OREANDA-NEWS. September 04, 2008. With changes to the Budget Code the Government is introducing principally new financing of the local budgets. Premier of Ukraine Yulia Tymoshenko announced during a meeting into the issues of forming indices of projects of the local budgets for 2009 with heads of regional state administrations and municipal mayors.

The Head of Government noted that amendments to the Budget Code envisage, in particular, transition of certain incomes directly to the regional budgets instead of going into the state budget and being further redirected to the local ones, as it had been before. So, according to the PM, following the changes the second basket will be filled, notably, with payment for licenses and certificates, state registration, tax for special use of national water resources, 10% of income tax and 100% land payment.

Yulia Tymoshenko informed the Verkhovna Rada will be submitted a draft law “On immovable property tax”, on adopting of which the issues of paying the tax will be solved on a local level and will not concern central authorities.

The Head of Government added that only at the account of these constituents incomes into the local budgets will amount 7.8 bn UAH, “these are significant funds which can fill local budgets.”
Besides, changes into the Code stipulate for redirection of a part of expenses from the local to the state budget. Firstly, it concerns allocating funds for pre-school education. Yulia Tymoshenko aired, owing to the predictable social policy of the Gov’t the country faces a “Ukrainian baby boom”. “It means all without exceptions state infant schools will be maintained in full,” the Head of Government emphasized. Yulia Tymoshenko was heard as saying, 1.5 bn UAH out of the state budget will be earmarked here.

Prime Minister said, at the account of the state budget financing of centres of social and professional rehabilitation of invalids, payment of reimbursement for physical persons providing with social services, payment of monthly reimbursement for nutrition of citizens who suffered in the result of Chornobyl catastrophe, professional and technical education support will be carried out.

Yulia Tymoshenko stressed that introduction of all the mentioned programs proves possible only in the aftermath of endorsement the addenda to the Budget Code and expressed her hope the Parliament would vote on them within nearest weeks.