The present Law determines the principles of formation of budgets of the Republic of Kazakhstan, relationship between the republican budget and budgets of local Councils of People's Deputies, relationship of budgets with legal entities and individuals by payment of taxes, other payments and budgetary appropriations.
SECTION I
General provisions
Article 1. Structure of the budgetary system
The budgetary system of the Republic of Kazakhstan make as independent parts: republican budget of the Republic of Kazakhstan and local budgets of Councils of People's Deputies.
Local budgets treat: regional, city, regional, regional in the cities, settlement, rural and aulny budgets.
Article 2. Independence of budgets
The basis of independence of budgets is provided by sources of the income own and fixed by the Law at all links of the budgetary system and the right to use budgetary funds at the discretion of Council of People's Deputies within the powers determined by laws of the Republic of Kazakhstan.
Article 2-1. Features of application of the Law in the territory
special economic zone
The present Law is applied in the territory of a special economic zone in the part which isn't contradicting the legislation on special economic zones. <*>
Footnote. Article 2-1 is entered by the Decree of the President to RK which are valid the Law, of January 26, 1996 N 2824.
Article 3. Budgetary process
1 . The order of drawing up, consideration and the adoption of the republican budget is defined by the present Law, local budgets - the relevant Councils of People's Deputies.
2 . I ruled drawing up and performances of the republican budget are established by the Cabinet of the Republic of Kazakhstan, local budgets - regional councils of People's Deputies.
3 . The draft of the republican budget for the next fiscal year is formed the Cabinet of the Republic of Kazakhstan and it is represented with all calculations and justifications for articles of the income and expenses to the Supreme Council of the Republic of Kazakhstan no later than August 1 of previous fiscal year and is published in the press.
4 . The draft of the budget presented by the Cabinet is considered by all committees of the Supreme Council of the Republic of Kazakhstan. Upon termination of consideration by Committee of the Supreme Council of the Republic of Kazakhstan concerning an economic reform, the budget and finance the corresponding conclusion is prepared. On the basis of the conclusion the coordinated amendments are made to the draft of the budget which is transferred to the statement of the Supreme Council.
5 . The report according to the draft of the budget at session of the Supreme Council of the Republic of Kazakhstan is made by the President or on his assignment - the Prime minister of the Republic of Kazakhstan.
6 . The Supreme Council of the Republic of Kazakhstan approves the republican budget with allocation of the main sources of the income and allocations for financing of welfare actions and the production sphere, the maintenance of public authorities, state bodies, vessels, prosecutor's office and law enforcement agencies, and also the limit extent of deficiency of the republican budget and sources of its covering.
7 . The Supreme Council of the Republic of Kazakhstan, local Councils of People's Deputies approve as a part of the relevant budgets over the provided expenses the size of a reverse cash. The reverse cash can be used within a year on a covering of temporary cash gaps and has to be restored the same year to the sizes established at the statement.
8 . Excess of the income over expenses of the budget makes its free remains. These remains of means formed for the end of the reporting period on complete fiscal year, are enlisted into special accounts of the Cabinet of the Republic of Kazakhstan and the appropriate executive bodies of local Councils of People's Deputies in bank and used on a gain of a reverse cash, and then on a covering of a public debt of appropriate authority. In the absence of such need, decisions on use of these means are made by the relevant Councils of People's Deputies.
9 . In the course of change budget performance in their income and expenses, increase (reduction) of allocations from one sections of expenses in others can be made only according to the decision of the relevant Councils of People's Deputies.
To executive authorities to make the amendments connected with economy of expenses within fiscal year to the voted budget it is forbidden.
10 . For financing of especially important actions which haven't been provided in the budget, or in case of insufficiency of allocations for definite purposes, taking into account budget performance of the current period, the additional budget which is considered and approved similar to the budget for the next year is formed.
11 . The budget is formed for one year. Fiscal year begins on January 1 and comes to an end on December 31.
