Interbudgetary relations (Article 6. BC RF) – this is the relationship between public legal entities on the regulation of budgetary legal relations, organization and implementation budget process.

Interbudgetary relations – This is a whole complex of financial and legal norms, which include, in particular, the relationship between different levels of government regarding:

1. delimitation of expenditure obligations and responsibility for their implementation;

2. delimitation of tax powers and income sources;

3. budget equalization and distribution of financial assistance.

There are two types of budget alignment – ​​vertical and horizontal.

Vertical budget alignment– the assignment of tax and non-tax revenue sources to each level of the budget-tax system (federal, regional, local), established in accordance with the law and based on the criterion of sufficiency to cover normatively distributed expenses.

Horizontal fiscal alignment(with the help of grants, subsidies, subventions) - establishment in the classification of expenditures of the federal and regional budgets of special positions for financing such areas of the regional policy of the federal state as compensation to lower budgets for their insufficiency own funds to cover standard allocated expenses.

Interbudgetary relations exist in any state that has an administrative-territorial division, but they can develop on different bases (principles). It is customary to distinguish unitary(Great Britain, Italy, etc.) and federal budget systems (USA, Germany, Russia). Unitary corresponds to a high level of centralization of budget funds, the absence or insignificant amount of budgetary rights of lower authorities. Federative budget systems are built on exactly the opposite principles. They are characterized by a high degree of independence of territorial authorities while maintaining the unity of national interests.

The principles on which federal budget systems operate are called principles fiscal federalism.

Fiscal federalism can be defined as a public finance management system based on the delimitation between different levels of government of budgetary rights and powers in the field of formation and expenditure of budgetary funds with a combination of interests of participants in the budgetary process at all levels budget system country and the interests of society as a whole.

It is customary to highlight two main models fiscal federalism – decentralized (competitive) And cooperative.

IN decentralized model Of the three main functions of the state - macroeconomic stabilization, redistribution of national income and the production of government goods and services - the first two most often belong to the sphere of activity of the central government, and the third is divided between the three levels of government, but is considered the most important in the activities of regional governments (an example of this model is serve the USA).

More widespread cooperative model budgetary federalism, which implies: wider participation of regional authorities in the redistribution of national income and macroeconomic stabilization, which leads to closer budgetary cooperation between regional authorities and the center; increasing the role of regional authorities in the distribution system tax revenue, incl. and national, an active policy of horizontal alignment, increased responsibility of the center for the state of regional finances, the level of development of territories, which leads to increased control by the center and some limitation of the independence of regional authorities (Germany can serve as a striking example of such a model).

The issue of equality in the distribution of powers, income and expenses between the federal center and the regions is central problem fiscal federalism.

On the one hand, it is the federal type of structure that is capable of providing regions with real independence, both politically and economically. Federation as a type of government system presupposes that a given state consists of separate state entities(states - in the USA, provinces - in Canada, subjects of the Federation - in Russia), having their own executive and legislative authorities, regional legislative framework, own taxes, etc. It is easier to “reach out” to the regional authorities, it is easier to ask about the results of activities; The regional government is closer; it really knows first-hand about the problems of the region, and is able to take into account its national characteristics, socio-economic conditions, etc. Thus, the development of regional independence is the key to real democratization of the entire society.

On the other hand, one cannot underestimate the role of the federal center, which is called upon to ensure national interests, maintain the integrity of the state, neutralize separatist sentiments, and equalize the living conditions of the population of different regions.

For Russia, this problem is most relevant, since we are constantly accused of an excessive degree of centralization. This is confirmed by the lack of political and economic independence of the regions (governors are appointed; most of the financial resources are accumulated at the federal level, etc.). The tendency towards “unitarism” in Russia can be explained, first of all, by the legacy of the recent past - the dominance of the command-administrative system, as well as the peculiarities of the Russian mentality.

In our opinion, at present it is impossible to abandon the priority of the federal center, since a feature of Russia is the presence of a large number of regions (more than 80, like no other country in the world), which differ sharply in their socio-economic conditions. In order to provide more or less equal conditions life and constitutional rights to the population of various subjects of the Federation, it is necessary to concentrate financial resources in the federal budget, and then redistribute them in the form of interbudgetary transfers to equalize budgetary security (today this is the largest item of federal budget expenditures - more than 30% of all expenditures).

Interbudgetary transfers (Article 6. BC RF) – funds provided by one budget of the budgetary system of the Russian Federation to another budget of the budgetary system of the Russian Federation.

In accordance with Art. 129 of the BC RF there are the following forms of interbudgetary transfers , provided from the federal budget (since 2008):

Subsidies to equalize the budgetary provision of subjects Russian Federation;

Subsidies to the budgets of the constituent entities of the Russian Federation;

Subventions to the budgets of the constituent entities of the Russian Federation;

Other interbudgetary transfers to the budgets of constituent entities of the Russian Federation;

Interbudgetary transfers to state budgets off-budget funds.

Conditions for providing interbudgetary transfers(Article 130 of the Budget Code of the Russian Federation)– see table 3.11.

Interbudgetary transfers from the federal budget (with the exception of subventions) are provided subject to compliance by the authorities state power subjects of the Russian Federation budget legislation and legislation on taxes and fees of the Russian Federation.

If government bodies of the constituent entities of the Russian Federation fail to comply with the conditions for the provision of interbudgetary transfers from the federal budget, determined by the budget legislation of the Russian Federation, the Ministry of Finance of the Russian Federation has the right to make a decision to suspend (reduce) in the manner established by it the provision of interbudgetary transfers (except for subventions) to the corresponding budgets of the constituent entities of the Russian Federation Federation.

