scholarly journals INFLUENCE OF DECENTRALIZATION ON STRUCTURE AND DYNAMICS OF INCOME AND EXPENDITURES OF LOCAL BUDGETS

2018 ◽  
pp. 20-31
Author(s):  
Anna MARCHUK
Keyword(s):  
Structural Changes ◽  
Public Services ◽  
Fiscal Decentralization ◽  
Local Level ◽  
Structure And Dynamics ◽  
Tax Revenues ◽  
Local Budget ◽  
Decentralization Reform ◽  
The Impact ◽  
Strategic Goal

Introduction.The objective reason for the existence of an institution of local budgets is an increase in the efficiency of the provision of public services guaranteed by the state due to the proximity of such services to the immediate consumer. This process is based on the principle of subsidiarity, requires a sufficient level of financial security of local budgets and demonstrates the basic idea of the concept of fiscal decentralization. The decentralization reform is systematic and involves structural changes in various spheres of public life. The object of research of this article is the impact of changes in tax and budget laws aimed at decentralization on structure and dynamics of income and expenditures of local budgets. Purpose.The purpose of the article is to identify trends, priorities and unresolved issues in financing local budget expenditures, compare dynamics of expenditures with dynamics and structural changes in local budget revenues. Results. In the course of the research, the expenditures and revenues of local budgets of Ternopil region during 2004-2017 were analysed, comparison with trends in Ukraine was made. It has been established that due to slowed down economic growth and a systematic decrease in the share of own revenues in recent years, the amount of funding for institutions and activities in the social and cultural sphere has been reduced and the transfer of important functions to the local level was not accompanied by the transfer of sufficient amount of financial resources. Conclusions.The strategic goal of decentralization is to ensure the availability and proper quality of public services for all categories of the population. The decentralized budget system should function on the basis of a coordinated, unified national cooperation policy for many independent institutions, each of which has a legislatively defined sphere of autonomy. Since tax revenues form the main volume of own revenues of local budgets, the issue of improving the efficiency of tax administration comes to the forefront in the context of decentralization changes. Therefore, on the way to ensuring the increase of tax revenues, the strategic goal of local authorities should be to promote economic development of regions.

scholarly journals An Overview of the Fiscal Decentralization in the Context of the State and Local Taxes in Ukraine

2021 ◽  
Vol 1 (516) ◽  
pp. 251-257
Author(s):  
T. V. Ponomarova ◽  
◽  
M. A. Komlieva ◽  
Keyword(s):  
Fiscal Decentralization ◽  
Local Level ◽  
State Level ◽  
The State ◽  
Local Taxes ◽  
Tax Revenues ◽  
State And Local ◽  
Legislative Changes ◽  
Decentralization Reform ◽  
The Impact

One of the key elements of the analysis of the efficiency of reforms at the State level is the effectiveness and a shift in quantitative indicators of the relevant statistical categories. In Ukraine, the period after 2014 is considered to be the time of legislative changes and reforms. Among them, according to experts and politicians, the most successful is the decentralization reform. Its implementation is based primarily on changes in the taxation system both at the national and local levels. Accordingly, the main indicator of achieving the goals of fiscal decentralization can be considered changes in the structure of tax redistribution between the local and the State budgets. This article provides an assessment of the level and dynamics of the main types of taxes as to their proportion between different levels of fiscal centralization. In the course of the research, a comparative analysis of rates and monetary measurement of both the national and local taxes and fees was carried out. The authors account tax revenues in a geographical context and during the last eight years, which allows assessing the impact of the reform on the amount of taxes collected, identifying the leading regions, as well as tracking the taxation trends. As a result of the research, it is found out that fiscal decentralization since the beginning of its implementation has been a significant factor in the growth of tax revenues in local budgets. Nevertheless, personal income tax prevails among fiscal fillers of budgets at the local level, so the problems of unemployment and lack of jobs in times of coronavirus crisis pose a challenge for the financial security of territorial communities. Further research on the topic is considered promising given the effectiveness of combining the benefits of fiscal decentralization with the relevant instruments of the State support to increase the local budget funds.

scholarly journals Tax decentralization in Ukraine: problems and prospects

2020 ◽  
pp. 24-28
Author(s):  
Liubov PETYK ◽  
Andrii PETROVYCH ◽  
Ivanna PEDCHENKO
Keyword(s):  
Income Tax ◽  
Intergovernmental Relations ◽  
Fiscal Decentralization ◽  
Theoretical Concept ◽  
Intergovernmental Transfers ◽  
Tax Revenues ◽  
Budget Policy ◽  
Local Budget ◽  
Legislative Changes ◽  
Decentralization Reform

