The budget system is a set of budgets of the state, administrative-territorial entities, independent government institutions and funds in budgetary terms, based on economic relations, government structure and legal norms.

The construction of the budget system depends on the form of government of the country. According to the degree of distribution of power between the center and administrative-territorial entities, all states are divided into unitary, federal and confederal.

Unitary (single) state is a form of government in which administrative-territorial entities do not have their own statehood or autonomy. The country has a single constitution, common laws and authorities for all systems, and centralized management of economic and political processes in the state. The budget system of a unitary state consists of two parts - state and local budgets.

Federal (united) state- this is a form of government in which state and administrative-territorial entities that are part of the state have their own statehood and have a certain political independence within the limits of competencies distributed between them and the center. The budget system of federal states is three-tier and consists of federal budget, budgets of members of the Federation and local budgets.

Confederate (union) state - it is a permanent union of sovereign states created to achieve political or military goals. The budget of such a state is formed from contributions from the states included in the confederation. The member states of the confederation have their own budget and tax systems.

Fundamentals of the budget structure of the Russian Federation are determined by the Constitution of the country and its state structure as a federal republic, the subjects of the Federation of which are republics within the Russian Federation, territories, regions, autonomous districts.

In accordance with the Constitution of the Russian Federation (Articles 71 and 132) and the Budget Code of the Russian Federation (Article 10), the budget system of the Russian Federation consists of three levels:

— the federal budget and budgets of state extra-budgetary funds;

— budgets of the constituent entities of the Russian Federation (regional budgets) and budgets of territorial state extra-budgetary funds;

— local budgets.

The diagram of the consolidated budget of the Russian Federation is presented in Fig. 6.1.

The budgets included in the budget system of the Russian Federation are independent and are not included in each other, i.e. the budgets of the subjects

of the Russian Federation are not included in the federal budget, and local budgets are not included in regional budgets. To the basic principles of operation The budget system of the Russian Federation includes:

· unity of the budget system — means the unity of the legal framework, monetary system, forms of budget documentation, principles of the budget process, as well as a unified procedure for financing budget expenditures at all levels of the budget system; differentiation of income and expenses between levels of the budget system Russian Federation - means assigning, in accordance with the legislation of the Russian Federation, income and expenses to the budgets of the budget system of the Russian Federation, as well as determining the powers of government bodies (local governments) to generate income, establish and fulfill expenditure obligations

· general (total) coverage of budget expenses — means that all budget expenses must be covered by the total amount of budget revenues and receipts from sources of financing its deficit;

· independence of budgets at different levels – the right of legislative bodies of state power and local government bodies at each level of the budget system to carry out the budget process; availability of own sources of income for budgets of each level; legislative consolidation of regulating budget revenues; the right of state authorities and local self-government to independently determine the direction of spending funds.

· budget balance means that the volume of budgeted expenses must correspond to the total volume of budget revenues and receipts from sources of financing its deficit;

Figure 6.1 – Scheme of the consolidated budget of the Russian Federation

· efficiency and economy of using budget funds - means that when drawing up and executing budgets, authorized bodies and recipients of budget funds must proceed from the need to achieve specified results using the least amount of funds or achieve the best result using a certain budgeted amount of funds;

· equality of budgetary rights of subjects of the Russian Federation, municipalities - means the determination of the budgetary powers of state authorities of the constituent entities of the Russian Federation and local governments, the establishment and execution of expenditure obligations, the formation of tax and non-tax revenues of the budgets of the constituent entities of the Russian Federation and local budgets, the determination of the volume, forms and procedure for the provision of interbudgetary

transfers in accordance with uniform principles and requirements established by law;

· completeness of reflection of income and expenses budgets of different levels, state extra-budgetary funds, meaning that all income and expenses of budgets of different levels, state extra-budgetary funds are subject to mandatory reflection in the budgets in full;

· publicity – mandatory publication in the open press of approved budgets and reports on their implementation;

· reliability – means the reliability of forecast indicators for the socio-economic development of the relevant territory and the realistic calculation of budget revenues and expenses;

· targeting and targeted nature of budgetary funds - means that budget funds are allocated in

order of specific recipients of budget funds indicating their direction for financing specific purposes.

The federal structure of Russia, the delimitation of rights and powers between the center and the subjects of the Federation are a prerequisite for fiscal federalism.

Fiscal federalism - this is the division of powers between the central authorities, the authorities of the constituent entities of the Federation and local governments in the field of finance, in particular in the budgetary sphere.

Budget device determines the organization of the state budget and the country's budget system, the relationship between its individual links, the legal basis for the functioning of budgets included in the budget system, the composition and structure of budgets, procedural aspects of the formation and use of budget funds, etc.

An integral part of the budget device is the budget system.

Budget system- this is a set of budgets of the state, administrative-territorial entities, independent government institutions and funds in budgetary terms, based on economic relations, government structure and legal norms.

The budget system is the main link in the state's financial system.

The fundamentals of the budget structure are determined by the form of government of the country, the main legislative acts in force in it, and the role of the budget in social reproduction and social processes.

The construction of the budget system also depends on the form of the state and administrative structure of the country. According to the degree of distribution of power between the center and administrative-territorial entities, all states are divided into unitary, federal and confederal.

Unitary (single) state - This is a form of government in which administrative-territorial entities do not have their own statehood or autonomy. The country has a single constitution, common laws and authorities for all systems, and centralized management of economic, social and political processes in the state. The budget system of a unitary state consists of two parts - state And local budgets.

Federal (united) state - This is a form of government in which state entities or administrative-territorial entities included in the state have their own statehood and have a certain political independence within the limits of competence distributed between them and the center. The budget system of federal states is three-tier and consists of federal budget, budgets of members of the federation and local budgets.

Confederate (union) state - it is a permanent union of sovereign states created to achieve political or military goals. The budget of such a state is formed from contributions from the states included in the confederation. The member states of the confederation have their budget and tax systems.

Over more than a thousand years of Russian history, its budget structure and budget system have evolved from a princely treasury and a unitary state system to a system based on a federal state structure. 2

3. Fundamentals of the budget structure of the Russian Federation

Fundamentals of the budget structure of the Russian Federation are determined by the Constitution of the country and its state structure as a federal republic, the subjects of the Federation of which are republics within the Russian Federation, territories, regions, autonomous districts.

In accordance with the Constitution of the Russian Federation (Articles 71 and 132) and the Budget Code RF(Article 10) the budget system of the Russian Federation consists of three levels:

The federal budget and the budgets of state extra-budgetary funds;

Budgets of the constituent entities of the Russian Federation (regional budgets) and budgets of territorial state extra-budgetary funds;

Local budgets.

Budget system of the Russian Federation includes: the federal budget, 21 republican budgets of the republics within the Russian Federation, 55 regional and regional budgets and the budget of the cities of Moscow and St. Petersburg, one regional budget of the autonomous region, 10 district budgets, autonomous okrugs and about 29 thousand local budgets (district, city, township and rural budgets).

The diagram of the consolidated budget of the Russian Federation is illustrated in Fig. 2.1.

The budgets included in the budget system of the Russian Federation are independent and are not included in each other, that is, the budgets of the constituent entities of the Russian Federation are not included in the federal budget, and local budgets are not included in regional budgets.

Principles of functioning of the budget system Russian Federation are as follows:

Unity of the budget system;

Distinction of income and expenses between levels of the budget system;

Independence of budgets at different levels;

Completeness of reflection of income and expenses of budgets, budgets of state extra-budgetary funds;

Budget balance;

Efficiency and economy of use of budget funds;

General coverage of budget expenses;

Publicity;

Budget reliability;

Targeting and targeted nature of the use of budget funds.

1. Unity of the budget system means the unity of the legal framework, monetary system, forms of budget documentation, principles of the budget process, sanctions for violations of budget legislation, as well as a unified procedure for financing budget expenditures at all levels of the budget system, maintaining accounting records of funds from the federal budget, regional budgets and local budgets.

2. Distinction between income and expenses between levels of the budget system Russian Federation is the assignment (in whole or in part) of the corresponding types of income and powers to make expenses to the authorities of the Russian Federation, state authorities of the constituent entities of the Russian Federation and local governments.

3. The most important thing is the principle independence of all budgets:

1) the right of legislative (representative) bodies of state power and local government bodies at each level of the budget system to independently carry out the budget process;

2) the presence of own sources of income for the budgets of each level of the budget system, determined in accordance with the legislation of the Russian Federation;

3) legislative consolidation of regulating budget revenues, powers to generate revenues of the corresponding budgets;

4) the right of state authorities and local self-government bodies to independently determine the direction of spending funds from the relevant budgets;

5) the right of state authorities and local governments to independently determine the sources of financing the deficits of the relevant budgets;

6) the inadmissibility of withdrawing income additionally received during the implementation of laws (decisions) on the budget, the amount of excess income over budget expenditures and the amount of savings on budget expenditures.

4. Completeness of reflection of income and expenses of budgets, budgets of state extra-budgetary funds means that all income and expenses of budgets, budgets of state extra-budgetary funds and other mandatory revenues are subject to reflection in the budgets, budgets of state extra-budgetary funds without fail and in full. All state and municipal expenses are subject to financing from budgetary funds and state extra-budgetary funds accumulated in the budgetary system of the Russian Federation.

5. Budget balance - Each budget must be balanced, i.e., the volume of expenditures provided for in the budget must correspond to the total volume of budget revenues and receipts from sources of financing its deficit.

6. Efficiency and economy in the use of budget funds means that when drawing up and executing budgets, authorities and recipients of budget funds must proceed from the need to achieve specified results using the amount of funds determined by the budget.

7. General cost coverage means that all budget expenses must be covered by the total amount of income from sources of financing its deficit.

8. Glasnost - this is the mandatory publication in the open press of approved budgets and reports on their execution, the completeness of information on the progress of budget execution, as well as the availability of other information by decision of legislative (representative) bodies of state power and local government bodies; mandatory openness to society and the media of procedures for considering and making decisions on draft budgets, including on issues that cause disagreement either within the legislative (representative) body of state power, or between the legislative (representative) and executive bodies of state power.

9. Budget credibility means the reliability of forecast indicators for the socio-economic development of the corresponding territory and the realistic calculation of budget revenues and expenses

10. Targeting and targeted nature of budget funds - budget funds are allocated at the disposal of specific recipients of budget funds with the designation of their direction to finance specific goals 3.