Table 3.11

Restrictions for constituent entities of the Russian Federation when receiving interbudgetary transfers from the federal budget

Subvention level	Subjects of the Russian Federation have no right
1. Over 5%	Conclude agreements on cash services for the execution of the budget of a constituent entity of the Russian Federation, the budgets of territorial state extra-budgetary funds and the budgets of its constituent municipalities by the executive body of state power of the constituent entity of the Russian Federation
2. Over 20%	1. Establish and fulfill expenditure obligations not related to the resolution of issues related to the Constitution of the Russian Federation and federal laws to the powers of state authorities of the constituent entities of the Russian Federation
2. Exceed the standards established by the Government of the Russian Federation for the formation of expenses for remuneration of state civil servants of the constituent entity of the Russian Federation and (or) the maintenance of public authorities of the constituent entity of the Russian Federation
3. Over 60%	In addition to the requirements of line 2, such subjects of the Russian Federation take the following measures:
1. Signing agreements with the Ministry of Finance of the Russian Federation on measures to improve the efficiency of using budget funds and increasing tax and non-tax revenues of the budget of a constituent entity of the Russian Federation
2. Organization of execution of the budget of a constituent entity of the Russian Federation with the opening and maintenance of personal accounts for the main managers, managers, recipients of budget funds of a constituent entity of the Russian Federation and chief administrators (administrators) of sources of financing the budget deficit of a constituent entity of the Russian Federation in bodies Federal Treasury
	3. Submission by the financial body of the subject of the Russian Federation to the Ministry of Finance of the Russian Federation of documents and materials necessary for preparing a conclusion on compliance with the requirements of budget legislation submitted to the legislative (representative) body of the subject of the Russian Federation of the draft budget of the subject of the Russian Federation for the next financial year (for the next financial year and planning period)
	4. Conducting an annual external audit of the annual report on the execution of the budget of a constituent entity of the Russian Federation by the Accounts Chamber of the Russian Federation or the Federal Service for Financial and Budgetary Supervision; other measures

A special place in the system of interbudgetary transfers is occupied by financial funds(Art. 129-133, 135-140, 142-142.3 BC RF):

1. Federal Fund for Financial Support of Subjects of the Russian Federation is formed as part of the federal budget in order to equalize the budgetary provision of the constituent entities of the Russian Federation.

In accordance with the current budget legislation this fund form subsidies to equalize the budgetary provision of the constituent entities of the Russian Federation.

The total volume of subsidies to equalize the budgetary security of the constituent entities of the Russian Federation is determined based on the need to achieve the minimum level of estimated budgetary provision of the constituent entities of the Russian Federation.

Minimum level of estimated budgetary provision of a constituent entity of the Russian Federation, taking into account subsidies to equalize the budgetary provision of the constituent entities of the Russian Federation for the next financial year, is determined as the average level of estimated budgetary provision before the distribution of these subsidies among the constituent entities of the Russian Federation that are not included in the 10 constituent entities of the Russian Federation that have the highest level of budgetary provision, and 10 subjects of the Russian Federation with the lowest level of budgetary security.

Tax Potential Index (TPI)- a relative (compared to the average level for the Russian Federation) assessment of tax revenues of the consolidated budget of a constituent entity of the Russian Federation, determined taking into account the level of development and structure of the economy of the constituent entity of the Russian Federation.

The tax potential index is used to compare the levels of estimated budgetary provision of the constituent entities of the Russian Federation and is not a projected assessment of the tax revenues of the constituent entities of the Russian Federation per capita or in absolute terms.

The value added for the constituent entities of the Russian Federation and on average for the Russian Federation is calculated based on data Federal service state statistics for 3 years before the last reporting year, while the added value of insurance and agricultural products produced by the population is excluded from it.

Index budget expenditures - a relative (compared to the average level for the Russian Federation) assessment of the expenditures of the consolidated budget of a constituent entity of the Russian Federation to provide the same volume of budget services per capita, determined taking into account objective regional factors and conditions.

The budget expenditure index is used to compare the levels of estimated budgetary provision of the constituent entities of the Russian Federation and is not a projected assessment of the expenditures of the constituent entities of the Russian Federation per capita or in absolute terms.

2. Federal Fund for Co-financing of Certain Types of Social Expenditures is formed for the purpose of financing by the constituent entities of the Russian Federation in full the costs classified as priority expenditure obligations of the constituent entities of the Russian Federation.

Totality subsidies budgets of the constituent entities of the Russian Federation from the federal budget forms the Federal Fund for Co-financing of Expenses.

The Fund provides subsidies for partial reimbursement of expenses of the budgets of the constituent entities of the Russian Federation:

To provide social support measures for rehabilitated persons and persons recognized as victims of political repression;

To provide social support measures for labor veterans and home front workers;

For payment monthly allowance per child.

Distribution of funds Federal Fund co-financing of certain types of social expenses for the provision of social support measures to certain categories of citizens and the payment of child benefits (except for providing citizens with subsidies for housing and utilities) is carried out based on the number of relevant categories of citizens, taking into account the level of budgetary provision of the constituent entities of the Russian Federation after the distribution of funds from the Federal Fund for Financial Support of Subjects of the Russian Federation.

3. Fund for reforming regional and municipal finances is the successor to the one that was in force in 2002-2004. Regional Finance Reform Fund.

Subsidies from the fund are provided to constituent entities of the Russian Federation and municipalities selected on a competitive basis in two parts over 2 years based on the results of the implementation of stages of regional and municipal finance reform programs.

The use of the fund’s funds is aimed at implementing programs for reforming regional and municipal finances, repaying and servicing debt obligations, and developing social infrastructure, implementation of socially significant events and projects.

In 2006, as part of the federal budget, it was formed Federal Fund regional development in order to improve the level of social economic development constituent entities of the Russian Federation, including by improving the provision of regions with engineering and social infrastructure.

The provision of funds from the fund is carried out on co-financing terms, taking into account the level of budgetary security of the constituent entities of the Russian Federation and the need to receive appropriate financial assistance.

4. Federal Compensation Fund is formed for the purpose of financial support for the powers of the Russian Federation, delegated for execution to government bodies of the constituent entities of the Russian Federation and bodies local government.

Totality subventions budgets of the constituent entities of the Russian Federation from the federal budget forms the Federal Compensation Fund.

The Federal Compensation Fund includes subventions:

To provide social support measures for persons awarded the sign “Honorary Donor of Russia (USSR)”;

To pay housing utilities certain categories of citizens;

For civil registration;

To exercise powers for primary military registration in territories where there are no military commissariats;

To implement powers in the field of organization, regulation and protection of water biological resources;

To implement powers in the field of protection and use of wildlife classified as hunting objects;

For payment one-time benefits in all forms of placement of children deprived of parental care into a family;

To exercise the powers of the Russian Federation in the field of conservation, use, popularization and state protection of objects cultural heritage;

To exercise the powers of state authorities of the constituent entities of the Russian Federation to prepare for the All-Russian Population Census of 2010, etc.