The paper examines the essence of the concept of “tax (fiscal) decentralization” according to different views of domestic and foreign scholars. The theoretical concept of tax (fiscal) decentralization is analyzed and defined. The stages of the legislative basis for tax decentralization reform in Ukraine are studied, in particular, the norms of the Law “On Amendments to the Budget Code of Ukraine on Reform of Intergovernmental Relations” and “The Concept of Reforming Local Self-Government and Territorial Organization of Power” are considered and analyzed. It is determined what types and amounts of tax revenues go to local budgets according to the introduced legislative changes. The dynamics of own revenues of local budgets during 2014–2019 is studied and the diagram is constructed. The dynamics and structure of tax revenues to local budgets by types of taxes during the period of decentralization reform in Ukraine are considered. Revenues for such types of taxes as income tax, state duty, environmental tax, domestic taxes, local taxes, personal income tax and the general dynamics of tax revenues were studied. The dynamics of revenues to the consolidated budget of Ukraine is studied. The dynamics of the share of local budget revenues in the consolidated budget revenues of Ukraine is calculated and analyzed. A comparison of local budget revenues and intergovernmental transfers during the period of decentralization reform was made. As a result, the lack of orientation of the country's budget policy to the policy of fiscal decentralization was confirmed. The problems of tax decentralization have been identified, among which the main problem is the lack of orientation of the country's budget policy to the policy of fiscal decentralization. Measures to improve the process of tax decentralization in Ukraine have also been proposed, among which the development of such measures that would allow local budgets to receive both additional tax opportunities and optimize expenditures is a priority.

scholarly journals Tax decentralization under local government reform conditions

2020 ◽  
Vol 66 (5) ◽  
pp. 93-104
Author(s):  
G. Isanshyna ◽  
O. Dubynska
Keyword(s):  
Local Governments ◽  
Income Tax ◽  
Shadow Economy ◽  
Fiscal Decentralization ◽  
Personal Income ◽  
Personal Income Tax ◽  
Practical Result ◽  
Local Budget ◽  
Decentralization Reform ◽  
The Impact

The primary objective of the paper is to investigate the main directions of decentralization reform, trends in local budget revenues in Ukraine, to assess the impact of decentralization reform on the structure and composition of local budgets financial resources, to identify the ways of their optimization. The main components of decentralization reform, the main practical results of territorial and fiscal decentralization in Ukraine are formulated in this paper. Analysis of the development of voluntary territorial communities association in the country during the last five years is carried out. The principles of public administration and the development of normative regulation of local self-government, voluntary association of territorial communities and their cooperation are investigated. It is determined that the practical result of administrative-territorial decentralization is to ensure the creation of new capable territorial entities – united territorial communities. The practical result of tax decentralization is the increase of financial capacity of the united territorial communities. The dynamics of the share of local taxes and fees in own revenues of the general local budgets fund is considered, special attention is paid to such national tax as personal income tax. The dependence of local budgets on transfers from the state budget is noted. And all this on the basis of achievement the ratio of state and local budget revenues of most EU countries is 50:50. The directions of reducing the risk of financial unreliability of local governments under COVID-19 conditions are determined. The difficulties of tax administration of large taxpayers; the main factors determining the size of the shadow economy in the country are investigated. There is no direct relationship between the level of taxation in Ukraine and the level shadow economy. The assessment of the extent of concealment and incomplete reporting of domestic businesses according to the survey in the framework of the SHADOW project is made. The consequences of increasing shadow economy share in the country are determined. The experience of several European countries in personal income taxation is studied, the peculiarities of granting the right to apply the social tax benefit from the personal income tax is determined. Recommendations for optimizing the taxation of individuals in terms of taxation of dividends are provided in this paper.

scholarly journals APPLICATION OF THE PRINCIPLES OF GENDER EQUALITY IN THE PLANNING OF BUDGET EXPENDITURE AND INCOME IN UKRAINE

2021 ◽  
Author(s):  
Iryna Pryimak ◽  
Iryna Muntian
Keyword(s):  
Financial Management ◽  
Budget Process ◽  
Internally Displaced ◽  
Tax Revenues ◽  
Budget Analysis ◽  
Budget Policy ◽  
Financial Management System ◽  
Local Budget ◽  
And Gender ◽  
The Impact

