Limits of budgetary obligations are ... Account of limits of budgetary obligations

The funds of taxpayers entering the state budget are subsequently distributed according to the targeted needs in favor of the population and society as a whole. How the process of allocating budget allocations is organized , we will consider in the article below.

Classification of budgetary obligations

Limits of budgetary obligations are a certain amount of money allocated by government agencies to cover social payments, as well as expenses for the improvement of territories in the allotted period of time. In other words, those funds that the state is obliged to realize for the benefit of society.

Limits of budgetary obligations are the cumulative component of treasury appropriations. And the latter are classified as follows:

• Covering social needs of the population;
• Procurement of goods and services of a municipal nature;
• Budgetary investments to non-state legal organizations;
• Transfers of an intergovernmental nature;
• Assistance to representatives of international law in the form of charity;
• Repayment of municipal debt;
• Execution of judgments in which the state of the Russian Federation acts as a defendant for moral or physical harm caused.

Mechanism of distribution of budgetary obligations

Limits of budgetary obligations are a subject of state property, therefore, to the issue of their distribution, the Treasury fits in a complex and with a high degree of responsibility.

To begin with, the needs of the supreme body - the Ministry of Finance - are fulfilled, after which the data is communicated to the knowledge of the Treasury. Over the next three working days, the latter makes outlets to the administrative authorities in the field. The same scheme also applies when the funds are received by the Treasury from the RF Ministry of Finance.

In the event that at the beginning of the new year the budget list was not compiled for some reason, the supreme body informs the district centers about the mechanism described above. At the same time, in the data provided by the Ministry of Finance, there should be a reference to the period during which the deferred or reduced budget commitment limits will be implemented, after which the declared appropriations are revoked.

Blocking of budget appropriations

Sometimes at the stage of allocating transfers, the federal treasury is blocked. Since the limits of budgetary obligations are a multilevel indicator, both the Ministry of Finance and the subordinate executive body have the right to reduce them.

Blocking of appropriations is possible in the event that authorized representatives of the Treasury doubt the appropriateness of the allocated funds. Also, the limits of budgetary obligations can be reduced in the event that in the current period there is a sharp decline in revenues to the state treasury from taxpayers. This decision can be taken by any member of the executive branch - both the Minister of Finance, and the representative from the administrative district on the ground.

Also, the limits of budgetary obligations are blocked annually on a planned basis on December 31 in connection with the end of the reporting period.

Functions of the Treasury

Since the federal treasury is the main administrator of budgetary funds, we will dwell on its functionality in somewhat more detail. So, the powers of this body include the following:

1. Bringing information to the administrative regulatory authorities about the painting of potential expenses and their limits.
2. Accounting for limits on budget obligations for cash execution
3. Opening of bank accounts required for execution of the mural.
4. Maintenance of the general administrative register.
5. Summary of statistics on budgetary costs.
6. Provision of all the required information requested to the Ministry of Finance regarding the expenditure of government obligations for the reporting period.
7. Making forecasts for future periods.
8. Constant control over the execution of the federal budget by local administrative bodies.
9. Logging of concluded state agreements, in which funds from the treasury are involved.
10. Protection of national secrets.

In general, we see that the federal treasury is the key body involved in fulfilling state financial obligations to the public.

Role of the Treasury in the Russian Federation

The chief administrator of budgetary funds, represented by the State Administration of the Federal Treasury, was established in 1992 by presidential decree.

The organization has been operating for more than two decades according to a number of principles:

• Cash unity (in practice, means that any income and expenses pass through officially registered bank accounts);
• Subordination - each administrative authority receives exactly as much as the Treasury's funds, as stipulated by the limit;
• Targeting, and this means that each amount of budgetary appropriation has a well-founded targeted use;
• Efficiency - Treasury activity is subject to permanent financial controlling;
• Transparency - all budgetary obligations are allocated and implemented in an open and publicized manner.

Report on budget commitments

Annually by the end of the annual period each recipient of state appropriations prepares a report on the use of budgetary funds.

After that, during one and a half months the Accounts Chamber of the Russian Federation sums up the results of the past year and gives an opinion: whether there were excess of the limits of budgetary obligations or not.

The conclusion of the authorized body contains a functional classification of costs, a description of each target appropriation, an analysis of the state of budget loans and credits provided by the state of investments, as well as obligations related to treasury guarantees.

Based on the results of the conclusion, the government Duma of the Russian Federation considers it and makes a decision regarding either its adoption or rejection, with subsequent amendments.