ACCOUNTING SYSTEM OF SMALL ENTERPRISES OF UKRAINE IN THE CONTEXT OF LEGISLATIVE CHANGES

The article reviews the legislative documents defining the requirements for the accounting system of domestic small business owners. The focus is on the choice of alternative accounting solutions provided by the national accounting regulations and international financial reporting standards. The role of entrepreneurship in the economic development of the state is indisputable. Harmonization of domestic legislation in accordance with European requirements and international accounting standards is an urgent need today. A coordinated and integral legal and regulatory framework will contribute to the effective development of the entrepreneurial activity. The analysis of legal and regulatory sources showed that small business owners in Ukraine can choose the form of organizing and maintaining accounting records; financial reporting; a chart of accounts for bookkeeping; a taxation system. It is established that the effectiveness of management depends on the quality of information support. Objective and reliable information concerning the financial and economic activities of the business owner in relation to past and current events performs a predictive function. Such information allows predicting the development trends of the enterprise in the future. The necessary information base can be created by an accounting system that combines a financial accounting system, a management accounting system, and a taxation system of an economic entity. The most informative source for management decisions is financial data reporting. The paper compares the legal requirements for forms of financial reporting in accordance with national accounting regulations (standards) (NP(S)AS 1 and NP(S)AS 25), as well as the international financial reporting standard for small and medium enterprises (IFRS for SMEs). Particular attention is paid to the periodicity of reporting to tax authorities and statistical authorities. It also focuses on additional accounting preferences for entrepreneurs who have the right to submit financial reporting of micro-enterprises.