Formation Of Budgets Research Articles

АНАЛІЗ ФУНКЦІОНУВАННЯ ФІНАНСОВО-БЮДЖЕТНОЇ СИСТЕМИ НІМЕЧЧИНИ

This paper examines the draft federal budget of Germany for 2022 and the government's fiscal plan until 2025. The main budget indicators, official statistics on budget expenditures and revenues, budget balance, the ratio of national debt to gross domestic product and the growth rate of GDP in 2021 and the forecast for 2022–2025 are analyzed. In addition, the implementation of the budget in 2021, measures to stabilize the economic and financial situation implemented by the German government in connection with the pandemic COVID-19 were considered. An analysis of the social component of the budget, the role of financial control in stabilizing the situation causrd by a pandemic and Germany's participation in finding solutionto such global challenge as unprecedentedly rapid climate change was also made. The next few years are crucial for strengthening Germany and Europe — for the major challenges posed by climate change, the need for digitization, securing our prosperity, social cohesion and demographic change. Germany needs a stable and reliable government that addresses the challenges facing the country. Following the elections in Germany in September 2021, a series of talks were held between the elected parties, during which they reached agreements on the main areas of their cooperation. SPD, BÜNDNIS 90/DIE GRÜNEN and Free Democrats recognize that Germany needs a new beginning. Even more than 30 years after the peaceful revolution, Germany remain committed to the task of completing internal unity – socially and economically. Meeting climate protection targets will also require an accelerated phase-out of coal-fired power generation. In order to respond to changes in the world of work and to address the wishes of employees and companies for more flexible working time arrangements, parties want to support trade unions and employers to enable flexible working time models. Germany's economy is leading not only in Europe but also in the world, so all the processes taking place in its financial system of Germany have a direct impact on the state and trends of further development of economic processes in the European Union. Analysis of the formation of the draft German budget, its main indicators and the government's fiscal plan until 2025, especially during the COVID-19 pandemic, is important for understanding the general state of the German economy.

LOCAL LEVEL BUDGET FORMATION SYSTEM: THEORETICAL ASPECTS, TRENDS AND DEVELOPMENT PROSPECTS

This article is devoted to the study of the peculiarities of the functioning the system of budgeting local levels in Ukraine. The aim of the article is to study the theoretical aspects of the local budget system, to conduct the analytical assessment of trends in the functioning of local budgets and to study the prospects for their further development. Systematization of literature sources to determine approaches to the essential component of the local budget allowed defining the local budget as detailed plan for the use of financial resources, economic relations related to improving the social life of citizens. Based on the functional approach to regionalization of taxation, the scheme of the system of local budget formation has been formalized. It allows taking into account the influence of objective and subjective factors. The article considers the key tasks and vectors of the local budget system. As part of the analysis of current trends in the development of local budgets, the diagnosis of revenues and expenditures for the period from 2015 to 2020 is hold. The results of the analysis showed volatile dynamics in the comparability of revenues and expenditures of local budgets and provided an opportunity to obtain a comprehensive assessment of intergovernmental transfers from the budget of Ukraine for socio-economic development of regions to reduce their economic differentiation and ensure the implementation of state regional powers. The analysis of the revenue and expenditure part of the local budget of Ukraine allowed studying in more detail the peculiarities of local budget formation, identifying certain patterns and forming measures to prevent emerging problems in budget execution in the country. Taking into account the defined system of formation of local level budgets and the analysis of strengths and weaknesses of budgets functioning the basic directions of maintenance and perspective development of budgets of local levels are considered. These include: increasing tax and non-tax revenues to the budget due to the set of measures at the local and regional levels; increasing the level of efficiency of intergovernmental transfers; improving the methodological and practical aspects of encouraging economic entities to increase their own incomes.

