limit value, then the enterprise will lose its small business status. In this case, the moment of transition to a medium or large enterprise is considered to be the date of making an entry in the Unified State Register of Legal Entities about the change in the authorized capital of the organization.
- If circumstances are associated with an increase in the average number of personnel or income from all types of entrepreneurial activities above the legal limit, the status of a small enterprise is retained by the enterprise for three years. After the expiration of the mentioned period, the small enterprise will lose this status and become medium or large, depending on the value of these criteria, as indicated in paragraph 4 of Art. 4 of Law 209-FZ.
No need to confirm status
The organization does not need to be separately registered and receive confirmation that your company is an SME. The status is also saved automatically in the future. It is enough that the company or entrepreneur meets the listed conditions. Moreover, even if within one or two years you exceed the established limits, the status of the enterprise will remain. A change in status occurs only when the maximum indicators for the number of employees, the amount of income or shares in capital are not observed for three consecutive calendar years (Part 4 of Article 4 of Federal Law No. 209).
Results
To be classified as a small enterprise, a company must meet the criteria specified in Law 209-FZ. These include the average number of personnel, income from all types of activities and participation in the authorized capital. If all conditions meet the required values, the company automatically receives small status and is entered by the tax authorities into a special register of small and medium-sized businesses in Russia.
Sources: Law “On the Development of Entrepreneurship in the Russian Federation” dated July 24, 2007 No. 209-FZ
You can find more complete information on the topic in ConsultantPlus. Free trial access to the system for 2 days.
Small business criteria 2019-2020 in the table
| Criterion | Limit value | Document establishing the limit value |
| Average number of employees for the previous calendar year | ≤ 100 people | Art. 4 of the Federal Law of July 24, 2007 No. 209-FZ |
| Total share of participation in the capital of the company of the constituent entities of the Russian Federation, municipalities, public and religious organizations and foundations | ≤ 25% | |
| Total share of participation of other organizations that are not small or medium-sized businesses, as well as foreign organizations | ≤ 49% | |
| Income from activities (sum of revenue and non-operating income) for the previous calendar year (excluding VAT) | ≤ 800 million rub. | Decree of the Government of the Russian Federation dated April 4, 2016 No. 265 (valid from August 1, 2021) |
Small businesses do not need to confirm their status. Tax authorities, as before, receive all the necessary information about compliance with the criteria from reporting. Income data is confirmed by tax registers. Companies using the simplified tax system have a ledger for recording income and expenses. You can confirm the composition of the founders using the decision to establish an LLC or an extract from the Unified State Register of Legal Entities (Article 11 of Federal Law No. 14-FZ dated 02/08/1998).