12 . The law of the Republic of Kazakhstan on the republican budget is published for general data.
Article 4. Balance of the budget
Balance republican and local budgets is a main goal of budgetary and financial policy of legislative and executive power. The covering of the budgetary deficiency at the expense of issue of money isn't allowed. The main forms of a covering of the budgetary deficiency are formation of the state debt, forms and which size are defined at the adoption of the budget, and reduction of expenses of the budget.
Each Council of People's Deputies bears responsibility for the balanced drawing up the budget and carries out expenses within the arriving income.
Article 5. Bases of relationship of the budget with the legal
and individuals
1 . Financial resources of the enterprises, associations, the organizations, and also other independent legal entities don't join in structure of budgets of any public authorities.
All Republic of Kazakhstan located in the territory legal entities, irrespective of forms of ownership and subordination, and also individuals pay taxes and other obligatory payments to the budget in an order established by the tax legislation.
Legal entities and individuals - payers of taxes, collecting and payments provide priority of their payment in the budget over other payments and bear responsibility for timeliness and completeness of payment according to the current legislation.
2 . Budgetary appropriations are allocated to the establishments consisting on the budget. Allocations and grants from the budget can be allocated and to other legal entities and individuals. It doesn't involve establishment of the right of the state or municipal ownership on their corresponding property or an income share if it isn't stipulated by the special contract.
3 . Allocations from the budget, allocated for investments into the capital of already operating or again created enterprises, are property of Councils of People's Deputies on equivalent part of the capital.
4 . The property of production and non-productive appointment created at the expense of the budgetary investments is transferred to the appropriate special bodies of management by the state property.
5 . Income from operation, sale or leasing of the property created at the expense of the budgetary investments, can be or is included in the budget income, or directed on needs of development of the relevant enterprise with the consent of Council of People's Deputies. <*>
Footnote. Point 1 of article 5 - with the changes brought by the Decree of the President of the Republic of Kazakhstan, the valid Law of October 5, 1995 N 2488.
SECTION II
State budget of the Republic of Kazakhstan
Article 6. State budget
The state budget of the Republic of Kazakhstan consists from independent the republican budget and local budgets.
After the adoption of the budget settlement, village, aulny Councils of People's Deputies present the set of the budget for the established classification to regional council, regional councils in the cities - to city council, regional and city councils - to regional councils, regional and city (republican submission) Councils of People's Deputies - to the Ministry of Finance of the Republic of Kazakhstan.
The Ministry of Finance of the Republic of Kazakhstan makes the set of the budget for the established classification by types of budgets and no later than June 1 of the current year presents it to the Supreme Council of the Republic of Kazakhstan.
SECTION III
Republican budget of the Republic of Kazakhstan
Article 7. Republican budget
The republican budget provides with necessary means of financing of actions in the field of the economic, social and cultural development, having all-republican value. Through the republican budget redistribution of part of financial resources between areas and the cities of the republican is carried out
submission in the form of a subvention and the grant, for the purpose of ensuring their welfare development at insufficiency of own income on a covering of expenses according to the minimum standards. Article 8. Sources of formation of the income of the republican budget the Income of the republican budget are formed at the expense of receipt: - income tax from legal entities and individuals; - value added tax; - excises; - tax on operations with securities; - special payments and taxes of subsoil users; - customs tariffs and duties; - receipts from realization of the state domestic loan; - credits of National state bank of the Republic of Kazakhstan and external credits; - other income. <*>
Footnote. Article 8 in edition of the Decree of the President of the Republic of Kazakhstan having the power the Law from October 5, 1995 N 2488.
