System Of State Financial Control Research Articles

Methodological and practical aspects of the application of artificial intelligence technologies in the system of state financial control

The article analyzes the use of artificial intelligence technologies in the system of state financial control. The authors present the main directions for the development of artificial intelligence, in particular its application in the system of government control. Also, the possibilities of expanding the areas of application of artificial intelligence in state financial control are being considered in order to increase the efficiency of the country’s economic security. The authors believe that the use of artificial intelligence will speed up inspections, and in the future there will be an intensification of the activities of state financial control bodies. The scientific novelty of the article lies in the fact that it examines the need to use artificial intelligence technology in the system of state financial control, and also analyzes the trend in the development of artificial intelligence in order to effectively ensure the economic security of the Russian Federation through state control bodies.

STATE FINANCIAL CONTROL: CONCEPTS AND CLASSIFICATION

The article emphasises that the conditions of the market economy and the development of Ukrainian society require a new conceptual approach to the creation and functioning of the system of state financial control. Additionally, the significant growth of financial abuses and violations necessitates a fundamental theoretical study and the determination of ways to build a new, better system of state financial control that can solve the problem of inefficient management in the public sector of the economy. The article contains a study of a significant range of approaches of modern scientists to interpreting the concept of ‘control’ to find a clear and understandable definition not only of control but also of financial and state financial controls. The authors analysed the definition of financial control that revealed the advantages and disadvantages of the definitions provided by modern scientists. We concluded that the scientists mainly limit this concept to state control while subjects refer to state bodies. We also proposed a proper definition, taking into account the indicated shortcomings. Therefore, financial control is interpreted as an activity carried out by state and local self-government bodies, business entities, and citizens of Ukraine to ensure legality, financial discipline, and reasonableness in mobilising, distributing, and using funds and related material assets. At the same time, we aim to assess the economic efficiency of economic activity, avert and avoid obstacles that prevent the legal and rational use of property and funds, the expanded reproduction of production, satisfaction of state, collective, and private interests, and needs for economic management. In addition, we defined the purpose and tasks of financial control. In general, state financial control aims to prevent and detect financial offenses, bring the guilty to justice, ensure compensation for damages, and take measures to stop similar crimes from happening in the future. Its task is to ensure legality, efficiency, fiscal discipline, and optimality in the formation, distribution, possession, use, and disposal of assets as state property. Keywords: control, financial control, state financial control, management, classification, efficiency, responsibility, legality.

ЕФЕКТИВНІСТЬ ПРОВЕДЕННЯ ДЕРЖАВНИХ ФІНАНСОВИХ АУДИТІВ В УМОВАХ ВІЙНИ

In the context of transformational changes, there is a growing need for a deeper study of the theoretical and methodological foundations of state financial control, its constituent forms and types, taking into account positive experience from foreign countries in its organization and effective implementation. Improvement of approaches to determining the strategic directions of state financial control by the central state authorities in the medium term is an expedient step that will improve the efficiency of management of the system of public finance in war conditions. The development of public relations, integration processes and the reform of the control system determine the new requirements for the organization and conduct of state control in the management of budget resources. That is why the emphasis of control powers in the public administration sector, especially on budget resources, creates the need for careful study of the category. At the same time, it is important to establish appropriate institutional principles for the organization of the state financial control system by the central executive authorities as well as to determine the directions for further development of its components in the context of a fullscale invasion. Improving the system of state financial control is a key issue, taking into account the best experience of countries with developed and transformational economies. Enhancing the capabilities of state financial control requires a more rational use of the potential of regulatory control procedures and identifying ways to increase their effectiveness. This confirms the relevance of the chosen research topic and determines its aim. The article is aimed at revealing the possibilities and prospects for creating new forms and types of state financial audits in those areas where budget resources are used, which will allow efficient and effective use of public finance resources within the framework of implementation of European norms of functioning of the system of state financial control. The article considers the importance of defining clear outlined goals during various forms of state financial audits. The main sources of threat are revealed in those areas where budget resources are used, because if in some departments we use funds with violations, then it is logical that other departments receive less money to solve their main problems. Criteria for selecting the main objectives and sub-objectives of the audit have been developed. The main performance indicators of the State Audit Service of Ukraine in the conditions of war were monitored, data on the Chernivtsi region were considered. The authors proved that the effectiveness and efficiency of control measures are the key issues to a successful future of our country.