The distribution of funds from the Federal Compensation Fund is made taking into account the standards of financial costs for the implementation of relevant powers and the number of individual categories of citizens.

Table 3.12.

Main forms of interbudgetary transfers (IBT) provided

from the federal budget

Name	Definition	Regulation (fund)
Subsidies	MBT provided free of charge and irrevocably without establishing directions and (or) conditions for their use	Subsidies for equalizing the budgetary security of the constituent entities of the Russian Federation form Federal Fund for Financial Support of Subjects of the Russian Federation
Subsidies	MBT provided to the budgets of the constituent entities of the Russian Federation for the purpose of co-financing expenditure obligations arising in the performance of their own and joint powers with other public legal entities of public authorities of the constituent entities of the Russian Federation	The totality of subsidies to the budgets of constituent entities of the Russian Federation from the federal budget forms Federal Fund for Co-financing of Expenses
Subventions	MBT provided to the budgets of the constituent entities of the Russian Federation for the purpose of financial support for the expenditure obligations of the constituent entities of the Russian Federation and (or) municipalities arising from the implementation of federal powers transferred for implementation to state authorities of constituent entities of the Russian Federation and (or) local governments in the prescribed manner	The totality of subventions to the budgets of constituent entities of the Russian Federation from the federal budget forms Federal Compensation Fund

Topic 4. Formation of federal, regional and local budgets. Managing budgets at different levels

Lecture outline:

1. Consolidated budget: concept, meaning

2. Federal budget: concept, meaning, features of the formation of revenue and expenditure parts

3. Budgets of the constituent entities of the Russian Federation: concept, meaning, features of the formation of revenue and expenditure parts

4. Local budgets: concept, meaning, features of the formation of revenue and expenditure parts

5. Budget management system

6. Main directions of budget policy at the present stage

Interbudgetary relations represent relations between government bodies at the federal, regional level and local governments regarding budget device, implementation of fiscal federalism, including the distribution and redistribution of income and expenses between budgets.

Politics between budgetary relations is implemented through the mechanism of budget regulation, which in turn represents the process of distribution and redistribution of funds between budgets of different levels. The basis of state policy in the field interbudgetary relations lies the principle of forming the revenue and expenditure parts of each budget, according to which each budget must be provided with financial resources sufficient to cover primary tasks. But since this is not yet the case in practice, a kind of goal of this policy is the redistribution of resources between budgets to equalize the revenue side of lower-level budgets to the minimum required level, which implies achieving the minimum budgetary provision of regional and municipal budgets.

In this case, the method of concentration in the higher budget of additional funds intended to equalize the budgetary provision of lower budgets is used. The need to redistribute budget resources between budgets vertically and their concentration at higher levels of the budget system arises from the need to redistribute budget resources between lower budgets horizontally in order to equalize their resource potential.

The federal budget in relation to regional ones, and regional budgets in relation to local budgets, must take on an additional amount of resources for their targeted redistribution between lower budgets. In this case, the funds are used for equalization purposes economic potential individual territories and to provide each person with social services guaranteed by the Constitution of the Russian Federation and other laws.

Interbudgetary regulation is not limited to equalizing the budgetary provision of territorial entities. Its functions also include reimbursement to budgets additional expenses or loss of income caused by decisions taken by authorities at another level (for example, decisions to increase wages public sector employees, which was adopted by the Government, and its implementation is entrusted to the regions), and possible equity participation higher-level budgets in the expenditures of lower-level budgets, with a view to stimulating priority (the most socially significant) areas for spending funds from these budgets.

The mechanism of interbudgetary relations can be represented in the form of two blocks of relations along the vertical of power and the budget system (Figure 10).

Figure 10 - Mechanism of interbudgetary relations

The first block covers the relationship between the delimitation of spending powers and revenues, in whole or in part, on an ongoing basis between the levels of the budget system.

The second block is annual budget regulation, covering relations for the redistribution of funds in various forms between budgets of different levels (mainly in the form of grants, subventions and subsidies) in order to equalize the budgetary provision of territories.

The features of the mechanism of interbudgetary relations in federal states largely depend on the choice of the model of fiscal federalism.

Fiscal federalism refers to the system of fiscal relations between government bodies and management at various levels at all stages of the budget process.

There are several models of fiscal federalism:

1) classic model decentralized fiscal federalism.

This model is characterized by a higher degree of decentralization of management of fiscal processes along the vertical of power and the budget system. At the same time, it is combined with the priority of federal tax and budget legislation, which guarantees compliance with national interests and the ability of the federal center to provide mainly targeted financial support to territorial entities. This model, for example in the USA, does not aim to equalize the tax potential, where it is below the average level. Interbudgetary regulation here is used by the federal center as a means of implementing its regional policy, providing financial support to states based on the program-target method;

2) model of cooperative fiscal federalism.

It is focused more on partnership and the active policy of the federal center to vertically and horizontally equalize the budgetary provision of territorial entities, where it is less than a certain average level. In addition, the independence of regional and local authorities in the field of taxation is significantly limited (for example, in Germany). At the same time, there are also mixed forms (for example, in Canada, Switzerland).

1

Chechenov A.A., Kalov Z.A., Chechenova L.S., Mazloev R.B.

The main direction for improving inter-budgetary relations is to achieve a balanced budget of various levels, which, in turn, will allow regions, actively using the potential of all forms of ownership, to have an independent base of financial resources as the basis for self-development and self-sufficiency of the reproduction process

Modern states, regardless of the formal structure in the form of a federation, confederation or unitary state, include subnational administrative-territorial units that are significantly heterogeneous in various characteristics (in terms of the level of economic development, the need for the provision of public goods, the cost of providing public goods, etc. ). Accordingly, the presence of various administrative-territorial entities in one state leads to the existence of the problem of regional inequality and creates the need to solve such a problem.

This problem is being solved within the framework of interbudgetary relations. Interbudgetary relations are a diverse concept. In domestic publications there is no single point of view regarding economic content this concept. Some authors do not see the difference between inter-budgetary relations, fiscal federalism and fiscal regulation; others reduce the content of interbudgetary relations to a system of providing financial assistance to regions and local self-education.

In our opinion, interbudgetary relations by their nature belong to a special phase of the process of formation and implementation of the core of the public finance system - the budget. The content of these relations is determined by the target function of this phase, namely the redistribution of financial resources with the participation of various levels of the state budget, adequate to the way of organizing state power and management.