Budget device determines the organization of the state budget and the country's budget system, the relationship between its individual links, the legal basis for the functioning of budgets included in the budget system, the composition and structure of budgets, procedural aspects of the formation and use of budget funds, etc.

The fundamentals of the budget structure are determined by the form of the state and administrative structure of the country, the main legislative acts in force in it, and the role of the budget in social reproduction and social processes. According to the degree of distribution of power between the center and administrative-territorial entities, all states are divided into unitary, federal and confederal.

Unitary (single) state - This is a form of government in which administrative-territorial entities do not have their own statehood or autonomy. The country has a single constitution, common laws and authorities for all systems, and centralized management of economic, social and political processes in the state. The budget system of a unitary state consists of two parts - state and local budgets.

Federal (united) state - This is a form of government in which state entities or administrative-territorial entities included in the state have their own statehood and have a certain political independence within the limits distributed between them and the center of competence. The budgetary system of federal states is three-tier, and consists of a federal budget, budgets of members (subjects) of the federation and local budgets.

Confederate (union) state - it is a permanent union of sovereign states created to achieve political or military goals. The budget of such a state

Rice. 2.1.

is formed from contributions from the states included in the confederation. The member states of the confederation have their own budget and tax systems.

Over more than a thousand-year history of Russia, its budget structure and budget system have gone from a princely treasury and a unitary state system to a system based on a federal state structure."

The main part of the budget structure of Russia, in addition to the principles of the budget system and budget classification, is budget system, shown in Fig. 2 .1.

The Budget Code of the Russian Federation (hereinafter - B Code of the Russian Federation) gives the following definition budget system: “Based on economic relations and the state structure of the Russian Federation, regulated by the rules of law, the totality of the federal budget, budgets of the constituent entities of the Russian Federation, local budgets and budgets of state extra-budgetary funds.”

The budget system is the main link in the state's financial system. The budget system of the Russian Federation needs further improvement. For example, it does not resolve the problems of interbudgetary relations. To build the budget system of the Russian Federation, compliance with the principles of its organization is of great importance.

The budget system of Russia: the results of its development and ways of improvement

The budget system of the Russian Federation consists of budgets of three levels:

• o first level - the federal budget of the Russian Federation and the budgets of state extra-budgetary funds;
• o second level - budgets of the constituent entities of the Russian Federation (according to the Constitution of the Russian Federation, the budget system includes 83 budgets, of which: 21 republican budgets, 9 regional and 46 regional budgets, 4 district budgets of autonomous okrugs, the budget of the Autonomous Jewish Region, city budgets of Moscow and St. Petersburg The budgets of territorial state extra-budgetary funds belong to the same level;
• o third level - local budgets (about 29,000 city, district, township and rural budgets).

The summary of budgets at all levels is consolidated budget.

There are two types of consolidated budget:

• 1) consolidated budget of the Russian Federation, which includes the federal budget and the consolidated budgets of the constituent entities of the Russian Federation;
• 2) consolidated budget of a constituent entity of the Russian Federation, which includes the budget of the subject of the Russian Federation itself and the set of budgets of municipalities located on its territory.

The consolidated budget allows you to get a complete picture of all the income and expenses of the region or the federation as a whole; it is not approved, i.e. has no legal burden and serves for analytical and statistical purposes.

The consolidated budget is used in budget planning and forecasting and is developed simultaneously with the draft budget of the appropriate level. Its quantitative characteristics serve to confirm the reality and validity of budget indicators at all levels of the budget system.

Target — study the content of the budget structure of the Russian Federation, the principles of constructing the budget system and budget classification. Determine the sources of budget income and ways of spending it. Learn the budget process.

Tasks

1. Define the concept of budget and its basic principles.
2. Define the budget system.
3. Understand the socio-economic essence of budgets.
4. Consider budget classification.
5. Study the economic content of budget revenues.
6. Determine the content of budget expenses.
7. Familiarize yourself with the content of the budget process and its main participants.
8. Describe the main stages of the budget process.
9. Reveal the essence of budget control.
10. Determine the main content of the budget execution report. The procedure for its approval.

1. Budget structure, principles of building a budget system

From the end of the 18th century. the budget began to be called the entire plan of upcoming expenses and revenues of the state.

Budget, as is customary in almost all countries, is the balance of government income and expenditure. The revenue part contains a list of incoming funds, the expenditure part combines all types of expenses incurred by the government.

Also, the term “budget” is defined in economic literature as:

“a form of education and expenditure of funds to ensure the functions of government bodies” 1 ;

"main centralized fund of funds" 2 ;

"the main financial plan of the state" 3 ;

“...the totality...of monetary relations...as the main financial plan...as the most important financial regulator...” 4

Explanatory dictionary of modern budget terms 5 gives the following definitions of the budget and the state budget:

Budget — “the general name of a term denoting a calculated and restrictive estimate of income and expenses and their breakdown for a certain period of time, approved by the relevant decision and subject to execution by an individual or collective entity.”

The state budget — “a system of certain monetary distribution relations regulated by state authorities regarding the redistribution of part of the national wealth for the formation and expenditure of the main centralized fund of state funds.”

The state budget is approved by the highest legislative bodies of the country. The act approving the budget is called budget law.

“State budget” is the most general financial concept. It combines and interconnects all financial categories: “income”, “expenses”, “government loans”. The interaction of these categories is reflected in state financial policy, and then in the preparation and execution of the budget. Financial policy itself, as well as the content, socio-economic essence, and political significance of budgets are determined by the method of production, the functions of the state, the role and forms of domination of monopolies.

The essence of any economic category, including the budget, is manifested in its functions. The budget, in turn, is the broadest financial category, and therefore it has all the functions inherent in finance:

1. Formation of a budget fund (budget revenues).

2. Use of the budget fund (budget expenses).

3. Control.

The function of creating a budget fund (budget revenues) carry out budget revenues, including taxes, loans, income from state property (enterprises) and the issue of paper money (seigniorage).

Function of using the budget fund (budget expenses) associated with specific targeted budget expenditures. The state, acting as an aggregate economic entity, takes into account the economic interests of all other participants in the reproduction process, and therefore budget expenditures cover all sectors and areas of the economy.

Control function budget presupposes the creation of conditions for control. It makes it possible for the state to effectively influence all economic processes.

By implementing all functions, the budget plays an important economic, social and political role in the reproduction process:

• By financing priority sectors of the economy from the budget fund, the state influences the redistribution of national income between sectors;
• By financing institutions and organizations in the social sphere from the budget fund, the state contributes to the reproduction of the workforce and the solution of socially significant problems;
• income is redistributed through the budget between the federal level and the constituent entities of the Russian Federation.

Consequently, “the budget is necessary for the state to meet the objective needs for the monetary fund that serves to fulfill its economic, social and political functions. The significance of the budget in macroeconomic regulation requires special attention to the possibility of implementing the principles of constructing the budget system of the Russian Federation, regulated by the Budget Code of the Russian Federation.” 6

Budget system of the Russian Federation is a set of federal budgets, regional budgets of constituent entities of the Russian Federation, local budgets and budgets of state extra-budgetary funds, based on economic relations and the state structure of the Russian Federation, regulated by legal norms.

Budget device — this is the organization of the budget system, the principles of its construction. According to the Budget Code of the Russian Federation, the budget structure is the construction and organization of budgets and interbudgetary relations. The budget structure is determined by the state structure.

The budget system of the Russian Federation currently consists of three levels and is presented in Fig. 1.

Rice. 1. Budget system of the Russian Federation

Federal budget - the form of formation and expenditure of funds per financial year intended to fulfill the expenditure obligations of the Russian Federation.

Budget of a constituent entity of the Russian Federation (regional budget) - the form of formation and expenditure of funds per financial year intended to fulfill the expenditure obligations of the relevant constituent entity of the Russian Federation.

Local budget - the form of formation and expenditure of funds per financial year intended to fulfill the expenditure obligations of the relevant municipality.

State extra-budgetary fund - a fund of funds formed outside the federal budget and the budgets of the constituent entities of the Russian Federation and intended to implement the constitutional rights of citizens to pensions, social insurance, social security in case of unemployment, health care and medical care.

Considering the composition of the budget system, budgets of all its levels, it is also necessary to characterize the concept consolidated budget . The Budget Code of the Russian Federation provides the following definition: “A consolidated budget is a set of budgets of all levels of the budget system of the Russian Federation in the corresponding territory. It is used for calculations and analysis.”

The following consolidated budgets are distinguished:

• the consolidated budget of the Russian Federation - the federal budget and the consolidated budgets of the constituent entities of the Russian Federation;
• consolidated budget of a constituent entity of the Russian Federation - the budget of a constituent entity of the Russian Federation and the set of budgets of municipalities (local budgets) located on its territory;
• consolidated city budget (city budget) - the city budget of the city and district budgets of districts in the city.

The organization of the budget system of the Russian Federation is based on the following principles set out in the Budget Code of the Russian Federation:

1. The principle of unity of the budget system of the Russian Federation means:

• unity of budget legislation of the Russian Federation;
• unity of principles of organization and functioning of the budget system of the Russian Federation;
• unity of forms of budget documentation and reporting, budget classification of the budget system of the Russian Federation;
• unity of sanctions for violation of budget legislation of the Russian Federation;
• a unified procedure for establishing and fulfilling expenditure obligations, generating revenues and making expenditures of the budgets of the budget system of the Russian Federation;
• unity of budget accounting and reporting of budgets of the budget system of the Russian Federation and budgetary institutions;
• unity of the procedure for the execution of judicial acts on foreclosure on funds from the budgets of the budget system of the Russian Federation.

2. The principle of separating income and expenses between budgets of different levels means assigning, in accordance with the legislation of the Russian Federation, income and expenses to the budgets of the budget system of the Russian Federation and determining the powers of government bodies (local government bodies) to generate income, establish and fulfill expenditure obligations.