DEVELOPMENT OF STATE FINANCIAL CONTROL IN THE TAX SYSTEM OF UKRAINE IN THE CONDITIONS OF INNOVATIVE TRANSFORMATIONS

The article defines the essence, functions, and types of state financial control. State financial control is an integral part of the management of economic objects and processes, which consists of observing the object to verify the compliance of the object of observation with the desired and necessary state. The task of state financial control is defined. The main functions of state financial control are highlighted. The main problems and the need to improve the system of state financial control in Ukraine were considered, and the State Control and Audit Service’s activity in financial control was investigated. The theoretical principles of determining the essence, role, and place of state financial control in the system of financial activity of the state have been studied as an organic component of the market economy – an essential factor in achieving a balance between market relations and state regulation in order to achieve a strategic effect based on the consequences of their interaction. It was noted that it is necessary to form such a system that could respond to the numerous problems of the market economy, and state financial policy would cover all levels of the economy and would be integrally built on uniform methodological and organizational principles. The need to bring state financial control and audit of the use of state funds to international standards of state financial control has been proven, which will make it possible to improve the management of budget processes at all levels of budgets, interaction, and coordination of control bodies in the implementation of control measures and management decisions. A mechanism of state financial control and its structure has been developed, ensuring a high degree of preparation for conducting and implementing materials for control measures. It became evident that the methods of state financial control and their essence depend on the form of control considering the proposed mechanism. Measures to improve state financial control are proposed. The organizational structure of the unified system of state financial control is defined.

Institutional principles of state financial control development

Relevance of the research topic. In the conditions of transformative transformations, the need to increase the quality level of the institutional foundations of state financial control, taking into account foreign experience, is increasing. It is expedient to improve the approaches to determining the priority directions for the development of state financial control, which will contribute to strengthening the level of manageability of the state finance system. Formulation of the problem. State financial control must meet the important tasks of increasing the efficiency of the use of budget funds, the effectiveness of budget expenditures, which will contribute to social development. Analysis of recent research and publications. The question of the development of state financial control is quite widespread in scientific research. These are the scientific works of well-known domestic and foreign scientists: P. Samuelson, I. Chugunov, L. Lysiak, V. Makogon, V. Oparin, M. Pasichny, V. Pihotskyi, I. Stefanyuk, V. Fedosov, O. Shevchuk and others. Highlighting unexplored parts of the general problem. It is important to increase the level of efficiency of state financial control, the effectiveness of budget expenditures. It is necessary to use state financial control as an effective component of the state financial policy of social development. Setting the task, the goal of the research. The main tasks of the research are to reveal the essence of state financial control in the conditions of social transformation; development of provisions on increasing the level of efficiency of state financial control, the effectiveness of the use of budget funds. The purpose of the study is to reveal the institutional foundations of the development of state financial control. Method or methodology of research. The article uses a set of methods and approaches of scientific research: systemic, factorial, comparative, synthesis, generalization, scientific abstraction and others. Presentation of the main material (results of work). The essence of the institutional foundations of the development of state financial control in the conditions of social transformation is revealed; received further development of the provision on increasing the level of efficiency in the use of budget funds. The mechanisms of the functioning of state financial control as a component of the state finance management system have been improved. Field of application of results. The results of the study can be used in the process of developing the system of state financial control, improving the efficiency of the use of budget funds. Conclusions according to the article. State financial control in the system of regulation of economic relations is an important tool for the implementation of financial and budgetary policy. In order to increase the efficiency of the use of budget funds, it is important to substantiate scientific approaches to the formation of the institutional foundations of the state financial control system, taking into account economic transformations.

THE RELATIONSHIP OF THE CONCEPT OF STATE FINANCIAL CONTROL AND AUDIT

The article examines the problems of financial control, which are most closely related to the general problems of control activity, the purpose of which is to identify the results of the regulatory influence of the subject on the object, in the determination of deviations from the established control indicators and their assessment. Based on the study of many studies, the common features and differences of the conceptual apparatus of state financial control and state financial audit were defined and clarified. Emphasis is placed on the fact that the vagueness of concepts and the contradiction of reasoning on this issue hinder the creation of a coherent and effective system of control over the management of state finances, which hinders the implementation of the intended strategic programs of the country's development. The need to strengthen the coordination of state audit and state financial control and joint planning of the activities of control bodies for violators is substantiated, but so that this does not interfere with the work of normal enterprises. The result of this is the need to introduce audit into the practice of the bodies that are part of the state financial control system, improve its methodology, and deepen contacts with independent audit organizations. It was determined that in order for the ideas of the state audit and the relevant institution to take root in domestic economic practice, it is necessary to carry out deep changes in the worldview, people's ideas about the proper organization of the government system, about the principles of the relationship between the individual, society and the state, the formation of new economic institutions that able to regulate the relationships of various business entities. It is noted that the principles of organization, content and powers of the state audit are in each individual country the historical result of a conscious choice and legislative consolidation of positive international experience gained in the field of public finance management. a clear system of state financial control will be built. Keywords: state financial control, state financial audit, public control, society's rights, economic system.