In the process of such redistribution, budgetary funds of the middle and lower - regional and municipal - levels are brought into compliance with the objective needs of financial coverage included in the complex of socio-economic needs of the corresponding level (subject of the Russian Federation or municipal entity) provided at the expense of the state. An analysis of the composition of these needs and spending powers related to the level of a constituent entity of the Russian Federation allows us to conclude that the basis of state financial support for a complex of socio-economic needs is the socialization of the socio-economic process at various levels of its organization.

Despite the fact that in different countries The range of powers of different levels of management varies significantly; recently, a general trend has emerged towards a gradual expansion of the powers of the lower echelons of power in the field of finance. This trend is due to the objectives of increasing efficiency of spending public funds, more complete consideration of the interests of the population.

Decentralization of the Russian budget system in the 90s. led to a serious redistribution of state budgetary resources in favor of territorial government bodies. The federal center was relieved of some managerial functions and financing of a number of social programs, which in federal states are usually carried out regionally and local level, thereby making an attempt to overcome the federal budget deficit, which has a negative impact on the development of the economy as a whole.

Currently, Russia, both in terms of the status of its subjects (republics, territories, regions), and in terms of their economic opportunities(donors, recipients) is an “asymmetric federation”. In this regard, the work to specify the substantive content of the powers and responsibilities of each level of government for the effectiveness of resolving issues of socio-economic development of the reproductive complex is of particular importance. The division of powers carried out in this case between the various levels of federal entities should, to the maximum extent possible, be focused on taking into account the interests of participants in federal relations and ensuring favorable conditions for economic growth the federation as a whole and its subjects.

There are two types of powers of state authorities of the constituent entities of the Russian Federation on subjects of joint jurisdiction of the Russian Federation and the constituent entities of the Russian Federation. Firstly, these are powers, the implementation of which is financed from the budget of the constituent entities of the Russian Federation. Federal regulation here can only be a framework. At the same time, the subjects of the Russian Federation have the right to accept other issues for their consideration if they are not assigned either to the jurisdiction of state authorities of the Russian Federation or to the jurisdiction of local self-government bodies. Secondly, these are powers on subjects of joint jurisdiction of the Russian Federation and the constituent entities of the Russian Federation, exercised by the state authorities of the constituent entities of the Russian Federation, but financed in the form of targeted subventions from the federal budget and therefore regulated in detail by the state authorities of the Russian Federation.

In accordance with the concept of budget reform, it is assumed that the final division of powers by level of government should occur by January 1, 2006.

The modernization of interbudgetary relations, in our opinion, should be based on taking into account their relationship with the reproduction process. This means a fundamentally different formulation of a number of issues from the standpoint of improving financing for the development of regional reproduction.

Considering the problem of regional economic development, some authors note that the main sources of financing real development should become components of income from property - depreciation, interest on capital and land rent, others connect real returns with the circulation of capital, labor, product and income. In our opinion, everything does not rest on the redistribution of specific objects of property, but on the fact that, in accordance with the budgetary powers assigned to the Federation and the subjects of the Federation, the functions of regulating the rights of ownership, disposal, and use are redistributed in such a way as to ensure maximum return from the reproduction of property.

Therefore, when justifying directions for improving interbudgetary relations, the priority should be to achieve such a balance of budgets at various levels that would allow regions, actively using the potential of all forms of ownership, to have their own base of financial resources as the basis for self-development and self-sufficiency of the reproduction process.

Since each of the levels of the state budget, one way or another, participates in the reproduction process at the corresponding level of the national economic system, interbudgetary relations solve a specific investment and financial problem - they adjust and give a specific form and scale to the participation of state budget funds of one level or another in the reproduction process .

Various interpretations of investment and financial relations developing with the participation of state budget funds, found in economic literature ultimately come down to two possible approaches. In the first one, which is currently being implemented, the state “removes itself” from the role of owner and forms only the rules of the game (“monetarist option”); within the second, the state actively participates in the investment process, acting according to rules common to all participants in the capital market (“Keynesian option”).

It seems that in order to concretize the role of inter-budgetary relations in the development of the reproduction process, a methodological approach to analyzing the relationships between income and expenses, savings and investments, formed within the framework of the Keynesian financial paradigm - the so-called “Keynesian cross” (Figure 1) - is constructive.

Let us assume that income is equal to expenses in relation to the level of budgetary relations and the reproduction process of an individual subject of the Russian Federation. In Figure 1, this equality is displayed by a straight line OF with an angle of inclination to the income axis of 45 degrees. It is known that part of the income received is directed to consumption C, and the other part forms savings S. Expenses of participants in the reproduction process increase, but not to the same extent as income increases. The BC curve, reflecting the consumption process, gradually approaches a line parallel to the income axis, which corresponds to a relative decrease in the share of expenses in total income.

Figure 1. Keynesian approach to the analysis of income, expenditure, saving and investment

At the beginning of each reproductive cycle consumer spending are provided not so much by current gains as by past savings (AS). At point A, savings are equal to zero, that is, they are all invested in the development of reproduction; subsequently, part of current income begins to accumulate in the form of savings for a given reproduction cycle. Let’s assume that the reproduction of the region’s economic complex requires a more active investment process. This means that at the beginning of each cycle we must have a larger reserve of savings in order to invest it in the development of reproduction. The BC curve should change to the B1C1 curve. The equilibrium point A will shift to position A1. The source of such changes can be, first of all, external financial and investment expansion into the economic complex of the region, carried out, in particular, through the redistribution of budget resources from one level to another.

Analyzing the possibility of correcting the participation of state budget funds in the reproduction process through the redistribution of financial resources within the framework of interbudgetary relations, it is necessary to highlight factors this process. They are set based on the elements internal structure interbudgetary relations:

Balance of the primary distribution of financial resources between different levels of the budget and the distribution of state-supervised socio-economic needs;

The scale of counter financial flows between different budget levels arising in the process of redistribution of funds within the framework of interbudgetary relations;

Form of provision of funds within the framework of interbudgetary relations (on a repayable or non-refundable basis for the recipient;

Targeted (that is, bound by conditions) or free nature of funds provided to the budget of a constituent entity of the Russian Federation within the framework of interbudgetary relations;

The inertia of financial policy, formed during the development of interbudgetary relations.