EVALUATION OF EFFICIENCY OF FINANCIAL RESOURCES OF THE TERRITORIAL COMMUNITY IN THE KRYVY RIH CITY MANAGEMENT UNDER CONDITIONS OF DECENTRALIZATION

Objective. The objective of the study is to assess the effectiveness of the financial resources management of the territorial community of the Kryvyi Rih city in the context of decentralization and to identify the alternative sources of funding for the city development based on the effectiveness of the formation, the use of its budget and tax capacity. Methods. In preparing the article, general and special methods of scientific research of economic processes are used, in particular, a systematic approach, comparison, grouping, detailing, generalization, methods of statistical analysis, and others. Results. The possibilities of the formation of an effective budget of the territorial community on the example of the Kryvyi Rih city are investigated. It is determined that the revenues are given a central place in ensuring the financial independence of the territorial community, and the local taxes and fees are the main source of increasing the local budget. The analysis of the state of execution of budget revenues of the city of Kryvyi Rih for 2018–2020 is carried out. It is noted that despite the numerous crisis phenomena, including the COVID-19 pandemic, the city ensured the implementation of the budget by 87.7 % for the period of the 2020 year. It is emphasized that it is impossible to speak about the effectiveness of the formation of the revenue side of the city budget without an analysis of the expenditures, especially in terms of comparing social expenditures and expenditures aimed at ensuring the strategic economic development programs. The analysis of the state of the execution of the budget expenditures in Kryvyi Rih for 2018–2020 allowed the authors to make a conclusion about the social direction of the expenditure policy, which is characterized by a constant increase in the need for the financial resources for the social expenditures and requires the constant growth of the local budget revenues. However, in the context of the general economic instability and the long-term development of the COVID-19 pandemic, it is difficult for the city to compensate for losses and to ensure the effective development. The authors offered a set of the strategically important measures that will help increase revenues to the city’s budget. Among these measures: strengthening the fruitfulness of cooperation with stakeholders in terms of job creation; development of economic platforms to promote the convergence of the interests of participants in the resource system, formed on the model of the interaction between the government and business and the formation of the economic basis of the community development and the joint social responsibility of the government and business for the future of the community; creating a favorable business and investment environment for business development and taxation system culture.

Роль корпораций химической отрасли в формировании бюджетов территорий

Роль корпораций химической отрасли в формировании бюджетов территорий

Пріоритети підвищення ефективності формування місцевих бюджетів

The article is aimed at substantiating the basic principles of the formation of local budgets for the medium term in the context of improving the efficiency of budget policy. An analysis of socio-demographic and economic indicators of territorial communities is carried out, determining that their consolidation has a positive effect on the optimization of the local budget expenditures. The efficiency of expenditures of local budgets of Central and Eastern Europe was evaluated on the basis of Musgrave criteria and the aggregated indicator of quality of public goods and services. The empirical analysis of the Gini index, consumer inflation, the volatility of economic growth and exchange rate, the level of GDP per capita, the pace of economic growth and unemployment for Ukraine indicate the urgent need to develop the institutional environment of budget policy and improve the budgetary architectonics. An evaluation of the efficiency of local budget expenditures was also carried out through a comparative analysis of the quality of services in the sphere of management, education, infrastructure of healthcare, which was based on international ratings and indicators. It is identified that the highest level of efficiency is provided in the Baltic states, Poland; Armenia and Georgia (due to low GDP expenditures); Belarus. The carried out analysis justifies the need for Ukraine to optimize the expenditure part of the budget in favor of such areas as healthcare and infrastructure. Practical recommendations for increasing the fiscal significance of tax revenues credited to local budgets and for expanding the fiscal space of territorial communities are substantiated. The provisions on optimization of the tax debt of local budgets are presented.

Mechanisms of formation and improvement of local budgets in the conditions of formation of civil society

Mechanisms of formation and improvement of local budgets in the conditions of formation of civil society

Methodology for assessment of total stability of regional high-yield budgets of Russia

The stability of the budget system allows the national economy to ensure overall stability not only in the fiscal aspect, but also in many other areas of public activity. Risks of instability in one segment of the budget structure can cause a cascade of problematic aspects and negatively affect the overall balance of the country's budget system. Fiscal policy in Russia is still unable to solve the problem of increasing the financial autonomy of a certain category of regional budgets that have a high degree of subsidy dependence. Stable maintenance of the number of high-yield budgets of the country's constituent entities causes additional risks of the fiscal policy instability. In this regard, the research of the formation and state of regional budgets with a high subsidy dependence is quite relevant, especially in the context of increased external challenges. This article is aimed at multi-dimensional identification of problematic aspects of the stability level of the regional high-yield budgets of Russia in terms of their balance, stability and debt burden, which will determine their current state in current conditions. Analysis of the dynamics of revenues and expenditures of a regional high-yield budgets group with the determination of the level of their balance over the past three years is carried out. Methodology for a comprehensive assessment of the overall level of regional budgets' stability has been developed, including 5 main groups that reflect the quantitative and qualitative characteristics of regional finance. Analysis of the budget stability of high-yield regions of Russia is carried out. The main positive and negative aspects that characterize the state of the regional high-yield budgets of the country are identified.

