IMPROVING THE INSTITUTIONAL ENVIRONMENT FOR IT STARTUP DEVELOPMENT IN THE REPUBLIC OF BELARUS: ADAPTING INTERNATIONAL BEST PRACTICES

Abstract

The article identifies the key institutional and legal constraints on the development of IT startups in the Republic of Belarus, including the absence of a specialized legal status for IT startups, the insufficient adaptation of legislation to innovative business models, the predominant orientation of existing support measures toward large businesses, and the limited access of startups operating outside the Hi-Tech Park to targeted tax and financial preferences. Measures are proposed to improve the institutional and legal environment for IT startup development, including conceptual provisions for a draft law “On State Support for IT Startups in the Republic of Belarus,” the structure of its main sections, criteria for classifying companies as IT startups, approaches to defining innovativeness based on the Technology Readiness Level (TRL) scale, as well as mechanisms for electronic registration, granting, and extending IT startup status. The article also proposes a set of state support measures for IT startups, including the introduction of differentiated corporate income tax rates, R&D tax deductions, startup grants and tax credits, the creation of a single electronic tax window, the reduction of administrative burdens, incentives for attracting foreign investment, and mechanisms for monitoring, auditing, and control aimed at minimizing the risks of abuse and improving the effectiveness of the national IT startup ecosystem.