3. The principle of budget independence means:

• the right and obligation of state authorities and local self-government bodies to independently ensure the balance of their respective budgets and the efficient use of budget funds;
• the right and obligation of state authorities and local self-government bodies at the appropriate level of the budget system of the Russian Federation to independently carry out the budget process, except for cases provided for by the Budget Code;
• the right of state authorities and local governments to establish, in accordance with the legislation of the Russian Federation on taxes and fees, taxes and fees to be credited to the budgets of the corresponding level of the budget system of the Russian Federation;
• the right of state authorities and local governments, in accordance with the Budget Code, to independently determine the forms and directions of spending budget funds (with the exception of expenses, the financial support of which is provided through subsidies and subventions from budgets of other levels);
• the inadmissibility of establishing expenditure obligations that must be fulfilled simultaneously at the expense of the budgets of two or more levels of the budget system of the Russian Federation, or at the expense of consolidated budgets, or without defining the budget at the expense of which the corresponding expenditure obligations must be fulfilled;
• the inadmissibility of direct fulfillment of expenditure obligations of state authorities and local governments at the expense of funds from budgets of other levels;
• the inadmissibility of the implementation during the financial year by state authorities and local governments of decisions and changes in budget legislation and (or) legislation on taxes and fees, leading to an increase in expenses and (or) a decrease in budget revenues of other levels without amending the laws (decisions ) on relevant budgets that provide for compensation for increased expenses and decreased income;
• the inadmissibility of the withdrawal of additional income during the financial year, savings on budget expenditures obtained as a result of the effective execution of budgets.

4. The principle of equality of budgetary rights of the constituent entities of the Russian Federation, municipalities means:

• determination of the budgetary powers of state authorities of the constituent entities of the Russian Federation and local governments;
• establishment and execution of expenditure obligations;
• formation of tax and non-tax revenues of the budgets of the constituent entities of the Russian Federation and local budgets;
• determining the volume, forms and procedure for providing interbudgetary transfers in accordance with the uniform principles and requirements established by the Budget Code.

5. The principle of completeness of reflection of income and expenses of budgets, budgets of state extra-budgetary funds means that:

• all income and expenses of budgets, budgets of state extra-budgetary funds and other mandatory revenues determined by the tax and budget legislation of the Russian Federation, laws on state extra-budgetary funds, are subject to reflection in the budgets, budgets of state extra-budgetary funds without fail and in full;
• all state and municipal expenses are subject to financing from budgetary funds, state extra-budgetary funds accumulated in the budgetary system of the Russian Federation;
• tax credits, deferments and installments for the payment of taxes and other obligatory payments are fully accounted for separately for the income of budgets, budgets of state extra-budgetary funds and for expenditures of budgets, budgets of state extra-budgetary funds, with the exception of deferments and installments for the payment of taxes and other obligatory payments provided within of the current financial year.

6. The principle of balancing the budget means that the volume of budgeted expenditures must correspond to the total volume of budget revenues and receipts from sources of financing its deficit.

When drawing up, approving and executing the budget, authorized bodies must proceed from the need to minimize the size of the budget deficit.

7. The principle of efficiency and economy in the use of budget funds means that when drawing up and executing budgets, authorized bodies and recipients of budget funds must proceed from the need to achieve specified results using the least amount of funds or achieve the best result using a certain budgeted amount of funds.

8. The principle of general (aggregate) coverage means that:

• all budget expenses must be covered by the total amount of budget revenues and receipts from sources of financing its deficit;
• Budget revenues and receipts from sources of financing its deficit cannot be linked to certain budget expenditures, with the exception of income from targeted budget funds, funds from targeted foreign loans, as well as in the case of centralization of funds from the budgets of other levels of the budget system of the Russian Federation.

9. The principle of transparency means:

• mandatory publication in the open press of approved budgets and reports on their execution, complete presentation of information on the progress of budget execution, as well as the availability of other information by decision of legislative (representative) bodies of state power and local government bodies;
• mandatory openness to society and the media of procedures for considering and making decisions on draft budgets, including on issues that cause disagreement either within the legislative (representative) body of state power, or between the legislative (representative) and executive bodies of state power.

Secret items can only be approved as part of the federal budget.

10. The principle of budget reliability means the reliability of forecast indicators for the socio-economic development of the corresponding territory and the realistic calculation of budget revenues and expenses.

11. The principle of targeting and targeted nature of budget funds means that budget funds are allocated to specific recipients of budget funds with the designation of their direction to finance specific goals.

Any actions that lead to a violation of the targeting of funds provided for by the budget or to their direction for purposes not indicated in the budget when allocating specific amounts of funds are a violation of the budget legislation of the Russian Federation.

2. Budget classification. Budget income and expenses

Budget classifications of most foreign countries are based on international standards government statistics finance (GFS) developed by the International Monetary Fund. In the mid-1990s. Russia has also switched to the international GFS system.

Budget classification The Russian Federation is a grouping of income and expenses of budgets at all levels of the budget system of the Russian Federation, as well as sources of financing the deficits of these budgets, is used in the preparation of projects and execution of budgets at all levels, and ensures comparability of budget indicators at all levels of the budget system of the Russian Federation. It is unified and is used in the preparation, approval and execution of budgets of all levels and the development of consolidated budgets of all levels 7 .

The budget classification ensures all-Russian comparability of budget indicators and includes:

Classification tion of budget revenues of the Russian Federation — This is a grouping of budget revenues at all levels of the budget system of the Russian Federation, which is based on legislative acts of the Russian Federation that determine the sources of revenue generation for budgets at all levels. Income groups consist of subgroups, articles and sub-items of income that combine specific types of income by sources and methods of obtaining them. Types of income are also specified according to the budget levels to which they are included.

Budget revenues included in the budget system of the Russian Federation, are formed from tax revenues, non-tax revenues, and gratuitous transfers. At the same time, as part of budget revenues, the revenues of target budget funds are taken into account separately as a type of budget revenues.

The study of budget revenues involves, first of all, familiarization with their internal and external material sources.

The main role belongs to internal sources : national wealth, gross domestic product (GDP), national income.

External sources — income related to foreign economic activity.

The main material source of state income is GDP. Government revenues are primarily created through the process of redistributing GDP. Redistribution occurs through the state budget and other parts of the financial system: extra-budgetary funds, insurance, etc. The most important instruments of redistribution are taxes. Tax revenues at 80 — 90% form the state budget.

Tax revenues — These are federal, regional and local taxes and fees provided for by the tax legislation of the Russian Federation, as well as penalties and fines. Budget revenues in this part take into account provided tax credits, deferments and installments for the payment of taxes and other obligatory payments.

Tax revenues according to the form of receipt to the budget are divided into fixed and regulating income.

• Secured income — income that, in full or in a firmly fixed share, on a permanent or long-term basis, in the prescribed manner, goes to the corresponding budget.
• Regulatory revenues — income that, for the purpose of balancing income and expenses, goes to the corresponding budget in the form of percentage deductions from taxes or other payments according to standards approved in the prescribed manner for the next financial year.

The deduction standards are determined by the law on the budget of that level of the budget system of the Russian Federation, which transfers regulatory revenues, or by the law on the budget of that level of the budget system of the Russian Federation, which distributes the regulatory revenues transferred to it from the budget of another level.

When distributing tax revenues across levels of the budget system, tax revenues of the budgets of the constituent entities of the Russian Federation should, as a rule, be at least 50% of the amount of revenues of the consolidated budget of the Russian Federation.

Taxes perform two functions: fiscal and stimulating, each of which exhibits the internal content, signs and features of a given financial category.

Fiscal function - basic, initially characteristic of all states. With its help, state funds of funds are formed, i.e., material conditions for the life of the state. This function provides a real opportunity to redistribute part of the value of national income in favor of the least affluent sections of society.

Stimulating function manifests itself in the fact that taxes, as an active element of redistribution processes, have a serious impact on reproduction, stimulating or restraining its pace, strengthening or weakening capital accumulation, expanding or reducing the effective demand of the population. This function is inseparable from the fiscal function and is closely related to it.

To the group tax revenue(1 00 00000 00 0000 000) includes, in particular, the following subgroups: 1 01 00000 00 0000 000 - “Profit taxes, income”; 1 01 01000 00 0000 110 — “Organizational profit tax”; 1 02 00000 00 0000 - “Taxes and contributions for social needs”; 1 02 01000 00 0000 110 - “Unified social tax”, etc. 8 The tax revenue indicator includes all types of taxes levied in accordance with the legislation of the Russian Federation on taxes and fees.

Non-tax revenues combine non-refundable and gratuitous receipts, including:

• income from property in state and municipal ownership or from the activities of state and municipal organizations (1 11 00000 00 0000 000);
• income from foreign economic activities (1 10 00000 00 0000 000), etc.

Non-tax revenues also include:

• payments for the use of natural resources (1 12 00000 00 0000 000);
• income from the provision of paid services and compensation of state costs (1 13 00000 00 0000 000);
• income from the sale of tangible and intangible assets (1 14 00000 00 0000 000);
• targeted deductions from all-Russian state lotteries (3 04 01000 01 0000 180), etc.

Free transfers classified according to the source of their receipt: from non-residents; budgets of other levels; state extra-budgetary revenues; government organizations; supranational organizations; funds transferred to target budget funds; other gratuitous transfers.

Free transfers for mutual settlements may also be included in budget revenues. Under mutual settlements refers to operations involving the transfer of funds between budgets of different levels of the budget system of the Russian Federation, associated with changes in the tax and budget legislation of the Russian Federation, the transfer of powers to finance expenses or the transfer of income, operations for which were carried out after the approval of the budget law.

Income of target budget funds are formed in accordance with the legislation of the Russian Federation at the expense of income for special purposes or in the order of targeted deductions from specific types of income at rates established by the tax legislation of the Russian Federation, and are distributed between federal and territorial target budget funds according to the standards determined by the law on the federal budget for the next financial year. Such income is grouped by type of target budget funds.

Income in the form of financial assistance and budget loans, received from budgets of other levels of the budget system of the Russian Federation. Financial assistance from budgets of other levels of the budget system of the Russian Federation in the form subsidies, subventions and subsidiesdiy or other irrevocable and gratuitous transfer of funds is subject to accounting in the income of the budget that is the recipient of these funds.

Subsidy - a non-refundable cash benefit provided from the state budget to organizations, enterprises, local authorities, individuals to cover losses, compensate for losses, balance local budgets and other purposes.

Subvention — targeted benefit, a type of state assistance to local authorities or sectors of the economy to solve certain problems. In case of violation of the terms of provision, the subvention is subject to return.

Subsidy - non-repayable assistance in the form of cash benefits or in kind, provided to local authorities, legal entities and individuals, and other states. There are direct and indirect subsidies, which are provided from the state budget or special funds.

