Financial control is a stage of verification that helps to identify irregularities in the implementation of financial activities. Such functions are carried out at the legislative and executive levels. The state checks the work of various enterprises and organizations for legality. Objects of financial control should be implemented on the basis of legal norms.
Tasks
The main function of regulatory authorities is to ensure that the allocated funds are used for their intended purpose. Indeed, for the implementation of social programs aimed at the development of regions, an amount is allocated from the budget with the help of which it is necessary to fulfill the requirements set by the authorities. Failure to comply may result in liability. Basically, for the spending of budgetary funds for personal needs for managers comes a criminal impact. Such actions directly violate the laws of the country and the rights of citizens living in it. The officials are closely monitored to ensure that they fulfill their obligations and comply with their positions.
Budget resources
The objects of financial control are material relations, which are designed to ensure the interests of not only the state, but also various business entities. Objects can be called the process of redistribution and formation, as well as the subsequent use of material resources. That is, the work of the authorities is to have enough funds for the implementation of programs. Therefore, if the amount has been allocated, then this fact obliges to put into action the planned projects.
The object and subject of financial control are characterized as indicators of cost and profitability. Financial audits are carried out in relation to various areas, as well as various operations that are carried out with the participation of budget funds.
Performance of duties
Subjects are citizens and authorities with their rights and obligations. This may include:
- enterprises;
- governing bodies;
- economic services;
- taxpayers.
Surveillance Forms
There are various measures of a controlling nature:
- checks;
- polls
- supervision;
- the financial analysis;
- monitoring
The most common ways in which subjects and objects of financial control are checked are through inspections and audits.
Such control occurs with the study of various issues related to economic activity. The work of enterprises for certain reporting periods is analyzed. To identify violations committed in relation to financial discipline, as well as to take the necessary measures aimed at eliminating illegal actions.
It turns out that a comprehensive audit of the activities of organizations is carried out in accordance with all the requirements of the designated program. Through verification, the main tasks, significant issues, objects of financial control, which are subject to careful study, are determined.
Check
Such events are carried out to determine the significance, validity, cost-effectiveness of committed budget operations, verify compliance with financial discipline and data reliability. Upon completion of the control measures, an act of documentary inspection of the facility is drawn up, which reflects the identified shortcomings in financial and economic activities, and also determines the liability for violation of discipline and measures to prevent such violations in the future.It also mobilizes internal resources so that the base and objects of financial control are taken into account.
Kinds
Financial control can be divided into some types. For example, depending on the time criteria when the check occurs:
- Preliminary. This is a control that is carried out before various operations. For example, the distribution and use of allocated budget funds. This kind of control is important to prevent future financial irregularities.
- Operational. Type of audit, which is aimed at examining the objects of financial control and obtaining information about ongoing cash transactions. That is, the supervisory authority collects data on whether certain amounts have been received by the administrative authority or not, because a special period is given for the implementation of the social program during which it is necessary to provide the results of the work.
- The final one. Verification is carried out after the operation is completed. That is, when the funds reach the administrative authority that was indicated as the recipient.
State supervision
Objects of state financial control are checked with the help of federal authorities, as well as the executive branch, which includes authorized persons. For the development of financial control, the implementation of laws is very important. Such verification is aimed at identifying the feasibility of using public funds. The main goal is to prevent violations of financial activities.
In addition, supervision is exercised over the circulation of money and the activities of various extrabudgetary funds. Also check the subjects and objects of financial control. It turns out that the state of internal and external debt and state reserves is being checked. The financial control system includes:
- Accounting Council of the Russian Federation;
- Central bank;
- Ministry of Finance.
The Federal Supervision Service, as well as the financial monitoring service, are also involved in this process.
In addition, the object of municipal financial control can be checked by conducting an audit, which should be carried out at least once a year. Government bodies monitor various organizations to identify and eliminate violations.