DEVELOPMEMT ISSUES OF STATE FINANCIAL CONTROL IN UKRAINE

Introduction. The issue of building and creating a holistic system of state financial control in Ukraine is very important and relevant today. It is impossible to increase the efficiency and competitiveness of different sectors of the national economic system, to ensure the life of the state, as well as to reduce the level of shadowing of the economy and corruption without their solution. The purpose of the article is to develop the scientific and methodological foundations of the formation of the system of state financial control in Ukraine on improving the efficiency of its functioning in the conditions of modern challenges and threats. Results. The current state of the state financial control system in Ukraine and the prospects of its further development are considered. The results of the control work of the State Audit Service of Ukraine for 2020–2022 are summarized. It is emphasized that effective state financial control is the most important condition for the existence of a strong state and an important factor in its development. The problems that may arise in the process of creating and building a single system of state financial control. Ways to improve the unified system of state financial control are proposed. Conclusions. According to the results of the study, conclusions are formulated on the need to form a holistic system of financial control, determine the vectors of its development, taking into account the principles of interaction between external and internal control bodies, timely identification economic processes, the course of which must be kept under constant control and supervision of the state.

ГОСУДАРСТВЕННЫЙ ФИНАНСОВЫЙ КОНТРОЛЬ: СОВРЕМЕННЫЕ ВЫЗОВЫ И НАПРАВЛЕНИЯ СОВЕРШЕНСТВОВАНИЯ

The article aims the problems faced by state financial control system in Russia. One of them is the duplication of the functions and authorities of the control bodies of the "horizontal" level, which increases both the costs of organizing control and the load on the objects of control. The problems were caused by the lack of synchronization of the digitalization processes of the control and accounting environment, as well as the dominance of identifying committed violations approach, instead of focusing efforts on their prevention. Besides, risk-oriented planning approaches of control activities require improvement. The article contains the assessment of the current state financial control system, based on the analysis of data characterizing the activities of key subjects of state financial control, as well as the analysis of official documents regulating the relevant activities. Based on the analysis, the author formulates proposals to improve the efficiency of state financial control system in Russian Federation.

Modernization of the Ukrainian state financial control system in condition of the “Covid” economy

The article investigates the nowadays system of state financial control and analyzes the main principles of its functioning. The risks and threats to the national economy during the coronavirus pandemic was defined. The introduction of new information management systems into the work of state financial authorities to control the targeted and efficient use of budget funds has been substantiated. The definitions of “Covid” economy and financial electronic control were specified. The issue of modernization of state control activity under the conditions of the coronavirus pandemic was considered. The article argues on importance to develop a package of legislative acts to reform the state financial control system. The necessity to create the Supreme institution of state financial control on the basis of the Accounting Chamber of Ukraine was explained. In competence of this bodies will include the organization and implementation of financial electronic control. Authors formulate the requirements for information analytical system of financial electronic control.

Problems and prospects of state financial control and analysis of local budget execution

In the conditions of the constant increase of global challenges and socio-economic instability, the problem of the effectiveness of state financial control is one of the central ones for modern Ukraine. The purpose of the research was to identify key problems of government financial control and to assess the implementation of local budgets. The main methods for the study of the subject matter were theoretical approaches (analysis of Ukrainian and international theoretical positions), analysis and synthesis, statistical analysis, systematic analysis, terminological analysis, method of graphical representation of statistical data, and analysis of legislative and programme documents. As a result, it was confirmed that necessity to develop the state financial control system and to create a basis for improving the effectiveness of local budget execution had increased. The statistical data for the last three years (in some cases for 10 years) were analysed, which made it possible to describe the current situation in the field of public financial control and execution of local budgets in Ukraine. Shortcomings, problems, obstacles, limitations, and perspectives for public financial control development and the execution of local budgets are identified. The results obtained have theoretical and practical significance. The application of theoretical approaches in the study complements the theoretical provisions financial control of government. The results are of practical importance, especially in the implementation of national policy in the field of state financial control in the context of the crisis caused by the pandemic and its socio-economic consequences

