Analysis of the dynamics and reasons of closing legal entities in the Russian Federation

• Main Authors: Valentina A. Vodopyanova, Victoria S. Galitsyna
• Format: Article
• Language: English
• Published: Limited liability company “Scientific and Educational Initiative” 2020-01-01
• Series: Economic Consultant
• Subjects: legal entities; entrepreneurial activity; state registration; liquidation; reorganization; tax code of the russian federation; funds; economics; organizations; tax service; tax reporting; problems; bankruptcy
• Online Access: https://statecounsellor.files.wordpress.com/2020/09/190410.pdf

The relevance of scientific research is emphasized by the fact that every year the number of legal entities that have ceased entrepreneurial activity in the territory of the Russian Federation increases, which negatively affects the economy of the country as a whole. Based on the available data on the official website of the Federal Tax Service, an analysis is carried out on the number of legal entities that have ceased operations, by federal districts. The reasons why legal entities ceased operations in 2018 are analyzed, ways of liquidation of legal entities in the context of the federal districts of the Russian Federation in 2018 are considered. The problems and main proposals for improving the economic activities of legal entities in the Russian Federation are identified. In 2018, in the Russian Federation, the number of legal entities that ceased their activities was almost 2 times higher than the number of newly registered legal entities. This is due to an increase in business costs, insufficient support from the state, a decrease in purchasing power and problems with financing. The increase in closed organizations in the future will lead to a slowdown in economic growth, which will lead to lag behind developed countries.