№ 4/2017

Fìnansi Ukr. 2017 (4): 22–41

BUDGET POLICY

YUSHKO Serhii ¹

¹Simon Kuznets Kharkiv National University of Economics
OrcID ID : https://orcid.org/0000-0001-6323-7687

Special fund as a part of Ukrainian state budget revenue: the features of formation and use

Creating a special fund in state budget in 2000 has left unresolved a number of questions relating to the desirability and feasibility of such a step. The author highlights the reasons for the transition to the formation of “two-pocket” budgets in Ukraine, studies normative documents which define the framework for the accumulation and use of the special fund resources, as well as the special fund revenue and its structure in dynamics for 2000-2017 years. The author notes the lack of a common approach to the formation and use of the special fund revenue as reflected in a systematic review of the list of revenue sources, their number, the standards for distributing the revenue between the general and special funds, changing the revenue allocation and others. The author studies the logic of revenue distribution between these two funds, describes the benefits and risks of using earmarked revenues for the financing of certain programs and activities. The article evaluates the state of the planned performance of the special fund both in the general volume and cross-section of individual components. The author shows significant deviations of the actual performance of the budget from the planned targets and the negative consequences of such a phenomenon, including underfunding of a number of budget programs (if the plan is not fulfilled), widespread facts of waste, mismanagement, illegal use of public resources, elementary freezing of funds in budget accounts in conditions of their actual deficit (if the plan is overfulfilled). It is concluded that the extensive use of targeted payments is not feasible in the future. The author suggests including to the special budget fund only own revenues of budget institutions and earmarks funds (including funds of state reserve).

Keywords:budget revenue, the general fund, the special fund, own revenues of budget institutions, targeted payments.

JEL: Н61, Н68.

YUSHKO S. . Special fund as a part of Ukrainian state budget revenue: the features of formation and use / S. YUSHKO // Фінанси України. - 2017. - № 4. - C. 22-41.

Article original in Ukrainian (pp. 22 - 41)

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