Budget balance. Budget revenues and expenses

The budget structure of the Russian Federation includes a complex of financial systems at various levels, which is based on socio-economic interactions and industry legislation. The functioning of this institution is connected with the solution of a number of issues. One of them is the problem of a balanced budget.

Operation basics

Budgeting is carried out through the following activities:

1. Creating a profitable part.
2. Distribution of funds by system level.
3. Balancing costly and profitable share.
4. The distribution of funds according to the needs of all levels.

The budget structure includes financial systems:

1. Federal level and state additional funds.
2. Subjects and territorial state. sources.
3. Municipalities.

Since 2001, state health and social insurance funds have been consolidating into the budget system and federal finances. Only the FIU functions autonomously.

Industry legislation

Budgeting is carried out according to the criteria laid down in Art. 28 BC. These include, in particular:

1. Unity of the system. This means that the legal framework and forms of documentation at all levels are the same.
2. Costs and budget revenues are delineated between the links in the system.
3. Independence Institute.
4. The principle of a balanced budget.
5. Publicity - openness of access to adopted industry laws.
6. Reliability - the realism and reliability of the calculation of articles.

Specific values ​​for the distribution of funds are established each year by laws regulating the concentration and distribution of finances at the federal and regional (republican) levels.

The principle of balanced budget

It acts as one of the key parameters used in the construction of the system. Its essence lies in the state of the institution in which the costs and budget revenues are balanced. The main task is to achieve equality of their values ​​or maximum proximity to each other. A balanced budget is considered the normal state of financial activity.

Possible deviations

In the case when budget revenues are higher than costs, a state of surplus arises. In other words, the system balance is positive. However, in practice most often a different situation arises - budget expenditures exceed profits. In these cases, there is a deficit or a negative balance. You can balance these items by increasing profits or reducing budget expenditures.

Deficit

A negative balance can be due to various reasons. In some cases, the state deliberately widens the deficit. This is done to stimulate economic activity and aggregate demand during a recession. In such periods, the government makes special decisions, the implementation of which is aimed at increasing the level of employment or reducing taxes. As a result, costs increase and profits decrease, which leads to a deficit. Such a negative balance is called structural. There is also a cyclical deficit. It is not so much affected by taxes in the budget. Such a deficit is caused by a general decrease in production occurring in times of crisis, and acts as a result of cyclical economic development. In addition, passive and active deficiency is distinguished.The latter is created when costs exceed profits, and the first - when lowering tax rates and other deductions, which, in turn, is the result of a decrease in economic growth, underpayments and other things.

The balance of articles

The principle of balance allows you to approximate the values ​​of costs and profits, even with a deficit. If the costs are very high, and the available funds do not cover them, then the financial plan cannot be executed. An unbalanced budget is unrealistic initially. The imbalance of the articles makes it fictitious. Forming a financial plan with a surplus is also undesirable.

This is due to the fact that in this case there is an overestimated burden on the economy and a decrease in the overall efficiency of the distribution and use of funds. Thus, the balance of the budget comes as a mandatory requirement in the process of creating a financial plan. Due to it, the normal functioning of state authorities is carried out at all levels. If even a small part is unbalanced, there will be a delay in financing municipal and state orders, and failures in the estimated system. As a result, non-payments appear in the national economic sector.

Balancing the budget

The best option is to develop a non-deficit financial plan. It contains the amount of expenses, including deductions for repayment and servicing public debt less profit margin. If the deficit cannot be avoided even with the full use of conventional sources of financing, you have to resort to borrowing in various forms. A balanced budget can be achieved in many ways. Some methods are used in the direct preparation of the financial plan, others in the process of its implementation. Among the most common means of the first group, the following can be distinguished:

1. Limiting costs taking into account socio-economic opportunities and the volume of centralized profits.
2. Improving the system of distribution of income between budgets at different levels, adequate establishment of authority on costs.
3. Identification and mobilization of stocks of profit growth.
4. Creating an effective system for regulating the movement of finances and providing assistance in the framework of intergovernmental relations.
5. A reduction in the size of the public sector in the economy based on the privatization of state property within reasonable limits.
6. Planning of cost areas that favorably affect profit growth and at the same time contribute to the solution of the socio-economic problems facing society, with minimal costs with maximum income.
7. The use of the most promising forms of borrowing, allowing the real flow of finance from the markets.
8. The introduction of austerity by eliminating unnecessary costs that are not caused by extreme necessity.