Modernization of the system of state financial control in Ukraine

Introduction. State financial control contributes to the development of the state's economy, ensures a fair distribution of its national income, financial stability and national security, which is achieved through effective and rational management of state finances. Existing problems and contradictions in the field of state financial control have a negative impact on its effectiveness and significantly restrain the development of the state's financial system in general. The purpose of the paper is to study the problematic issues of the state financial control system in Ukraine and to find directions for its improvement and strengthening in modern conditions. Results. Among the main shortcomings of the functioning of state financial control, it is possible to highlight the lack of a single regulation for the implementation of internal and external state financial control at the levels of the budget system, excessive formalization of internal control procedures, the lack of connection between the results of the assessment of the quality of financial management and internal state financial control, the difficulty of ensuring functional independence and organization of internal audit work in conditions of personnel and financial restrictions, weak orientation to systemic work aimed at reducing budgetary risks. Successful functioning of the state financial control system is possible if the principle of risk-orientation is observed. A risk-oriented approach in the state financial control system should be aimed at: establishing strategic goals in risk management; use of own and external quality data when making management decisions; the relevance of indicators of the effectiveness of control activities within the framework of state financial control, which can be achieved by balancing quantitative and qualitative indicators. Conclusion. The proposed measures to improve state financial control will allow for the formation of a unified approach to its planning and implementation, which will ensure a more effective and in-depth implementation of control measures, which will allow to focus the attention of authorized control bodies on the subjects of control, which are the most problematic. It is obvious that improving the effectiveness of state financial control can be achieved with the help of audit and analytical measures aimed at coordination and systematic information exchange between financial and control bodies regarding the implementation of budgets at different levels.

АМЕРИКАНСЬКА МОДЕЛЬ ОРГАНІЗАЦІЇ ДЕРЖАВНОГО ФІНАНСОВОГО КОНТРОЛЮ: ПЕРСПЕКТИВИ АДАПТАЦІЇ В УКРАЇНІ

The article analyzes the practice of state financial control in the USA. The author highlighted the experience of implementing organizational mechanisms of state financial control of an economically developed state and investigated the powers of its controlling bodies. The practice of standardization of control in the USA is disclosed, the characteristics of the main standards of state control are presented. The American system of state financial control is characterized by the practice of applying control standards, which include: principles of formation and approval of federal appropriations laws; generally accepted standards of state audit; standards of internal control in federal executive bodies; methodical manual for state financial audit; a guide to assessing the compliance of necessary costs with planned results. The essence of administrative-budgetary management is revealed and its impact on the state of the state's financial system as a whole is determined. Administrative-budgetary management includes the development and implementation of the budget; federal procurement management, financial management and information technology; presidential decrees and memoranda; regulatory policy, including coordination and review of all significant federal regulations by executive agencies; submission of recommendations to the president on legislative issues. As a result of the generalization of world practice regarding the implementation of state financial control, directions for adapting foreign experience of state financial control into domestic practice are proposed, which will contribute to the effective use of state financial resources and the development of the system of control bodies. Thus, the conducted analysis shows that the state financial control bodies in the USA take an active part in the management of state finances. In their activities, they adhere to the principles of independence, objectivity and transparency.

STATE FINANCIAL CONTROL AS A FACTOR OF EFFECTIVE USE OF LOCAL BUDGET FUNDS

Introduction. Currently, local budgets play a significant role in the socio-economic life of the state. The formation and use of local budgets is one of the priorities that should be taken into account in the management of local finances. State financial control over the use of local budgets is becoming increasingly important given the situation with the global pandemic COVID-19, as well as the Ukrainian realities, where there is a threat of external military aggression. Public financial control is a factor that reduces the risk of inefficient use of budget funds, and therefore its study is relevant and urgent today. The purpose of the article is to highlight the situation with the state financial control as a factor in the effective use of local budgets in Ukraine, as well as to make recommendations for improving its implementation. Results. The legal basis for state financial control in Ukraine has been clarified. The main subjects of state financial control have been identified and the importance of their effective cooperation has been highlighted. The state financial control is divided into preventive, operational and retrospective and the need for their unity is emphasized in order to achieve the most useful effect for the control of the use of local budgets. The role of the processes of decentralization of state power and reform of local self-government in the formation and use of budget funds at the local level was emphasized, and the need for state financial control under such conditions was emphasized. The data by the State Audit Service of Ukraine demonstrates the urgency of improving the system of state financial control over the use of local budgets. Potential ways to increase the effectiveness of state financial control at the local level are proposed. Conclusions. It is determined that the state financial control occupies a prominent place to ensure the efficient use of local budgets. It was found that in Ukraine today the state financial control is carried out at an insufficient level, and therefore needs to be strengthened while the number of control measures at the level of local budgets should be increased.