FEATURES OF INTER-BUDGETARY RELATIONS IN THE CONDITIONS OF DECENTRALIZATION OF POWER IN UKRAINE

The article examines the features of inter-budgetary relations in the context of decentralization of power as an important tool for the formation of local budgets and their effective implementation with limited financial resources. The authors considered the factors influencing the decentralization process such as the taxation system, transfer policy, giving greater powers to local governments in developing programs of socio-economic development and analyzed the sources of financial resources of the region, problems of their formation and use, revenues and expenditures last years. Decentralization reform has made it possible to increase the revenue side of local budgets and strengthen the financial and resource base of the regions, improve the use of intergovernmental transfers and diversify their sources. The study revealed the main problems of formation and use of financial resources of the region. These include inconsistencies in the movement of financial resources, tax pressure, various goals of economic entities and public authorities, low level of financial literacy of local government officials, inconsistencies in budget legislation, and lack of an effective mechanism for redistribution of state revenues. Among the ways to conduct budget decentralization and ensure the effectiveness of inter-budgetary relations, based on expanding the rights of local governments, strengthening their budgetary independence and responsibility, it is proposed to provide local authorities with opportunities for budgeting, redistribution of financial resources between public authorities, clear definition of local government and united territorial communities, application of modern methods of socialplanning, mechanisms of interaction of public authorities, enterprises, the attraction of investment resources through the development of local funds of regional development, granting to investors advantages, support of cooperation and interaction of enterprises, reduction of expenses for maintenance of public authorities, expansion sources of revenue to local budgets. The processes of fiscal decentralization must be constantly improved by overcoming the contradictions that arise in intergovernmental relations and modernizing the main institutions of the budget system.

Principles of creating a system of sustainable water use in Ukraine

This research focuses on the problem of water supply, and its solution requires scientific and practical approaches in environmental, engineering, economic and other fields. Practical recommendations to create an integrated water use system in Ukraine are based on the delimitation of its target subsystems. Special attention is paid to an integrated approach to water resources management, identification of key issues, clear conceptual modeling, strategy development, and production of ‘useful’ scientific information. It is important to study the role of coordinating government bodies in the field of water space monitoring. In particular, this mechanism involves the development of national program for monitoring the aquatic environment, the formation of budgets of all bodies and institutions; search for additional sources of funding and organizational methods. An important tool for improving the state of water resources is the implementation of international environmental standards and conventions. These strategic decisions are entrusted to the Ministries of Environment and other governing bodies. The use of software products generate significant amounts of data accumulated in various information banks. The main direction of the study is the concentration of information data in one key database. It will provide clear assess to the data aquatic environment and make analytical studies.

Акцизний податок на пальне як джерело формування бюджетів місцевого самоврядування в контексті реалізації бюджетної децентралізації

The article is aimed at disclosing the role and significance of the excise tax on fuel in filling local self-government budgets in the context of the implementation of budget decentralization, also disclosing the main aspects of excise tax reform, changes in its distribution between budgets and finding ways to ensure the stimulating impact of excise taxation on the socio-economic development of territorial communities (hromadas). The article describes the steps taken to strengthen the financial capacity of local self-government (changes in the sources of filling the hromadas’ budgets) by introducing budget decentralization, steps to implement decentralization in the sphere of road infrastructure of Ukraine (distribution of functions and powers in the road sector at the subregional level of management and introduction of an updated mechanism for financing the road industry). The significance and role of excise tax on fuel in the formation of budgets of territorial communities in the context of implementation of budget decentralization and decentralization in the road sector are analyzed and disclosed. The main aspects of excise tax reform, changes in its distribution between budgets during 2014-2020 in the context of the implementation of decentralization are presented. A number of substantiated arguments are given regarding the need to preserve the crediting of the excise tax on fuel to the local self-government budgets. The issue of the need to improve the distribution of subventions to roads in order to achieve fairness and eliminate the asymmetry of the financial capacity of territorial communities to develop road infrastructure and ensure the stimulating impact of excise taxation on the socio-economic development of all territorial communities is actualized.