Fines are subject to inclusion in local budgets at the location of the body or official who made the decision to impose a fine, unless otherwise provided by the legislation of the Russian Federation.

Amounts confiscations, compensations and other funds forcibly withdrawn into state revenue are credited to budget revenues in accordance with the legislation of the Russian Federation and court decisions.

Directions spending budget funds classified according to three main principles: functional, economic and departmental.

Functional classification of budget expenditures of the Russian Federation represents a grouping of budget expenditures at all levels of the budget system of the Russian Federation and reflects the direction of budget funds to perform the main functions of the state. The first level of this classification of expenses is sections.

For example, section 01 - “National Issues”; 06 — “Environmental protection”; 07 — “Education”; 08 — “Culture, cinematography and media”; 09 — “Healthcare and sports”, etc.

Sections consist of subsections, specifying the direction of budget funds for the implementation of state activities in a certain area, which form the second level of classification.

For example, section 08 - “Culture, cinematography and media”: subsection 01 - “Culture” (0801); subsection 02 - “Cinematography” (0802); subsection 03 - “Television and radio broadcasting” (0803), etc.

The third level of functional classification of budget expenditures of the Russian Federation is target articles, reflecting the financing of budget expenditures in specific areas of activity of the main managers of budget funds within the subsections of the functional classification of budget expenditures of the Russian Federation.

Types of expenses form the fourth level of this classification; they detail the directions of financing the expenses of these budgets within the target items.

Economic classification of budget expenditures of the Russian Federation — grouping of budget expenditures at all levels according to their economic content, reflecting the types of financial transactions through which the state performs its functions both within the country and in relations with other states. This classification consists of the following categories: current expenditures, capital expenditures and provision of budget credits (budget loans) less repayments. These categories are divided into five levels: group, subgroup, item, subitem, expense item.

Current budget expenditures represent a part of budget expenditures that ensures the current functioning of state authorities and local self-government, budgetary institutions, the provision of state support to other budgets and individual sectors of the economy in the form of subsidies, subsidies and subventions for the current functioning.

Capital expenditures of budgets - This is part of budget expenditures that ensures innovation and investment activities. This includes expenses intended for investments in existing or newly created legal entities in accordance with the approved investment program, funds provided as budget loans for investment purposes to legal entities, expenses for major repairs and other expenses related to expanded reproduction, in the implementation of which property owned by the federal, constituent entities of the Russian Federation and municipal entities is created or increased.

Departmental classification of federal budget expenditures — grouping of federal budget expenditures, reflecting the distribution of budget funds among the main managers of federal budget funds with further detailing of the budgets of a specific federal executive body or other recipients of federal budget funds by target items and types of expenditures (i.e., in accordance with the goals and objectives they perform) . The list of the main managers of the latter’s funds is approved in the structure of the departmental classification of its expenses by the federal law on the federal budget for the corresponding financial year.

Departmental classification of budget expenditures of subjects RF is a grouping of budget expenditures of the constituent entities of the Russian Federation, reflects the distribution of budget allocations among the main managers of their budget funds in accordance with the organization of the system of executive authorities of the constituent entities of the Russian Federation and is approved by their legislative (representative) bodies. The departmental classification of local budgets is approved by legal acts of local governments.

Elements of functional, economic and departmental classifications are interconnected into a single structure.

Classification of sources of internal defi financing RF budget quotes is a grouping of borrowed funds raised by the Government of the Russian Federation, executive authorities of the constituent entities of the Russian Federation and local governments to finance deficits of the corresponding budgets.

Classification of sources of external financing of deficits of the federal budget and budgets of constituent entities of the Russian Federation — This is a group of borrowed funds attracted by the Government of the Russian Federation and executive authorities of the constituent entities of the Russian Federation to finance the deficits of the corresponding budgets.

Classification of types of government internal debts of the Russian Federation, subjects of the Russian Federation, types of municipal debt is a grouping of debt obligations of the Government of the Russian Federation, executive authorities of constituent entities of the Russian Federation and local governments.

Classification of types of public external debts of the Russian Federation and subjects of the Russian Federation, as well as state external assets of the Russian Federation is a grouping of government external debt obligations in accordance with the legislation of the Russian Federation.

The budget classification is a document that not only performs the most important organizational functions and allows the budgets of all levels of the budget system to be consolidated into a single consolidated budget of the Russian Federation, but also has great economic significance.

3. Budget process

3.1. Contents and participants of the budget process

The budget process is the most important component of the budget structure. In general terms, it represents the activities of subjects of society regulated by legal norms in the formation, consideration, approval and execution of budgets.

Budget process is a complex multifaceted mechanism of socio-economic activity of individuals, legal entities and the state. The content of the budget process is based on the principles of the budget structure and the budgetary rights of various levels of government.

The budget process includes sequentially the following four stages of budget activity:

1) formation of a draft budget;

2) budget review;

3) budget approval;

4) budget execution.

According to current legislation, management of the formation and execution of budgets is a function of executive authorities, and consideration and approval is a function of representative bodies. These processes are carried out in close cooperation between both branches of government. Control of budget execution falls largely on the executive bodies. The main provisions for the preparation, consideration, approval and execution of the federal budget are established by the Federal Assembly of the Russian Federation, and specific deadlines and forms of budget reporting are established by the Ministry of Finance of the Russian Federation.

The budget process solves the following problems:

• maximum identification of material and financial reserves;
• determination of budget revenues for individual taxes and other payments, as well as their total volume;
• establishing budget expenditures for their intended purpose, as well as their total volume;
• implementation of budget regulation in order to balance budgets at different levels;
• strengthening control over the financial activities of legal entities and the income of individual citizens;
• automation of the process of drawing up and executing budgets.

Over time, the budget process develops from top to bottom, from federal to local. This system is due to the variety of forms of ownership, the impossibility of systematic development of the national economy, as well as the nature of the formation of fixed and regulating income, subsidies and subventions.

The duration of the budget process in relation to the federal budget of the Russian Federation (from the Address of the President of the Russian Federation to the Federal Law on Budget Execution) is more than three years: formation, consideration and approval - 10 months, execution - 1 year, preparation and approval of a report on budget execution - up to 1, 5 years. In fact, it can be even greater due to preliminary work to solve various problems of budget formation, approval and execution. The duration of the budget period of territorial budgets is usually shorter.

Plays a special role in the budget process budgeting. It goes through two stages: organization and budget development.

Organization budget process includes:

• identification of subjects (participants) of the budget process and their powers;
• identification of objects (cash flows and funds) of the budget process;
• drawing up plans for the formation of the budget process as a whole and its individual components.

All subjects of the country (individuals, legal entities, government agencies), as well as a number of foreign subjects, take part in the budget process. They can be divided into two groups: passive and active. Passive participants— suppliers of budget resources (individuals and legal taxpayers, creditors, etc.) and final consumers of funds (individuals and legal entities).

group active participants The budget process is formed by bodies with budgetary powers. These include the President of the Russian Federation, government bodies, financial, monetary regulation, state and municipal financial control, state extra-budgetary funds. Each body has its own tasks and operates within the assigned powers.

The budgetary powers of participants in the budget process are as follows:

• The President of the Russian Federation determines the fundamentals of budget policy and general management.
• Representative (legislative) bodies review and approve budgets and reports on their execution, exercise control over the execution of budgets, form and determine the legal status of regulatory bodies, and exercise other powers.
• Executive authorities draw up draft budgets, execute budgets, budget control, and submit reports on budget execution.
• The Bank of Russia performs responsibilities for:

• development and submission, together with the Government of the Russian Federation, for consideration by the State Duma of the Federal Assembly of the Russian Federation of the main directions of monetary policy;
• servicing budget accounts;
• performing the functions of a general agent for government securities.

• Credit organizations carry out separate operations with budget funds. They, as participants in the budget process, are entrusted with performing two tasks: operations to provide budget funds on a repayable basis and ensuring the functions of the Bank of Russia where it cannot perform them.
• Control bodies of legislative (representative) authorities at all levels carry out:

• control over the execution of budgets of relevant levels and budgets of state extra-budgetary funds;
• conducting an examination of draft budgets, federal and regional target programs and other normative acts of budget legislation of the Russian Federation, constituent entities of the Russian Federation, acts of local government bodies.

• Control bodies of the executive power during the execution of the relevant budget and the budget of state extra-budgetary funds carry out preliminary, current and subsequent control.

An important place in organizing the budget process is given to a clear definition of the managers and recipients of budget funds. There are main managers of federal, subject and local budgets, simply managers and recipients of budget funds.

Budget Manager - This is a government body that distributes budget funds to recipients.

Recipient of budget funds— budgetary institution or other organization entitled to receive budget funds.

3.2. Development of a draft budget

Drafting a budget - this is the initial stage of the budget process, including resolving issues such as:

• budget volume;
• fiscal and monetary policy for the coming year;
• main directions, means and methods of covering the budget deficit;
• distribution of expenses between parts of the budget system.

The drafting of the federal budget is based on:

• at the Budget Address of the President of the Russian Federation;
• long-term financial plan;
• forecast of socio-economic development of the Russian Federation for the next year;
• a report on the execution of the federal budget in the reporting year and the main indicators of the expected execution of the federal budget in the current year;
• a report on the execution of the federal budget in the reporting year and indicators of the expected execution of the federal budget in the current year;
• reports on the results and main activities of budget planning entities;
• draft federal laws on amendments to the legislation of the Russian Federation on taxes and fees;
• the register of expenditure obligations of the Russian Federation and the changes that are planned to be made to it in connection with draft regulatory legal acts defining the expenditure obligations of the Russian Federation.

Initial macroeconomic indicators for drawing up the draft budget are:

• the volume of GDP for the next financial year and the growth rate of GDP in the next financial year;
• inflation rate (rate of price growth).

Direct preparation of draft budgets carried out by: Ministry of Finance of the Russian Federation; its territorial bodies in the constituent entities of the Russian Federation; local government bodies.

At the same time, for the next year the following are compiled:

• forecast of the consolidated budget of the corresponding territory for the next financial year;
• targeted investment program for a year;
• economic development plan;
• structure of state or municipal debt;
• a program of internal and external borrowings provided for the next financial year to cover the budget deficit;
• assessment of budget losses from tax benefits;
• assessment of budget execution for the current year.

Development includes the following stages:

• development of forecasts for economic development of the Russian Federation and preparation of consolidated financial balances;
• drafting and announcing the presidential address;
• development of draft laws on budgets;
• submission of a package of documents to legislative bodies. The development of draft budgets is carried out by the Ministry of Finance of the Russian Federation, financial authorities of the constituent entities of the Russian Federation and municipalities.

The preparation of the budget is preceded by the development of a forecast of socio-economic development, the main directions of budget and tax policy, a forecast of the consolidated financial balance, and a development plan for the state or municipal sector of the economy. On the basis of these documents, the Budget Message of the President of the Russian Federation to the Federal Assembly is being prepared, which sets out the fundamentals of budget policy. Balance sheet, program-target, normative, economic and mathematical methods are used as the main methods of budget planning.

Forecast of socio-economic development territory is developed on the basis of data on socio-economic development for the last reporting period, a forecast of socio-economic development until the end of the base year (from January 1 to December 31) and trends in the development of the economy and social sphere for the planned year and precedes the preparation of the draft budget.

Based on the forecast, it is formed promising financialplan, which contains budget forecasts for mobilizing revenues, attracting borrowings and financing basic expenditures. It is being developed to inform legislative bodies about medium-term trends in economic and social development; forecasting the financial consequences of developed reforms, programs, laws; monitoring negative long-term trends and taking appropriate measures in a timely manner.

Balance of financial resources represents a balance of all income and expenses of the Russian Federation, constituent entities of the Russian Federation, municipalities and organizations. It is formed on the basis of the reporting balance of financial resources for the previous year and is the basis for drawing up the budget.

Development plan for the state or municipal economic sectorMiki includes:

• a list and consolidated plan of financial and economic activities of federal government enterprises, state or municipal unitary enterprises;
• program for privatization and acquisition of property into state or municipal ownership;
• information on the maximum number of employees for the main managers of budget funds.

When drawing up budgets, long-term targeted programs are of particular importance. They are developed by executive authorities in accordance with forecasts of socio-economic development. Long-term target program contains:

• feasibility study;
• forecast of the expected socio-economic (environmental) results of the program implementation;
• name of the program customer;
• information on the volumes and sources of funding by year;
• other documents and materials required for approval.

The draft budget indicates the main characteristics of the budget: the volume of revenues, the volume of expenses, deficit (surplus), as well as a number of other indicators.

The draft budget for the next year is accompanied by various documents and materials provided for by budget legislation. In particular, the draft budget defines:

1. The volume of expenses and revenues of the federal budget.
2. The volume of the federal budget deficit.
3. Directions and volumes of use of funds from the Stabilization Fund of the Russian Federation exceeding the minimum level established by the Budget Code of the Russian Federation.
4. Assigning sources of federal budget revenue to administrators; financing the federal budget deficit.
5. Standards for deductions to the federal budget of federal taxes and fees, non-tax revenues.
6. Volumes of revenues to the federal budget by main sources.
7. Distribution of federal budget expenditures by sections, subsections, target items, types of functional classification of expenditures of the budgets of the Russian Federation.
8. Departmental structure of federal budget expenditures.
9. List and volumes of financing of target programs.
10. Distribution of government investments for the implementation of the federal targeted investment program; expenses for the implementation of interstate agreements within the CIS; interbudgetary transfers for the constituent entities of the Russian Federation.
11. Main indicators of the State Defense Order.
12. The amount of debt of foreign countries on loans provided by the Government of the former USSR and the Government of the Russian Federation, as of January 1 of the current year.
13. The upper limit of the state external and internal debt of the Russian Federation as of January 1 of the year following the next year.
14. Program of state internal and external borrowings of the Russian Federation; provision of Russian government loans to foreign states and their legal entities.

3.3. Procedure for reviewing and approving the budget

The formation of the federal budget begins 10 months before the start of the next year and is carried out in accordance with the budget policy of the Russian Federation, defined in the Budget Address of the President of the Russian Federation. The procedure and timing for developing a draft federal budget are determined by the Government of the Russian Federation.

Review and budget approval carried out by representative authorities. The submission of the draft federal law on the federal budget for the next year to the State Duma is carried out by the Government of the Russian Federation no later than August 29 of the current year.

The State Duma is considering the federal budget bill in four readings.

IN first reading , within 30 days from the date of submission, the State Duma:

a) hears:

• report of the Government of the Russian Federation;
• co-reports of the Budget Committee and the second specialized committee responsible for considering the subject of the first reading;
• report of the Chairman of the Accounts Board of the Russian Federation;

b) accepts or rejects the said bill.

When adoption The State Duma of the draft federal budget for the next year, in the first reading, approves the main characteristics of the federal budget, while the State Duma does not have the right to increase revenues and the federal budget deficit if these changes do not have a positive opinion from the Government of the Russian Federation.

When deviations bill, the State Duma can:

• transfer the draft law on the Federal budget to the conciliation commission to clarify the main characteristics of the federal budget;
• return the bill to the Government of the Russian Federation for revision;
• raise the question of trust in the Government of the Russian Federation.

When return of the draft law on the Federal budget for revision Government of the Russian Federation:

• within 20 days, finalizes the said bill, taking into account the proposals and recommendations set out in the conclusions of the Budget Committee and the State Duma Committee on Economic Policy;
• submits the revised bill for re-consideration by the State Duma in the first reading.

When resignation of the Government of the Russian Federation in connection with the rejection of the draft federal law on the Federal budget for the next financial year, the newly formed Government of the Russian Federation presents a new version of the draft federal law on the federal budget for the next financial year no later than 30 days after formation.

Based on the results of consideration in the first reading of the draft federal law on the Federal budget for the next financial year, a State Duma resolution is adopted on the adoption of the draft in the first reading and on its main characteristics.

In second reading draft federal law on the federal budget for the next financial year:

• subjects of the right of legislative initiative send to the Budget Committee amendments on federal budget expenditures according to sections of the functional classification of budget expenditures of the Russian Federation;
• The State Duma approves federal budget expenditures according to sections of the functional classification of budget expenditures of the Russian Federation within the limits of the total volume of federal budget expenditures approved in the first reading; size of the Federal Fund for Financial Support of the Subjects of the Russian Federation.

Based on the results of consideration in the second reading of the draft federal law on the Federal budget for the next financial year, a State Duma resolution is adopted on the adoption in the second reading of the draft federal law on the Federal budget for the next financial year and on the distribution of Federal budget expenses for the next financial year according to the sections of the functional classification of budget expenses RF.

If the draft federal law on the Federal budget for the next financial year is rejected in the second reading, the State Duma transfers the said bill to the conciliation commission.

IN third reading The draft federal law on the Federal budget for the year is approved by:

• Federal budget expenditures by subsections of the functional classification of budget expenditures of the Russian Federation and the main managers of Federal budget funds for all four levels of the functional classification of budget expenditures of the Russian Federation;
• main indicators of the State Defense Order;
• federal budget expenditures to finance federal target programs; Federal targeted investment program for the next year within the limits of expenses approved in the second reading by sections of the Federal budget; programs for providing guarantees of the Government of the Russian Federation for a year; programs for the provision of Federal budget funds on a repayable basis for each type of expenditure;
• programs of state external borrowings of the Russian Federation for a year; internal borrowings of the Russian Federation; provision of government loans by the Russian Federation to foreign states for the next financial year;
• a list of legislative acts the effect of which is canceled or suspended for the next financial year due to the fact that the budget does not provide funds for their implementation.

IN fourth reading the draft federal law on the Federal budget for the next financial year, the State Duma is considering the specified draft law as a whole; amendments to it are not permitted.

The federal law on the Federal budget for the next financial year adopted by the State Duma, within 5 days from the date of adoption, is submitted to the Federation Council, which must consider the federal law on the Federal budget within 14 days from the date of submission by the State Duma.

The rights of the Federation Council regarding the budget law are somewhat less than those of the State Duma, and its amendments require the approval of the State Duma, which may reject these amendments.

The draft federal law on the Federal budget for the next financial year, approved by the Federation Council, is sent to the President of the Russian Federation for signing within 5 days from the date of approval.

The budget law comes into force after it is signed by the President of the Russian Federation from the day of its official publication in the media.

If the President of the Russian Federation rejects the draft federal law on the federal budget for the next financial year, the specified law is transferred to the conciliation commission, which includes a representative of the President of the Russian Federation, to overcome the differences that have arisen.

If the federal law on the Federal budget for the next financial year does not come into force before the beginning of the next financial year, if it is not adopted by the State Duma before December 15 of the current year, as well as if it does not come into force for other reasons before January 1 of the next year, the State Duma may adopt federal law on financing expenses from the federal budget in the 1st quarter of the next financial year.

In this case, federal executive authorities spend federal budget funds in accordance with the specified federal law.

3.4. Budget control

Budget execution - the last, main and most responsible phase of the budget process, expressing the implementation of the main financial plan of a particular national-administrative or territorial entity. Its purpose is to ensure sufficient financing of government activities provided for in budgets based on the timely and complete receipt of revenues.

When executing budgets, the following tasks are solved:

• ensuring the accumulation of planned budget revenues;
• timely and complete financing of government activities;
• monitoring compliance with financial discipline;
• accounting and reporting on budget execution.

If in the first three phases of the budget process the main work is carried out purely by public services, then in the last, fourth, all ministries, departments and a large number of different organizations that are in any connection with the movement of public funds participate. The work is headed by executive bodies of state power, administrations of constituent entities and local administrative-territorial entities. In their activities they are guided by the Constitution of the state, as well as current legislation on civil, financial, budgetary, tax, criminal and other issues. It defines the rights, duties and responsibilities within the framework of budget execution.

According to the tasks, the execution of budgets includes: execution of the revenue and expenditure parts of the budgets; control of budget revenues and expenditures; accounting and reporting on budget execution.

The budget is executed in accordance with organizational plans, which define activities for revenues or expenses, deadlines and responsible bodies (officials).

Established in the Russian Federation treasury execution of budgets. All budgets of the Russian Federation are executed according to the principle of cash unity, which means calculating budget revenues, attracting and repaying sources of financing the budget deficit and making expenses from a single budget account. In accordance with this principle, executive bodies are cashiers of managers and recipients of budgetary funds and make payments from budgetary funds on behalf of and on behalf of budgetary institutions.

