IMPACT OF THE RELATIONSHIP BETWEEN COST STRUCTURE, TAX AND TAX RATES ON THE PROFITABILITY OF BUSINESS SALES

Abstract

The article is devoted to analyzing the impact of different VAT and simplified taxation system rates on the profitability of business sales in the context of changes in tax legislation that will come into force in 2025. Companies and IE under the simplified taxation system with income over 60 million rubles will be obliged to switch to VAT, which will increase their tax burden. The main purpose of the study is to propose optimal ways to choose the VAT rate taking into account the cost structure and taxable base. The article presents variants of calculation of profitability of sales at different shares of expenses in revenue, VAT rates (20%, 7%, and 5%) and STS (15%, 6%). The influence of the above factors on profit and tax burden is shown. An algorithm is developed that helps businesses to assess the impact of VAT expenses on profit and choose the optimal tax strategy to increase the profitability of sales. The author emphasizes the importance of expense management to minimize tax payments and increase profits, and offers specific calculations that can be used by companies to optimize their tax strategy. The article combines scientific and practical relevance, providing useful tools for tax planning in the context of changing legislation.