The article clarifies the essence and benefits of gender-oriented budgeting. The problem of lack of legislative consolidation of the use of GOB in the budget process is considered, which is one of the main reasons for slowing down the process of implementation of this method and approval of methods for its implementation. Indicators of gender statistics, in particular the city of Lviv, such as the structure of the permanent population by gender, unemployment rate by age and gender, mortality rates by cause and gender, social groups of internally displaced persons (IDPs) and the problems they most often face depending on gender are analyzed. It was found that the situation of women in most areas is worse than men, and in modern conditions during the pandemic situation only gets worse. Given recent world events, the need for a public financial management system that takes into account the impact of gender measures to overcome the coronavirus pandemic is justified. A correlation analysis of gender impact on tax revenues of budgets on the basis of indicators that directly affect tax revenues to budgets by gender such as the average monthly wages of women and men in Ukraine for the period 2012-2019, as well as the number of women and men PE and their income for the period 2016 - 2020 has been conducted. The reasons for the reported results of the analysis are substantiated and explained, taking into account all possible factors. It is clear how the closure of “sleeping” private enterpreneurs, which has been observed since 2016, has affected the indicator of the total number of private enterpreneurs and their income indicators, which directly affect tax revenues to local budgets. The influence of these indicators on the formation of revenue and expenditure components of the budget based on the results of their statistical and correlation analyzes is estimated. The article confirms the opinion that the results of gender budget analysis help to make decisions on the directions of budget policy and development of industries in the future, taking into account the needs of men and women from different groups. As a result, it makes it possible to eliminate inequality in access to services financed from the local budget in the indicated areas.

scholarly journals Export Potential of the National Economy: Opportunities and Limitations

2020 ◽  
pp. 103-116
Author(s):  
Evgeniy A. Gorin ◽  
Aleksandr A. Zolotarev
Keyword(s):  
Russian Federation ◽  
National Economy ◽  
Structural Changes ◽  
North West ◽  
Industrial Enterprises ◽  
Structure And Dynamics ◽  
Production Factors ◽  
The Russian Federation ◽  
The Impact ◽  
Innovation Processes

Authors consider export opportunities and the structure and dynamics of industrial export and import in the Russian Federation, Northwest Russia and St. Petersburg. The article studies structural changes in sectors of St. Petersburg economy resulting from ongoing innovation processes and their impact on export potential. It provides the results of assessing the impact of organizational, economic and production factors on export opportunities of various economic entities. Export opportunities, structure and dynamics of export and import of industrial products in the Russian Federation, the North-West region and St. Petersburg are considered. Volume of exports, imports and trade turnover in Russia in 2019, as well as the dynamics of changes in recent years are discussed. In the structure of Russia's exports in recent years, the bulk of supplies (60%) were mineral products, imports the main share of exports (over 40%) occurred in the machinery, equipment and vehicles. The high needs of the national market and the significant export potential of Russian enterprises engaged in the production of medicines and modern medical equipment are noted, which makes it possible to make a real contribution to solving important social problems and developing the national economy. The structure of exports and imports of North-West Federal district and St. Petersburg by major commodity groups, there is a saving in purchases of imported equipment combined with constant growth of exports of fuel and energy products are discussed. Structural changes in the economic sectors of St. Petersburg as a result of ongoing innovation processes and their impact on export potential are studied. The results of the assessment of the impact of organizational, economic and production factors on the export opportunities of various economic entities are presented. It is revealed that for industrial enterprises, the quality and cost of components becomes a problematic factor that hinders their development both in improving the product range and in their own technological modernization. For small and medium-sized businesses in industrial production, problems related to timely receipt of high-quality materials and products of the element base from suppliers and related companies, in most cases located abroad, are added. The role of the “Russian export center” as a state institute for supporting non-commodity exports and facilitating export operations was noted.

scholarly journals An integrated approach to assessing the level of fiscal policy decentralization

2020 ◽  
Vol 17 (1) ◽  
pp. 49-63
Author(s):  
Oleg Shevchuk ◽  
Valentyna Martynenko
Keyword(s):  
Fiscal Policy ◽  
Critical Level ◽  
Fiscal Decentralization ◽  
Geometric Mean ◽  
Integrated Approach ◽  
Acceptable Risks ◽  
Local Budget ◽  
Decentralization Reform ◽  
Functional Components ◽  
Integral Indicator

