Abstract:

One of the problems of forming an effective fiscal relations is to strengthen the financial independence and sustainability of Russian regions that should be provided by own sources of revenues and to determine directions for their use and spending. In reality, the independence of budgets is largely determined not so much by the availability of their own sources of budget revenues at each level, as by their size and level in the amount of the corresponding budget. We believe that it is necessary to theoretically substantiate the features and regularities of the development of fiscal relations that arise as a result of the formation and implementation of fiscal powers in the process of interaction between the levels of the budget system and economic entities, based on the legislative framework, but reflecting conflicting interests, which requires their coherence and balance in the modernization of the economy The article theoretically substantiates the economic interests of the subjects and contradictions in the sphere of fiscal relations between the Federal center and the regions. As a result of the study it is concluded that the balance of fiscal relations involves the achievement of harmonization of interests of all levels of government for the financial support of the functions of public authorities and local governments.