Unscheduled
This type of verification is carried out in various departments, as well as in departments. The control inspection is part of the Ministry of Internal Affairs and carries out certain audits that are necessary to check the objects of financial and economic control and establish information regarding the budget for the current year. In the future, these activities are carried out every year. In accordance with the rules of the authorities, scheduled inspections are carried out, the period of which should not exceed 35 days. The audit can be extended, but such actions can be carried out only with the consent of the head who appointed the audit.
The purpose of unscheduled inspections are:
- identify cases of theft of funds;
- create measures that will help eliminate violations;
- make the necessary decisions.
Audit
This type of control is carried out regularly. An audit can be called an activity that is carried out by entrepreneurs engaged in non-departmental activities. Such audit organizations study tax reporting and payment documents, as their functions include establishing the relevance of information. Activities can be carried out together with financial departments. Audits that have passed certification can work independently, providing private services, because as an entrepreneur they become subjects of ongoing activities.
They must also have a license that will allow them to carry out their work. The availability of such a document is an important factor.Typically, the Central Bank of the Russian Federation issues such documentation. But sometimes the Ministry of Finance can also issue documents. The audit firm can choose the objects of financial control and begin work aimed at establishing the status of the transferred funds.
Banking control
Such events are very important in carrying out audit activities. Without this type of verification, it is difficult to establish reliable information. Objects of internal financial control are checked with the help of banks or other organizations that can issue cash. The receipt of funds is controlled during the operation itself. Such measures are aimed at making payment discipline more stable.
Economic
The objects of financial control are enterprises, as well as economic activity in general. Measures are taken in order to make the activities of such enterprises better, because their work must be completely transparent to the inspection bodies if they want to carry out the work without establishing sanctions against them.
Objectives of Financial Supervision
The implementation of inspections is a very important mechanism for regulating monetary relations, because such measures make the financial system understandable and legal. When violations are identified, responsibility arises and the violating organization cannot carry out activities. Therefore, for various enterprises it is very important not to violate the established rules of the state body. Thus, the objectives of control are:
- legislative development;
- identification of violations;
- imposition of sanctions for illegal actions.
Various departments for financial control also have the right to perform such duties, because they are directly related to economic activity. Their professional interests include establishing a legal order for transferring funds, since transparency of cash flow directly helps to fight corruption.
Currently, the presence of this fact is a big problem. Supervisory authorities carry out inspections of many organizations and enterprises. They are designed to reduce the growth of corruption schemes in the country. This is very important, since the transfer of funds not for state purposes causes great damage not only to citizens, but also to the state as a whole.
If a social program is to be implemented, then with the theft of funds its implementation becomes impossible. Taxpayers also suffer from such illegal activities. It turns out that citizens pay money, and the standard of living does not improve. Supervisory authorities perform a very important function that helps implement social programs that will make people's lives better and more secure.
That is why many departments and departments have the right to engage in control in the field of finance, in addition to the Ministry. Together, their work brings positive changes.
Ministry of Finance
The Ministry of Finance is an important entity that exercises control over material relations. This structure controls the financial market for the current period of time, and also coordinates the work of the services under its management. In carrying out such measures, the state body relies on a set of laws, as well as on constitutional legal acts, since the information contained in them helps to make the right decision that will be consistent with the law.
A public authority carries out activities together with other departments that are responsible for the work of business organizations. The fact that a sufficient number of state bodies is entitled to carry out inspections plays an important role.Such activities are aimed at improving people's lives so that the country's money is not spent on the personal appointment of various leaders, but rather, spent on specific government projects.
The article examined the main objects of state municipal financial control, as well as various mechanisms and methods for its implementation. Such supervision helps identify enterprises and organizations illegally conducting their activities. It is very important to understand which authorities have the right to make decisions in this area. Compliance with the law of financial relations is the main goal of regulatory authorities in the performance of duties. Knowing how they conduct their work, one can conduct activities without any fear. If material relations are built on the rule of law, then no one can apply sanctions.