The main purpose of this study is to introduce an integrated approach to the methodology of assessing the level of fiscal policy decentralization. It is proposed to evaluate the fiscal policy decentralization of the state according to three functional components: decentralization of the process of local budget revenues formation (includes five indicators); decentralization of local budget structure (includes six indicators); decentralization of intergovernmental budgetary relations (includes five indicators). The expediency of forming an integral indicator of the level of fiscal policy decentralization as the geometric mean of three sub-indexes formed by its main functional components is substantiated. It has been proved that the level of fiscal decentralization in Ukraine decreased at the end of 2017, compared to 2004, but was medium with acceptable risks of fiscal policy modernization. Instead, in 2014, the lowest numerical value of the decentralization level was recorded, which corresponded to the critical level of the integral indicator with significant obstacles to the modernization of fiscal policy. The results obtained confirm the feasibility of implementing the decentralization reform in Ukraine, which started in 2014, and demonstrate its effectiveness.

scholarly journals Simplified Taxation System: To Save the Small Business in Lockdown Conditions in Ukraine

2020 ◽  
Vol 11 (514) ◽  
pp. 361-370
Author(s):  
N. V. Rudyk ◽  
Keyword(s):  
Small Business ◽  
Small Businesses ◽  
Local Level ◽  
Small Enterprises ◽  
Alternative Measure ◽  
Tax Revenues ◽  
Single Tax ◽  
The Status ◽  
Local Budget ◽  
Taxation System

The value of small business for the economy and the need to stimulate it in lockdown conditions remains an unchanged position both at the level of the scientific community and at the level of public administration. The situation with the pandemic not only complicated the conditions of functioning of small and medium-sized businesses (hereinafter referred to as SMEs), but also justified the need for its support as a non-alternative measure for stabilization of the unemployment rate in the country, the possibility of effective operation and self-reliance at local levels of the budget system, specially, local budgets. The status and conditions of SME functioning, its importance in the structure of local budget revenues are researched. Changes in the tendencies as to the volumes and structure of tax revenues of local budgets are defined. The dynamics of tax revenues to local budgets is analyzed in order to determine the budget-forming taxes. The key factors of influence on the revenue part of local budgets are systematized as follows: economic, political and legal, demographic, socio-cultural. The emphasis is placed on modern trends in the functioning of SMEs, financial relations between the State at the level of local budgets and SME entities. The analysis of the implementation of plans and the planned task of tax revenues to local budgets is carried out and the value of small businesses in the structure of sales of products is determined. The dynamics of financial results before taxation of small enterprises is determined, which substantiates their higher productivity and maneuverability in the conditions of instability. A study of the dependence between the level of tax revenues to local budgets from a single tax and the productivity of small enterprises and individual entrepreneurs proves the author’s position on the need to use a simplified taxation system as a measure to preserve the viability of small businesses in lockdown conditions in order to stabilize the economy at the local level. The importance of SMEs in the employment structure in terms of enterprises by their size proves the need to stimulate entrepreneurship in the face of global instability.

scholarly journals THE PROBLEM OF UNEMPLOYMENT IN RURAL AREAS: THE IMPACT OF DECENTRALIZATION REFORM

2021 ◽  
pp. 13-18
Author(s):  
Melnychuk A.L.
Keyword(s):  
Rural Areas ◽  
Community Action ◽  
Local Communities ◽  
External Support ◽  
Financial Policy ◽  
Tax Burden ◽  
Local Budget ◽  
Decentralization Reform ◽  
And Migration ◽  
The Impact

