This paper is based on the consideration impact on the Croatian economy crisis, as a period of significant negative developments in that specific area. Croatian economy has experienced various effects in terms of global crisis such as debt rise, increasing the share of problem loans,interest rates increase, a drop in demand and a sharp drop in the unemployment area. The negative consequences during the economy crisis are definitely losing confidence in the credit system, price reduction in terms of assets and product. The purpose of the paper is to review the effects of taxation of small and medium-sized enterprises. Small business means running the market economy and guarantee economic development of the national economy. It has been concluded that some of the fiscal forms and the performance off is cal administration shouldbe improved for greater competitiveness of our businesses. Fiscal system and fiscal policy should be seen as factors that decisively influence the success of the functioning of the entire social system whose material basis in the system of financing public needs. This research is determined by what that it is necessary to change the legal frame work in order to facilitate the operation of enterprises, it is necessary to reduce the tax burden with a view of making better business decisions. The study was conducted using a questionnaire on a sample of 80 entrepreneurs from Virovitica-Podravina County.