I. Metshin: "The city budget is tough, taking into account the realities of today"

(Kazan City KZN.RU, December 18, Zilya Gayfi). Today at the III session of Kazan City Duma deputies approved the budget of Kazan in 2016. As noted at the session, the city budget for this period is provided balanced and socially oriented.

Head of Finance Department of the Executive Committee Radik Shafigullin reported in detail on the main characteristics of the budget of Kazan in 2016, which was adopted in the program format for the first time. "The total projected revenues of Kazan are 19 billion 316 million rubles, including tax and non-tax revenues, total volume - 12 billion 758 million rubles. Of these, 78% came from tax revenues, 22% - from non-tax. The main sources of tax revenue, as in previous years, are tax on personal income, land tax and the tax on the total income (91% of total tax revenues). Total expenditures are projected to total 19 billion 316 million rubles. 71% of budget expenditure accounted for socio-cultural sphere", - he said.

Speaking about the main directions of budget and tax policy of Kazan in 2016, Radik Shafigullin noted that the objectives, set for 2015 and the planning period of 2016-2017, have not lost their relevance and will be implemented in 2016. Thus, the main objective of fiscal policy is to provide the required amount of funds in the budget of the city with the support and stimulation of entrepreneurial and investment activity of economic entities having economic activity in the city. Subsidies to legal entities, individual entrepreneurs and individuals whose activities are related to the provision of a number of socially important services, such as maintenance of drainage, repair of apartment buildings, capture and keeping of stray animals, the organization of favorable food conditions in educational institutions, preferential service for pensioners and disabled etc, are saved.

One of the priority directions of the tax policy is the development of small and medium businesses. In order to avoid increasing of the tax burden on small and medium enterprises correction coefficient K2 of the unified tax on imputed income value has not increased for the past few years. To further support of the development of entrepreneurship, conservation of taxpayers and jobs action of rates for taxpayers who use the simplified taxation system is extended to 2016.

According to Radhik Shafigullin, the current year tax rates and additional tax benefits granted to certain categories of taxpayers still apply on the main budget revenue source - land tax. In order to support the nonprofit sector tax benefits for the land under the objects of education, health, social security, physical education, sport, culture and art, the enterprises of urban electric transport are extended.

In order to improve property of taxation of individuals from 2015 a new chapter "Tax on personal property" is introduced to the Tax Code. The purpose of introducing a new tax on personal property is the transition to a more equitable taxation, based on the cadastral value of the property, as the closest to the market value of the property. The first deadline for payment of the tax on the cadastral value for 2015 comes in 2016 - not later than 1 October. Also a new income source appears in 2016 in the city budget. Tax on the extraction of the minerals will come to the city's budget at the rate of 100%.

Changes to the Budget Code will affect intergovernmental relations – since 2016 standard of enrollment of payment for negative impact on the environment in local budgets increases to 55% by reducing the federal share.

Also in today's session the issue of amendments to the budget of Kazan in 2015 and the planning period of 2016-2017 were concerned. "Changes are due to an increase in financial assistance from the state budget in the amount of 1 billion 517 million rubles. These funds will be used for the maintenance of social and cultural sphere. Thus, the total amount of budget revenues will amount to 21 billion 40 million rubles, the total expenses - 21 billion 962 million rubles. The maximum size of the deficit will amount to 921 million rubles, which does not exceed limits established by the Budget Code of the Russian Federation", - Radik Shafigullin said.

According to the Mayor of Kazan Ilsur Metshin, Kazan budget for 2016 takes into account the realities of today. "We need to finish the year with great dispatch. Time is difficult. For all the years I was mayor I do not remember that we ever year began a year in rosy prospects. There have always been doubts. The city budget for 2016 turned out quite hard, but it takes into account the realities of today. It is important that all socially significant costs are indexed, "- said the Mayor of Kazan.