The impact of decentralization reform on unemployment in territorial communities formed in 2015–2020 as a result of the reform of the administrative-territorial system in Ukraine is considered. Focused on the problem of unemployment in rural areas in the context of the reform of the administrative-territorial system. The peculiarities of strategies for the development of grassroots territorial communities in terms of ensuring the creation of new jobs are highlighted. Emphasis is placed on the efforts to form non-agricultural employment in rural areas of newly created grassroots territorial communities in Ukraine. The peculiarities of community action plans aimed at combating unemployment and migration from the Ukrainian countryside are highlighted. The materials of surveys of territorial communities’ leaders 2019–2021 conducted by the analytical center of the All-Ukrainian Association of Joint Territorial Communities on the formation of policies to combat unemployment are analyzed. The peculiarities of budgetary and financial policy of grassroots territorial communities in Ukraine in the context of their influence on the fight against unemployment in rural areas are revealed. The impact of the COVID-2019 coronavirus pandemic on the economic development of newly formed grassroots territorial communities in Ukraine is reflected. The vision of the leaders of territorial communities on the consequences of the government’s introduction of a set of economic measures to reduce the tax burden on the economy and small and medium-sized businesses, which are related to counteracting the spread of coronavirus COVID-2019, was analyzed. Community leaders have identified an assessment of government measures to reduce the tax burden on the economy and small and medium-sized businesses and local budget losses caused by them, measures that will have the greatest impact on the labor market in local communities at the grassroots level. The ability of territorial communities to keep jobs in the field of medium and small business and the need for external support to local communities to combat corporate bankruptcies and the threat of unemployment have been identified.Key words: unemployment, rural environment, decentralization, territorial communities, development of territorial communities. Розглянуто вплив реформи децентралізації на безробіття у територіальних громадах, утво-рених у 2015–2020 рр. унаслідок реформи адміністративно-територіального устрою в Україні. Акцентовано увагу на проблемі безробіття у сільській місцевості у контексті реформи адміністративно-територіального устрою. Висвітлено особливості стратегій розвитку територіальних громад низового рівня у частині забезпечення створення нових робочих місць. Акцентовано увагу на зусиллях з формування несільськогосподарської зайнятості у сільській місцевості новостворених територіальних громад низового рівня в Україні. Виділено особливості планів дій громад, спрямованих на боротьбу з безробіттям та міграцією з українського села. Проаналізовано матеріали опитувань лідерів територіальних громад 2019–2021 рр., реалізованих аналітичним центром Всеукраїнської Асоціації ОТГ щодо формування політики боротьби із безробіттям. Розкрито особливості бюджетної та фінансової політики територіальних громад низового рівня в Україні у контексті їх впливу на боротьбу з безробіттям у сільській місцевості. Відображено вплив пандемії коронавірусної хвороби COVID-2019 на економічний розвиток новоутворених територіальних громад низового рівня в Україні. Проаналізовано бачення лідерів територіальних громад щодо наслідків запровадження урядом комплексу економічних заходів щодо зниження податкового навантаження на економіку та малий і середній бізнес, які пов’язані із протидією поширенню коронавірусної хвороби COVID-2019. Визначена оцінка лідерами громад урядових заходів щодо зниження податкового навантаження на економіку та малий і середній бізнес та втрат місцевих бюджетів, викликаних ними, заходів, які матимуть найбільший вплив на ринок праці у територіальних громадах низового рівня. Визначена спроможність територіальних громад зберегти робочі місця у сфері середнього та малого бізнесу та потребу у зовнішній підтримці територіальних громад для протидії банкрутствам підприємств та загрози зростання безробіття.Ключові слова: безробіття, сільська місцевість, децентралізація, територіальна громада, роз-виток територіальних громад.

scholarly journals CONDITIONS AND FACTORS OF EFFECTIVE USE OF LOCAL BUDGET FUNDS DURING THE REFORM OF FINANCIAL DECENTRALIZATION

2021 ◽  
Author(s):  
Liudmyla Denishchenko
Keyword(s):  
Local Government ◽  
Local Governments ◽  
Local Level ◽  
Significant Degree ◽  
Job Responsibilities ◽  
First Results ◽  
The Government ◽  
Local Budget ◽  
Decentralization Reform ◽  
Effective Use

The implementation of the financial decentralization reform in Ukraine, which is the most important component of the general reform of local self-government in Ukraine for seven years, already has the first results and materials for research and conclusions. The state has proposed stages of reform and further activities of local governments. The government ensures the declared national expenditures delegated to local councils and recognizes the significant degree of their independence in planning, creating and implementing their budget plans. However, at the local level there are a number of problems that lead to inefficiency or inexpediency of costly financial activities. The article considers the most significant, effective and universal conditions and factors for improving the efficiency of spending financial resources of local budgets in the implementation of local government reform in Ukraine. The reasons for the need to implement the reform of financial decentralization and the problems it should solve are presented. Among the described bases of increase of efficiency of use of means – legislative, organizational, resource. Their definition was made possible by studying the results of community spending management during the first years of the reform. Most of them have an organizational character, i.e. one that is possible for the community to implement as a cohesive social body at the local level, have a low level of costs or opportunities for external financing or co-financing. Factors of its implementation, author’s comments and evaluation of efficiency are provided to each defined condition. The most important among the basics of effective spending of local budgets are: the availability of necessary and quality legislation, preparation and use of motivated staff of local governments, creation and implementation of social dialogue in the community, comprehensive control and analysis of public spending, determining responsibility for job responsibilities relevant employees, use of foreign experience and best financial practices of Ukrainian communities, use of energy-saving technologies, optimization of local government maintenance costs. Each of the presented bases has the described factors of their implementation which are described in article. The use of such factors makes it possible to use the available on a possible basis the effectiveness of the use of local funds, an important component of the community’s own resources during the reform of local self-government.

Sign in / Sign up

Export Citation Format

Share Document