Federal budget of Belgium

In Belgium, the federal budget is an annual estimate of the expenditure and receipts of the Federal government. One financial year corresponds to one calendar year, i.e. of January 1st until December 31st.

The budget is more than one estimate and an authorization: it translates into figures the economic material government policy, financial and social. The government (executive power) draws up the budget and requests for the year concerned from the Chambre of the representatives (legislative power) the authorization to perceive tax S, to carry out expenditure and to negociate loans for the expenditure exceeding the total receipts envisaged. After the implementation of the budget, it also submits the accounts for its approval. The parliamentary vote confirms the possibility for the government of being democratically based on a parliamentary majority elected.

Contents of the budget

Receipts

They are distributed between current receipts and receipts of capital. The current receipts primarily consist of revenues from taxes and, to a lesser extent, nontax receipts. The whole of the means or the receipts of the federal capacity is taken again with the Budget of the ways and means. An inventory of all the tax expenditure is joined to the draft budget of the ways and means. The tax expenditure includes/understands all the abatements, reductions and exceptions to the general scheme of imposition of which profit from the taxpayers or the activities of economic order, social or cultural during the financial year.

The expenditure

Each department (ministry) request of the appropriations in order to implement the government policy (Wages S, operational appropriations, purchases, subsidies…). The expenditure is gathered in the general Budget of the expenditure.

The general talk

This document contains a synthesis and an analysis of the budgets, the useful informations concerning the economic situation and financial of the country and a multiannual estimate.

Budgetary cycle

The method of clothes industry, implementation and control of the budget is fixed by a series of provisions nelles Constitution, legal and lawful that the government, as an executive power, is obliged to respect.

The budgetary cycle extends over one three years period, including three principal phases:

the preparatory phase or development of the budget. The procedure to be followed is long; this is why this phase begins the year which precedes the financial year concerned;

the budgetary production run in the current of the financial year concerned;

the phase of fence, i.e. establishment of the final accounts fixed by the law of the accounts (realization). It is done the year which follows the financial year concerned.

Preparation

In the phase of the development of the budget, the actors are the government and the Room of the representatives. The first must prepare the draft budget, the second must treat it and vote it.

The majority of work relating to the technical preparation of the budget are carried out under the responsibility and on the initiative for the Minister of the budget, assisted by SPF Budget and Contrôle of management and by the Tax inspectorate.

The chronological outline of this phase arises as follows:

April: the Minister for the budget writes a circular explaining the way in which it is necessary to make the budget (calculations, justifications).

May: on the basis of directive of the circular, each minister establishes, in collaboration with his administration, the prefiguration of the budget of his department. The proposals are submitted to the opinion of the Tax inspector accredited as a budgetary and financial adviser near the department concerned; the inspector draws up a report/ratio with the Minister for the budget.

June: bilateral meetings (discussion enters the departments and the Minister for the budget).

July: meetings postbilatérales between cabinets devoted to the points which are not distinct at the bilateral meetings.

August-September: Finalization and last corrections of the documents. The departments must transmit to the SPF Budget and Contrôle of the Management of the expenditure the justifying program in order to allow this administration to finalize and prepare, in order to them print, the general budget of the expenditure and the budget of the ways and means.

October: the definite figures are approved by the the Council of Ministers, in Conclave; then, the documents ready to be printed are it before being deposited with the Room of the representatives. The proposals are discussed deeply in commission, then in full session, where the Room questions the ministers. It is necessary to underline here the role of the Court of Auditors as a budgetary specialist in the Room.

December: at the latest on December 31st of the year which precedes the financial year concerned, the budget must be voted.

Implementation of the budget

The second phase of the budgetary cycle consists of the implementation of the budget by the government. The execution consists, on the one hand, in the perception of the taxes fixed at the budget of the ways and means and, on the other hand, in the realization of the expenditure authorized by the Room of the representatives by the approval of the general budget of the expenditure.

In the current of the financial year, it is taken account of possible modifications. This is why, in February, the budget entirely is analyzed and, possibly, is adjusted (budgetary control). After this control, the adjusted budget is voted by the Room of the representatives. If necessary, other specific adjustments are carried out during the year (often in autumn), that it is also necessary to subject to the vote of the Room representatives.

Receipts

The Civil servant S authorized to perceive the public funds are called the accountants of the receipts. Each receipt is carried out on behalf of the Ministry for Finances, which centralizes of it the amount in the accountancy of the Administration of the Treasury. The amounts taken again with the budget of the ways and means do not constitute ceilings, contrary to the appropriations intended for the expenditure, which constitutes a limit with the expenditure, except for the variable appropriations.

The possibilities of the State enabling him to collect funds in order to pay its expenditure are limited. In fact, they are primarily consisted the taxes and the taxes, the nontax receipts constituting only one weak share. This is why the taxes and the taxes, as a primary source of public Recettes, constitute an important instrument that the State uses initially to finance its many missions. Considering the budgetary function of the perception of the taxes and taxes, it should not be astonished that the State solves its problems of increasing expenditure and its problems budgetary which result from it, by weighing down the taxation.

Expenditure

By the vote of the budget, the Room of the representatives places each year at the disposal of the executive power of the appropriations authorizing certain expenditure.

The cycle of the expenditure knows four phases: engagement, liquidation, scheduling and the payment. Control of expense is carried out by the controller of engagements and the Court of Auditors. They check if the national debt exists legally and really, if the appropriations are used for purposes for which they are planned and if the rules were complied with. In the event of misuse, the visa is refused and the payment cannot be carried out. Following the example receipts, the expenditure is centralized by the Administration of the Treasury of the Ministry for Finances.

Enclose

At the conclusion of the financial year, the government must subject to the Room representatives a document transmitting the results of the budgetary execution (receipts and expenditure). If necessary, the errors are corrected and the deficits are audited. This way, the Room knows if the government carried out its objectives and if the estimates appeared correct.

See too

Exposed general of the budgets 2006 and 2007
Comment a budget is made?

Random links: