In January through March of this year, UAH 30.1 billion (without regard to transfers) were received by the general fund of local budgets, that is 46% or UAH 9.5 billion more compared to the same period in the previous year.
It was reported so by Vice Prime Minister - Minister of Regional Development, Construction, and Housing and Utilities of Ukraine Hennadii Zubko, with a reference to the data of the Ministry of Finance of Ukraine.
"The said indicators prove the incontrovertible effect of the budgetary decentralisation. Those are not just figures on paper, they mean a real capability of the local self-government to change the life in their territories - provide high-quality services, make them more affordable and up-to-date", Hennadii Zubko emphasised.
Commenting the growth rate of actual proceeds from the individual income tax by 147.7%, up to UAH 15.9 billion, compared to January-March 2015, the Vice Prime Minister noted "Steep increase in the local budget revenues from the individual income tax proves that the decrease of social security tax results in increased levels of wage".
According to Hennadii Zubko, the increased local budget revenues from the land fee up to UAH 5 billion in the quarter is, first of all, a result of regulation by the Government of the land lease payments and more efficient follow-up on the part of communities. The growth rate of proceeds from the land fee in January through March 2016, according to the information of the Ministry of Finance, totals 156.2% compared to the similar period of the previous year.
As is known, the budgetary decentralisation process in Ukraine started in 2015. Owing to new financial capacities, there are new prospects opened to communities for their development and financial independence. Regions may channel additional funds for the development of their infrastructure facilities, construction and renovation of schools, hospitals, roads, etc.
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