Article 9. Expenses of the republican budget
1 . From the republican budget the following expenses are carried out;
- financing of production and non-productive construction, the prospecting and design-search, nature protection and other works which are carried out according to all-republican programs;
- financing carried out by establishments and the organizations of republican submission of actions in the fields of education, sciences, cultures, health care, physical culture, social security;
- financing of the all-republican centralized programs on increase of a standard of living of the people, measures for social protection of the population;
- maintenance of public authorities and public administration, law enforcement agencies, judicial authorities, vessels and prosecutor's office;
- financing of programs and other expenses made together with other sovereign states;
- formation of a special reserve of means for performance of work on natural disaster response and reserve fund of the Cabinet of the Republic of Kazakhstan;
- financing of other actions according to the legislation of the Republic of Kazakhstan.
Article 10. Performance of the republican budget
1 . The cabinet of the Republic of Kazakhstan will organize performance of the republican budget through the Ministry of Finance of the Republic of Kazakhstan, the ministry, the State committees, departments and local executive bodies. The Ministry of Finance of the Republic of Kazakhstan provides receipt of all income provided on the budget and an effective expenditure of budgetary funds.
2 . The republican budget is executed on a list of the income and expenses with the quarterly distribution made by the Ministry of Finance of the Republic of Kazakhstan according to indicators of the budget, approved by the Supreme Council of the Republic of Kazakhstan.
3 . Cash performance of the republican budget of the Republic of Kazakhstan is carried out by establishments of National State bank of the Republic of Kazakhstan.
Article 11. Control of use of budgetary funds
Control of use of budgetary funds by the ministries, the state committees, departments, the enterprises, establishments is carried out by Control chamber of the Republic of Kazakhstan.
Article 12. Report on budget performance
1 . The accounting of performance of the republican budget carries out the Ministry of Finance of the Republic of Kazakhstan.
The Ministry of Finance of the Republic of Kazakhstan bears responsibility for a condition of the accounting of budget performance as a whole on the republic and delivers quarter and annual reports to the Supreme Council of the Republic of Kazakhstan, and under the republican budget and the Cabinet of the Republic of Kazakhstan.
2 . The committee of the Supreme Council of the Republic of Kazakhstan concerning an economic reform, the budget and finance considers the annual report, makes the conclusion to the report and reports on the Supreme Council of the Republic of Kazakhstan.
3 . The Supreme Council of the Republic of Kazakhstan on the basis of the report of the Cabinet of the Republic of Kazakhstan, the conclusion and the supporting report of Committee of the Supreme Council of the Republic of Kazakhstan concerning an economic reform, the budget and finance considers and approves the report on performance of the republican budget.
4 . The resolution of the Supreme Council of the Republic of Kazakhstan according to the report on performance of the republican budget is published for general data.
SECTION IV
Local budgets
Article 13. Local budgets
1 . Local budgets provide with necessary means financing of measures for the economic, social and cultural development, carried out by local Councils and executive bodies.
2 . Local Councils of People's Deputies independently
develop, claim and execute the budget. 3 . Intervention of higher Councils and their bodies in the course of drawing up, statements and performances of local budgets isn't allowed. Article 14. Income of local budgets 1. Income of local budgets is formed at the expense of receipts; - land tax; - property tax of legal entities and individuals; - tax on vehicles; - charge for registration of the individuals who are engaged in business activity, and legal entities; - charges for the right of occupation by separate kinds of activity; - collecting from auction sales; - state tax; - other income.
2 . The part of the following nation-wide taxes is enlisted in local budgets for the standards established by the current legislation:
- value added tax;
- income tax from legal entities and individuals;
- excises.
3 . The structure and the sizes of part of nation-wide taxes, collecting and the payments enlisted in local budgets, are defined by the Supreme Council of the Republic of Kazakhstan.
Differentiation of part of all-republican taxes, collecting and payments between the regional budget and budgets of areas and the cities is defined by regional councils of People's Deputies.
Differentiation of part of all-republican taxes, collecting and payments between city, regional, settlement, rural and aulny budgets is defined by regional, city, regional councils of People's Deputies, but not less than sizes determined by the Law of the Republic of Kazakhstan "About local government and local Councils of People's Deputies Kazakh the Soviet Socialist Republic".