КОНТРОЛЬ РОЗРАХУНКІВ ІЗ ПОДАТКУ НА ПРИБУТОК

The article is devoted to organizational and methodological principles of monitoring income tax calculations. Administrative and accounting controls are distinguished among the types of internal control. Administrative internal control is used to improve the efficiency of the enterprise, and accounting internal control is used to protect assets and reliably reflect them in accounting. The main functions that internal control performs are defined. Objects that are not affected by controlling subsystems are considered, namely some elements of accounting policy, tax differences, errors and falsifications. It is indicated that the components of internal control include self-control of the performer, functional control and institutional control. The persons who are responsible for the conscientious implementation of internal control at each component are identified. Further, the article examines the state financial control over income tax calculations, since it is an integral part of the state financial control of entrepreneurial activity. It is determined that the State Fiscal Service of Ukraine conducts desk, documentary and factual inspections. There are several measures that are recommended to be implemented at the enterprise on the eve of a desk check in order to identify violations that can be corrected independently and thus avoid penalties. The procedure for carrying out a planned documentary check at the enterprise is considered. Cases that are recorded in the tax code of Ukraine and may become reasons for conducting an unscheduled documentary check at the enterprise are given. The algorithm for conducting a tax audit of income tax by regulatory authorities is disclosed, which includes preparatory, research and final stages, at each of which a number of activities are performed. In the system of state financial control over the payment of corporate income tax in Ukraine, there are numerous problems that reduce its fiscal efficiency, and therefore require improvement. It is proposed to create a system ofstate current control over the activities of a business entity and strengthen responsibility for tax offenses.

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Objective. Research of theoretical bases of an estimation of efficiency of the state financial control. Methods. To achieve this goal, the authors used a systematic approach, methods of analysis, synthesis, comparative legal method and graphical presentation of research results. Results. It was found that the effectiveness of the system of state financial control over the implementation of local budgets is an important problem in the context of decentralization of financial resources of the state. It is established that there is no system of indicators of efficiency of the state financial control both in a part of separate controlling bodies, and control measures which they carry out. Scientific novelty. � set of criteria and indicators aimed at studying the qualitative characteristics of both individual control measures and individual controlling bodies that form the system of public financial control is determined. Practical significance. The expediency of application of the proposed criteria and indicators for assessing the effectiveness of control over the use of funds from local budgets is substantiated. Areas of improvement of control over the use of funds of local budgets. Key words: budget, evaluation system, quantitative indicators, qualitative indicators, evaluation criteria, state financial control.

Актуальные вопросы совершенствования государственного финансового контроля в Российской Федерации

The purpose of the study is to develop theoretical and organizational and methodological recommendations for improving state financial control. The article analyses the main performance indicators of the state financial control bodies, identifies the weaknesses of their activities, groups of problems and shortcomings of the current state financial control system. The scientific novelty consists in the development of a set of measures aimed at improving state financial control in the Russian Federation. As a result, the main directions for improving the effectiveness of GfK bodies and the whole system were identified.

THE ADVANCED EXPERIENCE IN THE ORGANIZATION OF THE COMBINED SYSTEMS OF THE STATE FINANCIAL CONTROL AND ITS IMPORTANCE FOR UKRAINE

Abstract. The relevance of the study is determined by the need to modernize the state financial control system in Ukraine in the term of globalization and European integration processes. The normative and organizational bases of construction of the combined systems of the state financial control in the leading countries are defined. The advanced experience in the effective interaction of the state financial control bodies from different branches of the state power are systematized and analyzed. The expediency for functioning of the combined system of the state financial control with a combination of elements of parliamentary and governmental systems in Ukraine is substantiated. The scientific outcome of the study is the statement of the effective combination of elements of different branches of the state power in the state financial control systems in the leading countries and substantiation of expediency of such combination in Ukraine. Within analysis of the advanced experience in the organization of the combined systems of the state financial control and the provisions of current legislation, key links of the Ukrainian system of the state financial control were determined namely parliamentary, governmental and departmental financial control. Unlike the existing approaches the system structuring was carried out by institutions that implement a certain type of the state financial control. To strengthen the interaction of these links of the state financial control system in Ukraine and turn it into the only effective mechanism, it is proposed to adopt a conceptual legislative act on the state financial control which should result in the standardization of the relevant conceptual framework, thorough division of control bodies’ powers, introduction of an effective mechanism for their interaction and information exchange between them. Keywords: financial, control, system, state, audit, service, accounting chamber. JEL Classification F42, H72, H83, G28 Formulas: 0; fig.: 1; tabl.: 0; bibl.: 18.

