Accounting and tax aspects of SME business activities on the internal market

Abstract

Small and medium sized companies have very important position in EU economy, mainly in the area of employment. Their activities on the internal market are limited by great deal of obstacles. The most important obstacles can be considered different national accounting and tax systems. At present it is obvious that certain degree of accounting and tax harmonization has to take place. The aim of the paper is to introduce different attitudes to harmonization of accounting for SME, to analyze the impacts of missing harmonization in above stated areas on the activities of SMEs on the internal market.

Keywords

• Small and Medium-sized Enterprises (SMEs)
• financial reporting standards for SMEs
• compliance costs of taxation
• home state taxation (HST)
• internal market
• internalization