The need to balance the primary distribution of financial resources between different levels of the budget and the distribution of state-supervised socio-economic needs is due to the fact that the worst thing for the reproduction process is the polarization of these forms of distribution, which means the financial insecurity of many socio-economic needs and the need to increase transaction costs by increasing redistribution processes .

This involves a transition from traditional planning methods budget revenues from the achieved level to the assessment of the financial capabilities of the territories and their inclusion in the system of distribution relations. This approach is prevalent in the world practice of building a system of interbudgetary relations and its implementation in Russian practice will be evidence of market reforms on the principles of financial self-sufficiency and self-development. At the same time, the scale of counter financial flows between different budget levels that arise in the process of redistribution of funds within the framework of interbudgetary relations should be minimized.

An analysis of the evolution of Russian interbudgetary relations from the perspective of interaction between the federal center and individual constituent entities of the Russian Federation in organizing the reproduction process shows that in the structure of forms of financial equalization there has been a shift towards increasing the share of financial transfers. Changes in the budget and tax legislation of the Russian Federation, which came into force in 2001, are unlikely to ensure the sufficiency of the regions’ own financial basis. The emphasis on subsidized forms of inter-budgetary regulation means an increase in the dependence of the economic development of territories on higher levels and a decrease in incentives to increase their own financial potential.

Tax redistribution systems are a more reliable method compared to other types of budget regulation for regions, since the likelihood of the state reducing the share of tax revenues is, as a rule, less than the likelihood of reducing the total amount of subsidies and subventions. When considering the problems of interbudgetary relations, special attention should be paid to the distribution of tax revenues between the budgets of the constituent entities of the Russian Federation and the federal budget. In recent years, there has been a trend toward a decrease in the share of tax revenues of regional budgets in the total tax revenues of the country’s consolidated budget, although Article 48 of the Budget Code of the Russian Federation establishes a 50/50 proportion, which determines the proper ratio of federal budget revenues and consolidated budgets of the constituent entities of the Federation. And at the same time, an increase in expenditure obligations is clearly noticeable. As a result, the provision of regions with financial resources is reduced. Moreover, the current tax base territorial budgets are still based on the splitting of regulatory taxes and significantly depend on the rates of distribution of taxes between the federal and regional budgets. According to existing estimates, more than 80% of tax revenues of regional and local budgets are generated through deductions from federal taxes.

Annual changes in the distribution of tax revenues and fees also have a negative impact on the stability of regional budgets. At the same time, the changes taking place in tax legislation are often far from equivalent in their consequences for individual regions and in a number of cases can lead to a significant reduction in the regional budgets’ own revenues and a reduction in the reproduction process of the subjects of the Federation.

REFERENCES

1. Budget system of the Russian Federation: Textbook. /Ed. M.V. Romanovsky, O.V. Vrublevskaya. - M.: Yurayt, 1999.

2. Zadornov M.M. Financial policy state and possibilities for its implementation//Finance.- 1999.- N 1p.6

3. www.minfin.ru - Official website of the Ministry of Finance of the Russian Federation.

Bibliographic link

Chechenov A.A., Kalov Z.A., Chechenova L.S., Mazloev R.B. THE ROLE OF INTERBUDGETARY RELATIONS IN THE REPRODUCTION PROCESS // Modern problems of science and education. – 2006. – No. 4.;
URL: http://science-education.ru/ru/article/view?id=422 (access date: 02/01/2020). We bring to your attention magazines published by the publishing house "Academy of Natural Sciences"

Introduction

Interbudgetary relations arise and function in the system public administration vertically or horizontally and are regulated by volumes functional responsibilities and the tasks of each level of government, taking into account their financial capabilities.

financial resources budget system

Interbudgetary relations: concept, principles, goals, models, forms, methods, tools

Interbudgetary relations are understood as a set of economic and legal relations between state and local authorities during the budget process.

Interbudgetary relations are based on the principles:

• 1. Delineation and consolidation on a permanent basis or distribution according to temporary short-term (not less than for a financial year) or long-term standards of regulatory revenues by levels of the budget system;
• 2. Distribution and consolidation of budget expenditures at individual levels of the budget system;
• 3. Equality of budgetary rights in budgetary relations.

Equality of budgetary rights presupposes: the use of a unified methodology for calculating standards of financial costs for the services provided by state and local authorities, standards for calculating financial assistance to territorial budgets.

Interbudgetary relations include: division and legal assignment of responsibility for the implementation of certain social and economic functions; determining the amount of expenses that ensure the implementation of the powers assigned to each level of the budget system; establishment and legal consolidation of sources of income for budgets of all levels; all forms of financial support for territories.

The goals of inter-budgetary relations are: the creation of a single economic space, financial provision of uniform minimum standards in the economic and social development of regions, ensuring equal social protection and guarantees of social rights of citizens, that is, ensuring favorable conditions for economic and social development throughout the country. Achieving goals is ensured by a mechanism that is a set of ways to organize interbudgetary relations and includes models (centralized, decentralized and cooperative), forms (deconcentration, delegation (transfer of powers), devolution, etc.), methods (regulation of income, expenses, transfers, budget loans, etc.) and instruments (redistribution of income, delimitation of spending powers), as well as institutional and legal structures for organizing interbudgetary relations.

Deconcentration involves the transfer of responsibilities from central government structures located in the capital to their regional branches. According to Rondinelli (1981), deconcentration is a system of local government in which all lower levels act as executors of the will of the central government and are appointed by or directly subordinate to the central government. This is the least developed version of administrative decentralization.

Delegation is the transfer of government power, administrative powers and (or) responsibility for the implementation of clearly defined tasks to structures and organizations that are either independent or under the indirect control of the central government. Typically, delegation of functions is carried out by central ministries to semi-autonomous organizations that are not fully controlled by the central government, but are still legally accountable to it (for example, state-owned enterprises, public utilities and regional planning and economic development organizations).

Decentralization. In a broad sense, the term covers all forms of division and delegation of responsibilities between different levels of government, including national government, regional authorities and local governments. In a narrower sense, decentralization refers to the delegation of certain functions (powers) to the local level.

Statutory decentralization is an extreme form of decentralization in which independently created local governments are responsible for the provision of a specific set of public services and also have the power to levy taxes and fees to finance such services. In such a system, local governments are empowered to independently collect their revenues and make investment decisions.

