Theme: the role of tax in the formation of a local budget revenue base

THEME: THE ROLE OF TAX IN THE FORMATION OF A LOCAL BUDGET REVENUE BASE.
Raimov Shamshod Isomiddin
Student: National University of Uzbekistan named after Mirzo Ulugbek


Email address: [e-mail]

Introduction:

The Republic of Uzbekistan is based on five principles adopted as a result of in-depth study of the experience of developed countries in the transition to the market economy, developed specifically based on the mintality of our nation, including our national values. One of the principles is a strong social protection of the low-income layer of the population in the transition to a market economy. Of course, in carrying out this task, our state relies on budgetary funds.

Budgetary funds play an important role in the implementation of government programs aimed at achieving macroeconomic stability of the country in the near and long periods.

Our republic is trying to establish economic and social relations in equal rights, mutual cooperation with developed countries of the world. To this end, in order to achieve economic stability in the country, reforms are being carried out in the economic, social and legal spheres.

Revenues from local budgets are formed mainly on the account of deductions from local taxes and general tax. Further improvement of the relations, linkages between the Republican and local budgets, undoubtedly, the economic development of the regions consists in eliminating as much as possible the economic imbalance between them. In addition, although several studies have been carried out in the field of searching for new sources of receipts for local budgets, the introduction of a progressive system of tax levies and the improvement of the basis of existing tax receipts, the actual state of these works has not yet been fully studied. For this reason, it is necessary to examine and analyze the activities of the local budget as well as the base of local budget revenues.[1]

Main part: the reforms carried out in the Republic of Uzbekistan are deepening day by day. This is manifested in the liberalization of the activities of economic entities. The relationship between the state and economic entities, that is, legal entities and individuals, is now becoming a situation that is carried out only through taxation. This requires in-depth study of this process, analysis.

The economic activities of local budgets are characterized by the existence of their own source of revenue. Local budgets must have sufficient financial resources to solve their functions in different directions within their area.

Another important source of local budgets revenue is the long-term attachment of this individuals income tax to local budgets.

The main parameters (rates, bases, exemptions) of local taxes are carried out in the territories for their collection, as determined by the Cabinet of Ministers. Therefore, the collection of some taxes is becoming a very problem, because it is very difficult to determine the base, or the costs associated with their collection exceed the sums of these taxes. In particular, disposable rags collected from the markets are also one of the very cost-consuming charges. This is due to the fact that from the point of view of the real consolidation of the income base of local budgets, these taxes can not be a source of desired demand

In this direction, it is an important direction to increase the budgetary deficit of local authorities to the account of increasing their tax potential (capacity) and increasing the number of taxpayers to the account of increasing small scale enterprises, increasing the number of individuals engaged in entrepreneurship and increasing the efficiency of their income Control.[3]

As some of the common features inherent in the existing local taxes and fees in the tax system of the Republic, the following can be noted:

- local taxes and fees are used for the needs of the territories under the jurisdiction of the local government authorities;

- the main part of them is introduced directly by the local government agencies themselves, while in the legal regulation of them, local government agencies are given some powers, they also require to be reckoned with by the legislation of the Republic, and so on.

Also, one of the important features of local taxes and levies is the division of them into two groups according to the method of their designation, that is, local taxes and levies, which are introduced by the legislation of the Republic and introduced by the legislation of local government agencies.
The first group includes property tax and land tax on local taxes, they are introduced by the legislation of the Republic and collected on the territory of the whole Republic and their rates are determined by the Cabinet of Ministers of the Republic of Uzbekistan. Also, from the point of view of definition and validity-the tax on vehicles for the use of gasoline, diesel fuel and gas is levied on the territory of the whole Republic and its uniform rate is valid

This group has only one authority of the local government agencies in terms of local taxes, which, in the case of this, can give additional benefits to property taxes to taxpayers located in their territories.

The second group includes local taxes and fees, including infrastructure development tax; the tax on vehicles for the use of gasoline, diesel fuel and gas; the fee for the right to trade, including license fees for the right to sell certain types of tokens; the fee for the registration of legal entities, as well as individuals engaged in entrepreneurial activities, is introduced by local The highest rates of these rates are established by the Cabinet of Ministers of the Republic of Uzbekistan, and local government agencies have full right to set tax rates for their territories only at these rates, and to set tax benefits. At the same time, local government agencies are also given the authority to introduce new types of local taxes and levies, the introduction of which requires coordination with the Cabinet of Ministers.[3]

In Tashkent City, the amount of the harvest is 5 times the minimum wage, 3 times the minimum wage in regional centers, in other population punks the minimum wage should not be less than 2-fold.

World experience shows that if deductions from taxes to local budgets are carried out on a single regulatory basis, and these norms are kept unchanged for a long period of time, the negative situation can be reduced. Only in this case, it will allow the local budget to sustain a steady fall in part of the taxes collected in the legal order for a certain period of time. The local government will do everything possible to ensure this self-sufficiency.

On a Republican scale, the impact of regulatory revenue on local budget revenues remains enormous. At a new stage of economic reform and its deepening, it calls on local governments to increase their role in public administration, attached revenue streams in socio-economic development, further strengthening the base of local budgets on their revenue.