Financing the War: Formation of the State Budget of the USSR, 1941-1945

Financing the War: Formation of the State Budget of the USSR, 1941-1945

Financing the War: Formation of the State Budget of the USSR, 1941-1945

Financing the War: Formation of the State Budget of the USSR, 1941-1945

МЕТОДОЛОГІЧНІ ЗАСАДИ ДОСЛІДЖЕННЯ СИСТЕМИ БЮДЖЕТНОГО ФІНАНСУВАННЯ

The subject of the study is the methodological principles of the study of the budget financing system in the conditions of economic transformation. The purpose of the article is to form a methodological toolkit of the budget financing system, which includes principles, forms, approaches to the analysis of this concept. The following methods are used in the article: analysis and synthesis, generalization – in the study of literature sources on the research topic; abstractions, inductions, deductions, ascent from the abstract to the concrete – in the disclosure of the methodological bases of budget financing systems taking into account the laws of dialectics, application of systemic and functional approaches. In the course of research the forms of budgetary financing and their features are defined, the structural-logical scheme of methodological maintenance of system of budgetary financing is constructed. The article reveals the methodological essence of the formation of budget expenditures as the basis of the budget financing system, which consists in applying tools to the formation of budget expenditures on the principles of scientificity, validity, transparency, economy, traceability. It is determined that the problems significantly affect and adjust the state of the budget system, so when forming budget expenditures it is necessary to take into account these problems and implement measures to maximize their leveling with further adjustment of expenditures. The relationship between the philosophical categories of the spheres of life and the sphere of the essence of budget expenditures in the process of formulating the theoretical foundations of budget financing is clearly traced. The study allowed to form a new methodological tradition in modern financial theory, which consists in the formation of not only practical but also philosophical approaches, abandonment of the search for a single concept of budget financing and unambiguous methods of its construction, the use of advanced methods of economic research etc.

ПРОБЛЕМИ ФОРМУВАННЯ ДОХІДНОЇ СКЛАДОВОЇ МІСЦЕВИХ БЮДЖЕТІВ У МЕЖАХ АДМІНІСТРАТИВНО-ТЕРИТОРІАЛЬНОЇ РЕФОРМИ В УКРАЇНІ

Reform of local autonomy and local organizational power has been fully initiated in Ukraine since 2015. Decentralization is one of the biggest changes in the process of European integration, aimed at forming a real local autonomous government, starting from the basic level — united communities. The newly formed community of the united territories must be able to provide the existing government and provide public services at the appropriate level. The main level of socio-economic stability in the administrative region largely depends on the correspondence and balance between the received financial resources and powers. It is expected that the introduction of the agricultural land market may lead to significant changes in the tax structure of integrated communities. The status and trends of formation and development of local budgets are influenced by certain provisions of the regulatory framework. Currently, the revenue side of the local government budget relies too much on government programs and grants, which complicates the work of local communities in the process of self-stimulating their economic development. At the same time, it is proved that special attention should be paid to the search for additional revenues to local budgets, which would compensate for the expected losses from the personal income tax on shares. It is also necessary to take measures to improve the administration process and ensure the proper implementation of the fiscal function of local taxes and fees. In particular, there is an objective need to study the possibility of transferring the administration of certain local taxes and providing access to relevant registers (in the case of property tax) to local governments, which will ensure adequate local tax revenues to relevant budgets and partially address the tax debt.

Role of National Taxes and Fees in the System of Mandatory Payments

The provisions of the Tax Code of Ukraine, which determine the national taxes and fees within the system of mandatory payments, have been studied. It has been determined that the main purpose of national taxes and fees is the formation and saturation of the State budget’s revenues. The influence of national taxes and fees on the regulation of production and consumption has been clarified. It has been stated that national taxes and fees have a general impact on each person, obliging him or her to pay taxes established by the Tax Code. It has been determined that the studied taxes and fees are a lever for regulating and preventing negative tendencies in the economy and are the part of the mechanism that ensures the relationship between national interests and the interests of local business entities. The role of national taxes and fees within the system of mandatory payments as a source of revenues of the State budget (given their stability) also determines the policy of formation of all other types of revenues. The role of national taxes and fees in the formation of local budgets in Ukraine has been analyzed, namely such instruments of budget regulation as interest deductions from national taxes and revenues, budget transfers (budget subsidies, subsidies and subventions, withdrawals to the State Budget of Ukraine, intergovernmental settlements) and budget loans.
 It has been offered that the share of national taxes, which should be fixed in local budgets, is defined in proportion to the amount of the relevant national tax collected in a particular community. An important criterion for the VAT distribution between centeral and regional budgets should be the population of the region. It has been noted that national taxes are distributed between different levels of the budget system in accordance with the norms of deductions.