Execution of budgets based on income provides for:

• transfer and crediting of income to a single budget account; distribution of regulatory revenues in accordance with the approved budget;
• return of excess amounts of income paid to the budget;
• accounting for budget revenues and reporting on revenues from the corresponding budget.

All revenues are included in the income of specific budgets. The correctness of calculation and timely payment is controlled by the responsible services. Income that is not paid in by the due date or not paid in full is collected forcibly. For late payment and incorrect calculation of taxes, sanctions (penalties, penalties, fines) are applied.

Execution of expenditure budgets is carried out by authorized executive bodies on the basis budget list— a document on the quarterly distribution of budget expenditures between recipients of budget funds — and consists of authorization and funding.

Authorization consists of stages:

• drawing up and approving the budget schedule;
• approving and communicating information about the amounts, estimates and limits of budget allocations to managers and recipients of funds;
• acceptance of monetary obligations by recipients. Financing consists of using budget funds.

All budget income and expenses are subject to mandatory accounting carried out by the bodies executing the budget. On the basis of accounting, all budgetary organizations and executive financial authorities prepare reports. Reporting on budget execution can be operational, quarterly, semi-annual and annual. Collection, compilation, preparation and presentation of reports are carried out by the authorized executive body. Reports on budget execution are submitted to representative and control authorities. The annual report is reviewed by the Accounts Chamber and approved by the Federal Assembly of the Russian Federation.

conclusions

Thus, the topic examines the concept of a budget and reveals its socio-economic essence, manifested through its main functions. The concept of a budget system and a budget device is revealed. The basic principles on which the budget system is built are determined.

Also discussed here is the budget classification, which operates in accordance with the Budget Code and includes:

• classification of budget revenues of the Russian Federation;
• functional classification of budget expenditures of the Russian Federation;
• economic classification of budget expenditures of the Russian Federation;
• classification of sources of internal financing of budget deficits of the Russian Federation;
• classification of sources of external financing of deficits of the federal budget and budgets of constituent entities of the Russian Federation;
• classification of types of public internal debts of the Russian Federation and constituent entities of the Russian Federation, types of municipal debt;
• classification of types of state external debts of the Russian Federation and constituent entities of the Russian Federation, as well as state external assets of the Russian Federation;
• departmental classification of federal budget expenditures;
• structure of expenditures of the budgets of the Russian Federation and municipalities.

It also provides a detailed description of federal budget revenues and expenditures according to three main principles:

• functional;
• economic;
• departmental.

The characteristics of each stage of development of the draft budget and the procedure for considering and adopting the budget for the next financial year are considered. As well as control over budget execution.

Self-test questions

1. How is the budget and the state budget defined in economic literature?
2. What are the main functions of the budget?
3. What is a budget device?
4. What is the budget system of the Russian Federation?
5. What levels of the budget system do you know? Name their main characteristics.
6. On what principles is the organization of the budget system of the Russian Federation based? Give them a brief description.
7. What is budget classification?
8. What does budget classification in the Russian Federation include?
9. What is the classification of budget revenues?
10. Describe the tax revenues of the budget.
11. Describe non-tax budget revenues.
12. In what forms can financial assistance be provided?
13. By what basic principles are budget expenditures classified? Give them a brief description.
14. What is the budget process? What are the main stages of the budget process?
15. What problems does the budget process solve?
16. What does organizing the budget process include?
17. Describe the main participants in the budget process.
18. What stages does the development of a draft budget include?
19. What is the procedure for reviewing and approving the budget?
20. What is budget control?

Bibliography

1. Neshitoy A.S. Finance and credit: Textbook. — 2nd ed., revised. and additional — M.: Publishing and trading corporation "Dashkov and Co", 2006. — 572 pp.
2. Finance: Textbook. — 2nd ed., revised. and additional / S.A. Belozerov, S.G. Gorbushina and others; edited by V.V. Kovaleva. — M.: TK Welby, Prospekt Publishing House, 2004. — 512 pp.
3. Finance: Textbook / Ed. A.G. Gryaznova, E.V. Mirkina. — M.: Finance and Statistics, 2005.
4. Financial and credit encyclopedic dictionary / Under the general. ed. A.G. Gryaznova, E.V. Mirkina. — Finance and Statistics, 2005.
5. Finance and credit: Textbook / M.L. Dyakonova, T.M. Kovaleva, T.N. Kuzmenko and others; edited by prof. T.M. Kovaleva. — 2nd ed. reworked and additional M.: KNORUS, 2006. — 376 pp.
6. Fetisov V.D., Fetisova T.V. Finance and credit. — 2nd ed., revised. and additional — M.: UNITY-DANA, 2006. — 399 pp.

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LECTURE No. 1. Budget, budget system, budget structure of the Russian Federation

1. Economic essence and content of the budget

The state budget is a mechanism that allows the state to implement social and economic policies in our country.

Through the state budget, influence is exerted on the formation and use of centralized and decentralized funds of funds.

Budget is a system of education and expenditure of funds that are intended to finance the tasks and functions of the state and local government.

With the help of the state budget, state authorities receive financial resources to maintain the army, state apparatus, etc.

The state budget- this is the financial plan of the state, with the help of which authorities receive a real economic opportunity to exercise power.

At the same time, the budget is a category that is characteristic of various relationships. The emergence and development of the budget is associated with the origin and formation of the state. For the state, the budget is a tool for directly supporting its activities, and at the same time it is an important element for the implementation of social and economic policy.

Budget objectives:

1) redistribution of GDP;

2) financial support of the budgetary sphere and implementation of the state’s social policy;

3) government regulation and economic stimulation;

4) control over the formation and use of centralized funds of funds.

Through the formation and use of centralized funds of funds at the levels of state and territorial authorities, the distribution function of the budget is manifested.

The state, with the help of the state budget, regulates the economic life of the country, economic relations, directing budget funds to the development and restoration of industries and regions. And in connection with this, the state can accelerate or slow down the pace of production, strengthen or weaken the growth of capital and savings, and change the structure of supply and demand.

The redistribution of GDP through the budget has two stages.

1. Generation of budget revenues.

In the process of generating budget revenues, a portion of GDP is withdrawn in favor of the state. In this regard, financial relations between the state and taxpayers arise.

Budget revenues have the sole purpose of generating revenue for budgets at different levels. They are characterized by impersonality and monetary form. Budget revenues can be tax and non-tax in nature. Sources of tax revenue: profit, wages, loan interest, rent, value added, savings, etc.

Non-tax budget revenues are generated as a result of the economic activity of the state or during the redistribution of income already received by the state among the levels of the budget system.

2. Use (expense) of budget funds.

Budget expenses– these are funds that are used to financially support the tasks and functions of the state and local government.

Budget recipients– these are organizations in the production and non-production spheres that can receive and distribute budget funds; they are financed through budget expenditures.

Basically, budget expenses are irrevocable.

Due to budget expenditures, budget funds are redistributed across levels of the budget system through subsidies, budget loans, subventions, etc.

The structure of budget expenditures is established in the budget plan and depends, like budget revenues, on the economic and other situation in the country.

The control function of the budget operates together with the distribution function and makes it possible to exercise mandatory state control over the receipt and use of budget funds.

2. Budget system of the Russian Federation

The budget system is the main link of the state’s financial system and is an integral part of the budget structure.

Budget system- this is a set of budgets of states, administrative-territorial entities, government agencies and funds that are independent in budgetary terms. It is based on legal norms, economic relations and government structure.

The construction of the budget system depends on the form of administrative and governmental structure of the country. All states are divided, depending on the degree of distribution of power between the center and administrative-territorial entities, into: unitary, federal and confederal.

Unitary state– a form of government in which administrative-territorial entities do not have their own statehood and autonomy.

The budget system of a unitary state consists of state and local budgets.

Federal State- this is a system of government in which state entities or administrative-territorial entities included in the state are politically independent within the framework of competencies distributed between the center and them, and have their own statehood. The budget system of a federal state consists of the federal budget, the budget of the federation members and local budgets.

Confederate State is a permanent union of sovereign states pursuing political or military goals. Its budget is formed from contributions to the confederation. The member states of the confederation have their own budget and tax systems.

The budget system consists of budgets of the following levels (Article 10 of the Budget Code of the Russian Federation):

1) the federal budget and the budgets of state extra-budgetary funds;

2) budgets of constituent entities of the Russian Federation (RF) and budgets of territorial state extra-budgetary funds;

3) local budgets, including:

a) budgets of municipal districts, budgets of city districts, budgets of intra-city municipalities of federal cities of Moscow and St. Petersburg;

b) budgets of urban and rural settlements. According to Art. 11 of the Budget Code of the Russian Federation, the federal budget and budgets of state extra-budgetary funds are developed and approved in the form of federal laws, budgets of constituent entities of the Russian Federation and budgets of territorial state extra-budgetary funds are developed and approved in the form of laws of constituent entities of the Russian Federation, local budgets are developed and approved in the form of legal acts of representative bodies of local self-government or in the manner established by the charters of municipalities.

The annual budget is prepared for one financial year, which is equal to a calendar year and lasts from January 1 to December 31.

The state extra-budgetary fund is a fund of funds, formed outside the federal budget and the budgets of the constituent entities of the Russian Federation, intended to implement the constitutional rights of citizens to pensions, social security in case of unemployment, social insurance, health care and medical care. Expenses and income of the state extra-budgetary fund are formed in a certain order, which is established by federal law or provided for by the Budget Code of the Russian Federation.

Each municipality has its own budget.

The budget of a municipal entity, i.e., the local budget is a form of formation and expenditure of funds per financial year intended to fulfill the expenditure obligations of the corresponding municipal entity.

Local budgets, in accordance with the budget classification of the Russian Federation, separately provide for funds allocated for the fulfillment of expenditure obligations of municipalities in connection with the exercise by local governments of powers on issues of local importance, and expenditure obligations of municipalities fulfilled through subventions from budgets of other levels for exercise of certain state powers (Article 14 of the Budget Code of the Russian Federation).

The budget of the municipal district, i.e. the district budget, and the set of budgets of urban and rural settlements that are part of the municipal district form the consolidated budget of the municipal district.

As an integral part of the budgets of urban and rural settlements, estimates of income and expenses of individual settlements and other territories that are not municipalities may be provided.

Each subject of the Russian Federation has its own budget.

The budget of a constituent entity of the Russian Federation, i.e., the regional budget is a form of formation and expenditure of funds per financial year intended to fulfill the expenditure obligations of the corresponding constituent entity of the Russian Federation.

