Preparation of the budget: France: reformed procedures, more modern and more transparent management
What field invest? What expenses favour? By France, development and presentation of the budget of the State have evolved considerably in recent years to meet democratic clarity and effectiveness objectives.
From the State budget corresponds to all its resources and its expenditure. The bulk of the resources comes taxes and the taxes paid by the citizens and businesses. Expenditures correspond to the money spent by the State to finance public action.
Finance Bill
The Constitution of 1958 laid down specific rules for the presentation and adoption of the budget, including the legal name is “project finance law” (PLF). Each year, the Government presents in the fall before Parliament the draft budget for the following year bringing together in a single document, all government spending and revenue forecasting France.
Parliament, assisted by financial authorities decided to reform the State budget tracking adopting in 2001 the organic law on the finance laws, the LOLF, real “financial constitution of the State”, applied for the first time in 2006. Budget is now structured by broad public policy, missions, in order to provide a greater readability.
A greater legibility of public policy
The rules adopted in the framework of the LOLF helped to make the presentation more understandable State budget. Previously, government spending were presented by “nature”: staff expenditure, operational intervention (example: economic aid), investment (example: road construction) as well as the interests of debt repayment.
Since 2006, the State budget is presented by major public policies through a cutting by 30 “missions”. For example, “security”, “education” missions are divided into more finely programs. Thus, the “security” mission involves two programs – “national policy” and “gendarmerie nationale” – and “education” mission, six programs, among which “public school education of the 1st degree”, “student life”, or even “teaching technical agricultural.
Categories: Taxation Tags: budget, France, Management, modern, Preparation, procedures, reformed, transparent