4 . Higher local Councils of People's Deputies can transfer from the budget to the subordinate budget of means in the form of subventions, subsidies, grants. <*>
Footnote. Article 14 - with the changes brought by the Decree of the President of the Republic of Kazakhstan, the valid Law of October 5, 1995 N 2488.
Article 15. Expenses of local budgets
1 . Local Councils of People's Deputies independently:
- define the directions of use of means of local budgets and spend budgetary funds;
- increase within means of norm of maintenance costs of establishments of national education available for them, health care, social security, culture and sports, conservation, define side benefits and grants to separate categories of the population;
- establish the size of maintenance costs of Councils of People's Deputies and executive bodies;
- form reserve funds at the expense of own income and part of excess of the income over expenses.
Article 16. Performance of local budgets
1 . Local Councils of People's Deputies and their executive bodies will organize performance of the relevant budget, provide receipt of all income provided on the budget, an effective expenditure of budgetary funds.
2 . Budgets are executed on a list of the income and expenses with quarterly distribution which is formed according to the voted budget financial body of local executive body.
3 . In case of temporary cash gaps at budget performance local Council of People's Deputies can apply to higher Council of People's Deputies about allocation to it the temporary loan which has to be extinguished in established periods within the current fiscal year.
Article 17. Report on performance of local budgets
1 . The report on performance of the local budget is formed executive bodies of the relevant Council of People's Deputies.
2 . The budgetary commission of regional, city, regional, settlement, village and aulny Council of People's Deputies considers the report on budget performance, makes the conclusion and reports on its relevant Council of People's Deputies.
3 . Local Council of People's Deputies on the basis of the report of the executive body, the conclusion and the supporting report of the budgetary commission considers and approves the report on budget performance.
4 . The resolution of local Council of People's Deputies according to the report on budget performance is published in the press.
5 . The report on budget performance is provided to higher Council of People's Deputies.
Article 18. Control of performance of local budgets
Control of performance of regional, city and regional budgets is carried out by audit commissions of the relevant Council of People's Deputies; settlement, rural and aulny budgets - audit commissions of regional, city Councils of People's Deputies.
SECTION V
Relationship between budgets
Article 19. Process of emergence and repayment order
debts between budgets
1 . In case of the edition in course of execution of the budget of standard acts by the Supreme Council of the Republic of Kazakhstan, local Councils of People's Deputies according to which expenses increase or the income of subordinate budgets decreases, to these budgets means from higher budgets are compensated; at reduction of expenses or increase in the income of subordinate budgets the corresponding sums are transferred to the higher budget.
2 . Transferred of one budget in another means in the cases specified in point 1 of the present article, belong on mutual calculations. The debt on mutual calculations is subject to repayment before the termination of the next quarter of fiscal year.
Article 20. Prohibition of withdrawal of means from the subordinate
in higher budgets
The income which has been in addition received at performance of local budgets, and also the sums of excess of the income over the expenses, being formed as a result of an overfulfillment of the income or economy of expenses, remains at the full order of the relevant Councils of People's Deputies, to withdrawal isn't subject and is used at their discretion.
Article 21. Participation of local budgets in carrying out actions
higher bodies
For ensuring financing of expenses on carrying out all-republican, all-regional, city and districtwide actions in republican, regional, city, regional budgets it can be transferred, by a mutual consent, part of means of local budgets.
Article 22. Relationship of the republican budget with budgets
Commonwealths of Independent States
For implementation of programs of the Commonwealth of Independent States Republic of Kazakhstan makes royalties, the volume and which appointment are regulated by the relevant agreements taking into account indicators of social and economic development, and also the legislation of the Republic of Kazakhstan.
SECTION VI
Off-budget funds
Article 23. Off-budget funds
Councils of People's Deputies of all levels have the right to form and use off-budget funds. Each Council of People's Deputies approves position of fund by which the sphere of its activity, the purposes and tasks, structure and methods of formation of means is defined.
President of the Republic of Kazakhstan
