The state budget is the most important document of the country. A budget is a detailed plan, in which all income and expenses are carefully described, and the financial policy of the state is determined.
In the state budget, as the name implies, the income and expenses of a particular country are painted. Typically, such a document is prepared for the calendar year, that is, it covers the period from January 1 to December 31.
The preparation of the state budget is necessary in order to plan in advance and then regulate the cash flows of the country. In addition, the state budget is necessary to control the actions of the government. It contains data on the plans of government bodies. The annual budget also sets the parameters of the country's economic activity and outlines options for government activities.
Since this document is the basis of government policy, it is compiled, approved and implemented at the level of laws. Moreover, the state budget itself is essentially a law.
State budget revenues comprise the following revenues: income taxes (applies to both individuals and legal entities - they can be collected by either central or local tax authorities), income taxes (revenues that go to the budget from the real sector), indirect taxes, excises, duties and other non-tax fees, regional taxes. Moreover, taxes make up on average about 84% of state budget revenues, revenues from non-tax revenues - 7%, and revenues from targeted budget funds - 9%.
State budget funds are spent at the discretion of the government on the development of industry, agriculture, on the social needs of the population, government, military objectives (defense), international activities, law enforcement agencies, science and health.
The governments of all countries are trying to draw up a balanced budget, that is, one in which the volumes of income and expenses are equal. If there is no balance between these two articles, then there may be either a surplus (income more than expenses) or a budget deficit (expenses more than income). Surplus is a rare occurrence, unlike deficit. The main problem in the field of state budget management is corruption, which thrives especially on budget execution.
The state budget system of the Russian Federation consists of federal, regional and local budgets. The federal budget is drawn up and approved by the Federal Assembly for the whole year and has the form of a federal law. Thanks to the federal budget, there is a redistribution of national income and GDP. The procedure for the formation and execution of the federal budget in the Budget Code of the Russian Federation is regulated.