Statutory regulation of financial control of public institutions: Current issues and ways of development

Subject. This article examines the regulatory framework of the Russian Federation that regulates financial control over government institutions. Objectives. The article aims to analyze regulations in the area of organization and implementation of external financial control over public institutions. It also aims to identify pressing regulatory issues for external and internal financial controls, and identify possible directions for its development. Methods. For the study, I used the methods of analysis, grouping, comparison, and generalization. Results. The article describes and compares the types of external financial control of public institutions and internal financial control in public institutions according to the proposed comparison base. It identifies their differences and general methodological approaches to their implementation. The article compares the provisions of the regulations on the basic elements of the system of State financial control, tax control, control in the field of procurement of goods, works, services and State control (supervision), and it reveals similarities and differences of theoretical approaches to their formation. Conclusions. The article draws conclusions about the need to implement measures to improve the regulatory framework of financial control, which involve the creation of an uniform legislative framework, standardization of control activities at all levels of its implementation. These measures will help ensure the validity of the results and improve the quality of financial control in the public sector of the economy.

TAX MONITORING IN THE SYSTEM OF STATE FINANCIAL CONTROL

The article talks about the concept of tax monitoring, its place and significance in the state financial control system. The purpose of the work is determining its place and importance in the system of state financial control. Tax monitoring as a form of tax control refers to the so-called horizontal tax control, which is expressed in a system of constant online partnership between tax authorities and taxpayers on the calculation and payment of tax payments, accounting and tax accounting. This procedure is carried out in relation to large taxpayers who are subject to certain requirements of the tax legislation Its distinctive features are the absence of in-house and on-site tax audits during the period of its implementation, as well as the preparation a motivated opinion on the initiative of the tax authority or taxpayer, which allows to the occurrence of possible harmful consequences in the tax area. The main conclusions obtained in the course of the research: the relationship that develops between an organization and a tax authority when conducting tax monitoring mediates both private and public interest. Tax monitoring, being a subspecies of state financial control, has its own specific features, expressed in a special relationship between the taxpayer and the tax authority, based on the principles of trust, openness and reliability of information, which allows you to quickly resolve possible disputes in real time. Since the main function of tax monitoring is preventive, it was assigned to the form of preliminary control. According to the criteria for classifying financial control into mandatory and proactive, tax monitoring is classified as proactive, since it is carried out on the basis of a taxpayer's application submitted within the legally established time frame.

ДІЄВІСТЬ ДЕРЖАВНОГО ФІНАНСОВОГО КОНТРОЛЮ В УМОВАХ РИНКОВОЇ ЕКОНОМІКИ УКРАЇНИ

The article reveals the essence of state financial control over the activities of budgetary institutions, defines its purpose and objectives at the macro and microeconomic level, presents the bodies conducting external and internal state financial control, analyzes the results of the Accounting Chamber of Ukraine on financial control, outlines the main directions reforming public financial control in the context of strengthening European integration processes. Aspects of the importance and role of public financial control in the system of market relations, the need for its systematic development and improvement of its organization and the definition of effective methods of operation in the future are considered. It is argued that today the system of financial control practically does not perform a preventive function, and mostly states violations. Therefore, it is necessary to create a more integrated, structured system of general financial control in a single information space of public finance management system with mechanisms of interaction, justification of its development strategy, improvement of forms and methods of control actions, increase their efficiency and effectiveness. The need to clarify the conceptual basis for the formation and development of financial control, its organization, understanding of how its bodies function, the development of new methodologies and experience in the implementation of control measures. It is stated that the transformational model of financial control requires the introduction of qualitatively new management at the present stage of development of Ukraine’s economy, which is increasingly acquiring the properties of mixed. It is proved that in practice the weakness of the activity of controlling bodies is the lack of a clear methodological basis for conducting inspections, as the most frequently used audit, which does not allow to identify funds used for other purposes. It is proposed to each body of the system of state financial control to outline the sphere of influence, which will give a real opportunity to purposefully influence the financial policy of the state.