In Russia, the fiscal year is set to twelve months (from January 1 to December 31). Thus, the need for the adoption of budget acts appears with a frequency of once a year, in connection with which the concept of the budget process arose.
In Russia, this phenomenon is the activity regulated by law, which is carried out by local and state authorities on the formation, consideration, approval, as well as the implementation of income and expense items at the corresponding levels.
The budget process in the Russian Federation includes a regulatory procedure. Within its framework, the redistribution of financial resources between expenditure-income systems of different levels is carried out.
Specialists identify certain stages of the budget process. These include:
- Creating a budget.
- Consideration, approval.
- Implementation of articles, control over execution.
- Formation and approval of reporting on execution.
The budget system of the Russian Federation includes budgets of different levels. Its jurisdiction includes the federal system of income and expense items and the formation of general principles. The budget process in the Russian Federation is based on these principles. The regulation of the procedure is carried out in detail by the legislation of the constituent entities and the charters of municipal formations.
The budget process in the Russian Federation begins with the preparation of revenue items. This procedure is carried out by the executive bodies or administration in the municipality. The procedure is carried out on the basis of the forecast and in accordance with the programs for the socio-economic development of the corresponding territory. Programs and forecast allow you to determine the estimated level of income, as well as the main areas in accordance with which the spending of funds.
In the Russian Federation, the Government is organizing work to bring executive letters to executive and representative bodies. It indicates the features of the calculation of budget projects for the upcoming fiscal year. The letter of instruction also contains information on centrally established financial and social standards, which should be taken into account when drawing up income and expense items. Work on bringing the information is carried out no later than seven months before the start of the next financial year.
The executive bodies of the subjects, in turn, bring the received instructions to the municipal authorities of the relevant instructions.
If the envisaged volume of revenue items does not meet the minimum budget security standards, then the relevant executive bodies present the necessary calculations to justify the amount of deductions, subsidies, subventions to be transferred from higher budget systems. Presentation of settlements is carried out within the time established by law.
Thus, the relevant executive body, starting the budget process in the Russian Federation with the preparation of income-expenditure items, collects information on the projected percentage of deductions, the amount of subventions and subsidies that are scheduled for provision, the list of income and mandatory expenses that are fixed in the articles, as well as the program and forecasts for the development of relevant areas, draft estimates, etc.
The executive bodies have the right to make proposals for clarifying or changing the projected percent of deductions, the size of payments, and other things. These proposals for amendments are first considered by the executive body of a higher level. If the answer is no, a protocol of disagreements is formed . It contains justifications for refusals and offers, on an equal footing a conciliation commission is formed. The final decision is made by the executive superior body.