Impact of decentralization on Ukraine local budgets formation

The subject of the research is an analysis of the decentralization impact on Ukraine local budgets formation. The purpose of this study is to find a solution to the problematic aspects of the formation of self-sufficient, financially wealthy communities by analyzing the impact of decentralization on the formation of local budgets and the budgets of the combined territorial communities. Method or methodology for conducting research. The study used a set of general scientific methods and techniques, namely: comparative analysis and synthesis, abstraction, the method of induction and deduction, idealization, generalization, analogy, modeling, as well as special - expert survey, grouping, forecasting. Results of work. Decentralization today is the most effective and efficient way to ensure the financial autonomy and sustainability of local authorities by transferring to them the powerful sources of budget revenues previously assigned to the central government, and expanding the financial base of administrative-territorial formations. That is, the introduction of a new model of financial support for local budgets consists in expanding the rights of local authorities, the sources of their formation, giving them full budgetary independence and creating real ground for the exercise of their powers. And in connection with the amendments to the Budget Code on the introduction of medium-term planning, the issue of reporting and evaluating the effectiveness of budget programs is relevant for financial services workers. The field of application of results: territorial communities of Ukraine. Conclusions according to the article. One of the important problems in the formation of local budgets is to ensure balanced socio-economic development of the regions and the formation of inter-budgetary relations in order to increase the level of financial self-sufficiency by strengthening budgetary decentralization. In order for the community to be able to carry out its tasks, it must have adequate financial resources to cover its own expenses. It is likely that the formation of financially self-sufficient administrative-territorial units requires changes not only in tax and budgetary legislation, but also in the territorial size of communities, districts and regions.

Features of local budgets in the conditions of decentralization of the budget system of Ukraine

The paper identifies the features of local budgets in terms of decentralization of the budget system of Ukraine. Theoretical bases of functioning of local budgets are opened. The economic essence of the definition of «local budget» is given according to the Budget Code of Ukraine. Based on the economic essence of local budgets, a number of functions they perform are identified. Different approaches to the interpretation of the essence of the concept of “decentralization” are studied. The role of local budgets in ensuring their financial capacity in terms of financial decentralization is highlighted. The stages of decentralization in Ukraine since 2014 are demonstrated and their results are shown. The main aspects of financial decentralization to the processes of socio-economic development at the local level are outlined. The directions of development of local budgets in the conditions of financial decentralization are substantiated. It is proved that the quality of life of the population and socio-economic stability in the country largely depend on the effective operation of local governments. The normative-legal base which regulates functioning of local budgets in the conditions of decentralization is considered. An assessment of the formation and implementation of local budgets in terms of local government reform. A comprehensive analysis of revenues and expenditures of local budgets of Ukraine. The dynamics of the volume and structure of revenues and expenditures of local budgets of Ukraine for 2017–2019 is analyzed. It is proved that the main source of filling local budgets is tax revenues. It is substantiated that despite the decrease in some types of revenues, local budget revenues tend to increase. Emphasis is placed on the fact that local budget expenditures reflect the consequences of socio-economic processes in the country and directly affect the level of welfare of the population. The main changes in the development of local budgets in the period before and after the beginning of decentralization in Ukraine are identified. Typical problems of the state of local budgets in Ukraine are given. Guidelines for the development of local budgets are identified and measures are proposed that should be implemented to address this situation.

