Abstract: A comprehensive evaluation on the preferential taxation policies for small and micro businesses is made from the perspectives of tax saving, actual tax burden, financing, capital allocation and indirect incentives The results show that, though questions still exist, current preferential tax policies have been playing positive roles in sustained and healthy development of small and micro businesses The countermeasures are to strengthen the support of the preferential tax policies to small and micro businesses, reduce their actual tax burden, optimize financial approaches, rationalize resource allocation by encouraging inflow of capital and improve the indirect preferential tax policies arrangements

Key words: small and micro businesses, tax preference, evaluation