IMPACT OF INVESTMENT CLIMATE ON GROWTH OF TAX POTENTIAL OF REGIONS
In the context of social and economic instability of the State, the issue of developing the tax potential of the constituent entities of the Russian Federation is of the utmost importance - this will reduce the consequences of instability, which consists in limiting the possibilities of financial support for regional budgets from the federal level. In this article we considered possible areas of improvement of tax potential of state subjects, which would allow to increase the degree of budgetary security. Those measures that contribute to the expansion of the current tax base and the improvement of the regional investment climate are separately analysed - all of which serve to attract potential tax and fee payers. On the basis of the analysis of 85 constituent entities of the Russian Federation in the field of legislative framework and taxation, a number of proposals were created, which, when implemented, will help in the development of the main directions of the economy. Individual proposals are based on attracting investment through the formation and improvement of new models and forms of support from the State towards innovation and investment. Proposals of this kind have the highest relevance for those regions of Russia where the level of budgetary security is very low, as well as lack of proper balance. The study was carried out using methods of statistical and empirical research, formal logic, integration of theory and practical practices. Analysis and ordering of information was carried out through logical and comparative analysis as well as grouping method.