Measures in the execution of the financial plan

Budget balance can be achieved by the following methods:

1. The introduction of a cost authorization procedure.
2. Strict observance of the accepted limits of financial obligations aimed at actually attracted profit.
3. Establishing optimal timing for the implementation of costs.
4. Using a mechanism to reduce and block costs.
5. Improving the financing system on the basis of the gradual cessation of subsidies to existing enterprises and the introduction of absolute property liability of business entities for the fulfillment of their obligations to partners and the state.
6. Mobilization of additional sources of profit growth.
7. Consistent financial supervision of efficient, economical and targeted spending of funds.
8. Assisting other budgets, using reserves and so on.

Annual balancing

In economic theory, several concepts of balance are considered.In accordance with one point of view, the financial plan should be balanced annually. Such a concept was widespread in most developed countries until the 30s of the 20th century. According to proponents of this theory, the annual balance of the budget allows governments to implement more responsible policies. The state operates on available funds, does not accumulate loans, does not provoke inflation.

With reduced profits, the government needs to either raise taxes or reduce costs. In case of its increase, the state should act in the exact opposite. It should be noted, however, that the desire to fight the deficit by all means without making borrowings can cause negative consequences for the economic system in any country. Today, in practice, this concept is used by a limited number of countries with economies in transition and developing.

Loop alignment

The theoretical foundations of this concept were laid by Keynes. Thus, the annual budget balance was rejected, deficits were actually legalized to stimulate the economic system. The essence of this theory is that during a recession, the state should increase costs. In this case, tax deductions should be reduced. In this case, a deficit in the financial system is inevitable. During the stage of recovery, the state, raising tax rates, pays off with existing debts. As a result, by the end of the cycle, the financial system is balanced. This concept means that the state is conducting a countercyclical impact while striving for a balanced budget. In this theory, "built-in stabilizers" are of great importance. These include:

1. Progressive tax system.
2. Transfer government payments (social security contributions, disability benefits, etc.).

When using them, the volume of aggregate demand may increase or decrease automatically, depending on phases of the business cycle and in the opposite direction of the conjuncture movement. This concept, however, has a significant drawback. It does not take into account differences in the depth and duration of ups and downs. These indicators are extremely problematic to predict.

The concept of "secondary"

According to the third concept, a balanced budget is impossible and not needed. If we take into account that in modern conditions there are stable factors that increase the deficit, then we should more fully use government loans as a legitimate source of profit. It is such a loan, according to the proponents of the concept, that can not only compensate for the difference in income and expenses, but also attract an additional part of savings with its subsequent investment in the economy. Adherents of this idea see the main state task in stimulating economic growth. Its implementation may be accompanied by a positive (stable) budget balance and a stable deficit. Such a situation, for example, is characteristic of the financial system of the USA and some European countries.

The financial situation in Russia

According to the current Budget Code, the State Duma can only accept a balanced financial plan. In this regard, a deficit should be present along with profitable articles. It acts as a balancing link. At the same time, a special article is highlighted in the cost part, which regulates deductions for servicing and repayment of state loans. If a surplus is detected in the budget system, it is necessary:

1. Reduce the attraction of profit from the sale of municipal or state property.
2. Reduce tax profits.
3. Plan the allocation of funds to pay off debt obligations.
4. To increase budget expenditures, including by transferring part of the profit to financial systems of other levels.

Sources of funds

When adopting a deficit budget for the coming year, in accordance with the BC, funding reserves should be determined. Sources of funds vary depending on the level of the system. For the federal budget, they are:

1. Profit from the sale of state reserves of precious metals and stones.
2. Loans received in rubles.
3. Government loans sold by the issuance of securities.
4. Profit from the sale of shares of organizations.
5. Low cost loans which are received from financial systems of other levels.
6. Profit from the sale of state property.
7. Revenues from privatization of state-owned organizations.

These sources are considered internal. Funds can come from external sources:

1. Government loans carried out in foreign currency by issuing securities on behalf of the Russian Federation.
2. Loans from foreign governments, firms and banks, international financial organizations provided in foreign money.

Conclusion

Today, a balanced budget needs to be ensured at all levels of financial management. All efforts and professionalism of employees of the relevant authorities should be directed towards the realization of this task. Of particular importance in modern conditions are the stability of the financial system and the responsibility of state institutions for its support.