It is decentralization with legislative support that underlies decentralization in the political sphere.

Legislative decentralization is usually used as a synonym for fiscal decentralization, in which local governments have clear spending obligations, significant budget independence, and are legislated. geographical boundaries within which they perform the functions of the state. Although there may be the most various shapes budgetary decentralization, which correspond to the degree of independence in decision-making at the subnational level. The general definition of the term “fiscal decentralization” includes the political, economic and institutional foundations of inter-budgetary relations and covers aspects from analyzing the effectiveness of government institutions and the formation of a sustainable infrastructure financing system to improving the mechanisms of budget transfers and supporting social security systems (Ebel and Hotra, 1997).

Devolution is the transfer of rights or responsibilities from one level of management or power to another.

The model of interbudgetary relations is understood as an institutional approach to determining the basis for organizing relationships in resolving the issue of distribution of income and expenses between levels of the budget system. The following models of interbudgetary relations are distinguished:

centralized, decentralized and cooperative.

The centralized model of interbudgetary relations is based on the following principles:

• 1. Limitation of the rights of local authorities in forming their own budgets;
• 2. Absence or formal presence of distribution of functional responsibilities between levels of public administration;
• 3. Subordination of regional interests to national needs;
• 4. Authoritarian distribution of tax powers on the part of the state and the provision of financial assistance to local authorities;
• 5. Dependence on the form of government.

The formation of local budgets under the centralized model is carried out in inextricable connection with the central budget within the framework of the consolidated budget plan.

This model of organizing interbudgetary relations has its advantages and disadvantages.

The advantages include: unity of management organization; increasing the organizing capacity of the budget system; directing financial resources to accelerate the achievement of established goals; improving control and coordination of spending powers of local authorities; reducing the risk of local authorities making erroneous decisions regarding the distribution of funds within the powers established for them; control and equalization of the standard of living of the population of the territories.

Disadvantages: weakening of operational efficiency central authorities authorities as a result of their overload; weakening of financial support and development of the financial base of the territories; dependent sentiments among local authorities, confident that in any situation the territory’s budget will be balanced.

The decentralized model is based on the principles:

• 1. Non-interference of the central government in the budget process of municipalities and regions;
• 2. Clear legislative delimitation of spending powers between different levels of management;
• 3. Targeted development of financial autonomy of local government;
• 4. Distribution of revenue sources based on budget agreements;
• 5. Independence from the form of government.

A decentralized model of interbudgetary relations is typical for economically developed countries with a federal government system, ensuring the expansion of budgetary rights of regional and local authorities and management, which helps to increase the share of local budgets in the total mass of government spending.

Disadvantages: with a decentralized model of interbudgetary relations, coordination of government actions to achieve macroeconomic goals and ensure a balance of financial capabilities in the state is complicated; managing inter-budgetary relations in a decentralized manner requires large quantity information and leads to a decrease in the efficiency of decision-making; When making decisions, local authorities are guided, to a greater extent, by the interests of their own socio-economic policy and do not always take into account the goals of national importance.

The cooperative model of interbudgetary relations is based on the principles:

• 1. Wider participation of regional authorities in the redistribution of national income and macroeconomic stabilization, which leads to closer budgetary cooperation between regional and central government structures;
• 2. Increased role of regional authorities in the system of distribution of tax revenues, including national ones;
• 3. An active policy of horizontal budget equalization, increased responsibility of the center for the state of regional public finances, the level of socio-economic development of territories, which leads to increased control by the center and some limitation of the independence of regional authorities (this can be expressed in a high degree of centralization of management and the transformation of regional authorities are actually agents of central structures).

Methods of implementing inter-budgetary relations mean the ways in which these relations influence the socio-economic state in the region through their own, assigned and regulating revenues, transfers, withdrawal of funds and lending. There are functional, delegating and balance methods.

The centralized model of interbudgetary relations in terms of revenue support is characterized by methods of transferring and regulating income, while the decentralized model is characterized by methods of own and assigned income.

In terms of delimitation of spending powers, with a centralized model they use a delegating methodology for distributing responsibility for the provision of public services; The decentralized model is based on a functional method, which provides for a specific delimitation of competence and expenditure powers between all levels of government, but at the same time it is possible to introduce delegation of some expenditure powers, which ensures flexibility in the mechanism of interbudgetary relations.

Subsidies - budget funds provided to a budget of another level, to an individual or legal entity on the basis of shared financing of targeted expenses. Budget loans are funds allocated on a repayable basis from a higher budget to a lower one or from the republican budget to a resident legal entity or a foreign state.

Budget transfer - funds allocated free of charge from the budget to a legal or to an individual directly or through an authorized body.

In foreign practice, transfers are, among other things, a form of providing financial assistance to territorial budgets from special funds for financial support of regions, formed as part of higher budgets at the expense of percentage deductions from taxes and fees. For example, in Russia, to provide financial assistance, the following budgets have been created:

• - in the federal budget - the Fund for Financial Support of Regions, the Regional Development Fund, the Compensation Fund, the Fund for Co-financing Social Expenditures, the Fund for Reforming Regional Finances;
• - in regional budgets - regional funds for financial support of settlements, regional funds for financial support of municipal districts (city districts), regional funds for municipal development, etc.

The need to allocate financial assistance to each specific territory is determined in the process of budget planning based on calculations of their tax potential and budgetary security.

COURSE WORK

Completed:

4th year student

correspondence courses

Zhabina Elena Evgenievna

Supervisor:

Senior Lecturer of the Department Pudovkina L.P.

Final grade - ________________________________

Signature______________________

Kolomna - 2016

Introduction……………………………………………………………3

Chapter 1. Theoretical aspects of interbudgetary relations

1.1 The concept and essence of interbudgetary relations and fiscal federalism…………………………………………………………………………………5

1.2 Interbudgetary transfers. ……………………………………9

2. Features of interbudgetary relations in Russia.

2.1. Mechanism of relationship between the federal and regional budgets………………………………………………………………………………14

2.2. Characteristics of inter-budgetary relations of regions and municipalities………………………………………………………18

Conclusion………………………………………………………26

Appendix………………………………………………………………………………28

References……………………………………………………32

Introduction.

