In Vinnitsa area the results of three years of fiscal decentralization is the outcome of its success

the results of the financial decentralization is an important component of the reform of local government, analyzed the coordinator of Finance Central office reforms under the Ministry of regional development (with the support of the program U-LEAD) Yanina, Kazuk. According to her, amendments to the Budget and Tax codes of Ukraine has allowed to expand the tax base of local budgets and to give them about 50 sources of income. The change began stimulating fiscal capacity communities, was replaced by a system of balancing budgets at the cost of the alignment system fiscal capacity of the territory, depending on the level of income tax on incomes of physical persons per inhabitant (and for regional budgets - profit tax). "Starting with 2014, the actual own revenues of local budgets increased annually by more than 40%. Admission 2015, compared with the previous increased by 42% and revenues 2016 – 49% in comparison with 2015. It is a good reform," stated Janina, Kazuk. Fiscal decentralization, according to the coordinator for Finance, has become an effective mechanism to encourage communities to their voluntary associations. After all, it has enabled communities to transition to direct inter-budgetary relations with the state budget and to be provided with financial resources at the level of cities of regional importance. The result is the admission of their own resources 159 consolidated territorial communities (the first community established in 2015 – ed.) for 2016 rose more than 3 times in comparison with the year 2015 and their total income (transfers from the state budget has increased almost 7 times. Based on the results of financial decentralization, the facilitator focused on the growth in own resources of local budgets and increase the share of local budgets in the consolidated budget of Ukraine from 45.6% in 2015 to 49.3% in 2017. Ioannina, Kazuk also noted the importance of providing government financial support to the regions and communities to develop their territories and implementation of infrastructure projects. "In 2016, the state issued 7.3 billion UAH. Some of them are – 3 billion UAH. - the state regional development Fund. Subsidy for the development of the infrastructure of the United territorial communities amounted to 1 billion UAH of subventions for socio-economic development 3.3 billion UAH. For these funds and the funds of local budgets last year sold about six thousand projects", – informed the coordinator. In 2017 the state budget provides UAH 9 bn for support of local and regional development. "The fact is the results of three years of implementation of the reform is the outcome of its success. Transfer of financial resources, expenditure powers and responsibilities to local authorities encourages them to systematically act in the interests of society, to work on development of territories", - said Yanina, Kazuk. This was reported in the Vinnytsia regional state administration

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Source: http://uzinform.com.ua/

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