The use by public authorities of the constituent entities of the Russian Federation of other forms of formation and expenditure of funds to fulfill the expenditure obligations of the constituent entities of the Russian Federation is not permitted.

The budgets of the constituent entities of the Russian Federation, in accordance with the budget classification of the Russian Federation, separately provide for funds allocated for the fulfillment of expenditure obligations of the constituent entities of the Russian Federation in connection with the exercise by public authorities of the constituent entities of the Russian Federation of powers in the subjects of jurisdiction of the constituent entities of the Russian Federation and powers in the subjects of joint jurisdiction specified in paragraph 2 and 5 tbsp. 26.3 of the Federal Law of October 6, 1999 No. 184-FZ “On the general principles of the organization of legislative and executive bodies of state power of the constituent entities of the Russian Federation”, and the expenditure obligations of the constituent entities of the Russian Federation, carried out at the expense of subventions from the federal budget.

The budget of a subject of the Russian Federation and the set of budgets of municipalities that are part of a subject of the Russian Federation form the consolidated budget of a subject of the Russian Federation.

In accordance with Art. 16 of the Budget Code of the Russian Federation, the federal budget is a form of formation and expenditure of funds per financial year intended to fulfill the expenditure obligations of the Russian Federation.

The use by federal government bodies of other forms of formation and expenditure of funds intended to fulfill the expenditure obligations of the Russian Federation is not permitted, except in cases established by the Budget Code of the Russian Federation and other federal laws.

The federal budget and the set of budgets of other levels of the budget system of the Russian Federation form the consolidated budget of the Russian Federation.

Target budget fund is a fund of funds formed in accordance with the legislation of the Russian Federation as part of the budget at the expense of income for a special purpose or in the order of targeted deductions from specific types of income or other income and used according to a separate estimate. Funds from the target budget fund cannot be used for purposes that do not correspond to the purpose of the target budget fund (Article 17 of the Budget Code of the Russian Federation).

3. Budget device. Interbudgetary relations

Budget device– these are the organizational principles of building a budget system, its structure, and the interaction of its constituent budgets.

Budget system is the totality of all budgets existing in the country.

The budget structure is determined by the state structure. The budget system in unitary enterprises includes two links: the state budget and local budgets.

In accordance with the Budget Code of the Russian Federation, the budget system of federal states consists of three links: the state budget, the budgets of members of the federation (subjects of the Federation in Russia), local budgets.

The state budget system consists of three links and includes: republican (federal) budget; 21 republican budgets within the Russian Federation, 55 regional and regional budgets, city budgets of Moscow and St. Petersburg, 10 district budgets of autonomous okrugs, the budget of the Jewish Autonomous Region; about 29 thousand local budgets (city, district, township, rural).

The budget structure in the Russian Federation is based on the principles of unity, completeness, reality, transparency and independence of all budgets included in the state budget system.

A complex problem in the budget structure is budgetary federalism, that is, the budgetary relationship between the center and the regions.

Within the framework of interbudgetary relations, all budgets that are part of the budget system of the Russian Federation are interconnected.

Interbudgetary relations are relationships that arise between government bodies of the Russian Federation, government bodies of constituent entities of the Russian Federation and local governments that are associated with the formation and execution of the relevant budgets (Article 6 of the Budget Code of the Russian Federation).

Interbudgetary relations are based on the following principles:

1) distribution and fixation of budget expenditures by levels of the budget system of the Russian Federation;

2) differentiation of regulatory revenues at certain levels of the budget system of the Russian Federation;

3) equality of budgetary rights of constituent entities of the Russian Federation, equality of budgetary rights of municipalities;

4) equality of all budgets in relations with the federal budget, equality of local budgets in relations with budgets of constituent entities of the Russian Federation;

5) equalization of the levels of minimum budgetary provision of the constituent entities of the Russian Federation and municipalities.

To improve interbudgetary relations it is necessary:

1) provide support to the subjects of the Federation in such a way as to leave them incentives to develop their own sources of income;

2) make the scheme for grouping territories into economic regions, taking into account their economic potential and natural conditions, more orderly;

3) introduce an effective mechanism for providing investments to equalize the levels of socio-economic development of regions.

The revenue part of territorial budgets consists of fixed and regulating incomes, subsidies and subventions, as well as credit resources.

Fixed income Revenues that go entirely to the relevant budgets are considered.

Regulatory revenues are funds directed from a higher level of the budget system to a lower budget, exceeding assigned income, to cover its expenses. They are credited to the corresponding budgets based on the percentages established upon approval of the higher budget.

Subsidies– certain amounts of funds transferred from a higher budget to balance lower budgets in case of their deficit.

Subventions– funds transferred from higher budgets to lower budgets to finance strictly targeted activities.

Credit resources– funds transferred as a loan, i.e. they must be returned with or without interest.

In 1994, a new mechanism of interbudgetary relations was introduced, in which the main regulator was the Trust Fund for Financial Support of the Regions. Its funds are distributed to all regions according to a single principle.

The Financial Support Fund for the Subjects of the Federation provides assistance to those subjects whose average per capita budget income for the previous year is lower than the average for the Russian Federation, and the level of their own income and additional funds received from the federal budget is insufficient to finance current expenses.

Regions receiving financial assistance from the federal budget provide the Ministry of Finance of the Russian Federation with planned and actual data on income and expenses of budgets and extra-budgetary funds. This is done for control purposes.

Transfers to the regions are transferred monthly as taxes are actually received into the federal budget, taking into account the share of each region in the Fund for their financial support. However, the procedure for allocating budget allocations to regions for capital investments for the implementation of federal target programs has been preserved.

4. Budgets of the Russian Federation

The federal budget is the first level of the budget system of the Russian Federation.

Federal budget is the main financial plan of the state, which is approved by the Federal Assembly in the form of a federal law. The federal budget is the main means of redistributing national income and gross domestic product. Through the Federal Budget, financial resources are mobilized that are needed to regulate the economic and social development of our country and implement its policies. Its function is to finance national authorities and management, activities that are related to the development of scientific activity in the country, ensuring the defense capability of the state, and training highly qualified specialists for the Russian Federation.

Federal budget funds are the main source for financing economic restructuring, the development of profitable and promising areas in the production sector, and the development of new production complexes.

The federal budget plays a major role in the development of art, media, culture and other spheres of human activity.

The federal budget is allocated with non-tax and tax revenues, revenues from targeted budget funds.

The federal budget revenue item is tax revenue, which includes:

1) federal taxes and fees, list and rates are specified in the tax legislation of the Russian Federation, and the proportions of their redistribution at various levels of the budget system of the Russian Federation are approved by the Federal Law on the Federal Budget for a certain financial year;

2) state duty in accordance with the legislation of the Russian Federation;

3) customs duties, customs fees, etc.

Tax income also includes:

1) income from the use of property owned by the state;

2) income from paid services provided by budgetary institutions;

3) income from the sale of property owned by the state;

4) income from foreign economic activity;

5) income from the sale of state stocks and reserves;

6) profit of the Bank of Russia - according to the standards established by federal laws;

7) part of the profit of unitary enterprises that remains after paying taxes and other obligatory payments. The main source of federal budget revenue (about 76%) is tax revenue. The federal budget receives such types of taxes as: value added tax and excise taxes, amounting to about 40% of total budget revenue, income tax (about 10%), taxes on foreign trade and foreign economic transactions (about 8%) (the main place Among them are import duties). The rest consists of personal income tax, property tax, and payments for the use of natural resources.

Non-tax revenues account for about 12%. This is income from state property, from foreign economic activity, from the sale of property that belongs to the state, from the sale of state reserves.

Revenues from targeted budget funds are about 11% (Federal Environmental Fund, Federal Road Fund, etc.).

In accordance with the legislation of the Russian Federation, the following expenses are financed from the federal budget:

1) ensuring the activities of the President of the Russian Federation, the Central Election Commission of the Russian Federation, the Federal Assembly of the Russian Federation, the Accounts Chamber of the Russian Federation, federal executive bodies and their territorial bodies;

2) national defense and ensuring state security, implementing the conversion of defense industries;

3) functioning of the federal judicial system;

4) carrying out international activities in the general federal interests;

5) fundamental research and promotion of scientific and technological progress;

6) state support for transport: rail, air and sea;

7) state support for nuclear energy;

8) liquidation of consequences of emergency situations and natural disasters on a federal scale;

9) exploration and use of outer space;

11) financial support for constituent entities of the Russian Federation;

12) statistical accounting;

13) formation of federal property; servicing and repaying the government debt of the Russian Federation;

14) compensation to state extra-budgetary funds for the costs of paying state pensions and other social benefits subject to financing from the federal budget;

15) replenishment of state reserves of precious metals and precious stones, state material reserve;

16) holding elections and referendums in the Russian Federation;

17) federal investment program; ensuring the implementation of decisions of federal government bodies that led to an increase in budget expenditures or a decrease in budget revenues of budgets of other levels.

Federal budget funds are used to finance regional and local activities.

The specificity of the federal budget is the financing at its own expense of national expenditures on defense, international activities, and scientific research. The federal budget finances 100% of national expenditures on defense and international activities, 93% on scientific research, 76% on law enforcement, 89% on the prevention and response to emergencies and the consequences of natural disasters.

The federal budget is an instrument for the interregional redistribution of national funds.

Regional budgets– the central link of territorial budgets, which serve to financially support the tasks assigned to the state governing bodies of the constituent entity of the Russian Federation.

The goal of regional authorities is to ensure the development of regions, as well as production and non-production areas in their subordinate territories.

Recently, regionalization of economic and social processes has been observed.

The role of regional budgets is strengthening.

With the help of regional budgets, the state pursues economic policy, equalizing the levels of economic and social development of territories that, due to historical, geographical, military and other conditions, have lagged behind other regions of the country in their economic and social development. Regional programs are being developed, which are financed from regional budgets.

In accordance with the Budget Code of the Russian Federation, revenues of regional budgets are generated from their own and regulatory revenues.

Own income includes the following regional taxes and fees:

1) corporate property tax;

2) real estate tax;

3) road tax;

4) transport tax;

5) sales tax;

6) gambling tax;

7) regional license fees.

Own income includes income from the use of property owned by the constituent entities of the Russian Federation, and income from paid services provided by budgetary institutions under the jurisdiction of government bodies of the constituent entities of the Russian Federation.