The relevance of the presented topic is determined by the fact that this work is devoted to such a problem modern economy Russia as inter-budgetary legal relations, which is still in the stage of formation and development.

The system of interbudgetary legal relations is a factor whose influence on the socio-economic development of Russia is quite difficult to overestimate. The ability of the state to perform its functions and the population to be provided with budget services depends on how effectively and efficiently the responsibilities and financial resources for their implementation are distributed between budgets.

One of the most important institutions of the state is the budget system. Over the millennium of the existence of states, financial resources mobilized into the budget system provide state and territorial authorities with the fulfillment of the functions assigned to them. One of which, for all countries since ancient times, is the defense of the country, the maintenance of the state administrative apparatus and much more. The budget system allows for the regulation of economic and social processes in the interests of society.

IN market economy, in the context of the narrowed ability of the state to influence economic processes in the country, the role of the budget system as one of the possible instruments of state regulation of interbudgetary legal relations is significantly increasing.

Plays an important role in the formation and development of the economic and social structure of society government regulation, which is carried out within the framework of the adopted policy. One of the mechanisms that allows the state to pursue economic and social policies is financial system society and its constituent part is the state budget. It is through the state budget that a directed influence is made on the formation and use of centralized and decentralized funds of funds.

The purpose of the work is to reveal the concept and principles of organizing interbudgetary legal relations, as well as the problems of interbudgetary relations of the Russian Federation at the present stage .

Achieving the goal involves solving the following tasks:

Study of the concept and principles of organizing inter-budgetary relations and fiscal federalism;

Consideration of the features of interbudgetary transfers;

Consideration of the features of interbudgetary relations in the Russian Federation;

Consideration of revenue powers and expenditure obligations between budgets of various levels;

The object of work is the state budget of the Russian Federation.

The subject of the work is inter-budgetary legal relations of fiscal federalism and fiscal regionalism.

Research methods: analysis of economic and special literature on the problems of inter-budgetary legal relations.

Information support work.

The following were used in the study: regulations, monographic literature, scientific articles, textbooks and teaching aids, statistical literature, as well as Internet resources.

The structure and scope of the work is determined by the purpose and main objectives of the study. The work consists of an introduction, two chapters, a conclusion, a bibliography, and appendices.

The concept and essence of interbudgetary relations and fiscal federalism.

In order to find out what interbudgetary relations are, you first need to define the very concept of a budget. The budget is a set of economic relations that arise in the process of creation, distribution and use of the state centralized fund of funds.

Interbudgetary relations are an integral part of the economy and exist in any state. They depend on historical conditions, organizational structure state structure and the place they occupy in the system of global division of labor.

In Russia, interbudgetary relations are financial relations between government bodies of the Russian Federation, government bodies of constituent entities of the Russian Federation and local governments to ensure the budget process, the formation and distribution of budget revenues of the budget system of the Russian Federation.

Interbudgetary relations are a subtype of financial relations. They mean regulated relationships between government bodies, government bodies of constituent entities of the Russian Federation, local government bodies on the regulation of budget legal relations, as well as the organization and implementation of the budget process, which are supported by the norms of budget legislation.

The term “interbudgetary relations” was first used in practice during the period of formation of market relations. Later it began to be mentioned in legislative acts, instead of the previously used term “budgetary relations”.

This term was also introduced into the Budget Code of the Russian Federation. Article 129 of the Code defines interbudgetary relations as “relations between government bodies of the Russian Federation, government bodies of the constituent entities of the Russian Federation and local government bodies.” The following articles establish and reveal the principles of inter-budgetary relations and only then talk about specific forms of financial assistance from one budget to another and the conditions for its provision. All these issues are devoted to two chapters in the Budget Code, Interbudgetary transfers (Chapter 16) and Budgets of state extra-budgetary funds (Chapter 17).

In the new edition of the Budget Code of the Russian Federation, the article “interbudgetary relations”, which is defined as “the relationship between government bodies of the Russian Federation, government bodies of the constituent entities of the Russian Federation, local government bodies on the regulation of budget legal relations and the implementation of the budget process” is completely absent. At the same time, the legislation abandoned a detailed presentation and description of the principles of interbudgetary relations. Chapter 16 of the Code began to be called “interbudgetary transfers,” which include only rules on the form and conditions of their provision, as well as on the procedure for the formation and use of various budget funds for financial support. Also Chapter 17 of the BC “budgets of state extra-budgetary funds”, which talks about the composition, procedure for compilation, approval, income and expenses of state extra-budgetary funds, as well as cash services, reports on execution and control over the execution of budgets.

The basis of inter-budgetary legal relations is a strict division between the subjects of budgetary law of funds allocated for financial equalization and for the execution of dedicated state powers. When allocating interbudgetary transfers, state authorities and local governments are required to use methods for distributing the appropriate funds of funds, which are enshrined in law. In interbudgetary legal relations, the mechanisms of financial equalization consist of balancing budgetary provision (taking into account the index of budgetary expenditures), as well as interbudgetary transfers. The BC RF clearly defines the areas of use of each of these mechanisms.

In order to correctly disclose the concept of interbudgetary relations, it is necessary to reveal the essence of fiscal federalism as a certain type.

Fiscal federalism is one of the basic principles of interbudgetary legal relations. It is understood as the principle of budgetary activity of the state, which is expressed in combination with national financial interests, the interests of the constituent entities of the Russian Federation and consists in the distribution of budgetary revenues and expenses, as well as in the delimitation of budgetary competence between the Russian Federation and its constituent entities.

The significance of budgetary federalism is due to the peculiarities of the Russian state structure, its development under the conditions of a market mechanism, the presence of various types of subjects of the Russian Federation and the complex relationships between the federal center and the regions. The principle of federalism manifests itself in various areas financial activities state, but it is in the budgetary sphere that it is expressed as the totality of all the elements that make up this principle. Federalism, being the basis of the constitutional system of Russia, is expressed in the budgetary activities of the state and, due to the particularly important importance of the state budget, significantly influences all financial relations.

The fundamental principle (principle of federalism) of budget formation is their guaranteed independence of budgetary activities and budgets of the constituent entities of the Russian Federation, expressed in the presence of their own sources of income and the right to independently determine the expenditure of funds. However, often lower-level budgets do not have enough funds to implement the tasks facing them, and then higher-level budgets can allocate additional financial resources (sources of income) to needy budgets, which allows for a more rational and efficient use of financial resources throughout the state. The basis of the mechanism of budget regulation, with the help of which federal, regional and local authorities exercise their powers, is the legal consolidation of a certain order of financial flows at the levels of the state budget system and the organization of economic relations arising in this regard.

