Qualitative Assessment of Tax Procedures for SMEs in the Republic of North Macedonia: Insights from the COVID-19 Pandemic and Energy Crisis, Based on a Questionnaire Survey of SMEs in the Municipality of Strumica
Keywords:
SMEs, Covid-19, energy crisis, taxes
Abstract
This research examines the qualitative aspects of tax procedures in North Macedonia, focusing on small and medium-sized enterprises (SMEs) during the COVID 19 pandemic and the energy crisis. Through a questionnaire survey of SMEs in
Strumica, the study explores how these crises have affected perceptions of tax fairness, administrative efficiency, and compliance challenges. Key areas of investigation include the effectiveness of government support measures, the
adaptability of tax procedures, and the administrative burdens on SMEs. The findings reveal that SMEs faced significant disruptions and increased challenges in navigating tax procedures, with many respondents reporting difficulties
in compliance and a greater need for support from tax authorities. The study highlights both successful government initiatives and areas for improvement, offering recommendations for enhancing the resilience of tax procedures to better support SMEs during future crises. These insights are crucial for policymakers and tax administrators in creating a more responsive tax environment for SMEs in North Macedonia.
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References
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2. Adams, J., Smith, R., & Turner, L. (2022). The impact of efficient tax systems on SME growth and development. International Journal of Fiscal Policy, 34(4), 123-137.
3. Ainsworth, R. T., & Shact, A. (2019). Digitalization in tax administration: Transparency and efficiency for SMEs. Tax Management Journal, 28(3), 199-210.
4. Ahmad, M., & Braithwaite, J. (2020). Regulatory challenges for SMEs in transition economies. Journal of Economic Transition, 27(1), 101-119.
5. Balkan Barometer. (2021). Challenges faced by SMEs in the Western Balkans: Insights and recommendations. Regional Cooperation Council Report. https://www.rcc.int/
6. Bakhtiari, A., & Breunig, R. (2021). The effectiveness of tax relief measures during economic crises. Journal of Economic Studies, 48(6), 1103-1125.
7. Bartik, A. W., Bertrand, M., Cullen, Z., Glaeser, E. L., Luca, M., & Stanton, C. (2020). The impact of COVID-19 on small business outcomes and expectations. Proceedings of the National Academy of Sciences, 117(30), 17656-17666.
8. Chetty, R., Friedman, J. N., Hendren, N., & Stepner, M. (2020). Government responses to SME challenges during COVID-19. Quarterly Journal of Economics, 135(3), 1145-1190.
9. Chowdhury, S., Kamal, A. H., & Yasmin, T. (2022). Tax deferrals and reductions: A mixed-methods approach. Journal of Public Economics, 56(2), 89-101.
10. Coolidge, J. (2012). The cost of tax compliance for small and medium enterprises. World Bank Group Report.
11. Djankov, S., Ganser, T., McLiesh, C., Ramalho, R., & Shleifer, A. (2010). The effect of corporate taxes on investment and entrepreneurship. American Economic Journal: Macroeconomics, 2(3), 31-64.
12. Floren, H., Ljung, A., & Sandström, C. (2020). Examining the tax environment for SMEs during the COVID-19 pandemic. Journal of Taxation and Economics, 19(4), 327-341.
13. Gupta, R., Khalid, F., & Wallace, J. (2021). Digital transformation in tax administration: Benefits for SMEs. Journal of Digital Economy, 8(1), 21-37.
14. Hassan, M., & Cabral, C. (2021). Tax compliance behavior and digital solutions for SMEs. Small Business Journal of Tax Compliance, 10(3), 200-214.
15. International Energy Agency. (2022). Global energy crisis and its impact on small businesses. IEA Annual Report. https://www.iea.org/
16. Ivanov, P., Marković, J., & Todorović, S. (2021). Economic impacts of COVID-19 on SMEs in developing economies. Journal of Emerging Markets, 39(2), 137-150.
17. Jankulovska, T., & Kotevska, D. (2021). Tax complexity and SME compliance in North Macedonia. Journal of Macedonian Economic Studies, 22(1), 102-118.
18. Juergensen, J., Guimón, J., & Narula, R. (2020). European SMEs amidst the COVID19 crisis: Assessing impact and policy responses. Journal of Industrial and Business Economics, 47, 499-510.
19. Karanović, M., & Ljumović, I. (2022). Tax policy challenges for SMEs in Balkan economies. South-East European Review, 28(3), 245-261.
20. Marković, M., & Todorović, S. (2023). Rising energy costs and tax burdens for small businesses. Journal of Energy Economics, 51(1), 56-68.
21. Martínez-Vázquez, J., Moreno-Dodson, B., & Vulovic, V. (2019). Tax compliance and administration in developing economies. Journal of Public Administration and Development, 32(1), 39-52.
22. Nikolic, M., & Djordjevic, B. (2022). Qualitative insights into SME tax challenges in the Western Balkans. Economic Review of Southeast Europe, 19(3), 182-198.
23. OECD. (2015). Tax compliance by design: Achieving improved SME compliance. OECD Publishing. https://www.oecd.org/
24. OECD. (2020). COVID-19 crisis response in Eastern European SMEs. OECD Publishing. https://www.oecd.org/
25. Petkovic, M., Lazarević, M., & Stefanović, D. (2023). Economic policy and energy crisis
implications for SMEs. International Journal of Business Policy, 40(2), 213-229.
26. Potrafke, N. (2021). Evaluating the effectiveness of government interventions in SME tax relief. Journal of Comparative Economics, 49(3), 435-451.
27. Radovanović, S., Stanković, M., & Zivković, N. (2023). Policy adjustments for SMEs in developing economies: A tax perspective. Journal of Emerging Market Taxation, 15(2), 97-115.
28. Spasovska, M., & Naumov, G. (2022). Fiscal policy and its implications on SME growth in North Macedonia. Macedonian Economic Review, 14(3), 205-222.
29. Stefanović, M. (2022). Addressing energy crisis impacts on SMEs: Tax policy solutions. Journal of Energy Policy Studies, 24(4), 302-318.
30. World Bank. (2021). The business environment for SMEs in North Macedonia. World Bank Development Report. https://www.worldbank.org/
