The paper explores the features of the development of the RF tax system following the collapse of the Soviet Union. The focus is on the legislation that was adopted by the country’s leaders as the tax system evolved in the state. In this paper, the detailed structure of the current tax system in the Russian Federation is examined, focusing on all three levels: federal, regional and local. The paper also provides a study into the influence of economic and social aspects on the development of the tax system in the regions of the Russian Federation, focusing on the Novgorod and Pskov regions with further analysis of each indicator in the economic and social domains. The emphasis is on the internal policies of these regions aimed at attracting businesses and creating favorable conditions for their operation. The paper highlights the correlation between regional development metrics and fiscal policy: economic indicators serve as the foundation for tax adjustments, while the fiscal policy itself impacts the region’s appeal to investors and business owners. In conclusion, the paper underlines the need for tax incentives for both citizens (to improve the demographic situation in the regions) and businesses (to enhance competitiveness and improve the region’s image).
Kivarina et al. (Sat,) studied this question.