In the sphere of budgetary activities, the Russian Federation is responsible for: establishing legal framework single market; financial and credit regulation; federal economic services, including federal banks(Clause “g” of Article 71 of the Constitution of the Russian Federation); federal budget; federal taxes and fees; federal funds for regional development (clause “z” of Article 71).

Interbudgetary transfers.

To increase the effectiveness of solving current problems of territorial budgets, interbudgetary transfers play an important role. IN Budget Code The Russian Federation has an entire chapter devoted to interbudgetary transfers (Chapter 16 “Interbudgetary transfers”).

Interbudgetary transfers are funds from one budget of the budget system of the Russian Federation transferred to another budget of the budget system of the Russian Federation.

As an important part of the budget system, interbudgetary transfers perform such functions as:

Equalizing the budgetary provision of constituent entities of the Russian Federation or municipalities and ensuring uniform access to a guaranteed set of government services throughout the territory;

Compensation to budgets located at the lower levels of the system for costs associated with financing events of national importance if their own revenues to the budget are insufficient;

Elimination of horizontal imbalances between budgets, allowing to solve some problems of social security, to improve the standard of living of the population;

Stimulating local authorities to strengthen their tax potential;

Reducing social tension in the region, stimulating economic growth.

The implementation of these functions in practice faces a number of objective and subjective difficulties. It should be noted that the very process of “reimbursement of expenses for services of national importance” is perceived differently by the federal center and the constituent entities of the Federation, which most often leads to various kinds of bargaining between governments at various levels. Therefore, it is important to establish stable, formalized procedures for the allocation and receipt of such transfers.

It should be noted that when compiling budget statistics for all budgets of the budget system of the Russian Federation, interbudgetary transfers are consolidated, i.e. are excluded simultaneously from the income of the budgets receiving interbudgetary transfers and from the expenses of the budgets at the expense of which these transfers were provided. Interbudgetary transfers play an important role in the relationship between various levels of government bodies on the regulation of budget legal relations, organization and implementation of the budget process.

The main forms of interbudgetary transfers are:

Subsidies;

Subsidies;

Subventions;

Other interbudgetary transfers;

Interbudgetary transfers to the budgets of state extra-budgetary funds;

Budget loan.

Let's look at each of them in more detail.

Subsidies are non-targeted areas of budget funds provided to the budget of another level of the budget system, on a free and irrevocable basis. They are allocated in cases where fixed and regulating income is not enough to form the minimum budget of a lower level (to balance income and expenses). They are provided by decision of a representative government body, supported by a legal act.

Subsidies are budget funds (interbudgetary transfers) provided to the budget of another level of the budget system of the Russian Federation on the terms of shared financing of targeted expenses. The allocation of a subsidy involves equity participation in the financing of state or municipal events. At the same time, the ownership of the subvention-financed object (project, program, etc.) does not change. The totality of subsidies to the budgets of constituent entities of the Russian Federation from the federal budget forms the Federal Fund for Co-financing of Expenses (Article 132 of the Budget Code of the Russian Federation).

Subventions are a form of interbudgetary transfers provided from the federal budget to the budgets of constituent entities of the Russian Federation for the purpose of financial support for the expenditure obligations of constituent entities of the Russian Federation and (or) municipalities arising in the exercise of powers of the Russian Federation transferred for implementation by state authorities of constituent entities of the Russian Federation and (or) local authorities self-government in the prescribed manner. The totality of subventions to the budgets of the constituent entities of the Russian Federation from the federal budget forms the Federal Compensation Fund (Article 133 of the Budget Code of the Russian Federation).

Grants, subventions and subsidies are united by their gratuitous and irrevocable nature. Distinctive feature subventions and subsidies from subsidies is their targeted nature. And subventions and subsidies are differentiated by the amount of funding: subventions fully finance certain targeted expenses, and subsidies are provided on the basis of shared financing of targeted expenses.

A budget loan is a form of financing budget expenditures, which involves the provision of funds legal entities or other budget on a repayable and reimbursable basis. It is provided from the federal budget and for no more than a year, which distinguishes a budget loan from other types of transfers. Its volume is determined when drawing up the draft federal budget. Each entity has the right to acquire this type of financial income.

One of the main goals of interbudgetary transfers is to reduce the dependence of the constituent entities of the Russian Federation on financial assistance from the federal center, ensure balanced budgets and increase the budgetary potential of the regions. To do this you need:

Formation of unified mechanisms of interbudgetary relations that do not allow subjective decisions and individual agreements;

Clear legislative consolidation of budgetary powers and responsibilities of authorities at various levels in solving problems of socio-economic life of the regions;

Refusal to make decisions that impose additional obligations on lower budgets without providing sources of their financing;

Expanding the tax powers of the constituent entities of the Russian Federation within the framework of a single tax space;

Introduction of the principle of conditionality in the provision of financial assistance to constituent entities of the Russian Federation;

Strengthening control over the targeted nature of the use of financial assistance, taking into account the justification of budget expenditures of subsidized regions.

Interbudgetary transfers are one of the most effective instruments of fiscal policy. There are three main tasks of this tool:

Compensation for external effects that arise in the form of a transfer of benefits from the activities of the authorities of one administrative-territorial entity to other administrative-territorial entities;

Equalization of income of subnational budgets;

Elimination of shortcomings of the tax system.

Legal regulation of interbudgetary transfers to the budgets of state extra-budgetary funds is carried out on the basis of Art. 146 of the Budget Code of the Russian Federation, according to which budgets Pension Fund Russian Federation (hereinafter - PFR), Fund social insurance(hereinafter referred to as the FSS), the Federal Compulsory Medical Insurance Fund (hereinafter referred to as the FFOMS), among others, interbudgetary transfers from the federal budget are subject to credit; The budgets of territorial state extra-budgetary compulsory health insurance funds include interbudgetary transfers from the Federal Compulsory Medical Insurance Fund, as well as interbudgetary transfers from the budgets of constituent entities of the Russian Federation transferred to territorial compulsory health insurance funds, including revenues as insurance premiums for compulsory health insurance of the non-working population.