Regulatory revenues- these are deductions from federal taxes and fees allocated for crediting to the budgets of constituent entities of the Russian Federation according to the standards determined by the federal law on the federal budget for the next financial year, as well as grants, subventions, subsidies and transfers received from federal budget funds.

The main directions of using regional budget funds:

1) ensuring the functioning of legislative and executive authorities of the constituent entities of the Russian Federation;

2) servicing and repaying the public debt of the constituent entities of the Russian Federation;

3) holding elections and referendums in the constituent entities of the Russian Federation;

4) ensuring the implementation of regional target programs;

5) formation of state property of the constituent entities of the Russian Federation;

6) implementation of international and foreign economic relations of constituent entities of the Russian Federation;

8) ensuring the activities of the media of the constituent entities of the Russian Federation;

9) providing financial assistance to local budgets;

10) ensuring the implementation of certain state powers transferred to the municipal level;

11) compensation for additional expenses arising as a result of decisions made by government bodies of constituent entities of the Russian Federation, leading to an increase in budget expenses or a decrease in budget revenues of local budgets. The first place in expenditures is occupied by allocations for the national economy (industry, construction, agriculture, transport, roads, communications, etc.).

Second place - expenditures on social and cultural events (education, culture and art, social policy) - over 25%; the cost of managing and maintaining law enforcement agencies is approximately 8%.

Local budgets- This is the third level of the budget system of the Russian Federation.

According to Art. 14 of the Budget Code of the Russian Federation, the budget of a municipal formation (local budget) is a form of formation and expenditure of funds intended to support the tasks and functions falling within the jurisdiction of local self-government.

Local self-government is exercised by the population itself through freely elected representative bodies. To perform the functions assigned to local representative and executive bodies, they are endowed with certain property and financial and budgetary rights.

Local budgets are one of the main channels for communicating the final results of production to the population. Through them, public consumption funds are distributed among individual groups of the population, from which the development of industries in the production sector is financed (local and food industries, utilities, volume of products and services).

Local budgets perform the following functions:

1) form monetary funds, which are financial support for the activities of local authorities;

2) distribute and use these funds between sectors of the economy;

3) control the financial and economic activities of enterprises and institutions that are subordinate to these authorities.

Local budgets are of great importance in the implementation of national economic and social tasks, since they distribute public funds for the maintenance and development of the social infrastructure of society.

Own incomes are not the main source of local budgets.

The composition of local budgets’ own revenues includes:

1) local taxes and fees:

a) land tax;

b) tax on property of individuals;

d) inheritance or gift tax;

e) local license fees;

2) income from privatization, including:

a) income from the privatization of state and municipal property;

b) income from the sale of land;

c) income from the sale of apartments to citizens;

3) funds from compulsory health insurance, funds from extra-budgetary and industry funds.

The main regulating revenues of local budgets include deductions:

1) from value added tax;

2) from excise taxes;

3) from corporate income tax;

4) from personal income tax.

Functional expenses are financed from local budgets, which include expenses for:

2) formation of municipal property and its management;

3) organization, maintenance and development of educational, health, and cultural institutions;

4) the media, other institutions owned by municipal property;

6) organization, maintenance and development of municipal housing and communal services;

8) organization of transport services for the population and institutions that are in municipal ownership or under the jurisdiction of local government bodies;

9) protection of the natural environment in the territories of municipalities;

10) servicing and repayment of municipal debt;

11) targeted subsidies to the population;

12) holding municipal elections and local referendums.

The main direction of using local budget funds is to cover expenses related to human life support (expenses for social and cultural events and housing and communal services).

The structure of expenditures of individual types of local budgets is not the same.

One of the main directions for using financial resources should be financing the development of the local production base as the basis for generating own income in the future.

In accordance with Article 6 of the BC RF, consolidated budget is a set of budgets of all levels, which includes the federal budget and the consolidated budgets of the constituent entities of the Russian Federation. The consolidated budget of a constituent entity of the Russian Federation includes the regional budget, i.e., the budget of a constituent entity of the Russian Federation, and local budgets.

The term “consolidated budget” was also included in the Law of the RSFSR “On the Fundamentals of the Budgetary Structure and Budgetary Process of the RSFSR” dated October 10, 1991 in connection with the abolition of the State Budget of the Russian Federation, which included all parts of the Russian budget system. The above law is currently not in effect.

Budget planning uses indicators from consolidated budgets. The volumes of consolidated budgets for administrative-territorial transformations are taken into account when determining the size of subsidies and the amount of standard deductions from regulatory taxes to the budgets of constituent entities of the Russian Federation.

The role of consolidated indicators is important when analyzing the formation and use of the country's centralized financial fund.

Consolidated financial planning is impossible without calculating indicators of consolidated budgets. Indicators of the consolidated financial balance of the state and territorial consolidated financial balances are taken from the consolidated budgets. The revenue side of the balance sheet uses the following data: value added tax and excise taxes, property tax, income tax, foreign trade taxes, budget trust funds, etc.

The expenditure part includes: expenses for social and cultural events, which are financed from the budget, expenses for public investments, state subsidies, expenses for science from the budget, for defense, expenses for the maintenance of law enforcement agencies, authorities, prosecutorial courts, etc.

Consolidated budget indicators play a big role in long-term planning in general and long-term financial planning in particular. Financial indicators, which are based on indicators of consolidated budgets, are used in developing forecasts for the economic and social development of the state and territories.

Indicators of consolidated budgets are used in calculations that characterize various types of security for the residents of the country and its territories.

5. Principles of the budget system of the Russian Federation

The budget system of the Russian Federation, according to the Budget Code of the Russian Federation, is based on the principles:

1) the principle of unity of the budget system of the Russian Federation is the unity of the budget legislation of the Russian Federation, forms of budget documentation and reporting, principles of organization and functioning of the budget system, budget classification of the budget system of the Russian Federation, sanctions for violation of budget legislation, a unified procedure for establishing and fulfilling expenditure obligations, generating revenues and carrying out expenditures of the budgets of the budgetary system of the Russian Federation, maintaining budget accounting and reporting of the budgets of the budgetary system of the Russian Federation and budgetary institutions, unity of the procedure for the execution of judicial acts on foreclosure on funds from the budgets of the budgetary system of the Russian Federation;

2) the principle of separating income and expenses between budgets of different levels - this is the assignment, in accordance with the legislation of the Russian Federation, of income and expenses to the budgets of the budget system of the Russian Federation, the determination of the powers of public authorities to generate income, establish and fulfill expenditure obligations;

3) the principle of budget independence means:

a) the right and obligation of state authorities and local self-government bodies to independently ensure balanced budgets and the efficient use of budget funds;

b) the right and obligation of state authorities and local governments to independently carry out the budget process;

c) the right of state authorities and local governments to establish taxes and fees to be credited to the budgets of the corresponding level of the budget system of the Russian Federation;

d) the right of state authorities and local governments to independently determine the forms and directions of spending budget funds;

e) the inadmissibility of establishing expenditure obligations that must be fulfilled simultaneously at the expense of the budgets of two or more levels of the budget system of the Russian Federation, or at the expense of consolidated budgets, or without defining the budget at the expense of which the corresponding expenditure obligations must be fulfilled;

f) the inadmissibility of direct fulfillment of expenditure obligations of state authorities and local governments at the expense of funds from budgets of other levels;

g) the inadmissibility of the implementation during the financial year by public authorities of decisions and changes in budget legislation and legislation on taxes and fees, which will lead to an increase in expenses and a decrease in revenues of budgets of other levels without amending the laws on the relevant budgets, providing for compensation for the increase in expenses, decrease in income;

h) the inadmissibility of the withdrawal of additional income during the year, savings on budget expenditures obtained as a result of the effective execution of budgets;

3) the principle of equality of budgetary rights of the constituent entities of the Russian Federation, municipalities - this is the determination of the budgetary powers of public authorities of the constituent entities of the Russian Federation and local governments, the establishment and execution of expenditure obligations, the formation of tax and non-tax revenues of the budgets of the constituent entities of the Russian Federation and local budgets, the determination of the volume, forms and order providing interbudgetary transfers in accordance with the uniform principles and requirements established by the Budget Code of the Russian Federation;

4) the principle of completeness of reflection of income and expenses of budgets, budgets of state extra-budgetary funds means that all income and expenses of budgets, budgets of state extra-budgetary funds and other mandatory revenues determined by the tax and budget legislation of the Russian Federation, laws on state extra-budgetary funds are subject to reflection in budgets, budgets of state extra-budgetary funds without fail and in full. All state and municipal expenses are subject to financing from budget funds, funds from state extra-budgetary funds accumulated in the budget system of the Russian Federation;

5) the principle of budget balance means that the volume of budgeted expenditures must correspond to the total volume of budget revenues and receipts from sources of financing its deficit.

When drawing up, approving and executing the budget, authorized bodies must proceed from the need to minimize the size of the budget deficit;

6) the principle of efficiency and economy in the use of budgetary funds means that when drawing up and executing budgets, authorized bodies and recipients of budgetary funds must proceed from the need to achieve specified results using the least amount of funds or achieve the best result using the amount of funds determined by the budget;

7) the principle of total coverage of expenses means that all budget expenses must be covered by the total amount of budget revenues and receipts from sources of financing its deficit.

Budget revenues and receipts from sources of financing its deficit cannot be linked to certain budget expenses, with the exception of income from targeted budget funds, funds from targeted foreign loans, as well as in the case of centralization of funds from the budgets of other levels of the budget system of the Russian Federation;

8) the principle of transparency means:

a) mandatory publication in the open press of approved budgets and reports on their execution, complete presentation of information on the progress of budget execution, as well as the availability of other information by decision of legislative bodies of state power and local government bodies;

b) mandatory openness to society and the media of procedures for considering and making decisions on draft budgets, including on issues that cause disagreement either within the legislative body of state power, or between the legislative and executive bodies of state power;

9) the principle of budget reliability is the reliability of forecast indicators for the socio-economic development of the relevant territory and the realistic calculation of budget revenues and expenses;

10) the principle of targeting and targeted nature of budget funds means that budget funds are allocated at the disposal of specific recipients of budget funds with the designation of their direction to finance specific goals. Any actions leading to violation of targeting are a violation of the budget legislation of the Russian Federation.

This text is an introductory fragment.

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