THEORETICAL AND METHODOLOGICAL PRINCIPLES OF CRITERIA FORMATION FOR RESEARCH OF FOOD SECURITY LEVELS IN THE REGIONS

Introduction. The level of food security depends on the effective operation of the entire food security system at the same time, the use of division at the level ensures the effective functioning of rapid response mechanisms to modern challenges: global food security manifests the efforts of the international community. Effective interaction between local authorities and food producers is needed to ensure the regional level. The purpose of this article is research of theoretical and methodological bases of criteria formation for research of food safety levels in different regions. Results. Among the many problematic issues of food security of the state, the regional aspect stands out. Therefore, the food security complex of the region should be aimed at ensuring food independence, sustainability, stability, progressive implementation, improvement. The main principles of the food complex are the components of complexity, flexibility for ensuring food security of the region in relation to future threatening moments. The application of the system in the management of food security in the region will form a mechanism of organizational structure that combines all management actions to achieve the goals of adaptation of the food security program for the Black Sea region of Ukraine. The relationship of regional actors in the food security system is based on the regulators of economic activity in the region. The policy of regulators uses only reliable and objective assessments of the industrial, economic, industrial and financial environment of economic entities in the region in management decisions on the implementation of food and security policy, the formation of development budgets of the Black Sea region. Conclusions. The main directions of improving the food security system of the region are proposed, taking into account the multilevel nature of such a system. Such areas include: creation of an integrated economic complex focused on socio-economic development, solving environmental problems; creation of an innovative model in the field of investment ecological climate in the region; efficient use of energy technologies; design of parks: regional, industrial, technological and implementation of investment projects. Keywords: food security, food aspect, organizational and economic mechanism, food security infrastructure, potential.

Gender-sensitive budget in the agricultural sector of Ukraine

The purpose of the scientific article is to create a holistic vision of the need to use a gender-sensitive approach and the formation of a gender-oriented budget in financing the agricultural sector of Ukraine's economy. Methods. The research methods used in writing the article involve the use of general scientific techniques of economics and methods of theoretical generalization based on a systematic approach. In addition, general research methods such as comparisons and observations were used. Results. The model of medium-term budget planning envisages the introduction of a gender-oriented approach to the budget process. This is one of the requirements of the Public Financial Management System Reform Strategy. Integration of a gender-oriented approach into the budget process will increase the efficiency and quality of public services provided, subject to the needs of social groups, including gender-based ones, and strengthen the accountability of the budget managers. Gender-oriented budgeting is not only a technical issue – it implies fundamental changes to budget making and public finance management systems, some of which are cultural in nature. Gender budgeting is a way for governments to promote equality through the budget process. It is an influential element of management activities related to the development of budgets at various levels, that provides important information to professionals who decide on the allocation of budget funds. Practical meaning. The issue of gender budgeting in today’s environment is extremely relevant, as this approach ensures gender equality by allocating available resources to the real needs of men and women, which increases the efficiency of public financial management. Since women and men perform different social roles, their daily tasks, their strategic and practical needs, their priorities may differ. Gender-sensitive analysis of budgets and gender responsive budget processes will allow taking account of a wide range of issues addressing these differences and thus provides a basis for realizing equal opportunities and equality in outcomes for women and men society and ensure its sustainable development. Prospects for further research. The use of gender-oriented budgeting draws attention to the gender policy issues, while gender analysis gives more detailed information on the distribution of resources and on the impact of public policy and public expenditures thereon. This provides a stronger evidence base for decision-making and, therefore, promotes more efficient use of public funds.

Ways of increasing the efficiency of tax collection to the budgets of local communities on the basis of tax management

The processes of fiscal decentralization have provided new opportunities for local self-governments: independent formation of local budgets; direct intergovernmental relations; expansion of the tax base, etc. The steps taken in the field of decentralization are currently not systemic. The distribution of fiscal payments between different levels of the budget system is the purpose of the tax system development, which would allow to provide quality social services to the population and influence the economic development of the territory. The main directions of tax system development on the basis of tax management are substantiated as following: strengthening the role of local taxes; establishing the effective interaction of local governments with economic entities operating in the territory to increase budget revenues; ensuring the fair distribution of the tax burden and its reduction while seeking budgetary compensators; strengthening the tax control; ensuring the efficient informational and explanatory work and interaction of local self-government bodies and taxpayers. The author's vision of the tax system within the new architecture of the administrative-territorial system is offered. The inclusion of personal income tax in local taxes and change in the mechanism of crediting the tax to local budgets are substantiated. There are two alternatives to change the procedure for crediting personal income tax to local budgets, due to which the associated burden will be distributed among all participants: 1) crediting personal income tax to local budgets at the place of residence of the individual payer; 2) giving the individual payer the right to choose which budget should include the amount of tax paid (by place of work or place of residence). The directions of increasing the property taxes accumulated in local budgets are defined. The paper develops a model of the form of self-taxation of the population in territorial communities. According to the model, the residents are involved in the accumulation and distribution of tax resources. The suggested model is based on the accumulation of financial resources by a parity principle: the amount of financial contribution of local governments is determined at a level not lower than the amount contributed by residents.