Independent budget of local government (LSG)

According to the Plan of the Nation, the budget of local self-government as an independent level of the state budget is being introduced in our country in stages.

Previously, there were 3 budget levels - republican, regional and district (cities of regional significance).

In 2016-2017, the tax potential of LSGs was strengthened by transferring two additional taxes.

At the second stage, starting in 2018, an independent LSG budget was introduced. At this stage, the local government budget, as the 4th level of the state budget, has been introduced in more than 1000 rural districts with a population of over 2 thousand people.

The third final stage from January 1, 2020 to the fourth level of the budget of cities of district significance, townships, villages and rural districts with a population of 2,000 people and below.

The formation of an independent budget makes it possible to expand the ability of akims in solving urgent issues of local importance and the participation of citizens in the decision-making process aimed at the development of their village, settlement.

It should be noted that the new level of the budget is formed at the expense of receipts from tax and non-tax payments in the form of:

- individual income tax on income not taxed at sources of payment;

- tax on property of individuals;

- tax on transport from individuals and legal entities;

- land tax from individuals and legal entities on the land of settlements;

- fees for placing outdoor (visual) advertising in the right-of-way of highways passing through the territory of cities of regional significance, villages, townships, rural districts;

- from the lease of state property of communal property;

- voluntary fees of individuals and legal entities;

- fines levied for administrative offenses provided for by the Code "On Administrative Offenses";

- income from the sale of communal property, as well as transfers from the district budget.